Revenue and Taxation Code
Part 20 of 36 · provisions 3,801–4,000
This section says the act is known as the Revenue and Taxation Code.
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Starting in the 1995–96 fiscal year, county-assessed property rights or interests must be placed in a separate countywide tax rate area, and the tax rate is calculated using the rates from Section 100. This section suspends a specified California constitutional subparagraph for the 2009–10 fiscal year. This section requires the county auditor to reduce certain 2009–10 property tax apportionments, transfer the reduction amounts to a county fund, and report the calculations. It also lets the Director of Finance grant limited hardship relief, requires later state reimbursement, and allows mandamus if reimbursement is not made on time. This section sets how certain railroad property tax value and revenues must be allocated among tax rate areas, counties, school entities, and related jurisdictions. Supplemental property tax revenues for 1985–86 and later years must be apportioned using the current year’s property tax apportionment factors.
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- 38505. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Security for Tax [38501 - 38505] ( Article 1 added by Stats. 1976, Ch. 176. )
If levied property is not needed to protect tax collection, the board must return the property or sale proceeds to the taxpayer when one of the listed conditions is met.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Security for Tax [38501 - 38505] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38505. Except in any case where the board finds collection of the tax to be in jeopardy, if any property has been levied upon, the property or the proceeds from the sale of the property shall be returned to the taxpayer if the board determines any one of the following: (a) The levy on the property was not in accordance with the law. (b) The taxpayer has entered into and is in compliance with an installment payment agreement pursuant to Section 38504 to satisfy the tax liability for which the levy was imposed, unless that or another agreement allows for the levy. (c) The return of the property will facilitate the collection of the tax liability or will be in the best interest of the state and the taxpayer. (Added by Stats. 1999, Ch. 929, Sec. 31. Effective January 1, 2000.) - 38511. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. )
The board may sue in court to collect delinquent tax, plus penalties and interest, within the stated time limits.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38511. At any time within three years after any tax or any amount of tax required to be collected becomes due and payable and at any time within three years after the delinquency of any tax or any amount of tax required to be collected, or within the period during which a lien is in force as the result of the recording of an abstract under Section 38523 or the recording or filing of a notice of state tax lien under Section 7171 of the Government Code, the board may bring an action in the courts of this state, of any other state, or of the United States in the name of the people of the State of California to collect the amount delinquent together with penalties and interest. (Amended by Stats. 1980, Ch. 600, Sec. 62.2.) - 38512. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. )
The Attorney General must prosecute the action, and Code of Civil Procedure rules on summons, pleadings, proofs, trials, and appeals apply to the proceeding.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38512. The Attorney General shall prosecute the action, and the provisions of the Code of Civil Procedure relating to service of summons, pleadings, proofs, trials, and appeals are applicable to the proceedings. (Added by Stats. 1976, Ch. 176.) - 38513. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. )
In this action, a writ of attachment may issue without a prior bond or affidavit.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38513. In the action a writ of attachment may issue, and no bond or affidavit previous to the issuing of the attachment is required. (Added by Stats. 1976, Ch. 176.) - 38514. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. )
In a tax action, a certificate from the board showing delinquency is prima facie evidence of the tax determination, the amount due, the delinquency, and the board’s compliance with the part’s computation and determination rules.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38514. In the action a certificate by the board showing the delinquency shall be prima facie evidence of the determination of the tax or the amount of tax, of the delinquency of the amounts set forth, and of the compliance by the board with all the provisions of this part in relation to the computation and determination of the amounts. (Added by Stats. 1976, Ch. 176.) - 38515. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. )
In actions under this part, process may be served under California civil procedure rules or on an in-state agent or clerk of a timber owner. If served on the agent or clerk, a copy must be sent by registered mail to the timber owner’s principal or home office.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Tax [38511 - 38515] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38515. In any action brought under this part process may be served according to the Code of Civil Procedure and the Civil Code of this state or may be served upon any agent or clerk in this state employed by any timber owner place of business maintained by the timber owner in this state. In the latter case a copy of the process shall forthwith be sent by registered mail to the timber owner at his principal or home office. (Added by Stats. 1976, Ch. 176.) - 38521. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. )
If a tax amount due under this part is unpaid, the board may file a certificate within three years and ask for judgment against the liable person.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38521. If any amount required to be paid to the state under this part is not paid when due, the board may within three years after the amount is due file in the office of the County Clerk of Sacramento County, or any county, a certificate specifying the amount required to be paid, interest and penalty due, the name and address as it appears on the records of the board of the person liable, the compliance of the board with this part in relation to the determination of the amount required to be paid, and a request that judgment be entered against the person in the amount required to be paid, together with interest and penalty as set forth in the certificate. (Added by Stats. 1976, Ch. 176.) - 38522. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. )
The county clerk must enter judgment for the people of California right away when the certificate is filed, for the amount due plus interest and penalty stated in the certificate.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38522. The county clerk immediately upon the filing of the certificate shall enter a judgment for the people of the State of California against the person in the amount required to be paid, together with interest and penalty as set forth in this certificate. The county clerk may file the judgment in a looseleaf book entitled, “Special Judgments for State Timber Yield Tax.” (Added by Stats. 1976, Ch. 176.) - 38523. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. )
A judgment abstract or copy may be filed with a county recorder, creating a lien on the liable person’s real property in the county.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38523. An abstract of the judgment or a copy may be filed for record with the county recorder of any county. From the time of the filing the amount required to be paid together with interest and penalty set forth constitutes a lien upon all the real property in the county owned by the person liable or afterward and before the lien expires acquired by him. The lien has the force, effect, and priority of a judgment lien and shall continue for 10 years from the date of the judgment so entered by the county clerk unless sooner released or otherwise discharged. The lien may within 10 years from the date of the judgment or within 10 years from the date of the last extension of the lien in the manner herein provided, be extended by filing for record in the office of the county recorder of any county an abstract or copy of the judgment and from the time of such filing the lien shall be extended to the real property in such county for 10 years unless sooner released or otherwise discharged. (Added by Stats. 1976, Ch. 176.) - 38524. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. )
The board may request execution on the judgment, and sales under that execution must follow the Code of Civil Procedure.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38524. Execution shall issue upon the judgment upon request of the board in the same manner as execution may issue upon other judgments, and sales shall be held under such execution as prescribed in the Code of Civil Procedure. (Added by Stats. 1976, Ch. 176.) - 38525. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. )
The board may release all or part of property from a lien, subordinate the lien, or release the lien if the required findings are made.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Judgment for Tax [38521 - 38525] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38525. (a) If the board determines that the amount of tax, interest, and penalties are sufficiently secured by a lien or other property or that the release or subordination of the lien imposed under this article will not jeopardize the collection of the amount of the tax, interest, and penalties, the board may at any time release all or any portion of the property subject to the lien from the lien or may subordinate the lien to other liens and encumbrances. (b) If the board finds that the liability represented by the lien imposed under this article, including any interest accrued thereon, is legally unenforceable, the board may release the lien. (c) A certificate by the board to the effect that any property has been released from a lien or that the lien has been subordinated to other liens and encumbrances is conclusive evidence that the property has been released or that the lien has been subordinated as provided in the certificate. (Added by Stats. 1985, Ch. 186, Sec. 14.) - 38531. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Priority and Lien of Tax [38531 - 38532] ( Article 4 added by Stats. 1976, Ch. 176. )
Tax amounts, interest, and penalties owed under this part are paid first in specified insolvency-related situations.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Priority and Lien of Tax [38531 - 38532] ( Article 4 added by Stats. 1976, Ch. 176. ) ## 38531. The amounts required to be paid by any person under this part together with interest and penalties shall be satisfied first in any of the following cases: (a) Whenever the person is insolvent. (b) Whenever the person makes a voluntary assignment of his assets. (c) Whenever the estate of the person in the hands of executors, administrators, or heirs is insufficient to pay all the debts due from the deceased. (d) Whenever the estate and effects of an absconding, concealed, or absent person required to pay any amount under this part are levied upon by process of law. This section does not give the state a preference over any lien or security interest which was recorded or perfected prior to the time when the state records or files its lien as provided in Section 7171 of the Government Code. The preference given to the state by this section shall be subordinate to the preferences given to claims for personal services by Sections 1204 and 1206 of the Code of Civil Procedure. (Amended by Stats. 1980, Ch. 600, Sec. 62.3.) - 38532. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Priority and Lien of Tax [38531 - 38532] ( Article 4 added by Stats. 1976, Ch. 176. )
If a required timber tax amount is not paid when due, it becomes a perfected and enforceable state tax lien.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Priority and Lien of Tax [38531 - 38532] ( Article 4 added by Stats. 1976, Ch. 176. ) ## 38532. (a) If any amount required to be paid to the state under this part is not paid at the time that it becomes due and payable, the amount thereof, including penalties and interest, together with any costs in addition thereto, shall thereupon be a perfected and enforceable state tax lien. Such a lien is subject to Chapter 14 (commencing with Section 7150) of Division 7 of Title 1 of the Government Code. (b) For the purpose of this section, amounts are “due and payable” on the following dates: (1) For amounts disclosed on a return received by the board before the date the return is delinquent, the date the return would have been delinquent. (2) For amounts disclosed on a return filed on or after the date the return is delinquent, the date the return is received by the board. (3) For amounts received under Section 38431 (pertaining to jeopardy assessments), the date the notice of the board’s finding is mailed or issued. (4) For all other amounts, the date the assessment is final. (Amended by Stats. 1980, Ch. 600, Sec. 62.4.) - 38541. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. )
The board or its authorized representative may issue a warrant to collect amounts owed to the state and enforce liens, subject to time limits.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. ) ## 38541. At any time within three years after any person is delinquent in the payment of any amount herein required to be paid, or within 10 years after the last recording of an abstract under Section 38523 or the last recording or filing of a notice of state tax lien under Section 7171 of the Government Code, the board or its authorized representative may issue a warrant for the enforcement of any liens and for the collection of any amount required to be paid to the state under this part. The warrant shall be directed to any sheriff or marshal and shall have the same effect as a writ of execution. The warrant shall be levied and sale made pursuant to it in the same manner and with the same effect as a levy of and a sale pursuant to a writ of execution. (Amended by Stats. 1996, Ch. 872, Sec. 157. Effective January 1, 1997.) - 38542. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. )
The board may pay or advance certain fees and expenses to the sheriff or marshal, and the board—not the court—approves newspaper publication fees.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. ) ## 38542. The board may pay or advance to the sheriff or marshal, the same fees, commissions, and expenses for his or her services as are provided by law for similar services pursuant to a writ of execution. The board, and not the court, shall approve the fees for publication in a newspaper. (Amended by Stats. 1996, Ch. 872, Sec. 158. Effective January 1, 1997.) - 38543. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. )
A person who must pay an amount under this part also bears the fees, commissions, and expenses, which may be collected from that person under the warrant or other collection methods in this part.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 5. Warrant for Collection of Tax [38541 - 38543] ( Article 5 added by Stats. 1976, Ch. 176. ) ## 38543. The fees, commissions, and expenses are the obligation of the person required to pay any amount under this part and may be collected from him by virtue of the warrant or in any other manner provided in this part for the collection of the tax. (Added by Stats. 1976, Ch. 176.) - 38551. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. )
If a person is delinquent in paying an amount, the board may collect it within three years by seizing and selling property at public auction.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. ) ## 38551. At any time within three years after any person is delinquent in the payment of any amount, the board may forthwith collect the amount in the following manner: The board shall seize any property, real or personal, of the person and sell the property, or a sufficient part of it, at public auction to pay the amount due together with any interest or penalties imposed for the delinquency and any costs incurred on account of the seizure and sale. (Added by Stats. 1976, Ch. 176.) - 38552. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. )
Before a tax sale, written notice must be given at least 20 days in advance to the delinquent person and others with a recorded interest in the property.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. ) ## 38552. Notice of the sale and the time and place thereof shall be given to the delinquent person and to all persons who have an interest of record in the property in writing at least 20 days before the date set for the sale in the following manner: The notice shall be personally served or enclosed in an envelope addressed to the taxpayer or other person at his or her last known address or place of business in this state. If not personally served, the notice shall be deposited in the United States mail, postage prepaid. The notice shall be published pursuant to Section 6063 of the Government Code, in a newspaper of general circulation published in the city in which the property or a part thereof is situated if any part thereof is situated in a city or, if not, in a newspaper of general circulation published in the county in which the property or a part thereof is located. Notice shall also be posted in both of the following manners: (a) One public place in the city in which the interest in property is to be sold if it is to be sold in a city or, if not to be sold in a city, one public place in the county in which the interest in the property is to be sold. (b) One conspicuous place on the property. The notice shall contain a description of the property to be sold, a statement of the amount due, including taxes, interest, penalties, and costs, the name of the delinquent, and the further statement that unless the amount due is paid on or before the time fixed in the notice for the sale, the property, or so much of it as may be necessary, will be sold in accordance with law and the notice. (Amended by Stats. 1990, Ch. 1528, Sec. 13.) - 38553. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. )
At the sale, the board must sell the seized property according to law and the notice, and must give the buyer the proper sale document.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. ) ## 38553. At the sale the board shall sell the property in accordance with law and the notice and shall deliver to the purchaser a bill of sale for the personal property and a deed for any real property sold. The bill of sale or deed vests the interest or title of the person liable for the amount in the purchaser. The unsold portion of any property seized may be left at the place of sale at the risk of the person liable for the amount. (Added by Stats. 1976, Ch. 176.) - 38554. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. )
If a sale brings in more than the amounts owed to the state, the board must return the excess to the liable person, or hold it or deposit it with the Controller if certain notice or receipt conditions apply.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 6. Seizure and Sale [38551 - 38554] ( Article 6 added by Stats. 1976, Ch. 176. ) ## 38554. If upon the sale the moneys received exceed the total of all amounts, including interest, penalties, and costs due the state, the board shall return the excess to the person liable for the amounts and obtain his or her receipt. If any person having an interest in or lien upon the property files with the board prior to the sale notice of his or her interest or lien, the board shall withhold any excess pending a determination of the rights of the respective parties to the excess moneys by a court of competent jurisdiction. If for any reason the receipt of the person liable for the amount is not available, the board shall deposit the excess moneys with the Controller, as trustee for the owner, subject to the order of the person liable for the amount, his or her heirs, successors, or assigns. (Amended by Stats. 1996, Ch. 860, Sec. 18. Effective January 1, 1997.) - 38561. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. )
If a business seller owes an amount under this part, the buyer’s successors or assigns must hold back enough of the purchase price to cover it until the former owner shows proof of payment or a certificate saying nothing is due.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. ) ## 38561. If any person liable for any amount under this part sells out his or her business or quits the business, the person’s successors or assigns shall withhold sufficient of the purchase price to cover the amount until the former owner produces a receipt from the board showing that it has been paid or a certificate stating that no amount is due. (Added by Stats. 1985, Ch. 186, Sec. 15.) - 38562. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. )
A business purchaser must withhold required amounts from the purchase price, and the board must issue a certificate or send notice within set deadlines.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. ) ## 38562. If the purchaser of a business fails to withhold from the purchase price as required, the purchaser becomes personally liable for the payment of the amount required to be withheld by him or her to the extent of the purchase price, valued in money. Within 60 days after receiving a written request from the purchaser for a certificate, or within 60 days from the date the former owner’s records are made available for audit, whichever period expires the later, but in any event not later than 90 days after receiving the request, or 90 days from the date of the sale of the business, whichever period expires later, the board shall either issue the certificate or mail notice to the purchaser, at his or her address as it appears on the records of the board, of the amount that must be paid as a condition of issuing the certificate. Failure of the board to mail the notice will release the purchaser from any further obligation to withhold from the purchase price as above provided. The last date upon which the obligation of the successor may be enforced shall be not later than three years after the date the board is notified of the purchase of the business. (Amended by Stats. 1991, Ch. 236, Sec. 17. Effective July 29, 1991.) - 38563. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. )
The board may issue the certificate after the required amounts are paid or payment is secured to the board’s satisfaction.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. ) ## 38563. The certificate may be issued after the payment of all amounts due under this part, according to the records of the board as of the date of this certificate, or after the payment of the amounts is secured to the satisfaction of the board. This security is not subject to the limitations contained in Section 38501. (Added by Stats. 1985, Ch. 186, Sec. 15.) - 38564. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. )
The successor can ask for reconsideration of the notice, and the notice must be served within three years after the board is notified of the business purchase.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. ) ## 38564. The obligation of the successor shall be enforced by serving a notice of successor liability on the person. The notice shall be served in the manner prescribed for service of a notice of a deficiency determination, not later than three years after the date the board is notified of the purchase of the business. The successor may petition for reconsideration in the manner provided in Article 5 (commencing with Section 38441) of Chapter 5. The notice shall become final and the amount due and payable in the manner provided in that article except that no additional penalty shall apply if not paid when due and payable. The provisions of this chapter with respect to the collection of any amount required to be paid under this part shall apply when the notice becomes final. (Amended by Stats. 1991, Ch. 236, Sec. 18. Effective July 29, 1991.) - 38565. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. )
If a business is discontinued and the board holds qualifying security under Section 38501, applying that security to the taxpayer’s account is treated as payment toward the taxpayer’s liability to the board.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 7. Payment on Termination of Business and Successor’s Liability [38561 - 38565] ( Article 7 added by Stats. 1985, Ch. 186, Sec. 15. ) ## 38565. If at the time a business is discontinued the board holds security pursuant to Section 38501 in the form of cash, government bonds, or insured deposits in banks or savings and loan institutions, this security when applied to the account of the taxpayer shall be deemed to be a payment on account of any liability of the taxpayer to the board on the date the business is discontinued. (Added by Stats. 1985, Ch. 186, Sec. 15.) - 38571. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The board must report collections under this part to the Controller, and the Controller must keep a record of them.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38571. The board shall report to the Controller the amount of collections under this part, and the Controller shall keep a record thereof. (Added by renumbering Section 38561 by Stats. 1985, Ch. 186, Sec. 17.) - 38572. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The state’s remedies under this chapter are cumulative, and actions by the board or Attorney General do not make the state choose one remedy over others.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38572. The remedies of the state provided for in this chapter are cumulative, and no action taken by the board or Attorney General constitutes an election by the state to pursue any remedy to the exclusion of any other remedy for which provision is made in this part. (Added by renumbering Section 38562 by Stats. 1985, Ch. 186, Sec. 18.) - 38573. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The board may act on behalf of the people of the State of California in proceedings under this chapter.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38573. In all proceedings under this chapter the board may act on behalf of the people of the State of California. (Added by renumbering Section 38563 by Stats. 1985, Ch. 186, Sec. 19.) - 38574. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
When a corporate business ends, certain responsible officers or other persons can become personally liable for unpaid corporate taxes, interest, and penalties if they willfully fail to pay or cause payment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38574. (a) Upon termination, dissolution, or abandonment of a corporate business, any officer or other person having control or supervision of, or who is charged with the responsibility for the filing of returns or the payment of tax, or who is under a duty to act for the corporation in complying with any requirement of this part, shall be personally liable for any unpaid taxes and interest and penalties on those taxes, if that officer or other person willfully fails to pay or to cause to be paid any taxes due from the corporation pursuant to this part. (b) The officer or other person shall be liable only for taxes which became due during the period he or she had the control, supervision, responsibility, or duty to act for the corporation described in subdivision (a), plus interest and penalties on those taxes. (c) For purposes of this section, “willfully fails to pay or cause to be paid” means that the failure was the result of an intentional, conscious, and voluntary course of action. (d) The sum due for the liability under this section may be collected by determination and collection in the manner provided in Chapter 5 (commencing with Section 38401) and Chapter 6 (commencing with Section 38501). (Added by Stats. 1985, Ch. 186, Sec. 20.) - 38575. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The board may hire outside debt-collection providers to collect certain taxes and related charges, must give them needed information, and the contractor may refer a tax debt for litigation only with the board’s approval.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38575. (a) For the purpose of collecting taxes, interest, additions to tax, and penalties, the board may enter into agreements with one or more private persons, companies, associations, or corporations providing debt collection services outside this state with respect to the collection of taxes, interest, additions to tax, and penalties. The agreements may provide, at the discretion of the board, the rate of payment and the manner in which compensation for services shall be paid. The compensation shall not be added to the amount required to be collected by the collection agency or provider of debt collection services from the tax debtor. The board shall provide the necessary information for the contractor to fulfill its obligation under the agreement. (b) With the approval of the board, the contractor may, as part of the collection process, refer the tax debt for litigation by its legal representatives in the name of the board. (Added by Stats. 1987, Ch. 498, Sec. 33.) - 38576. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The board is exempt from certain Corporations Code provisions unless, when registering, the timber owner gives the board a written partnership agreement saying all business assets are held in the partnership’s name.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38576. The board shall not be subject to subdivisions (c) and (d) of Section 16307 of the Corporations Code unless, at the time of registration, the timber owner furnishes the board a written partnership agreement that provides that all business assets shall be held in the name of the partnership. (Added by Stats. 1996, Ch. 1003, Sec. 9. Effective January 1, 1997.) - 38577. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
A collection cost recovery fee may be imposed on a person who fails to pay amounts due under this part, but only after a demand notice is mailed. The fee cannot exceed the tax agency’s collection costs, interest does not accrue on the fee, and some persons may be relieved from it if they show reasonable cause and file a sworn statement.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38577. (a) A collection cost recovery fee shall be imposed on any person that fails to pay an amount of tax, interest, penalty, or other amount due and payable under this part. The collection cost recovery fee shall be in an amount less than or equal to the California Department of Tax and Fee Administration’s costs for collection, as reasonably determined by the California Department of Tax and Fee Administration. The collection cost recovery fee shall be imposed only if the California Department of Tax and Fee Administration has mailed its demand notice, to that person for payment, that advises that continued failure to pay the amount due may result in collection action, including the imposition of a collection cost recovery fee. (b) Interest shall not accrue with respect to the collection cost recovery fee provided by this section. (c) The collection cost recovery fee imposed pursuant to this section shall be collected in the same manner as the collection of any other tax imposed by this part. (d) (1) If the California Department of Tax and Fee Administration finds that a person’s failure to pay any amount under this part is due to reasonable cause and circumstances beyond the person’s control, and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, the person shall be relieved of the collection cost recovery fee provided by this section. (2) Any person seeking to be relieved of the collection cost recovery fee shall file with the California Department of Tax and Fee Administration a statement under penalty of perjury setting forth the facts upon which the person bases the claim for relief. (e) Subdivision (a) shall be operative with respect to a demand notice for payment which is mailed on or after January 1, 2011. (f) Collection cost recovery fee revenues shall be deposited in the same manner as revenues derived from any other tax imposed by this part. (Amended by Stats. 2021, Ch. 432, Sec. 37. (SB 824) Effective January 1, 2022.) - 38578. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. )
The California Department of Tax and Fee Administration may serve certain earnings withholding orders and related documents on government and private employers electronically, with employer consent required for electronic service under subsection (b).
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 6. Collection of Taxes [38501 - 38578] ( Chapter 6 added by Stats. 1976, Ch. 176. ) ## ARTICLE 8. Miscellaneous Provisions [38571 - 38578] ( Heading of Article 8 renumbered from Article 7 by Stats. 1985, Ch. 186, Sec. 16. ) ## 38578. (a) Notwithstanding Sections 706.071, 706.073, 706.080, 706.101, and 706.105 of the Code of Civil Procedure, the California Department of Tax and Fee Administration may serve earnings withholding orders for taxes and any other notice or document required to be served or provided in connection with an earnings withholding order for taxes according to Article 4 (commencing with Section 706.070) of Chapter 5 of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure to government and private employers by electronic transmission or other electronic technology. (b) Upon consent of the employer, the California Department of Tax and Fee Administration may provide service by electronic transmission or other electronic technology under this section. (c) Notwithstanding Sections 706.071, 706.073, 706.080, 706.101, 706.125, and 706.126 of the Code of Civil Procedure, the California Department of Tax and Fee Administration may receive the employer’s return, as described in Section 706.126 of the Code of Civil Procedure, by electronic transmission or other electronic technology. (d) This section shall apply in the same manner and with the same force and effect and to the full extent as if this section had been incorporated in full into Article 4 (commencing with Section 706.070) of Chapter 5 of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure. (e) This section shall apply to notices served or provided on or after the effective date of the act adding this section. (Added by Stats. 2023, Ch. 511, Sec. 16. (SB 889) Effective January 1, 2024.) - 38601. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
If the department finds a payment was duplicated or wrongly collected, it must record, certify, credit, and refund the excess; determinations over $50,000 must be public for at least 10 days.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38601. If the department determines that any amount, penalty, or interest has been paid more than once or has been erroneously or illegally collected or computed, the department shall set forth that fact in the records of the department, certify the amount collected in excess of the amount legally due and the person from whom it was collected or by whom paid, and credit the excess amount collected or paid on any amounts then due and payable from the person from whom the excess amount was collected or by whom it was paid under this part, and the balance shall be refunded to the person, or the person’s successors, administrators, or executors. Any determination by the department pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days after the effective date of that determination. (Amended by Stats. 2022, Ch. 474, Sec. 48. (SB 1496) Effective January 1, 2023.) - 38602. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
The board may only approve refunds or credits if the required claim is filed within the stated time limits, with a special waiver-based exception.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38602. (a) Except as provided in subdivision (b) no refund shall be approved by the board after three years from the last day of the month following the close of the quarterly period for which the overpayment was made, or, with respect to determinations made under Article 2, 3 or 4 of Chapter 5 of this part, after six months from the date the determinations become final, or after six months from the date of overpayment, whichever period expires the later, unless a claim therefor is filed with the board within such period. No credit shall be approved by the board after the expiration of such period unless a claim for credit is filed with the board within such period, or unless the credit relates to a period for which a waiver is given pursuant to Section 38419. (b) A refund may be approved by the board for any period for which a waiver is given under Section 38419 if a claim therefor is filed with the board before the expiration of the period agreed upon. (Added by Stats. 1976, Ch. 176.) - 38602.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
The refund claim limitation period is suspended while a person is financially disabled, subject to the section’s definition and exceptions.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38602.5. (a) The limitation period specified in Section 38602 shall be suspended during any period of a person’s life that the person is financially disabled. (b) (1) For purposes of subdivision (a), a person is financially disabled if the person is unable to manage his or her financial affairs by reason of medically determinable physical or mental impairment of the person which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months. A person shall not be considered to have an impairment unless proof of the existence thereof is furnished in the form and manner as the board may require. (2) A person shall not be treated as financially disabled during any period that the person’s spouse or any other person is authorized to act on behalf of the person in financial matters. (c) This section applies to periods of disability commencing before, on, or after the effective date of the act adding this section, but does not apply to any claim for refund that (without regard to this section) is barred by the operation or rule of law, including res judicata, as of the effective date of the act adding this section. (Added by Stats. 2000, Ch. 1052, Sec. 39. Effective January 1, 2001.) - 38603. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
A claim must be made in writing and must state the specific grounds on which it is based.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38603. Every claim shall be in writing and shall state the specific grounds upon which the claim is founded. (Added by Stats. 1976, Ch. 176.) - 38604. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
Missing the refund-claim deadline in this article waives any demand against the state for the overpayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38604. Failure to file a claim within the time prescribed in this article constitutes a waiver of any demand against the state on account of overpayment. (Added by Stats. 1976, Ch. 176.) - 38605. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
If the board disallows a claim in whole or part, it must serve notice of that action on the claimant within 30 days.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38605. Within 30 days after disallowing any claim in whole or in part the board shall serve notice of its action on the claimant in the manner prescribed for service of notice of a deficiency determination. (Added by Stats. 1976, Ch. 176.) - 38606. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
Interest must be paid on tax overpayments, calculated at the modified adjusted rate per month, starting after the relevant quarterly period, with special timing rules for refunds and credits.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38606. Interest shall be paid upon any overpayment of any amount of tax at the modified adjusted rate per month, or fraction thereof, as defined in Section 6591.5, from the last day of the calendar month following the quarterly period for which the overpayment was made; but no refund or credit shall be made of any interest imposed upon the person making the overpayment with respect to the amount being refunded or credited. The interest shall be paid as follows: (a) In the case of a refund, to the last day of the calendar month following the date upon which the person making the overpayment, if the person has not already filed a claim, is notified by the department that a claim may be filed or the date upon which the claim is approved by the department, whichever date is the earlier. (b) In the case of a credit, to the same date as that to which interest is computed on the tax or amount against which the credit is applied. (Amended by Stats. 2021, Ch. 432, Sec. 38. (SB 824) Effective January 1, 2022.) - 38607. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. )
The board must not pay interest on an overpayment if it finds the overpayment was intentional or caused by carelessness.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 1. Claim for Refund [38601 - 38607] ( Article 1 added by Stats. 1976, Ch. 176. ) ## 38607. (a) If the board determines that any overpayment has been made intentionally or by reason of carelessness, it shall not allow any interest thereon. (b) If any person who has filed a claim for refund requests the board to defer action on the claim, the board, as a condition to deferring action, may require the claimant to waive interest for the period during which the person requests the board to defer action on the claim. (Added by Stats. 1976, Ch. 176.) - 38611. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
Courts may not issue injunctions, writs of mandate, or other equitable or legal process to stop collection of taxes under this part.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38611. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action, or proceeding in any court against this state or against any officer of the state to prevent or enjoin the collection under this part of any tax or any amount of tax required to be collected. (Added by Stats. 1976, Ch. 176.) - 38612. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
A court suit or proceeding to recover an amount said to have been wrongly determined or collected cannot be maintained unless a refund or credit claim has first been duly filed under Article 1.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38612. No suit or proceeding shall be maintained in any court for the recovery of any amount alleged to have been erroneously or illegally determined or collected unless a claim for refund or credit has been duly filed pursuant to Article 1 (commencing with Section 38601). (Amended by Stats. 1987, Ch. 498, Sec. 34.) - 38613. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
A claimant may sue the board within 90 days after notice of the board’s action on the claim is mailed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38613. Within 90 days after the mailing of the notice of the board’s action upon a claim filed pursuant to Article 1 (commencing with Section 38601), the claimant may bring an action against the board on the grounds set forth in the claim in a court of competent jurisdiction in any city or city and county of this state in which the Attorney General has an office for the recovery of the whole or any part of the amount with respect to which the claim has been disallowed. Failure to bring action within the time specified constitutes a waiver of any demand against the state on account of alleged overpayments. (Amended by Stats. 1987, Ch. 498, Sec. 35.) - 38614. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
If the board does not mail notice of action on a claim within six months after the claim is filed, the claimant may treat the claim as disallowed and sue the board for all or part of the claimed overpayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38614. If the board fails to mail notice of action on a claim within six months after the claim is filed, the claimant may, prior to the mailing of notice by the board of its action on the claim, consider the claim disallowed and bring an action against the board on the grounds set forth in the claim for the recovery of the whole or any part of the amount claimed as an overpayment. (Added by Stats. 1976, Ch. 176.) - 38615. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
If the plaintiff wins, the judgment must first be applied to any timber yield tax or timber reserve fund tax they owe, and the remaining balance must be refunded to the plaintiff.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38615. If judgment is rendered for the plaintiff, the amount of the judgment shall first be credited on any timber yield tax or timber reserve fund tax due and payable from the plaintiff. The balance of the judgment shall be refunded to the plaintiff. (Added by Stats. 1976, Ch. 176.) - 38616. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
If a judgment concerns illegally collected tax, interest must be allowed at the modified adjusted monthly rate, with the end date set by the California Department of Tax and Fee Administration.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38616. In any judgment, interest shall be allowed at the modified adjusted rate per month, or fraction thereof, as defined in Section 6591.5, upon the amount found to have been illegally collected from the date of payment of the amount to the date of allowance of credit on account of the judgment or to a date preceding the date of the refund warrant by not more than 30 days, the date to be determined by the California Department of Tax and Fee Administration. (Amended by Stats. 2021, Ch. 432, Sec. 39. (SB 824) Effective January 1, 2022.) - 38617. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. )
A plaintiff cannot obtain a judgment in a refund action against the board if the case is brought by an assignee or by someone other than the person who paid the amount.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 2. Suit for Refund [38611 - 38617] ( Article 2 added by Stats. 1976, Ch. 176. ) ## 38617. A judgment shall not be rendered in favor of the plaintiff in any action brought against the board to recover any amount paid when the action is brought by or in the name of an assignee of the person paying the amount or by any person other than the person who paid the amount. (Added by Stats. 1976, Ch. 176.) - 38621. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. )
The Controller or the board may recover refunds or credits that were made or allowed by mistake.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38621. (a) The Controller may recover any refund or part thereof that is erroneously made and any credit or part thereof that is erroneously allowed in an action brought in a court of competent jurisdiction in the County of Sacramento in the name of the people of the State of California. (b) As an alternative to subdivision (a), the board may recover any refund or part thereof that is erroneously made and any credit or part thereof that is erroneously allowed pursuant to this part. In recovering any erroneous refunds or credits, the board, in its discretion, may issue a deficiency determination in accordance with Article 2 (commencing with Section 38411) or Article 4 (commencing with Section 38431) of Chapter 5. Except in the case of fraud, the determination shall be made within three years from the date of the Controller’s warrant or date of credit. (Amended by Stats. 1999, Ch. 929, Sec. 32. Effective January 1, 2000.) - 38622. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. )
The action is to be tried in Sacramento County unless the court, with the Attorney General’s consent, orders a different trial location.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38622. The action shall be tried in the County of Sacramento unless the court with the consent of the Attorney General orders a change of place of trial. (Added by Stats. 1976, Ch. 176.) - 38623. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. )
The Attorney General must prosecute the action, and Code of Civil Procedure rules on summons service, pleadings, proof, trials, and appeals apply to the proceedings.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38623. The Attorney General shall prosecute the action, and the provisions of the Code of Civil Procedure relating to service of summons, pleadings, proofs, trials, and appeals are applicable to the proceedings. (Added by Stats. 1976, Ch. 176.) - 38624. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. )
If the department decides no covered person caused an erroneous refund, it cannot charge interest on that refund until 30 days after serving a notice of determination for repayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 3. Recovery of Erroneous Refunds [38621 - 38624] ( Article 3 added by Stats. 1976, Ch. 176. ) ## 38624. (a) Notwithstanding any other provision of this part, if the department finds that neither the person liable for payment of tax nor any party related to that person has in any way caused an erroneous refund for which an action for recovery is provided under Section 38621, no interest shall be imposed on the amount of that erroneous refund until 30 days after the date on which the department serves a notice of determination for repayment of the erroneous refund to the person. The act of filing a claim for refund shall not be considered as causing the erroneous refund. (b) This section shall be operative for any action for recovery under Section 38621 on or after January 1, 2000. (Amended by Stats. 2024, Ch. 499, Sec. 63. (SB 1528) Effective January 1, 2025.) - 38631. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Cancellations [38631- 38631.] ( Article 4 added by Stats. 1976, Ch. 176. )
If an amount was illegally determined, the department must record that fact, certify the excess amount and responsible person, and authorize cancellation. For determinations over $50,000, the determination must stay a public record for at least 10 days after its effective date.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 7. Overpayments and Refunds [38601 - 38631] ( Chapter 7 added by Stats. 1976, Ch. 176. ) ## ARTICLE 4. Cancellations [38631- 38631.] ( Article 4 added by Stats. 1976, Ch. 176. ) ## 38631. If any amount has been illegally determined either by the person filing the return or by the department, the department shall set forth that fact in its records, certify the amount determined to be in excess of the amount legally due and the person against whom the determination was made, and authorize the cancellation of the amount upon the records of the department. Any determination by the department pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days after the effective date of that determination. (Amended by Stats. 2022, Ch. 474, Sec. 49. (SB 1496) Effective January 1, 2023.) - 38701. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
The board must enforce this part and may make and enforce related rules and regulations.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38701. The board shall enforce the provisions of this part and may prescribe, adopt, and enforce rules and regulations relating to the application, administration and enforcement of this part. The board may prescribe the extent to which any ruling or regulation shall be applied without retroactive effect. (Added by Stats. 1976, Ch. 176.) - 38702. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
The board may hire needed staff and appoint representatives to conduct hearings, make regulations, or carry out other duties assigned to it.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38702. The board may employ accountants, auditors, appraisers, investigators, assistants, and clerks necessary for the efficient administration of this part and may designate representatives to conduct hearings, prescribe regulations, or perform any other duties imposed by this part or other laws of this state upon the board. (Added by Stats. 1976, Ch. 176.) - 38703. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
Every timber owner must keep records, receipts, invoices, and other pertinent papers in the form required by the board’s rules or regulations.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38703. Every timber owner shall keep such records, receipts, invoices, and other pertinent papers in such form as the board may require by rules or regulations. (Added by Stats. 1976, Ch. 176.) - 38704. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
The board, or someone it authorizes in writing, may inspect timber owners’ or operators’ books, records, papers, and timber, and investigate the business to verify returns or determine what must be paid if no return is filed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38704. The board or any person authorized in writing by it may examine the books, papers, records, and timber of any timber owner or timber operator as defined in Section 4526.5 of the Public Resources Code and may investigate the character of the business of the person in order to verify the accuracy of any return made, or, if no return is made by the person, to ascertain and determine the amount required to be paid. (Added by Stats. 1976, Ch. 176.) - 38705. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
The board and people with administrative duties under this part must not disclose specified timber-tax information or let returns and related records be examined, except as allowed by listed sections. The Governor may authorize certain examinations by order, and information obtained under that order may be made public only as the order allows.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38705. Except as provided in Sections 38402 and 38706, it is unlawful for the board or any person having an administrative duty under this part to make known in any manner whatever the business affairs, operations, or any other information pertaining to any timber owner or any other person required to report to the board or pay a tax pursuant to this part, or the amount or source of income, profits, losses, expenditures, or any particular thereof, set forth or disclosed in any return, or to permit any return or copy thereof or any book containing any abstract or particulars thereof to be seen or examined by any person. However, the Governor may, by general or special order, authorize examination by other state officers, by tax officers of another state, by the federal government, if a reciprocal arrangement exists, or by any other person of the records maintained by the board under this part. The information so obtained pursuant to the order of the Governor shall not be made public except to the extent and in the manner that the order may authorize that it be made public. (Amended by Stats. 1979, Ch. 387.) - 38706. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
The board must let a county timber assessor inspect certain board records on written request, but people examining those records must not disclose protected timber-tax information, except appraisal data may be shared with another assessor.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38706. Upon written request of the assessor of any county containing timber, the board shall permit the assessor, or any duly authorized deputy or employee of such assessor, to examine any records pertaining to the county of such assessor which are maintained by the board under this part. It is unlawful for the assessor or any other person examining records pursuant to this section to make known in any manner whatever the business affairs, operations or any other information pertaining to any timber owner or any other person required to report to the board or pay a tax pursuant to this part, or the amount or source of income, profits, loans, expenditures, or any particular thereof, set forth or disclosed in any return, except that any appraisal data, including “market data” as defined in Section 408, may be disclosed to any other assessor. Any assessor who unlawfully discloses information of any timber owner or any other person required to report to the board or pay a tax pursuant to this part shall forfeit one thousand dollars ($1,000) to the county, to be recovered on his official bond in an action brought in the name of the people by the Attorney General, when directed to do so by the board. (Added by Stats. 1979, Ch. 387.) - 38707. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
Tax return preparers covered by this section must not disclose taxpayer information or use it for anything other than preparing the return, unless consent or legal process allows it.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38707. (a) Except as otherwise provided by law, any person who is engaged in the business of preparing, or providing services in connection with the preparation of, returns under Chapter 5 of this part, or any person who for compensation prepares any such return for any other person, and who knowingly or recklessly does either of the following, shall be guilty of a misdemeanor, and, upon conviction thereof, shall be fined not more than one thousand dollars ($1,000) or imprisoned no more than one year, or both, together with the costs of prosecution: (1) Discloses any information furnished to him or her for, or in connection with, the preparation of the return. (2) Uses that information for any purpose other than to prepare, or assist in preparing, the return. (b) Subdivision (a) shall not apply to disclosure of information if that disclosure is made pursuant to the person’s consent or pursuant to a subpoena, court order, or other compulsory legal process. (Added by Stats. 2000, Ch. 1052, Sec. 39.3. Effective January 1, 2001.) - 38708. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
Taxpayers may get reimbursed for reasonable hearing-related fees and expenses if they file a timely claim and the board makes the required findings.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38708. (a) Every taxpayer is entitled to be reimbursed for any reasonable fees and expenses related to a hearing before the board if all of the following conditions are met: (1) The taxpayer files a claim for the fee and expenses with the board within one year of the date the decision of the board becomes final. (2) The board, in its sole discretion, finds that the action taken by the board staff was unreasonable. (3) The board decides that the taxpayer be awarded a specific amount of fees and expenses related to the hearing, in an amount determined by the board in its sole discretion. (b) To determine whether the board staff has been unreasonable, the board shall consider whether the board staff has established that its position was substantially justified. (c) The amount of reimbursed fees and expenses shall be limited to the following: (1) Fees and expenses incurred after the date of the notice of determination, jeopardy determination, or denial of a claim for refund. (2) If the board finds that the staff was unreasonable with respect to certain issues but reasonable with respect to other issues, the amount of reimbursed fees and expenses shall be limited to those which relate to the issues where the staff was unreasonable. (d) Any proposed award by the board pursuant to this section shall be available as a public record for at least 10 days prior to the effective date of the award. (e) This section shall be operative for claims filed on or after January 1, 2001. (Added by Stats. 2000, Ch. 1052, Sec. 39.5. Effective January 1, 2001.) - 38800. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. )
This section lets the board and specified officials compromise final timber tax liabilities, subject to dollar limits and conditions.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 8. Administration [38701 - 38800] ( Chapter 8 added by Stats. 1976, Ch. 176. ) ## 38800. (a) (1) Beginning on January 1, 2007, the executive director and chief counsel of the board, or their delegates, may compromise any final tax liability where the reduction of tax is seven thousand five hundred dollars ($7,500) or less. (2) Except as provided in paragraph (3), the board, upon recommendation by its executive director and chief counsel, jointly, may compromise a final tax liability involving a reduction in tax in excess of seven thousand five hundred dollars ($7,500). Any recommendation for approval of an offer in compromise that is not either approved or disapproved within 45 days of the submission of the recommendation shall be deemed approved. (3) The board, itself, may by resolution delegate to the executive director and the chief counsel, jointly, the authority to compromise a final tax liability in which the reduction of tax is in excess of seven thousand five hundred dollars ($7,500), but less than ten thousand dollars ($10,000). (b) For purposes of this section, “a final tax liability” means any final tax liability arising under Part 18.5 (commencing with Section 38101), or related interest, additions to tax, penalties, or other amounts assessed under this part. (c) Offers in compromise shall be considered only for liabilities that were generated from persons who no longer harvest timber, or property owners that no longer harvest their property, except where the taxpayer making the offer has their primary residence located on the property that generated the timber tax liability. (d) Offers in compromise shall not be considered where the taxpayer has been convicted of felony tax evasion under this part during the liability period. (e) For amounts to be compromised under this section, the following conditions shall exist: (1) The taxpayer shall establish that: (A) The amount offered in payment is the most that can be expected to be paid or collected from the taxpayer’s present assets or income. (B) The taxpayer does not have reasonable prospects of acquiring increased income or assets that would enable the taxpayer to satisfy a greater amount of the liability than the amount offered, within a reasonable period of time. (2) The board shall have determined that acceptance of the compromise is in the best interest of the state. (f) A determination by the board that it would not be in the best interest of the state to accept an offer in compromise in satisfaction of a final tax liability shall not be subject to administrative appeal or judicial review. (g) (1) Offers for liabilities with a fraud or evasion penalty shall require a minimum offer of the unpaid tax and fraud or evasion penalty. (2) The minimum offer may be waived if it can be shown that the taxpayer making the offer was not the person responsible for perpetrating the fraud or evasion. This authorization to waive only applies to partnership accounts where the intent to commit fraud or evasion can be clearly attributed to a partner of the taxpayer. (h) When an offer in compromise is either accepted or rejected, or the terms and conditions of a compromise agreement are fulfilled, the board shall notify the taxpayer in writing. In the event an offer is rejected, the amount posted will either be applied to the liability or refunded, at the discretion of the taxpayer. (i) When more than one taxpayer is liable for the debt, such as with spouses or partnerships or other business combinations, including, but not limited to, taxpayers who are liable through dual determination or successor’s liability, the acceptance of an offer in compromise from one liable taxpayer shall reduce the amount of the liability of the other taxpayers by the amount of the accepted offer. (j) Whenever a compromise of tax or penalties or total tax and penalties in excess of five hundred dollars ($500) is approved, there shall be placed on file for at least one year in the office of the executive director of the board a public record with respect to that compromise. The public record shall include all of the following information: (1) The name of the taxpayer. (2) The amount of unpaid tax and related penalties, additions to tax, interest, or other amounts involved. (3) The amount offered. (4) A summary of the reason why the compromise is in the best interest of the state. The public record shall not include any information that relates to any trade secrets, patent, process, style of work, apparatus, business secret, or organizational structure, that if disclosed, would adversely affect the taxpayer or violate the confidentiality provisions of Section 38705. No list shall be prepared and no releases distributed by the board in connection with these statements. (k) Any compromise made under this section may be rescinded, all compromised liabilities may be reestablished, without regard to any statute of limitations that otherwise may be applicable, and no portion of the amount offered in compromise refunded, if either of the following occurs: (1) The board determines that any person did any of the following acts regarding the making of the offer: (A) Concealed from the board any property belonging to the estate of any taxpayer or other person liable for the tax. (B) Received, withheld, destroyed, mutilated, or falsified any book, document, or record or made any false statement, relating to the estate or financial condition of the taxpayer or other person liable for the tax. (2) The taxpayer fails to comply with any of the terms and conditions relative to the offer. (l) Any person who, in connection with any offer or compromise under this section, or offer of that compromise to enter into that agreement, willfully does either of the following shall be guilty of a felony and, upon conviction, shall be fined not more than fifty thousand dollars ($50,000) or imprisoned pursuant to subdivision (h) of Section 1170 of the Penal Code, or both, together with the costs of investigation and prosecution: (1) Conceals from any officer or employee of this state any property belonging to the estate of a taxpayer or other person liable in respect of the tax. (2) Receives, withholds, destroys, mutilates, or falsifies any book, document, or record, or makes any false statement, relating to the estate or financial condition of the taxpayer or other person liable in respect of the tax. (m) For purposes of this section, “person” means the taxpayer, any member of the taxpayer’s family, any corporation, agent, fiduciary, or representative of, or any other individual or entity acting on behalf of, the taxpayer, or any other corporation or entity owned or controlled by the taxpayer, directly or indirectly, or that owns or controls the taxpayer, directly or indirectly. (Amended by Stats. 2011, Ch. 15, Sec. 579. (AB 109) Effective April 4, 2011. Operative October 1, 2011, by Sec. 636 of Ch. 15, as amended by Stats. 2011, Ch. 39, Sec. 68.) - 38801. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. )
A timber owner or other person who fails or refuses to file a required return, supplemental return, or other data required by the board commits a misdemeanor.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. ) ## 38801. Any timber owner or other person who fails or refuses to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the board, is guilty of a misdemeanor punishable as provided in Section 38803. (Repealed and added by Stats. 1987, Ch. 498, Sec. 37.) - 38802. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. )
A person required to file or verify a report must not make a false or fraudulent return with intent to evade a legally due amount; doing so is a misdemeanor.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. ) ## 38802. Any person required to make, render, sign, or verify any report who makes any false or fraudulent return, with intent to defeat or evade the determination required by law to be made of an amount due is guilty of a misdemeanor punishable as provided in Section 38803. (Repealed and added by Stats. 1987, Ch. 498, Sec. 39.) - 38803. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. )
Breaking this part is a misdemeanor and can lead to a $1,000-$5,000 fine, up to one year in county jail, or both.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. ) ## 38803. Any violation of this part by any person is a misdemeanor. Each offense shall be punished by a fine of not less than one thousand dollars ($1,000) and not more than five thousand dollars ($5,000), or imprisonment not exceeding one year in the county jail, or both the fine and imprisonment. (Repealed and added by Stats. 1987, Ch. 498, Sec. 41.) - 38804. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. )
A prosecution for violating the penal provisions of this part must be started within three years after the offense is committed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. ) ## 38804. Any prosecution for violation of any of the penal provisions of this part shall be instituted within three years after the commission of the offense. (Added by Stats. 1976, Ch. 176.) - 38805. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. )
Res judicata applies to a case under this part only when the liability is for the same quarterly period as in a previously decided case.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 9. Violations and Res Judicata [38801 - 38805] ( Chapter 9 added by Stats. 1976, Ch. 176. ) ## 38805. In the determination of any case arising under this part the rule of res judicata is applicable only if the liability involved is for the same quarterly period as was involved in another case previously determined. (Added by Stats. 1976, Ch. 176.) - 38901. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. )
Taxes, interest, penalties, and other tax amounts under this part must be remitted to the State Board of Equalization and deposited in the State Treasury.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. ) ## 38901. All taxes, interest and penalties imposed and all amounts of tax required to be paid under this part shall be made in remittances to the State Board of Equalization and shall be deposited in the State Treasury as provided in this chapter. (Added by Stats. 1976, Ch. 176.) - 38903. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. )
Money paid or collected under this part must be deposited in the Timber Tax Fund, with a limited exception for certain amounts paid or collected under Section 38301 before August 1, 1983.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. ) ## 38903. (a) All taxes, interest, penalties and other amounts paid or collected pursuant to this part on or before July 31, 1983, except taxes paid or collected pursuant to Section 38301, shall be deposited in the Timber Tax Fund, which is hereby created. (b) On and after August 1, 1983, all taxes, interest, penalties, and other amounts paid or collected pursuant to this part shall be deposited in the Timber Tax Fund. (Amended by Stats. 1983, Ch. 1281, Sec. 47. Effective September 30, 1983.) - 38904. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. )
Money in the Timber Tax Fund must be used for specified reimbursements, allocations, and refunds.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. ) ## 38904. The money in the Timber Tax Fund is appropriated as follows: (a) To reimburse the General Fund for funds advanced for costs incurred by the board in administration of this part as follows: (1) Four hundred sixty-seven thousand nine hundred thirty dollars ($467,930) for fiscal years 1975–76 and 1976–77. (2) Amounts identified and approved in subsequent fiscal years as approved in the Budget Bill. One-half of this amount shall be reimbursed to the General Fund between November 1 and November 10, and the remaining one-half between May 1 and May 10. In the event that not all funds approved in the Budget Bill are actually expended by the board, then in the succeeding fiscal year, the amount to be reimbursed to the General Fund between November 1 and November 10 shall be reduced by an amount equal to the unexpended appropriation of the preceding fiscal year. (b) To reimburse the General Fund for funds advanced for costs incurred by the State Forester in administration of Section 4582.8 of the Public Resources Code as follows: (1) Thirteen thousand five hundred dollars ($13,500) for fiscal years 1975–76 and 1976–77. (2) Amounts identified and approved in subsequent fiscal years as approved in the Budget Bill. (c) To the Controller to allocate pursuant to Sections 38905 and 38905.1. (d) To pay refunds authorized by this part of taxes imposed pursuant to Section 38115 and interest, penalties, and other amounts paid or collected pursuant to this part and deposited in the Timber Tax Fund. (Amended by Stats. 1997, Ch. 940, Sec. 15. Effective January 1, 1998.) - 38905.1. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. )
The Controller must send Timber Tax Fund balances to county treasurers on set dates, and county auditors must distribute received funds to jurisdictions within 10 days.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. ) ## 38905.1. (a) Commencing with the 1983–84 fiscal year, the Controller shall, pursuant to subdivision (c) of Section 38904, on November 30 and May 31 of each fiscal year, transmit to county treasurers the balance that existed in the Timber Tax Fund on the preceding November 10 or May 10, respectively, in accordance with the following allocation schedule: (1) For the 1983–84 fiscal year, 50 percent of the balance in Timber Tax Fund shall be transmitted to county treasurers based on the annual yield tax revenue guarantee certified for each county pursuant to subdivision (c) or (e) of Section 27423 of the Government Code. The remaining 50 percent of the balance in the fund shall be transmitted to county treasurers in the same proportion that the balance to be transmitted was generated from each county, as certified by the State Board of Equalization. (2) For the 1984–85 fiscal year and each fiscal year thereafter, 100 percent of the balance in the fund shall be transmitted to county treasurers in the same proportion that the balance to be transmitted was generated from each county, as certified by the State Board of Equalization. (b) Upon receipt of funds pursuant to subdivision (a), the county auditor shall within 10 days distribute the funds among the jurisdictions (as defined in Section 95) within the county in the same proportion that each jurisdiction’s minimum revenue guarantee, determined pursuant to Section 27423 of the Government Code, bears to the total of all those amounts for all jurisdictions within the county. (c) It is the intent of the Legislature that the provisions of subdivision (a) shall provide a final and conclusive disposition of the problem of allocating yield tax revenues among counties entitled to those revenues. (Amended by Stats. 1996, Ch. 248, Sec. 2. Effective January 1, 1997.) - 38908. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. )
Local governmental entities that receive funds under Section 38905 or 38905.1 may spend those funds without restriction.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 18.5. TIMBER YIELD TAX [38101 - 38908] ( Part 18.5 added by Stats. 1976, Ch. 176. ) ## CHAPTER 10. Disposition of Proceeds [38901 - 38908] ( Chapter 10 added by Stats. 1976, Ch. 176. ) ## 38908. Local governmental entities which are allocated funds pursuant to Section 38905 or 38905.1 may expend such funds without restriction. (Amended by Stats. 1982, Ch. 1058, Sec. 9.) - 3950. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
A tax-sale purchaser, or someone claiming through the purchaser, may sue to clear adverse claims or clouds on the property if the property was tax-defaulted, bought at tax sale, and later taxes have been paid.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3950. Whenever tax-defaulted property has been purchased at tax sale, including purchases made under Chapter 8 (commencing with Section 3771), and all subsequent taxes levied and payable have been paid, the purchaser, or any person claiming through the purchaser, may bring an action to determine adverse claims to or clouds upon that property. The complaint shall be verified and shall aver the matters above enumerated. (Amended by Stats. 1985, Ch. 316, Sec. 41.) - 3951. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
The complaint must name as defendants everyone known to the plaintiff or appearing of record to have a prior interest, claim, or cloud on the land, except special-assessment owners unless their interest is being determined. The state may also be named as a defendant if the property was sold before September 10, 1984.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3951. The complaint shall include as defendants to the action, all persons who are known to plaintiff or who appear of record to have some interest in or claim or cloud on the land described in plaintiff’s complaint, arising prior to the date of the tax deed, other than persons owning a special assessment unless plaintiff seeks to determine the interest or claim of those persons. The state may be made a party defendant where the property was sold prior to September 10, 1984. (Amended by Stats. 1985, Ch. 316, Sec. 42.) - 3952. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
A complaint may name unknown claimants, and it may sue heirs and devisees of a dead person in specified circumstances.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3952. The complaint may further include as defendants persons unknown to plaintiff who claim any right, interest, lien, or claim on the land or cloud upon the title of plaintiff thereto arising prior to the date of the tax deed. In any case in which any person who appears to have had an interest in the land or any claim or cloud upon the title of the plaintiff thereto is known to be dead, the heirs and devisees of that person may be sued as “the heirs and devisees” of the person, naming him or her, or if the person is believed to be dead and that belief is alleged in the complaint on information and belief then the heirs and devisees of that person may also be sued as “the heirs and devisees” of that person, naming him or her, provided that the person is also named as a defendant. (Amended by Stats. 1985, Ch. 316, Sec. 43.) - 3953. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
The complaint must describe unknown defendants in a specific way, except those unknown defendants who own a special assessment.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3953. All unknown defendants, except unknown defendants owning a special assessment, shall be described in the complaint, as follows: “Also all other persons unknown, claiming any right, title, estate, lien or interest in the real property described in the complaint, adverse to plaintiff’s ownership or any cloud upon plaintiff’s title thereto.” (Added by Stats. 1943, Ch. 897.) - 3954. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
A complaint must describe unknown defendants who own or claim an interest in a special assessment in the specified form.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3954. Unknown defendants owning or claiming an interest in a special assessment shall be described in the complaint, as follows: “The owner or any person claiming an interest in a special assessment lien (here describe said lien as it is described in the bond or assessment records of the district in which it was issued).” (Added by Stats. 1943, Ch. 897.) - 3955. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
When unknown defendants are sued over special assessment interests, the payee, the assessment owner or claimant, and the treasurer must also be joined as defendants.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3955. Whenever unknown defendants owning or claiming an interest in special assessments are made parties defendant, the following persons shall also be made parties defendant: (a) The payee, as shown by the bond representing the special assessment, if any; (b) the owner of the special assessment, or any person claiming an interest therein, as shown by the treasurer’s records; and (c) the treasurer, as collecting agent and trustee of the funds collected for unknown owners of a special assessment or persons claiming an interest therein. (Added by Stats. 1943, Ch. 897.) - 3956. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
A plaintiff must file or arrange filing of a notice of pendency within 10 days after the complaint is filed, in the county recorder’s office where the property is located.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3956. Within 10 days after the filing of the complaint, plaintiff shall file or cause to be filed in the office of the county recorder of the county where the property is situated, a notice of the pendency of the action, containing the matters required by Section 409 of the Code of Civil Procedure. (Added by Stats. 1943, Ch. 897.) - 3957. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
Any summons issued under this section must include the items required by Code of Civil Procedure Section 412.20, plus a property description and a statement of the action’s object.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3957. Any summons that is issued shall contain the matters required by Section 412.20 of the Code of Civil Procedure, and in addition, a description of the property and a statement of the object of the action. In the summons, the unknown defendants shall be designated as they are in the complaint. (Amended by Stats. 1969, Ch. 1611.) - 3958. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
The plaintiff must post, or have posted, a copy of the summons in a conspicuous place on the property within 30 days after the summons is issued.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3958. Within 30 days after the issuance of the summons, the plaintiff shall post, or cause to be posted, a copy thereof in a conspicuous place on the property. (Added by Stats. 1943, Ch. 897.) - 3959. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
Known defendants must be served as a summons would be served in a civil action.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3959. All known defendants shall be served in the manner provided by law for the service of a summons in a civil action. (Amended by Stats. 1969, Ch. 1611.) - 3960. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
Unknown defendants must be served by publication, and the plaintiff must show by affidavit that reasonable diligence was used to identify them and any heirs or devisees.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3960. All unknown defendants shall be served by publication as provided for in Section 415.50 of the Code of Civil Procedure, but it must appear by affidavit that the plaintiff used reasonable diligence to ascertain the identity of the unknown defendants and to ascertain the identity of any persons sued as heirs and devisees. (Amended by Stats. 1969, Ch. 1611.) - 3961. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
Unknown defendants served by publication have the same rights as other defendants, the action proceeds against them the same way, and service is complete when publication is finished.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3961. All unknown defendants served by publication shall have the same rights as are provided by law for other defendants upon whom personal service or service by publication is made. The action shall proceed against the unknown defendants in the same manner as against the other defendants who are served personally or by publication. Regardless of any legal disability, any unknown defendant, who has been served, and anyone claiming under him, who has or claims to have any right, title, estate, lien or interest in the property, or cloud upon the title thereto, or who owns or claims to own an interest in a special assessment lien adverse to plaintiff at the time of the commencement of the action, shall be concluded by a judgment in the action as if the action were brought against and personal service made upon that person by his or her name. Service shall be deemed complete upon the completion of the publication. (Added by Stats. 1943, Ch. 897.) - 3962. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
A court may not grant a decree quieting title or establishing defendants’ rights based on a defendant’s default unless it requires proof of the facts alleged.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3962. No decree quieting title or establishing the rights of any of the defendants as to the property shall be granted on default of the defendant, unless the court requires proof of the facts alleged. (Added by Stats. 1943, Ch. 897.) - 3963. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
At trial, the court must determine the rights of all parties to the action.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3963. On the trial of the action, the court shall determine the rights of all the parties thereto. (Added by Stats. 1943, Ch. 897.) - 3964. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
If the court finds that defendants have an interest in the property, it must enter a decree recognizing those rights and may order the property sold or partitioned.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3964. If the court determines that any of the defendants have any right, title, interest, lien or estate in or to the parcel of property involved, the court shall render its decree establishing these rights and may order the sale of the property or the partition thereof. (Added by Stats. 1945, Ch. 1126.) - 3965. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
If a court orders a sale or partition, it must follow the listed civil procedure rules, and certain sale proceeds must be paid to the treasurer.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3965. If the court orders a sale of the property or a partition thereof, the same shall be made in accordance with the provisions of Title 10.5 (commencing with Section 872.010) of Part 2, of the Code of Civil Procedure, except that proceeds of sale belonging to unknown special assessment owners, or persons claiming an interest in said special assessments, shall be paid to the treasurer, to be held by him as in like instances of collections by said treasurer of special assessments. (Amended by Stats. 1976, Ch. 73.) - 3966. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
If a court decree establishes rights that come from a special assessment, the decree must direct the treasurer to cancel that special assessment on the treasurer’s records.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3966. If the right, title, interest, lien or estate of a known or unknown defendant established by the decree of the court, is based upon a special assessment or arises from a special assessment, the decree establishing such rights shall direct the treasurer to cancel the special assessments on his records. (Added by Stats. 1943, Ch. 897.) - 3967. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
If the court finds the defendants have no right or interest in the property, it must enter a final decree quieting the plaintiff’s tax deed title; if a claimed special assessment is invalid or inferior, the decree must direct the treasurer to cancel it.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3967. If the court determines that none of the defendants have any right, title, interest, lien or estate in the property, the court shall render its final decree quieting the plantiff’s title under the tax deed and, if any of the defendants claims to be the owner of or have an interest in a special assessment, which special assessment the court determines to be invalid or inferior to plaintiff’s title, the decree shall direct that the treasurer cancel the assessment on his records. (Added by Stats. 1943, Ch. 897.) - 3968. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
Once the decree becomes final, it is binding on the served persons named in the complaint, as well as unknown persons and the heirs and devisees of any served named defendant.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3968. The decree, after it has become final, is conclusive against all the persons named in the complaint who have been served and all unknown persons and the heirs and devisees of any named defendant served as in this chapter provided. (Amended by Stats. 1945, Ch. 1126.) - 3969. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
After the judgment becomes final, a certified copy must be delivered to the treasurer, who must cancel the special assessments in the decree and note the cancellation in the records.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3969. After the judgment has become final, a certified copy thereof shall be delivered to the treasurer. Upon receipt of the copy, he shall cause to be canceled the special assessments described in the decree. The treasurer shall, upon his records, mark the special assessment as follows: “Canceled by judgment of court, superior court case number (here give number).” (Added by Stats. 1943, Ch. 897.) - 3970. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
The chapter’s remedy is cumulative and does not replace other remedies, actions, or proceedings allowed by law.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3970. The remedy provided in this chapter shall be construed as cumulative and not exclusive of any other remedy, form or right of action or proceeding now allowed by law. (Added by Stats. 1943, Ch. 897.) - 3971. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
In this chapter, “Treasurer” means a person who holds funds collected on special assessments and/or must cancel the assessments when they are paid.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3971. “Treasurer,” as used in this chapter, means any person who is the custodian of the funds collected on special assessments and/or has the duty to cancel the assessments upon the payment thereof. (Added by Stats. 1943, Ch. 897.) - 3972. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. )
This section defines “special assessment” for this chapter.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 6. TAX SALES [3351 - 3972] ( Part 6 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 10. Rights of Purchaser of Tax-Deeded Property, or Any Other Person Claiming Through Him, to Bring Action to Determine Adverse Claims to or Clouds Upon Tax-Deeded Property Purchased From the State [3950 - 3972] ( Chapter 10 added by Stats. 1943, Ch. 897. ) ## 3972. “Special assessment,” as used in this chapter, means any assessment levied pursuant to any of the improvement acts of the State of California, whether or not represented by a bond, and which are liens upon a specific parcel of real property. (Added by Stats. 1943, Ch. 897.) - 4. Verify source ↗
## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. )
This provision says pending actions or proceedings begun before the code takes effect, and any accrued rights, are not affected; however, any procedure already taken must conform to the code as far as possible.
## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. ) ## 4. Any action or proceeding commenced before this code takes effect, or any right accrued, is not affected by this code, but all procedure taken shall conform to the provisions of this code as far as possible. (Enacted by Stats. 1939, Ch. 154.) - 40. Verify source ↗
## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. )
The board must publish certain opinions and summaries on its website within 120 days when the amount in controversy is at least $500,000, and those publications must include specified content.
## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. ) ## 40. (a) (1) The board shall publish on its Internet Web site a written formal opinion, a written memorandum opinion, or a written summary decision for each decision of the board in which the amount in controversy is five hundred thousand dollars ($500,000) or more, within 120 days of the date upon which the board rendered its decision. (2) A decision of the board shall not include consent calendar actions taken by the board. (b) Each formal opinion, memorandum opinion, and summary decision as described in subdivision (a) shall include all of the following: (1) Findings of fact. (2) The legal issue or issues presented. (3) Applicable law. (4) Analysis. (5) Disposition. (6) Names of adopting board members. (c) (1) A board member may submit a dissenting opinion setting forth his or her rationale for disagreeing with the memorandum opinion or formal opinion. (2) A board member may submit a concurring opinion setting forth the board member’s rationale for agreeing with the result reached in the memorandum opinion or formal opinion, if different than the rationale set forth in the memorandum opinion or formal opinion. (3) A dissenting opinion and a concurring opinion shall be published in the same manner as prescribed in subdivision (a) for a formal opinion or memorandum opinion. (d) A formal opinion or memorandum opinion adopted by the board may be cited as precedent in any matter or proceeding before the board, unless the opinion has been depublished, overruled, or superseded. A summary decision may not be cited as precedent in any matter or proceeding before the board. (Added by Stats. 2012, Ch. 788, Sec. 1. (AB 2323) Effective January 1, 2013.) - 40001. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
This part may be cited as the “Energy Resources Surcharge Law.”
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40001. This part is known and may be cited as the “Energy Resources Surcharge Law.” (Added by Stats. 1974, Ch. 991.) - 40002. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
The chapter’s definitions control how this part is interpreted, unless the context requires otherwise.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40002. Except where the context otherwise requires, the definitions given in this chapter govern the construction of this part. (Added by Stats. 1974, Ch. 991.) - 40003. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
This section defines “surcharge” as a tax levied by the state.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40003. “Surcharge” means a tax levied by this state. (Added by Stats. 1974, Ch. 991.) - 40004. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
This section defines “person” to include a broad range of individuals, entities, public bodies, and groups acting as a unit.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40004. “Person” includes any individual, firm, cooperative organization, fraternal organization, corporation, limited liability company, estate, trust, business trust, receiver, trustee, syndicate, this state, any county, city and county, municipality, district, public agency or subdivision of this state or any other group or combination acting as a unit. (Amended by Stats. 1994, Ch. 1200, Sec. 72. Effective September 30, 1994.) - 40005. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
This section defines “Board” or “department” as the California Department of Tax and Fee Administration.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40005. “Board” or “department” means the California Department of Tax and Fee Administration. (Amended by Stats. 2024, Ch. 499, Sec. 64. (SB 1528) Effective January 1, 2025.) - 40006. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
This section defines “in this state” as the exterior limits of California, including territory within those limits owned by or ceded to the United States.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40006. “In this state” means within the exterior limits of the State of Caliornia and includes all territory within those limits owned by or ceded to the United States of America. (Added by Stats. 1974, Ch. 991.) - 40007. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
“Sale” and “purchase” mean furnishing or receiving electrical energy for consideration, but battery charging is excluded when the consideration is not based on kilowatt-hours.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40007. “Sale” or “purchase” mean the furnishing or receiving of electrical energy for a consideration. “Sale” does not include the charging of batteries when the consideration therefor is not computed upon the kilowatt-hours of electrical energy furnished. (Added by Stats. 1974, Ch. 991.) - 40008. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
“Consumption” means using electrical energy, but not when an electric utility receives electricity for resale.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40008. “Consumption” means the utilization or employment of electrical energy. The term does not include the receiving of electrical energy by an electric utility for resale. (Added by Stats. 1974, Ch. 991.) - 40009. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
“Consumer” means a person who receives electrical energy for consumption from an electric utility, and also includes a person who receives electrical energy for redistribution for use by tenants.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40009. “Consumer” means any person receiving for consumption electrical energy furnished by an electric utility and includes a person receiving electrical energy for redistribution for the use of his tenants. (Added by Stats. 1974, Ch. 991.) - 40010. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. )
“Electric utility” is defined as a person that sells electrical energy by producing, generating, transmitting, furnishing, distributing, or delivering it; some self-use and tenant-use generators are excluded.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 1. General Provisions and Definitions [40001 - 40010] ( Chapter 1 added by Stats. 1974, Ch. 991. ) ## 40010. “Electric utility” means any person engaged in producing, generating, transmitting, furnishing, distributing or delivering electrical energy for sale without regard to whether the person is subject to regulation or is regulated by the Public Utilities Commission. The term does not include a person who generates electrical energy or redistributes electrical energy solely for his own use or for the use of his tenants and not for sale to others. When the board determines that it is necessary for the efficient administration of this part, the board may regard any person not primarily engaged in the business of selling electrical energy who purchases electrical energy for distribution to others as a consumer and not as an electric utility. (Added by Stats. 1974, Ch. 991.) - 40016. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
A surcharge applies to in-state consumption of electricity bought from an electric utility, and the Energy Commission sets the rate each November within a cap.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40016. (a) A surcharge is imposed on the consumption in this state of electrical energy purchased from an electric utility on and after January 1, 2003, at the rate of three-tenths mill ($0.0003) per kilowatt-hour, or at the rate determined pursuant to subdivision (b). (b) The Energy Commission shall fix the rate at a public meeting in each November for each calendar year starting the following January. Under no circumstances may the rate fixed exceed three-tenths mill ($0.0003) per kilowatt-hour. If the commission fails to fix the rate in any November, the surcharge shall continue at the rate in effect during that November. (Amended by Stats. 2002, Ch. 1124, Sec. 55. Effective September 30, 2002.) - 40018. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
People who consume qualifying electrical energy in California are liable for the surcharge, and the liability continues until the surcharge is paid to the state.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40018. Every person consuming electrical energy in this state purchased from an electric utility, or the United States or an agency thereof, is liable for the surcharge. His liability is not extinguished until the surcharge has been paid to this state, except that payment to an electric utility registered under this part is sufficient to relieve the consumer from further liability for the surcharge. (Amended by Stats. 1977, Ch. 624.) - 40019. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
Electric utilities that sell electricity to consumers in this state must collect the surcharge from each consumer when they collect payment, except when the consumer is itself an electric utility.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40019. Every electric utility making sales of electrical energy to consumers in this state shall collect the surcharge from each consumer, other than a consumer that is an electric utility, at the time it collects its billings from the consumer for the electrical energy sold; provided, the duty to collect the surcharge from a consumer shall commence with the beginning of the first regular billing period applicable to that person which starts on or after the operative date of this part. (Added by Stats. 1974, Ch. 991.) - 40019.1. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
An electric utility may collect the surcharge from another electric utility if the involved utilities and the board agree on the terms and conditions.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40019.1. Notwithstanding the provisions of Section 40019, an electric utility may collect the surcharge from another electric utility under such terms and conditions as are agreed upon by the electric utilities involved and the board. (Added by Stats. 1977, Ch. 624.) - 40020. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
Electric utilities must add the surcharge to customer charges and give billing notices about it when the surcharge is not separately stated.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40020. The surcharge required to be collected by the elecric utility from the consumer shall be added to the charges to the consumer for the electrical energy sold. The amount of the surcharge may be stated separately. If the electric utility does not separately state the amount of the surcharge, the electric utility shall print on the billing a notice to the effect that the charges include energy resources surcharge computed at (applicable rate) mill per kilowatt hour. Until January 1, 1976, such notice need not appear on the billing itself provided that the electric utility notifies each of its customers, no later than at the time it renders a bill for the first regular billing period applicable to that person which starts on or after the operative date of this part, that electical energy charges shall include energy resources surcharge computed at (applicable rate) mill per kilowatt-hour. If the Board of Equalization fixes a new rate in l975, the electric utility shall notify its customers of the new rate at or prior to the time a billing is rendered to the customer subject to the new rate if the electric utility does not separately state the amount of the surcharge or print on the billing notice that the surcharge is included in the charges. (Added by Stats. 1974, Ch. 991.) - 40021. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
An electric utility must treat the required surcharge, and certain unreturned amounts collected as if they were a surcharge, as debts owed to the state.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40021. The surcharge required to be collected by the electric utility, and any amount unreturned to the consumer which is not a surcharge but was collected from the consumer as representing a surcharge, constitutes debts owed by the electric utility to this state. (Added by Stats. 1974, Ch. 991.) - 40022. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
Electric utilities must allocate amounts collected from consumers for electricity subject to the surcharge proportionately between the electricity charge and the surcharge.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40022. Any amounts collected by an electric utility from a consumer on account of the purchase of electrical energy the consumption of which is subject to the surcharge shall be applied proportionately between the liability of the consumer on account of the purchase of the electrical energy and the liability of the consumer for the surcharge. (Added by Stats. 1974, Ch. 991.) - 40023. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
Electric utilities are relieved from collecting the surcharge for worthless, charged-off accounts, but must pay any surcharge later collected and may take a deduction on the return if they previously paid it.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40023. An electric utility is relieved from liability to collect the surcharge insofar as the base upon which the surcharge is imposed is represented by accounts which have been found to be worthless and charged off in accordance with generally accepted accounting principles. If the electric utility has previously paid the amount of the surcharge it may, under regulations prescribed by the board, take as a deduction on its return the amount found to be worthless and charged off. If any such accounts are thereafter collected in whole or in part the surcharge so collected shall be paid with the first return filed after such collection. The board may by regulation promulgate such other rules with respect to uncollected or worthless accounts as it shall deem necessary to the fair and efficient administration of this part. (Added by Stats. 1974, Ch. 991.) - 40024. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
People subject to the Public Utilities Commission’s jurisdiction do not need commission authorization to comply with this part.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40024. Notwithstanding any other provision of law to the contrary, persons subject to the jurisdiction of the Public Utilities Commission need not obtain any authorization from the commission to comply with the provisions of this part. (Amended by Stats. 1977, Ch. 940.) - 40025. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. )
The board-set rate applies to billing periods beginning on or after July 1, 1983.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Imposition of Surcharge [40016 - 40025] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40025. The rate fixed by the board pursuant to subdivision (b) of Section 40016 shall apply with respect to billing periods beginning on or after July 1, 1983. (Added by Stats. 1982, Ch. 1067, Sec. 7. Operative July 1, 1983, by Sec. 10 of Ch. 1067.) - 40035. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Registration [40035 - 40036] ( Article 3 added by Stats. 1974, Ch. 991. )
Electric utilities selling electricity for consumption in California must register with the board on the board’s form and provide required business information.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Registration [40035 - 40036] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40035. Every electric utility selling electrical energy for consumption in this state shall register with the board upon a form prescribed by the board and shall set forth the name under which the utility transacts or intends to transact business and such other information as the board may require. (Added by Stats. 1974, Ch. 991.) - 40036. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Registration [40035 - 40036] ( Article 3 added by Stats. 1974, Ch. 991. )
The board may require security from persons subject to this part when needed to ensure compliance, and may release it after a three-year compliant period.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 2. The Surcharge [40016 - 40036] ( Chapter 2 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Registration [40035 - 40036] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40036. (a) When necessary to ensure compliance with this part, the board may require any person subject to this part to place with it the security that the board determines. Security in the form of cash, insured deposits in banks or savings and loan institutions, or a bond or bonds duly executed by an admitted surety insurer, payable to the state, conditioned upon faithful performance of all of the requirements of this part and expressly providing for the payment of all taxes, penalties, and other obligations of the person arising out of this part, shall be held in trust to be used solely in the manner provided by this section. The amount of security shall be fixed by the board, not to exceed twice the estimated average quarterly liability of persons filing for quarterly periods, determined in the manner that the board deems proper. Security held by the board shall be released after a three-year period in which the person has filed all returns and paid all tax due to the state under this part or any amount of tax required to be collected and paid to the state within the time required. (b) If, when a person discontinues business, the board holds security pursuant to this section in the form of cash or insured deposits in banks or savings and loan institutions, the security when applied to the account of the taxpayer shall be deemed a payment on any liability of the person to the board on the date the business is discontinued. (c) This section shall not apply to a taxpayer who either has timely filed all returns and paid all tax due to the state under this part for the three consecutive years prior to the effective date of this section, or has, on or before July 31, 1998, timely filed all returns and paid all tax due to the state under this part since the taxpayer registered with the board pursuant to Section 40035. However, the board may require security from any such taxpayer who fails to remain in compliance with the reporting and payment requirements of this part subsequent to the effective date of this section. (Added by Stats. 1998, Ch. 649, Sec. 1. Effective January 1, 1999.) - 40041. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
Electrical energy consumption that cannot be taxed under the U.S. or state Constitution is exempt from the surcharge.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40041. The consumption of electrical energy which this state is prohibited from taxing under the Constitution of the United States or under the Constitution of this state is exempt from the surcharge. (Added by Stats. 1974, Ch. 991.) - 40041.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
If an exemption under Section 40041 is claimed, an electric utility or consumer may ask the board to rule on it, and the board must rule within 30 days. While that ruling is pending, the utility does not have to collect the surcharge from the claimant.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40041.5. In any instances where an exemption is claimed by reason of the provisions of Section 40041, an electric utility or a consumer may request the board to issue a ruling as to the validity of the exemption, accompanying the request with a statement showing the facts and basis for the claim. The board shall issue its ruling within 30 days of receipt of the request. Pending issuance of the ruling, the electric utility shall not be obligated to collect the surcharge from the claimant. (Added by Stats. 1974, Ch. 991.) - 40043. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
An electric utility is exempt from the surcharge for certain purchased electrical energy used in generating, transmitting, or distributing electricity.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40043. The consumption by an electric utility of purchased electrical energy that is used directly, lost by dissipation or unaccounted for in accordance with generally accepted accounting principles by the electric utility in the process of generation, transmission and distribution of electrical energy is exempt from the surcharge. (Added by Stats. 1974, Ch. 991.) - 40044. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
An electric utility that pools purchased electricity with electricity it generates is treated, for quarter-by-quarter in-state pool consumption, as consuming its own generated energy to the extent its generated kilowatt-hours exceed its consumed kilowatt-hours.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40044. When an electric utility purchases electrical energy and pools in its system the energy with electrical energy generated by it, the consumption of electrical energy in this state from the pool by the utility during any quarter shall be deemed to be a consumption of energy generated by it to the extent that the kilowatt-hours of the electrical energy generated by it during the quarter exceeds the kilowatt-hours consumed by the electric utility. (Added by Stats. 1974, Ch. 991.) - 40045. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
Electrical energy sold by an electric utility to a non-electric-utility purchaser is presumed to be consumed in this state unless the contrary is shown.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40045. For the purpose of the proper administration of this part it shall be presumed that electrical energy sold by an electric utility in this state to other than an electric utility is consumed by the purchaser in this state until the contrary is established. (Added by Stats. 1974, Ch. 991.) - 40046. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. )
An electric utility’s billed kilowatt-hour amount is presumed correct, but that presumption can be rebutted with evidence showing a different amount.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 3. Special Provisions and Exemptions [40041 - 40046] ( Chapter 3 added by Stats. 1974, Ch. 991. ) ## 40046. The amount of kilowatt-hours of electrical energy determined by or stated on a billing of an electric utility in accordance with its business practices and accounting records to have been sold to a consumer during any calendar quarter or billing period of the electric utility shall be presumed to be correct. The presumption may be rebutted by evidence which establishes that the amount of kilowatt-hours was other than such amount. (Added by Stats. 1974, Ch. 991.) - 40051. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. )
Surcharges under this part, and the amounts electric utilities must collect, are due quarterly by the last day of the month after each calendar quarter.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40051. The surcharges imposed by this part and the amounts thereof required to be collected by electric utilities are due quarterly on or before the last day of the month next succeeding each calendar quarter. (Added by Stats. 1974, Ch. 991.) - 40052. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. )
Amounts due under Section 40051 are payable when due if the electric utility bills the consumer before the end of a calendar quarter.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40052. Amounts due under Section 40051 for which a billing for the electrical energy is issued by an electric utility to the consumer prior to the close of a calendar quarter are payable when due. (Added by Stats. 1974, Ch. 991.) - 40053. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. )
If surcharge amounts are not billed in the ordinary course by an electric utility, the board may determine them against the utility, the consumer, or both.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Due and Payable Dates [40051 - 40053] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40053. Any amounts of the surcharge required to be paid or collected that are not billed in the ordinary course of the billings by an electric utility may be determined by the board against the utility or the consumer, or both, in accordance with the provisions of Article 3 (commencing with Section 40071) or 4 (commencing with Section 40081) of this chapter. (Added by Stats. 1974, Ch. 911.) - 40061. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
Covered electric utilities and certain unpaid purchasers must file quarterly returns with the board by the last day of the following month.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40061. On or before the last day of the month following each calendar quarter, a return for the preceding quarterly period shall be filed with the board in the form as prescribed by the board, which may include, but not be limited to, electronic media. A return shall be filed by every electric utility and by every person purchasing electrical energy, the consumption of which is subject to the surcharge and who has not paid the surcharge billed and required to be collected by an electric utility. The return shall be signed by the person required to file the return or by his or her duly authorized agent. Returns shall be authenticated in a form or pursuant to methods as may be prescribed by the board. (Amended by Stats. 2002, Ch. 459, Sec. 16. Effective January 1, 2003.) - 40062. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
An electric utility’s return must report several quarter-based kilowatt-hour figures and any other information the board requires.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40062. The return filed by an electric utility shall show the number of kilowatt-hours of electrical energy sold to consumers in this state for which billing was first made during that quarter that are due and required to be collected for all such billings. The return shall further show the number of kilowatt-hours of electrical energy purchased by the electric utility during the calendar quarter and the number of kilowatt-hours of electrical energy generated by such electric utility during such period. Such return shall also set forth the number of kilowatt-hours consumed during such period by the electric utility for its own use and consumption and such other information as the board deems necessary for the proper administration of this part. (Added by Stats. 1974, Ch. 991.) - 40063. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
The board may set what consumer surcharge returns must contain and may require extra consumer filings in some cases.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40063. The board may prescribe the contents of returns of consumers subject to the surcharge. It may require the filing of returns by consumers in addition to those required by Section 40061 in circumstances where it finds that consumers’ liabilities are not being included in the return of an electric utility or it determines that consumer returns are necessary for the efficient administration of this part. Consumers’ returns shall cover the periods as the board may prescribe and shall be in the form as prescribed by the board, which may include, but not be limited to, electronic media. Returns shall be authenticated in a form or pursuant to methods as may be prescribed by the board. (Amended by Stats. 2002, Ch. 459, Sec. 17. Effective January 1, 2003.) - 40064. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
A person who must file the return must deliver the return and pay the surcharge amount to the board’s office.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40064. The person required to file the return shall deliver the return together with a remittance of the amount of the surcharge payable to the office of the board. (Added by Stats. 1974, Ch. 991.) - 40065. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
The board may grant short extensions of time to file returns or pay amounts owed, and longer extensions in a disaster. Anyone who gets an extension must pay interest during the extension.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40065. (a) Except as provided in subdivision (b), the board for good cause may extend not to exceed one month the time for making any return or paying any amount required to be paid under this part. The extension may be granted at any time provided a request therefor is filed with the board within or prior to the period for which the extension may be granted. (b) (1) In the case of a disaster, the board, for a period not to exceed three months, may extend the time for making any report or return or paying any surcharge required under this part. The extension may be granted at any time provided a request therefor is filed with the board within or before the period for which the extension may be granted. (2) For purposes of this section, “disaster” means fire, flood, storm, tidal wave, earthquake, or similar public calamity, whether or not resulting from natural causes. (c) Any person to whom an extension is granted shall pay, in addition to the surcharge, interest at the modified adjusted rate per month, or fraction thereof, established pursuant to Section 6591.5, from the date on which the surcharge would have been due without the extension of the date of payment. (Amended by Stats. 2016, Ch. 257, Sec. 7. (AB 1559) Effective September 9, 2016.) - 40065.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. )
If the Governor declares a state of emergency, the department may extend certain tax-reporting and payment deadlines for up to three months for people in the affected area.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Returns and Payments [40061 - 40065.5] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40065.5. (a) Subject to subdivision (c), if the Governor issues a state of emergency proclamation, the department may extend the time, for a period not to exceed three months, for making any report or return or paying any tax required under this part for any person in an area identified in the state of emergency proclamation. (b) If the department makes an extension pursuant to subdivision (a), any person in an area identified in a state of emergency proclamation shall not be required to file a request for the extension. (c) The department may make the extension in subdivision (a) only during the first 12 months following the issuance of the state of emergency proclamation or the duration of the state of emergency, whichever is less. (Added by Stats. 2022, Ch. 474, Sec. 50. (SB 1496) Effective January 1, 2023.) - 40067. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. )
Large estimated surcharge payers must use electronic funds transfer; smaller payers may choose EFT with board approval.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. ) ## 40067. (a) Any person whose estimated surcharge liability under this part averages twenty thousand dollars ($20,000) or more per month, as determined by the board pursuant to methods of calculation prescribed by the board, shall remit amounts due by an electronic funds transfer under procedures prescribed by the board. (b) Any person whose estimated surcharge liability under this part averages less than twenty thousand dollars ($20,000) per month may elect to remit amounts due by electronic funds transfer with the approval of the board. (c) Any person remitting amounts due pursuant to subdivision (a) or (b) shall perform electronic funds transfer in compliance with the due dates set forth in Article 1 (commencing with Section 40051) and Article 2 (commencing with Section 40061). Payment is deemed complete on the date the electronic funds transfer is initiated if settlement to the state’s demand account occurs on or before the banking day following the date the transfer is initiated. If settlement to the state’s demand account does not occur on or before the banking day following the date the transfer is initiated, payment is deemed to occur on the date settlement occurs. (d) Any person remitting surcharges by electronic funds transfer shall, on or before the due date of the remittance, file a return for the preceding reporting period in the form and manner prescribed by the board. Any person who fails to timely file the required return shall pay a penalty of 10 percent of the amount of the surcharge with respect to the period for which the return is required. (e) Any person required to remit surcharges pursuant to this article who remits those surcharges by means other than appropriate electronic funds transfer shall pay a penalty of 10 percent of the surcharges incorrectly remitted. (f) Any person who fails to pay any surcharge to the state or any amount of surcharge required to be collected and paid to the state, except amounts of determinations made by the board under Article 3 (commencing with Section 40071) or Article 4 (commencing with Section 40081), within the time required shall pay a penalty of 10 percent of the surcharge or amount of surcharge, in addition to the surcharge or amount of surcharge, plus interest at the modified adjusted rate per month, or fraction thereof, established pursuant to Section 6591.5, from the date on which the surcharge or the amount of surcharge required to be collected became due and payable to the state until the date of payment. (g) In determining whether a person’s estimated surcharge liability averages twenty thousand dollars ($20,000) or more per month, the board may consider returns filed pursuant to this part and any other information in the board’s possession. (h) The penalties imposed by subdivisions (d), (e), and (f) shall be limited to a maximum of 10 percent of the surcharge due for any one return. Any person remitting surcharges by electronic funds transfer shall be subject to the penalties under this section and not Section 40101. (i) The board shall promulgate regulations pursuant to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code for purposes of implementing this section. (Amended by Stats. 2005, Ch. 519, Sec. 15. Effective October 4, 2005. Operative January 1, 2006, by Sec. 25 of Ch. 519.) - 40068. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. )
A person may be relieved of an electronic-funds-transfer penalty if the board finds the failure was due to reasonable cause, beyond the person’s control, despite ordinary care, and not willful neglect.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. ) ## 40068. If the board finds that a person’s failure to make payment by an appropriate electronic funds transfer in accordance with board procedures is due to reasonable cause and circumstances beyond the person’s control, and occurred notwithstanding the exercise of ordinary care and in the absence of willful neglect, that person shall be relieved of the penalty provided in subdivision (e) of Section 40067. Any person seeking to be relieved of the penalty shall file with the board a statement under penalty of perjury setting forth the facts upon which he or she bases his or her claim for relief. (Added by Stats. 2000, Ch. 923, Sec. 29. Effective January 1, 2001.) - 40069. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. )
This section defines electronic funds transfer and says surcharge payments generally use ACH debit, ACH credit, or Fedwire.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. ) ## 40069. (a) “Electronic funds transfer” means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, that is initiated through an electronic terminal, telephonic instrument, or computer or magnetic tape, so as to order, instruct, or authorize a financial institution to debit or credit an account. Electronic funds transfers shall be accomplished by an automated clearinghouse debit, an automated clearinghouse credit, or by Federal Reserve Wire Transfer (Fedwire). (b) “Automated clearinghouse” means any federal reserve bank, or an organization established in agreement with the National Automated Clearing House Association, that operates as a clearinghouse for transmitting or receiving entries between banks or bank accounts and which authorizes an electronic transfer of funds between these banks or bank accounts. (c) “Automated clearinghouse debit” means a transaction in which the state, through its designated depository bank, originates an automated clearinghouse transaction debiting the person’s bank account and crediting the state’s bank account for the amount of surcharge. Banking costs incurred for the automated clearinghouse debit transaction shall be paid by the state. (d) “Automated clearinghouse credit” means an automated clearinghouse transaction in which the person through his or her own bank, originates an entry crediting the state’s bank account and debiting his or her own bank account. Banking costs incurred for the automated clearinghouse credit transaction charged to the state shall be paid by the person originating the credit. (e) “Fedwire transfer” means any transaction originated by a person and utilizing the national electronic payment system to transfer funds through the federal reserve banks, when that person debits his or her own bank account and credits the state’s bank account. Electronic funds transfers pursuant to Section 40067 may be made by Fedwire only if payment cannot, for good cause, be made according to subdivision (a), and the use of Fedwire is preapproved by the board. Banking costs incurred for the Fedwire transaction charged to the person and to the state shall be paid by the person originating the transaction. (Added by Stats. 2000, Ch. 923, Sec. 29. Effective January 1, 2001.) - 40069.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. )
Electronic filings under this part must be filed and authenticated in the form or method the board prescribes, and certain electronically filed documents are treated as signed, valid original documents.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2.1. Payment by Electronic Funds Transfer [40067 - 40069.5] ( Article 2.1 added by Stats. 2000, Ch. 923, Sec. 29. ) ## 40069.5. (a) Any return, declaration, statement, or other document required to be made under this part that is filed using electronic media shall be filed and authenticated pursuant to any method or form the board may prescribe. (b) Notwithstanding any other law, any return, declaration, statement, or other document otherwise required to be signed that is filed by the taxpayer using electronic media in a form as required by the board shall be deemed to be a signed, valid original document, including upon reproduction to paper form by the board. (c) Electronic media includes, but is not limited to, computer modem, magnetic media, optical disk, facsimile machine, or telephone. (Added by renumbering Section 40069 (as added by Stats. 2002, Ch. 459, Sec. 18) by Stats. 2015, Ch. 303, Sec. 500. (AB 731) Effective January 1, 2016.) - 40071. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
If the board is not satisfied with a surcharge return or the amount due, it may compute and determine the amount payable and make one or more deficiency determinations.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40071. If the board is not satisfied with return or returns of the surcharge or the amount of surcharge required to be paid to the state by any person, it may compute and determine the amount required to be paid upon the basis of the facts contained in the return or returns or upon the basis of any information within its possession or that may come into its possession. One or more deficiency determinations may be made of the amount payable for one or for more than one period. (Added by Stats. 1974, Ch. 991.) - 40072. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
A deficiency determination amount, excluding penalties, accrues interest at the rate set under Section 6591.5 until paid.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40072. The amount of the determination, exclusive of penalties, shall bear interest at the modified adjusted rate per month, or fraction thereof, established pursuant to Section 6591.5, from the last day of the month following the quarterly period for which the amount or any portion thereof should have been returned until the day of payment. (Amended by Stats. 1984, Ch. 1020, Sec. 45. Operative July 1, 1985, by Sec. 65 of Ch. 1020.) - 40073. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
The board may offset overpayments, including interest on those overpayments, against underpayments, penalties, and interest on the underpayments.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40073. In making a determination the board may offset overpayments for a period or periods, together with interest on the overpayments, against underpayments for another period or periods, against penalties, and against the interest on the underpayments. (Added by Stats. 1974, Ch. 991.) - 40074. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
If a deficiency determination is partly due to negligence or intentional disregard of the part or authorized rules and regulations, a 10% penalty is added.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40074. If any part of the deficiency for which a deficiency determination is made is due to negligence or intentional disregard of this part or authorized rules and regulations, a penalty of 10 percent of the amount of the determination shall be added thereto. (Added by Stats. 1974, Ch. 991.) - 40075. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
If a deficiency determination involves fraud or intent to evade the Energy Resources Surcharge Law or its authorized regulations, a 25% penalty must be added to the determination amount.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40075. If any part of the deficiency for which a deficiency determination is made is due to fraud or an intent to evade this part or authorized rules and regulations, a penalty of 25 percent of the amount of the determintion shall be added thereto. (Added by Stats. 1974, Ch. 991.) - 40076. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
The department must give the electric utility or electrical-energy consumer written notice of its determination and serve it by one of the allowed methods.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40076. The department shall give to the electric utility or person consuming electrical energy written notice of its determination. The notice shall be served in one of the following manners: (a) By placing the notice in a sealed envelope with postage paid addressed to the electric utility or person consuming electrical energy at their address as it appears in the records of the department. Service made pursuant to this subdivision shall be deemed complete at the time of the deposit of the notice in the United States Post Office, or a mailbox, sub-post office, substation, or mail chute, or other facility regularly maintained or provided by the United States Postal Service, without extension of time for any reason. (b) By personally delivering the notice to the person to be served. Service made pursuant to this subdivision shall be deemed complete at the time of such delivery. Personal service to a corporation may be made by delivery of a notice to any person designated in the Code of Civil Procedure to be served for the corporation with summons and complaint in a civil action. (c) (1) By delivering the notice electronically via secure transmission when either of the following applies: (A) The feepayer requests the notice of determination to be sent electronically via secure transmission. (B) The department has evidence that the feepayer no longer receives mail at the address of record and has previously provided an address for electronic mail. (2) Service provided pursuant to paragraph (1) shall be deemed complete at the time the department electronically transmits the notice via the feepayer’s secure web portal, without extension of time for any reason. (Amended by Stats. 2024, Ch. 499, Sec. 65. (SB 1528) Effective January 1, 2025.) - 40077. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
The tax authority must serve deficiency notices within set time limits, usually three years, with a longer eight-year period if no return is filed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40077. Except in the case of fraud, intent to evade this part or authorized rules and regulations, or failure to make a return every notice of a deficiency determination shall be served within three years after the last day of the calendar month following the quarterly period for which the amount is proposed to be determined or within three years after the return is filed, whichever period expires the later. In the case of failure to make a return, every notice of determination shall be served within eight years after the last day of the calendar month following the quarterly period for which the amount is proposed to be determined. (Amended by Stats. 2024, Ch. 499, Sec. 66. (SB 1528) Effective January 1, 2025.) - 40078. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
If a deficiency arises under this part during a decedent’s lifetime, the fiduciary of the estate or trust, or another person liable for the surcharge, must serve a notice of deficiency determination within four months after a written request, using the form required by the department.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40078. In the case of a deficiency arising under this part during the lifetime of a decedent, a notice of deficiency determination shall be served within four months after written request therefor, in the form required by the department, by the fiduciary of the estate or trust or by any other person liable for the surcharge or any portion thereof. (Amended by Stats. 2024, Ch. 499, Sec. 67. (SB 1528) Effective January 1, 2025.) - 40079. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. )
A taxpayer can agree in writing to let a deficiency notice be served after the normal deadline, and the agreed service period can later be extended in writing.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Deficiency Determinations [40071 - 40079] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40079. If, before the expiration of the time prescribed in Section 40077 for serving a notice of deficiency determination, the taxpayer has consented in writing to the service of the notice after such time, the notice may be served at any time prior to the expiration of the period agreed upon. The period so agreed upon may be extended by subsequent agreements in writing made before the expiration of the period previously agreed upon. (Amended by Stats. 2024, Ch. 499, Sec. 68. (SB 1528) Effective January 1, 2025.) - 40091. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
A person subject to a determination may petition for redetermination within 30 days after notice is served.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40091. Any person against whom a determination is made under Article 3 (commencing with Section 40071) or 4 (commencing with Section 40081) of this chapter may petition for a redetermination within 30 days after service upon the person of notice thereof. If a petition for redetermination is not filed within the 30-day period, the determination becomes final at the expiration of the period. (Added by Stats. 1974, Ch. 991.) - 40092. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
A petition for redetermination must be in writing and state the specific grounds for the petition; it may be amended to add more grounds before the board issues its order or decision.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40092. Every petition for redetermination shall be in writing and shall state the specific grounds upon which the petition is founded. The petition may be amended to state additional grounds at any time prior to the date on which the board issues its order or decision upon the petition for redetermination. (Added by Stats. 1974, Ch. 991.) - 40093. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
If a timely petition for redetermination is filed, the board must reconsider the determination and, if requested, give the person an oral hearing with 10 days’ notice.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40093. If a petition for redetermination is filed within the 30-day period, the board shall reconsider the determination and, if the person has so requested in his petition, shall grant the person an oral hearing and shall give him 10 days’ notice of the time and place of the hearing. The board may continue the hearing from time to time as may be necessary. (Added by Stats. 1974, Ch. 991.) - 40094. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
The board may lower or raise a determination before it becomes final.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40094. The board may decrease or increase the amount of the determination before it becomes final, but the amount may be increased only if a claim for the increase is asserted by the board at or before the hearing. Unless the penalty imposed by Section 40075 or Section 40084 applies to the amount of the determination as originally made or as increased, the claim for increase must be asserted within eight years after the last day of the calendar month following the quarterly period for which the increase is asserted. (Added by Stats. 1974, Ch. 991.) - 40095. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
A board order or decision on a petition for redetermination becomes final 30 days after notice is served on the petitioner.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40095. The order or decision of the board upon a petition for redetermination becomes final 30 days after service upon the petitioner of notice thereof. (Added by Stats. 1974, Ch. 991.) - 40096. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
Board determinations under Article 3 or 4 become due and payable when they become final, and unpaid determinations get a 10% penalty.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40096. All determinations made by the board under Article 3 (commencing with Section 40071) or Article 4 (commencing with Section 40081) are due and payable at the time they become final. If they are not paid when due and payable, a penalty of 10 percent of the amount of the determination, exclusive of interest and penalties, shall be added thereto. (Amended by Stats. 1993, Ch. 589, Sec. 163. Effective January 1, 1994.) - 40097. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. )
Any notice required by this article must be served in the same manner used for serving notice of a deficiency determination.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 5. Redeterminations [40091 - 40097] ( Article 5 added by Stats. 1974, Ch. 991. ) ## 40097. Any notice required by this article shall be served in the manner prescribed for service of notice of a deficiency determination. (Amended by Stats. 2024, Ch. 499, Sec. 70. (SB 1528) Effective January 1, 2025.) - 401. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
Every assessor must assess property subject to general property taxation at its full value.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401. Every assessor shall assess all property subject to general property taxation at its full value. (Amended by Stats. 1978, Ch. 1207.) - 401.10. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
This section sets valuation rules for intercounty pipeline rights-of-way and limits when taxpayers can challenge those assessments.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.10. (a) Notwithstanding any other law relating to the determination of the values upon which property taxes are based, values for each tax year from the 1984–85 tax year to the 2025–26 tax year, inclusive, for intercounty pipeline rights-of-way on publicly or privately owned property, including those rights-of-way that are the subject of a change in ownership, new construction, or any other reappraisable event during the period from March 1, 1975, to June 30, 2026, inclusive, shall be rebuttably presumed to be at full cash value for that year, if all of the following conditions are met: (1) (A) The full cash value is determined to equal a 1975–76 base year value, annually adjusted for inflation in accordance with subdivision (b) of Section 2 of Article XIII A of the California Constitution, and the 1975–76 base year value was determined in accordance with the following schedule: (i) Twenty thousand dollars ($20,000) per mile for a high-density property. (ii) Twelve thousand dollars ($12,000) per mile for a transitional-density property. (iii) Nine thousand dollars ($9,000) per mile for a low-density property. (B) For purposes of this section, the density classifications described in subparagraph (A) are defined as follows: (i) “High density” means Category 1 (densely urban) as established by the State Board of Equalization. (ii) “Transitional density” means Category 2 (urban) as established by the State Board of Equalization. (iii) “Low density” means Category 3 (valley-agricultural), Category 4 (grazing), and Category 5 (mountain and desert) as established by the State Board of Equalization. (2) The full cash value is determined utilizing the same property density classifications that were assigned to the property by the State Board of Equalization for the 1984–85 tax year or, if density classifications were not so assigned to the property for the 1984–85 tax year, the density classifications that were first assigned to the property by the board for a subsequent tax year. (3) (A) If a taxpayer owns multiple pipelines in the same right-of-way, an additional 50 percent of the value attributed to the right-of-way for the presence of the first pipeline, as determined under paragraphs (1) and (2), shall be added for the presence of each additional pipeline up to a maximum of two additional pipelines. For any particular taxpayer, the total valuation for a multiple pipeline right-of-way shall not exceed 200 percent of the value determined for the right-of-way of the first pipeline in the right-of-way in accordance with paragraphs (1) and (2). (B) If the State Board of Equalization has determined that an intercounty pipeline, located within a multiple pipeline right-of-way previously valued in accordance with subparagraph (A), has been abandoned as a result of physical removal or blockage, the assessed value of the right-of-way attributable to the last pipeline enrolled in accordance with subparagraph (A) shall be reduced by not less than 75 percent of that increase in assessed value that resulted from the application of subparagraph (A). (4) If all pipelines of a taxpayer located within the same pipeline right-of-way, previously valued in accordance with this section, are determined by the State Board of Equalization to have been abandoned as the result of physical removal or blockage, the assessed value of that right-of-way to that taxpayer shall be determined to be no more than 25 percent of the assessed value otherwise determined for the right-of-way for a single pipeline of that taxpayer pursuant to paragraphs (1) and (2). (b) If the assessor assigns values for any tax year from the 1984–85 tax year to the 2025–26 tax year, inclusive, in accordance with the methodology specified in subdivision (a), the taxpayer’s right to assert any challenge to the right to assess that property, whether in an administrative or judicial proceeding, shall be deemed to have been raised and resolved for that tax year and the values determined in accordance with that methodology shall be rebuttably presumed to be correct. If the assessor assigns values for any tax year from the 1984–85 tax year to the 2025–26 tax year, inclusive, in accordance with the methodology specified in subdivision (a), any pending taxpayer lawsuit that challenges the right to assess the property shall be dismissed by the taxpayer with prejudice as it applies to intercounty pipeline rights-of-way. (c) Notwithstanding any change in ownership, new construction, or decline in value occurring after March 1, 1975, if the assessor assigns values for rights-of-way for any tax year from the 1984–85 tax year to the 2025–26 tax year, inclusive, in accordance with the methodology specified in subdivision (a), the taxpayer may not challenge the right to assess that property and the values determined in accordance with that methodology shall be rebuttably presumed to be correct for that property for that tax year. (d) Notwithstanding any change in ownership, new construction, or decline in value occurring after March 1, 1975, if the assessor does not assign values for rights-of-way for any tax year from the 1984–85 tax year to the 2025–26 tax year, inclusive, at the 1975–76 base year values specified in subdivision (a), any assessed value that is determined on the basis of valuation standards that differ, in whole or in part, from those valuation standards set forth in subdivision (a) shall not benefit from any presumption of correctness, and the taxpayer may challenge the right to assess that property or the values for that property for that tax year. As used herein, a challenge to the right to assess shall include any assessment appeal, claim for refund, or lawsuit asserting any right, remedy, or cause of action relating to or arising from, but not limited to, the following or similar contentions: (1) That the value of the right-of-way is included in the value of the underlying fee or railroad right-of-way. (2) That assessment of the value of the right-of-way to the owner of the pipeline would result in double assessment. (3) That the value of the right-of-way may not be assessed to the owner of the pipeline separately from the assessment of the value of the underlying fee. (e) Notwithstanding any other provision of law, during a four-year period commencing on January 1, 1996, the assessor may issue an escape assessment in accordance with the specific valuation standards set forth in subdivision (a) for the following taxpayers and tax years: (1) Any intercounty pipeline right-of-way taxpayer who was a plaintiff in Southern Pacific Pipe Lines, Inc. v. State Board of Equalization (1993) 14 Cal.App.4th 42, for the tax years 1984–85 to 1996–97, inclusive. (2) Any intercounty pipeline right-of-way taxpayer who was not a plaintiff in Southern Pacific Pipe Lines, Inc. v. State Board of Equalization (1993) 14 Cal.App.4th 42, for the tax years 1989–90 to 1996–97, inclusive. (f) Any escape assessment levied under subdivision (e) shall not be subject to penalties or interest under the provisions of Section 532. If payment of any taxes due under this section is made within 45 days of demand by the tax collector for payment, the county shall not impose any late payment penalty or interest. Taxes not paid within 45 days of demand by the tax collector shall become delinquent at that time. If the tax thereon remains unpaid at the time set for declaration of default for delinquent taxes, the tax together with any penalty and costs as may have accrued thereon while on the secured roll shall be transferred to the unsecured roll. (g) For purposes of this section, “intercounty pipeline right-of-way” means, except as otherwise provided in this subdivision, any interest in publicly or privately owned real property through which or over which an intercounty pipeline is placed. However, “intercounty pipeline right-of-way” does not include any parcel or facility that the State Board of Equalization originally separately assessed using a valuation method other than the multiplication of pipeline length within a subject property by a unit value determined in accordance with the density category of that subject property. (h) This section shall remain in effect only until January 1, 2027, and, as of that date is repealed. (Amended by Stats. 2021, Ch. 433, Sec. 5. (SB 825) Effective January 1, 2022. Repealed as of January 1, 2027, by its own provisions.) - 401.12. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
This section says earlier settlement agreements about Sections 401.10 and 401.11 remain valid and are not changed by those sections.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.12. Sections 401.10 and 401.11 do not abrogate, rescind, preclude, or otherwise affect any separate settlement agreement entered into prior to the effective date of those sections between a county and an intercounty pipeline right-of-way taxpayer concerning the subject matter of Sections 401.10 and 401.11. In the event of a conflict between any settlement agreement and the provisions of Sections 401.10 and 401.11, the settlement agreement shall control. (Added by Stats. 1996, Ch. 76, Sec. 4. Effective June 28, 1996.) - 401.13. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
The assessor must value pipelines and related rights-of-way located wholly within the county as a single countywide parcel per taxpayer, combine the value of each component or segment, and keep a separate base year value for each component or segment.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.13. Notwithstanding any other provision of law, on or after January 1, 1998, the assessor shall determine the assessed value of pipelines and related rights-of-way that are located wholly within the county on the basis of a single, countywide parcel per taxpayer, and, to that end, shall combine the assessed value of each component or segment of those pipelines or rights-of-way. However, the assessor shall maintain a separate base year value for each of these components or segments. (Added by Stats. 1997, Ch. 941, Sec. 10. Effective January 1, 1998.) - 401.15. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
This section sets rules for valuing certificated aircraft for property tax assessment and requires the taxpayer to provide an annual property statement with aircraft original costs when reasonably available.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.15. (a) Notwithstanding any other provision of law, for any county that makes available the credits provided for in Section 5096.3, the full cash values of certificated aircraft for fiscal years to the 1997–98 fiscal year, inclusive, are presumed to be those values enrolled by the county assessor or, in the case of timely escape assessments upon certificated aircraft issued on or after April 1, 1998, pursuant to Sections 531, 531.3, and 531.4, the values enrolled upon those escape assessments, provided that the escape assessment is made in accordance with the methodology in subdivision (b). For escape assessments for fiscal years to the 1997–98 fiscal year, inclusive, the assessor shall use the methodology and minimum and market values set by the California Assessors’ Association for the applicable fiscal year in lieu of the methodology set forth in subparagraph (C) or (D) of paragraph (1) of subdivision (b). The assessor is not required to revise or change existing enrolled assessments that are not subject to escape assessment to reflect the methodology in this section. Nothing in this section precludes audit adjustments and offsets as set forth in Section 469 or the correction of reporting errors raised by an airline. Nothing in this section affects any presumption of correctness concerning allocation of aircraft values. (b) (1) For the 1998–99 fiscal year to the 2002–03 fiscal year, inclusive, and including escape assessments levied on or after April 1, 1998, for any fiscal year to the 2002–03 fiscal year, inclusive, except as otherwise provided in subdivision (a), certificated aircraft shall be presumed to be valued at full market value if all of the following conditions are met: (A) Except as provided in subparagraph (D), value is derived using original cost. The original cost shall be the greater of the following: (i) Taxpayer’s cost for that individual aircraft reported in accordance with generally accepted accounting principles, so long as that produces net acquisition cost, and to the extent not included in the taxpayer’s cost, transportation costs and capitalized interest and the cost of any capital addition or modification made before a transaction described in clause (ii). (ii) The cost established in a sale/leaseback or assignment of purchase rights transaction for that individual aircraft that transfers the benefits and burdens of ownership to the lessor for United States federal income tax purposes. If the original cost for leased aircraft cannot be determined from information reasonably available to the taxpayer, original cost may be determined by reference to the “average new prices” column of the Airliner Price Guide for that model, series, and year of manufacture of aircraft. If information is not available in the “average new prices” column for that model, series, and year, the original cost may be determined using the best indicator of original cost plus all conversion costs incurred for that aircraft. In the event of a merger, bankruptcy, or change in accounting methods by the reporting airline, there shall be a rebuttable presumption that the cost of the individual aircraft and the acquisition date reported by the acquired company, if available, or the cost reported prior to the change in accounting method, are the original cost and the applicable acquisition date. (B) Original cost, plus the cost of any capital additions or modifications not otherwise included in the original cost, shall be adjusted from the date of the acquisition of the aircraft to the lien date using the producer price index for aircraft and a 16-year straight-line percent good table starting from the delivery date of the aircraft to the current owner or, in the case of a sale/leaseback or assignment of purchase rights transaction, as described in this section, the current operator with a minimum combined factor of 25 percent, unless this adjustment results in a value less than the minimum value for that aircraft computed pursuant to subparagraph (C), in which case the minimum value may be used. If original cost is determined by reference to the Airliner Price Guide “average new prices” column, the adjustments required by this paragraph shall be made by setting the acquisition date of the aircraft to be the date of the aircraft’s manufacture. (C) For certificated aircraft of a model and series that has been in revenue service for eight or more years, the minimum value shall not exceed the average of the used aircraft prices shown in columns other than the “average new prices” column for used aircraft of the oldest aircraft for that model and series in the Airliner Price Guide most recently published as of the lien date. Minimum values shall not be utilized for certificated aircraft of a model and series that has been in revenue service for less than eight years. (D) For out-of-production aircraft that were recommended to be valued by a market approach for 1998 by the California Assessors’ Association, assessments will be based at the lower of the following: (i) The values established by the association for the 1998 lien date. (ii) The average of the used aircraft prices shown in the columns other than the “average new prices” column for used aircraft of the five oldest years for the aircraft model and series or that lesser time for which data is available in the Airliner Price Guide. (2) Notwithstanding paragraph (1), in computing assessed value, the assessor may allow for extraordinary obsolescence if supported by market evidence and the taxpayer may challenge the assessment for failure to do so. To constitute market evidence of extraordinary obsolescence and to permit an assessment appeal, the evidence must show that the functional and/or economic obsolescence is in excess of 10 percent of the value for the aircraft model and series otherwise established pursuant to subparagraph (B), (C), or (D) of paragraph (1). (3) For purposes of paragraph (1), if the Airliner Price Guide ceases to be published or the format significantly changes, a guide or adjustment agreed to by the airlines and the taxing counties shall be substituted. (c) (1) For the 2003–04 fiscal year, certificated aircraft shall be presumed to be valued at full market value if all of the following conditions are met: (A) Except as provided in subparagraph (D), value is derived using original cost. The original cost shall be the greater of the following: (i) Taxpayer’s cost for that individual aircraft reported in accordance with generally accepted accounting principles, so long as that produces net acquisition cost, and to the extent not included in the taxpayer’s cost, transportation costs and capitalized interest and the cost of any capital addition or modification made before a transaction described in clause (ii). (ii) Taxpayer’s cost as established pursuant to this subdivision plus one-half of the incremental difference between taxpayer’s cost and the cost established in a sale/leaseback or assignment of purchase rights transaction for individual aircraft that transfers the benefits and burdens of ownership to the lessor for United States federal income tax purposes. If the original cost for leased aircraft cannot be determined from information reasonably available to the taxpayer, original cost may be determined by reference to the “average new prices” column of the Airliner Price Guide for that model, series, and year of manufacture of aircraft. If information is not available in the “average new prices” column for that model, series, and year, the original cost may be determined using the best indicator of original cost plus all conversion costs incurred for that aircraft. In the event of a merger, bankruptcy, or change in accounting methods by the reporting airline, there shall be a rebuttable presumption that the cost of the individual aircraft and the acquisition date reported by the acquired company, if available, or the cost reported prior to the change in accounting method, are the original cost and the applicable acquisition date. (B) Original cost, plus the cost of any capital additions or modifications not otherwise included in original cost, shall be adjusted from the date of the acquisition of the aircraft to the lien date using the producer price index for aircraft and a 16-year straight-line percent good table starting from the delivery date of the aircraft to the current owner or, in the case of a sale/leaseback or assignment of purchase rights transaction, as described in this section, the current operator with a minimum combined factor of 25 percent, unless this adjustment results in a value less than the minimum value for that aircraft computed pursuant to subparagraph (C), in which case the minimum value may be used. If original cost is determined by reference to the Airliner Price Guide “average new prices” column, the adjustments required by this paragraph shall be made by setting the acquisition date of the aircraft to be the date of the aircraft’s manufacture. (C) For certificated aircraft of a model and series that has been in revenue service for eight or more years, the minimum value shall not exceed the average of the used aircraft prices shown in columns other than the “average new prices” column for used aircraft of the oldest aircraft for that model and series in the Airliner Price Guide most recently published as of the lien date. Minimum values shall not be utilized for certificated aircraft of a model and series that has been in revenue service for less than eight years. (D) For out-of-production aircraft that were recommended to be valued by a market approach for 1998 by the California Assessors’ Association, their assessments shall be based at the lower of the following: (i) The values established by the association for the 1998 lien date. (ii) The average of the used aircraft prices shown in the columns other than the “average new prices” column for used aircraft of the five oldest years for the aircraft model and series or that lesser time for which data is available in the Airliner Price Guide. (2) Notwithstanding paragraph (1), in computing assessed value, the assessor may allow for extraordinary obsolescence if supported by market evidence and the taxpayer may challenge the assessment for failure to do so. To constitute market evidence of extraordinary obsolescence and to permit an assessment appeal, the evidence must show that the functional and or economic obsolescence is in excess of 10 percent of the value for the aircraft model and series otherwise established pursuant to subparagraph (B), (C), or (D) of paragraph (1). (3) For purposes of paragraph (1), if the Airliner Price Guide ceases to be published or the format significantly changes, a guide or adjustment agreed to by the airlines and the taxing counties shall be substituted. (d) To calculate the values prescribed in subdivisions (b) and (c), the taxpayer shall, to the extent that information is reasonably available to the taxpayer, furnish the county assessor with an annual property statement that includes the aircraft original costs as defined in subparagraph (A) of paragraph (1) of subdivision (b) or (c). If an air carrier that has this information reasonably available to it fails to report original cost and additions, as required by Sections 441 and 442, an assessor may make an appropriate assessment pursuant to Section 501. (Amended by Stats. 1999, Ch. 83, Sec. 171. Effective January 1, 2000.) - 401.16. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
When a county assessor uses reproduction or replacement cost to value tangible personal property or trade fixtures, the assessor must not average certain published percent-good factors, except when taxpayer information does not show whether the property was first acquired new or used. Any minimum percent-good factors must be determined in a supportable manner.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.16. If, for purposes of property taxation, the county assessor utilizes the reproduction or replacement cost approach to value to determine the value of tangible personal property or trade fixtures, both of the following apply: (a) (1) If the county assessor depreciates this property using percent good factors published by the State Board of Equalization that provide separate factors for property that is first acquired new and property that is first acquired used, the assessor may not average the published factors to apply these factors to both classes of new and used property. (2) Notwithstanding paragraph (1), if information reported by a taxpayer does not indicate whether this property was first acquired by the taxpayer new or used, the assessor may average the published factors. (b) If the county assessor depreciates this property using percent good factors that include a minimum percent good, the minimum percent good factors shall be determined in a manner that is supportable. (Added by Stats. 2002, Ch. 299, Sec. 1. Effective January 1, 2003.) - 401.17. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
This section sets rules for valuing certain aircraft for property tax assessment and requires taxpayers to provide annual aircraft cost information to the county assessor.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.17. (a) For the 2005–06 fiscal year to the 2016–17 fiscal year, inclusive, it shall be rebuttably presumed that the preallocated fair market value of each make, model, and series of mainline jets, production freighters, and regional aircraft that has attained situs within this state is the lesser of the sum total of the amounts determined under paragraph (1) or the sum total of the amounts determined under paragraph (2). The value of an individual aircraft assessed to the original owner of that aircraft shall not exceed its original cost from the manufacturer. The preallocated fair market value of an aircraft may be rebutted by evidence including, but not limited to, appraisals, invoices, and expert testimony. (1) (A) The original cost for the aircraft, which shall be determined as follows and adjusted, as applicable, under subparagraphs (B), (C), and (D): (i) For owned and leased aircraft, the taxpayer’s or lessor’s acquisition cost for that individual aircraft reported in accordance with generally accepted accounting principles, and to the extent not included in the acquisition cost, transportation costs and capitalized interest and the cost of improvements made before a transaction described in clause (ii). If the original cost for leased aircraft cannot be determined from information reasonably available to the taxpayer, original cost may be determined by reference to the “average new prices” column of the Airliner Price Guide for that model, series, and year of manufacture of aircraft. If information is not available in the “average new prices” column for that model, series, and year, the original cost may be determined using the best indicator of original cost plus all conversion costs and improvement costs incurred for that aircraft. (ii) For sale/leaseback or assignment of purchase rights transaction aircraft, the average of the taxpayer’s cost established pursuant to clause (i) and the cost established in a sale/leaseback or assignment of purchase rights transaction for individual aircraft that transfers the benefits and burdens of ownership to the lessor for United States federal income tax purposes. In no event shall the original cost for sale/leaseback aircraft be less than the taxpayer’s acquisition cost. (iii) In the event of a merger, bankruptcy, or change in accounting methods by the reporting airline, there shall be a rebuttable presumption that the cost of the individual aircraft and the acquisition date reported by the acquired company, if available, or the cost reported prior to the change in accounting method, are the original cost and the applicable acquisition date. (B) (i) For mainline jets and production freighters, the original cost described in subparagraph (A), plus the cost of any improvements not otherwise included in the original cost, shall be adjusted from the date of the acquisition of the aircraft to the lien date using the monthly United States Department of Labor Producer Price Index for aircraft and a 20-year straight-line percent-good table starting from the delivery date of the aircraft to the current owner or, in the case of a sale/leaseback or assignment of purchase rights transaction, as described in this section, the current operator with a minimum combined factor of 25 percent. (ii) For regional aircraft, the original cost described in subparagraph (A), plus the cost of any improvements not otherwise included in the original cost, shall be adjusted from the date of the acquisition of the aircraft to the lien date using the monthly United States Department of Labor Producer Price Index for aircraft and a 16-year straight-line percent-good table starting from the delivery date of the aircraft to the current owner or, in the case of a sale/leaseback or assignment of purchase rights transaction, as described in this section, the current operator with a minimum combined factor of 25 percent. (iii) If original cost is determined by reference to the Airliner Price Guide “average new prices” column, the adjustments required by this paragraph shall be made by setting the acquisition date of the aircraft to be the date of the aircraft’s manufacture. (C) (i) For mainline jets and regional aircraft, the assessor shall analyze the adjusted original cost derived pursuant to subparagraph (B), for application of an economic obsolescence allowance which shall be determined as follows: (I) For the applicable year, the assessor shall calculate the average annual net revenue per available seat mile, the net load factor, and the yield utilizing the Airline Quarterly Financial Review published by the United States Department of Transportation, and referring to the section descriptive of the passenger airline industry, entitled “System Operations, System Pax. Majors” for the calendar year ending December 31 immediately preceding the applicable assessment date. (II) For a 10-year benchmark, the assessor shall calculate as of December 31 for each of the 10 calendar years preceding the applicable year, the average annual net revenue per available seat mile, the net load factor, and the yield utilizing the Airline Quarterly Financial Review published by the United States Department of Transportation, and referring to the section descriptive of the passenger airline industry, entitled “System Operations, System Pax. Majors” for the calendar year ending December 31 immediately preceding the applicable assessment date. (ii) (I) The assessor shall compare each factor calculated under subclause (I) of clause (i) with the corresponding factor calculated under subclause (II) of clause (i) to derive the percentage that each of the factors calculated under subclause (I) of clause (i) deviated from the 10-year benchmark calculated under subclause (II) of clause (i). The assessor shall then calculate a weighted average of the indicated percentage adjustments, weighted as follows: (aa) Net revenue per available seat mile shall be weighted 35 percent. (ab) Net load factor shall be weighted 35 percent. (ac) Yield shall be weighted 30 percent. (II) The assessor shall reduce the adjusted original costs derived under subparagraph (B) by the percentage adjustment calculated in subclause (I), but only if the final economic obsolescence determined under that subclause exceeds 10 percent, otherwise no economic obsolescence allowance shall be provided. (D) (i) For production freighters, the assessor shall analyze the adjusted original cost derived under subparagraph (B), for application of an economic obsolescence allowance, as follows: (I) For the applicable year, the assessor shall calculate the industry average of net revenue per available ton mile and the ton load factor based upon the Airline Quarterly Financial Review published by the United States Department of Transportation, and referring to the section descriptive of the cargo airline industry, entitled “System Operations, System Cargo Majors” for the calendar year ending December 31 preceding the relevant assessment date. (II) For a 10-year benchmark, the assessor shall calculate as of December 31 for each of the 10 calendar years preceding the applicable year, the net revenue per available ton mile and the ton load factor utilizing the Airline Quarterly Financial Review published by the United States Department of Transportation and referring to the section descriptive of the cargo airline industry, entitled “System Operations, System Cargo Majors” as of December 31 for each of the 10 calendar years preceding the calendar year utilized for the subject year, for the calendar year ending December 31 immediately preceding the applicable assessment date. (ii) (I) The assessor shall compare each factor calculated under subclause (I) of clause (i) with the corresponding factor calculated under subclause (II) of clause (i) to derive the percentage that each of the factors calculated under subclause (I) of clause (i) deviated from the 10-year benchmark calculated under subclause (II) of clause (i). The assessor shall then calculate a weighted average of the indicated percentage adjustments so that the net revenue per available ton mile is weighted 50 percent and the ton load factor is weighted 50 percent. (II) The assessor shall reduce the adjusted original costs derived under subparagraph (B) by the percentage adjustment calculated in subclause (I), but only if the final economic obsolescence determined under that subclause exceeds 10 percent, otherwise no economic obsolescence allowance shall be provided. (2) (A) Except as otherwise provided in subparagraph (B), for each individual mainline jet, production freighter, or regional aircraft, the assessor shall identify the value referenced in the “Used Price of Avg. Acft. Wholesale” column of the Winter edition of the Airliner Price Guide by make, model, series, and year of manufacture, and deduct 10 percent from that value for a fleet discount. (B) For each individual mainline jet, production freighter, or regional aircraft that is less than two years old and for which the Airliner Price Guide does not list used wholesale values, the original cost determined under paragraph (1) of subparagraph (A) shall be decreased by the lesser of 5 percent or one-half of the percentage decrease between original cost and 90 percent of the value listed in the “Used Price of Avg. Acft. Wholesale” column of the Winter edition of the Airliner Price Guide for a two-year-old aircraft of that same make, model, and series. (b) For the 2005–06 fiscal year to the 2016–17 fiscal year, inclusive, it shall be rebuttably presumed that the preallocated fair market value for each make, model, and series of converted freighters that has attained situs within this state is the amount that is determined as follows: (1) (A) The assessor shall begin his or her appraisal of a converted freighter as of the relevant lien date by identifying the aircraft’s original cost as a passenger aircraft prior to conversion. The aircraft’s original cost as a converted freighter shall be the lesser of: (i) Its trended original cost as a passenger aircraft prior to conversion, less a downward adjustment of 10 percent to reflect tear-outs. (ii) Its value described in the Winter edition of the Airliner Price Guide in the “Used Price of Avg. Acft. Wholesale” column in passenger configuration, less a downward adjustment of 10 percent to reflect tear-outs. (B) The amount determined under subparagraph (A) shall be adjusted according to the following: (i) If, on the relevant lien date, the frame of the aircraft is 15 years old or more, 50 percent of the cost to convert the aircraft to a freighter shall be added to the value determined under subparagraph (A). (ii) If, on the relevant lien date, the frame of the aircraft is less than 15 years old, 75 percent of the cost to convert the aircraft to a freighter shall be added to the value determined under subparagraph (A). (iii) In addition, all other improvements, including capitalized interest, to the aircraft that are not otherwise included in the aircraft’s original and conversion costs shall be added at full value. (2) The amount determined under paragraph (1) shall be adjusted from the date of the conversion of the aircraft to the lien date using the monthly United States Department of Labor Producer Price Index for aircraft and a 16-year straight-line percent-good table, however, the percent-good applied to the aircraft shall in no event be less than 15 percent. (3) If the Airliner Price Guide “Used Price of Avg. Acft. Wholesale” is utilized under paragraph (1), only the improvements and adjusted conversion costs pertaining to the converted freighter shall be adjusted from the date of the conversion of the aircraft to the relevant lien date using the monthly United States Department of Labor Producer Price Index for aircraft and a 16-year straight-line percent-good table. In no event, however, shall the percent-good applied to the improvements and adjusted conversion costs be less than 15 percent. (4) (A) Except as otherwise provided in subparagraph (B), the assessor shall reduce the adjusted original cost, plus improvements, and adjusted conversion costs, derived under paragraphs (1) to (3), inclusive, by the obsolescence percentage adjustment calculated for production freighters under subparagraph (D) of paragraph (1) of subdivision (a). (B) If the Airliner Price Guide “Used Price of Avg. Acft. Wholesale” is utilized under paragraph (1), only the improvements and adjusted conversion costs pertaining to the converted freighter shall be reduced by the obsolescence percentage adjustment described in subparagraph (A). (c) For purposes of this section, if the Airliner Price Guide ceases to be published or the format significantly changes, a guide or adjustment agreed to by commercial air carriers and the counties in which certificated aircraft have situs shall be substituted. If these parties do not agree on a guide or adjustment, the State Board of Equalization shall determine the guide or adjustment. (d) The taxpayer shall, to the extent that information is reasonably available to the taxpayer, furnish the county assessor with an annual property statement that includes the aircraft original costs as defined in subparagraph (A) of paragraph (1) of subdivision (a). If an air carrier that has this information reasonably available to it fails to report original cost and improvements, as required by Sections 441 and 442, an assessor may in that case make an appropriate assessment pursuant to Section 501. (e) For purposes of this section, all of the following apply: (1) “Converted freighter” means a certificated aircraft, as defined in Section 1150, that, following its original manufacture, was used for passenger transportation, but was later converted to be used primarily for cargo transportation purposes. (2) “Mainline jet” means a certificated aircraft, as defined in Section 1150, that is either of the following: (A) Manufactured by Boeing, Airbus, or McDonnell Douglas. (B) Capable of being configured with approximately 100 seats or more. (3) “Production Freighter” means a certificated aircraft, as defined in Section 1150, that immediately following its manufacture is deployed primarily for cargo transportation purposes. (4) “Regional aircraft” means a certificated aircraft, as defined in Section 1150, that is either of the following: (A) Manufactured by ATR (Avions De Transport Regional), Beech, British Aerospace Jetstream, Canadair Regional Jet, Cessna, DeHaviland, Embraer, Fairchild, or Saab. (B) Generally configured with fewer than 100 seats. (5) “Improvements” means the cost of any modifications or capital additions that materially add to the value of or substantially prolong the useful life of the aircraft, or make it adaptable to a different use. “Improvements” include modification costs incurred during a heavy maintenance visit to the extent that they materially add to the value of or substantially prolong the useful life of the aircraft. “Improvements” do not include repair and maintenance costs incurred for the purpose of keeping the aircraft in an ordinarily efficient operating condition. (6) “Net revenue per available seat mile” means operating revenue per available seat mile less cost per available seat mile as determined by the United States Department of Transportation. (7) “Net load factor” means actual passenger load factor less break-even passenger load factor, as determined by the United States Department of Transportation. (8) “Net revenue per available ton mile” means operating revenue per ton mile less cost per available ton mile as determined by the United States Department of Transportation. (9) “Yield” means average revenue per revenue passenger mile as determined by the United States Department of Transportation. (10) “Ton Load Factor” means that percentage of effective use of cargo capacity as determined by the United States Department of Transportation. (f) The amendments made by the act adding this subdivision shall apply with respect to lien dates occurring on and after January 1, 2011. (Amended by Stats. 2015, Ch. 440, Sec. 1. (AB 1157) Effective January 1, 2016.) - 401.20. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
The State Board of Equalization must study and update valuation factors for certain equipment, and those factors are presumed to reflect full cash value unless the presumption is too stale or is rebutted.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.20. (a) (1) The State Board of Equalization shall, in consultation with the California Assessors’ Association and representatives of the computer, semiconductor, and biopharmaceutical industries, conduct a study to obtain and analyze data in order to update the information used to develop the valuation factors annually published by the State Board of Equalization that are applied to nonproduction computers, semiconductor manufacturing equipment, and biopharmaceutical industry equipment and fixtures. (2) The State Board of Equalization shall conduct the study described in paragraph (1) only if funds are appropriated by the Legislature to the board for that purpose during the 2005-06 Regular Session. (3) To the extent the State Board of Equalization periodically conducts these studies, the board shall publish revised valuation factors based on the updated information. If the board reviews the data and determines that an update is not warranted, the existing factors shall remain in effect. (b) (1) Notwithstanding any other provision of law relating to the determination of the values for property tax assessment, values determined by using valuation factors resulting from the study described in subdivision (a), as instructed by the State Board of Equalization for nonproduction computers, semiconductor manufacturing equipment, and biopharmaceutical industry equipment and fixtures, shall be rebuttably presumed to be the full cash value. (2) The assessor or the taxpayer shall have the right to present evidence supporting values different from those based on the published factors in order to attempt to overcome the presumption. (c) The presumption in subdivision (b) shall not apply to any particular tax year if the information upon which the valuation factors for that category of property are based was last reviewed by the State Board of Equalization more than six years before the lien date for that tax year. (Added by Stats. 2006, Ch. 417, Sec. 2. Effective January 1, 2007.) - 401.3. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
The assessor must assess all property subject to general property taxation on the lien date.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.3. The assessor shall assess all property subject to general property taxation on the lien date as provided in Articles XIII and XIII A of the Constitution and any legislative authorization thereunder. (Amended by Stats. 1986, Ch. 608, Sec. 9.) - 401.4. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
When valuing certain owner-occupied single-family homes, the assessor must not value the land above the amount reflecting use as a single-family dwelling site.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.4. When valuing an owner-occupied single-family dwelling and the land on which it is situated that may be required for the convenient occupation and use of such dwelling, if such dwelling is on land which is zoned exclusively for single-family home use or which is zoned for agricultural use where single-family homes are permitted, the assessor shall not value the land at any value greater than that which would reflect the use of the land as a site for a single-family dwelling. As used in this section, owner-occupied single-family dwelling means any single-family dwelling occupied by an owner thereof as his principal place of residence on the lien date. (Amended by Stats. 1973, Ch. 208.) - 401.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
The board must provide assessors property-cost data and related information, including reviewing and approving commercially available data for commercial and industrial property after a public hearing. Assessors must adapt received data to local conditions and may consider it with other legally required factors.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.5. The board shall issue to assessors data relating to costs of property, or, with respect to commercial and industrial property, shall, after a public hearing, review and approve commercially available data, and shall issue to assessors other information as in the judgment of the board will promote uniformity in appraisal practices and in assessed values throughout the state. An assessor shall adapt data received pursuant to this section to local conditions and may consider that data together with other factors as required by law in the assessment of property for tax purposes. (Amended by Stats. 1996, Ch. 1087, Sec. 18. Effective January 1, 1997.) - 401.6. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
When using the cost approach to value special use property for tax purposes, the assessor may not add entrepreneurial profit unless there is market-derived evidence that it exists and has not already been offset by deterioration or obsolescence.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.6. (a) In any case in which the cost approach method is used to value special use property for purposes of taxation, the assessor shall not add a component for entrepreneurial profit unless he or she has market-derived evidence that entrepreneurial profit exists and has not been fully offset by physical deterioration or economic obsolescence. (b) For purposes of this section: (1) “Entrepreneurial profit” means either of the following: (A) The amount a developer would expect to recover with respect to a property in excess of the amount of the developer’s costs incurred with respect to that property. (B) The difference between the fair market value of a property and the total costs incurred with respect to that property. (2) “Total costs” means both direct costs of construction, including, but not limited to, the costs of land, building materials, and labor, and indirect costs of construction, including, but not limited to, the costs of construction capital and permit fees. (3) “Special use property” means a limited market property with a unique physical design, special construction materials, or a layout that restricts its utility to the use for which it was built. (Added by Stats. 1995, Ch. 399, Sec. 1. Effective January 1, 1996.) - 401.8. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. )
The county assessor must value assessable intercounty pipeline rights-of-way as one countywide parcel per taxpayer, keep a separate base year value for each right-of-way interest or segment, and keep related records for five calendar years. A taxpayer filing an authorized assessment appeal must use specified interests or segments, not the entire undivided right-of-way.
## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 2. ASSESSMENT [201 - 1367] ( Part 2 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 3. Assessment Generally [401 - 681] ( Chapter 3 enacted by Stats. 1939, Ch. 154. ) ## ARTICLE 1. General Requirements [401 - 409] ( Article 1 enacted by Stats. 1939, Ch. 154. ) ## 401.8. (a) Notwithstanding any other provision of law, commencing with the 1995–96 fiscal year, the county assessor shall determine the property tax assessed value in the county attributable to assessable intercounty pipeline rights-of-way on the basis of a single, countywide parcel per taxpayer by combining the assessed values of each separate right-of-way interest, or segment thereof, of the taxpayer in the county. However, the assessor shall maintain a separate base year value as determined pursuant to Section 110.1 for each separate right-of-way interest, or segment thereof. (b) Any assessment appeal that is authorized to be filed in Sections 401.10 to 401.12, inclusive, with respect to an intercounty pipeline right-of-way interest, or segment thereof, for which the assessor did not assign a value in the manner specified in subdivision (a) of Section 401.10, shall be filed by the taxpayer upon one or more specified intercounty pipeline right-of-way interests, or segments thereof, as described in subdivision (a), and in no event shall be filed with respect to a taxpayer’s entire, undivided intercounty pipeline right-of-way. The assessor shall maintain for five calendar years those records for each assessment year that identify each intercounty pipeline right-of-way interest, or segment thereof, located within his or her county, and shall provide the information in those records with respect to a given intercounty pipeline right-of-way interest, or segment thereof, to the taxpayer upon request. (Amended by Stats. 1996, Ch. 801, Sec. 2. Effective September 24, 1996.) - 40101. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
Late payment or late filing of a surcharge return can trigger a 10% penalty, and late payment also accrues interest.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40101. (a) Any person who fails to pay any surcharge to the state or any amount of surcharge required to be collected and paid to the state, except amounts of determinations made by the board under Article 3 (commencing with Section 40071) or Article 4 (commencing with Section 40081), within the time required shall pay a penalty of 10 percent of the surcharge or amount of the surcharge, in addition to the surcharge or amount of surcharge, plus interest at the modified adjusted rate per month, or fraction thereof, established pursuant to Section 6591.5, from the date on which the surcharge or the amount of surcharge required to be collected became due and payable to the state until the date of payment. (b) Any person who fails to file a return in accordance with the due date set forth in Section 40061 shall pay a penalty of 10 percent of the amount of the surcharge with respect to the period for which the return is required. (c) The penalties imposed by this section shall be limited to a maximum of 10 percent of the surcharge for which the return is required for any one return. (Amended by Stats. 2000, Ch. 923, Sec. 30. Effective January 1, 2001.) - 40101.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
If the department finds interest computation would be inequitable, it must calculate surcharge interest at the modified adjusted daily rate, but only for certain electronic surcharge payments made one business day late and only if penalties were relieved and an adjustment request is filed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40101.5. (a) If the department finds, taking into account all facts and circumstances, that it is inequitable to compute interest at the modified adjusted rate per month or fraction thereof, as defined in subdivision (b) of Section 6591.5, interest shall be computed at the modified adjusted daily rate from the date on which the surcharge was due until the date of payment, if all of the following occur: (1) The payment of the surcharge was made one business day after the date the surcharge was due. (2) The person was granted relief from all penalties that applied to that payment of the surcharge. (3) The person files a request for an adjustment. (b) For purposes of this section, “modified adjusted daily rate” means the modified adjusted rate per annum as defined in subdivision (a) of Section 6591.5 determined on a daily basis by dividing the modified adjusted rate per annum by 365. (c) For purposes of this section, “business day” means any day other than a Saturday, Sunday, or any day designated as a state holiday. (d) This section shall not apply to any payment made pursuant to a deficiency determination, or a determination where no return has been filed. (e) This section shall only apply to electronic payments of surcharges. (Amended by Stats. 2021, Ch. 432, Sec. 40. (SB 824) Effective January 1, 2022.) - 40102. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
A person seeking penalty relief must file a statement with the department, unless an emergency-based exception applies. The department may grant relief if the late filing or payment was due to reasonable cause, beyond the person’s control, with ordinary care and no willful neglect.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40102. (a) If the department finds that a person’s failure to make a timely return or payment is due to reasonable cause and circumstances beyond the person’s control, and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, the person may be relieved of the penalty provided by Sections 40067, 40081, 40096, and 40101. (b) Except as provided in subdivisions (c) and (d), any person seeking to be relieved of the penalty shall file with the department a statement under penalty of perjury setting forth the facts upon which that person bases the claim for relief. (c) (1) Subject to paragraph (2), the department may grant relief of the penalty for any person in an area identified in a state of emergency proclamation made by the Governor for the period the state of emergency proclamation is effective, regardless of whether the person has filed a statement with the department pursuant to subdivision (b). (2) The department may grant the relief in paragraph (1) only during the first 12 months following the issuance of the state of emergency proclamation or the duration of the state of emergency, whichever is less. (d) The department shall establish criteria that provide for efficient resolution of requests for relief pursuant to this section. (Amended by Stats. 2022, Ch. 474, Sec. 51. (SB 1496) Effective January 1, 2023.) - 40103. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
The department may relieve certain interest charges if a late report or payment was caused by a disaster and there was ordinary care with no willful neglect.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40103. (a) If the department finds that a person’s failure to make a timely report or payment was due to a disaster, and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, the person may be relieved of the interest provided by Sections 40065, 40067, 40083, and 40101. (b) Except as provided in subdivision (c), a person seeking to be relieved of the interest shall file with the department a statement under penalty of perjury setting forth the facts upon which the person bases the claim for relief. (c) (1) Subject to paragraph (2), the department may grant relief of the interest for any person in an area identified in a state of emergency proclamation made by the Governor for the period the state of emergency proclamation is effective, regardless of whether the person has filed a statement with the department pursuant to subdivision (b). (2) The department may grant the relief in paragraph (1) only during the first 12 months following the issuance of the state of emergency proclamation or the duration of the state of emergency, whichever is less. (Amended by Stats. 2022, Ch. 474, Sec. 52. (SB 1496) Effective January 1, 2023.) - 40103.5. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
The board may reduce interest on certain surcharge liabilities, but only in limited circumstances, and a person seeking relief must file a statement under penalty of perjury.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40103.5. (a) The board, in its discretion, may relieve all or any part of the interest imposed on a person by this part where the failure to pay the surcharge is due in whole or in part to an unreasonable error or delay by an employee of the board acting in his or her official capacity. (b) For purposes of this section, an error or delay shall be deemed to have occurred only if no significant aspect of the error or delay is attributable to an act of, or a failure to act by, the person liable for the surcharge. (c) Any person seeking relief under this section shall file with the board a statement under penalty of perjury setting forth the facts on which the claim for relief is based and any other information which the board may require. (d) The board may grant relief only for interest imposed on surcharge liabilities that arise during taxable periods commencing on or after January 1, 2000. (Amended by Stats. 2001, Ch. 251, Sec. 28. Effective January 1, 2002.) - 40104. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
A person may get relief from the surcharge, penalty, and interest if the board finds the person missed a return or payment because they reasonably relied on the board’s written advice.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40104. (a) If the board finds that a person’s failure to make a timely return or payment is due to the person’s reasonable reliance on written advice from the board, the person may be relieved of the surcharge imposed by this part and any penalty or interest added thereto. (b) For purposes of this section, a person’s failure to make a timely return or payment shall be considered to be due to reasonable reliance on written advice from the board, only if the board finds that all of the following conditions are satisfied: (1) The person requested in writing that the board advise him or her whether a particular activity or transaction is subject to surcharge under this part. The specific facts and circumstances of the activity or transaction shall be fully described in the request. (2) The board responded in writing to the person regarding the written request for advice, stating whether or not the described activity or transaction is subject to the surcharge, or stating the conditions under which the activity or transaction is subject to the surcharge. (3) The liability for surcharges applied to a particular activity or transaction which occurred before either of the following: (A) Before the board rescinded or modified the advice so given, by sending written notice to the person of the rescinded or modified advice. (B) Before a change in statutory or constitutional law, a change in the board’s regulations, or a final decision of a court, which renders the board’s earlier written advice no longer valid. (c) Any person seeking relief under this section shall file with the board all of the following: (1) A copy of the person’s written request to the board and a copy of the board’s written advice. (2) A statement under penalty of perjury setting forth the facts on which the claim for relief is based. (3) Any other information which the board may require. (d) Only the person making the written request shall be entitled to rely on the board’s written advice to that person. (Added by Stats. 1990, Ch. 987, Sec. 7.) - 40105. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. )
This section lets the board relieve one spouse from liability for a surcharge, interest, penalties, and related amounts when the understatement or nonpayment is attributable to the other spouse and relief would be equitable.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 4. Determination of Surcharge [40051 - 40105] ( Chapter 4 added by Stats. 1974, Ch. 991. ) ## ARTICLE 6. Interest and Penalties [40101 - 40105] ( Article 6 added by Stats. 1974, Ch. 991. ) ## 40105. (a) Under regulations prescribed by the board, if: (1) A surcharge liability under this part was understated by a failure to file a return required to be filed under this part, by the omission of an amount properly includable therein, or by erroneous deductions or credits claimed on a return, and the understatement of surcharge liability is attributable to one spouse; or any amount of the surcharge reported on a return was unpaid and the nonpayment of the reported surcharge liability is attributable to one spouse. (2) The other spouse establishes that he or she did not know of, and had no reason to know of, that understatement or nonpayment. (3) Taking into account whether or not the other spouse significantly benefited directly or indirectly from the understatement or the nonpayment and taking into account all other facts and circumstances, it is inequitable to hold the other spouse liable for the deficiency in surcharge attributable to that understatement or nonpayment, then the other spouse shall be relieved of liability for the surcharge (including interest, penalties, and other amounts) to the extent that the liability is attributable to that understatement or nonpayment of the surcharge. (b) For purposes of this section, the determination of the spouse to whom items of understatement or nonpayment are attributable shall be made without regard to community property laws. (c) This section shall apply to all calendar quarters subject to the provisions of this part, but shall not apply to any calendar quarter that is more than five years from the final date on the board-issued determination, five years from the return due date for nonpayment on a return, or one year from the first contact with the spouse making a claim under this section; or that has been closed by res judicata, whichever is later. (d) For purposes of paragraph (2) of subdivision (a), “reason to know” means whether or not a reasonably prudent person would have had reason to know of the understatement or nonpayment. (e) For purposes of this section, with respect to a failure to file a return or an omission of an item from the return, “attributable to one spouse” may be determined by whether a spouse rendered substantial service as an electric utility making sales of electrical energy or as a consumer of electrical energy to which the understatement is attributable. If neither spouse rendered substantial services as an electric utility or a consumer, then the attribution of applicable items of understatement shall be treated as community property. An erroneous deduction or credit shall be attributable to the spouse who caused that deduction or credit to be entered on the return. (f) Under procedures prescribed by the board, if, taking into account all the facts and circumstances, it is inequitable to hold the other spouse liable for any unpaid surcharge or any deficiency (or any portion of either) attributable to any item for which relief is not available under subdivision (a), the board may relieve the other spouse of that liability. (g) For purposes of this section, registered domestic partners, as defined in Section 297 of the Family Code, have the same rights, protections, and benefits as provided by this section, and are subject to the same responsibilities, obligations, and duties as imposed by this section, as are granted to and imposed upon spouses. (h) The relief provided by this section shall apply retroactively to liabilities arising prior to the effective date of this section. (Added by Stats. 2007, Ch. 342, Sec. 45. Effective January 1, 2008. Section applicable retroactively as prescribed in subd. (h) and clarified in Sec. 60 of Ch. 342.) - 40111. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
The department must record, certify, and either credit or refund overpayments, erroneous collections, or illegal collections of amounts, penalties, or interest. Consumer surcharge overpayments must be credited or refunded, including most overpayments involving an electric utility, with a limited exception for refunds to the utility itself.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40111. (a) If the department determines that any amount, penalty, or interest has been paid more than once or has been erroneously or illegally collected or computed, the department shall set forth that fact in the records of the department, certify the amount collected in excess of the amount legally due and the person from whom it was collected or by whom paid, and shall credit the excess amount collected or paid on any amounts then due and payable from the person from whom the excess amount was collected or by whom it was paid under this part, and the balance shall be refunded to the person, or the person’s successors, administrators, or executors. Any determination by the department pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days after the effective date of that determination. (b) Any overpayment of the surcharge by a consumer to the state shall be credited or refunded by the state to the consumer. (c) (1) Except as provided in paragraph (2), any overpayment of the surcharge by the consumer to an electric utility that is required to collect the surcharge shall be refunded by the state to the consumer. (2) If the electric utility has paid the amount to the department and establishes to the satisfaction of the department that it has not collected the amount from the consumer or has refunded the amount to the consumer, the overpayment may be credited or refunded by the state to the electric utility. (Amended by Stats. 2022, Ch. 474, Sec. 53. (SB 1496) Effective January 1, 2023.) - 40112. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
Refunds and credits generally cannot be approved after the stated time limits unless a claim is filed on time; a waiver under Section 40079 can allow a refund for an agreed period.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40112. (a) Except as provided in subdivision (b), no refund shall be approved by the board after three years from the last day of the month following the close of the quarterly period for which the overpayment was made, or, with respect to determinations made under Article 3 (commencing with Section 40071) or 4 (commencing with Section 40081) of Chapter 4 of this part, after six months from the date the determinations become final, or after six months from the date of overpayment, whichever period expires the later, unless a claim therefor is filed with the board within such period. No credit shall be approved by the board after the expiration of such period unless a claim for credit is filed with the board within such period. (b) A refund may be approved by the board for any period for which a waiver is given under Section 40079 if a claim therefor is filed with the board before the expiration of the period agreed upon. (Amended by Stats. 1977, Ch. 624.) - 40112.1. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
The refund claim limitation period is suspended while a person is financially disabled.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40112.1. (a) The limitation period specified in Section 40112 shall be suspended during any period of a person’s life that the person is financially disabled. (b) (1) For purposes of subdivision (a), a person is financially disabled if the person is unable to manage his or her financial affairs by reason of medically determinable physical or mental impairment of the person which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months. A person shall not be considered to have an impairment unless proof of the existence thereof is furnished in the form and manner as the board may require. (2) A person shall not be treated as financially disabled during any period that the person’s spouse or any other person is authorized to act on behalf of the person in financial matters. (c) This section applies to periods of disability commencing before, on, or after the effective date of the act adding this section, but does not apply to any claim for refund that (without regard to this section) is barred by the operation or rule of law, including res judicata, as of the effective date of the act adding this section. (Added by Stats. 2000, Ch. 1052, Sec. 42. Effective January 1, 2001.) - 40112.2. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
A refund of certain overpayments must be approved if a refund claim is filed within three years after the overpayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40112.2. Notwithstanding Section 40112, a refund of an overpayment of any surcharge, penalty, or interest collected by the board by means of levy, through the use of liens, or by other enforcement procedures, shall be approved if a claim for a refund is filed within three years of the date of an overpayment. (Added by Stats. 2006, Ch. 364, Sec. 15. Effective January 1, 2007.) - 40112.3. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
A valid refund claim filed while the surcharge amount has not been fully paid is treated as timely for later payments on that same determination.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40112.3. (a) A claim for refund that is otherwise valid under Sections 40112 and 40113 that is made in the case in which the amount of surcharge determined has not been paid in full shall be deemed to be a timely filed claim for refund with respect to all subsequent payments applied to that determination. (b) For purposes of this section, “amount of surcharge determined” means an amount of surcharge, interest, or penalty, with respect to a single determination made under Article 3 (commencing with Section 40071) or Article 4 (commencing with Section 40081) of Chapter 4. (c) This section shall apply to all claims for refund on or after the effective date of the act adding this section. (Added by Stats. 2016, Ch. 98, Sec. 5. (AB 1856) Effective January 1, 2017.) - 40113. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
A claim must be in writing and must state the specific grounds for the claim.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40113. Every claim shall be in writing and shall state the specific grounds upon which the claim is founded. (Added by Stats. 1974, Ch. 991.) - 40114. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
If a claim is not filed within the time allowed, the claimant waives any demand against the state for the overpayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40114. Failure to file a claim within the time prescribed in this article constitutes a waiver of any demand against the state on account of overpayment. (Added by Stats. 1974, Ch. 991.) - 40115. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
After the board disallows a claim, it must notify the claimant within 30 days.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40115. Within 30 days after disallowing any claim in whole or in part the board shall give notice of its action to the claimant in the manner prescribed for service of notice of a deficiency determination. (Added by Stats. 1974, Ch. 991.) - 40116. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
Interest must be paid on overpaid surcharge amounts, and any related interest charged on the refunded or credited amount must also be refunded or credited.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40116. Interest at the modified adjusted rate per month established pursuant to Section 6591.5, shall be paid upon any overpayment of any amount of surcharge from the first day of the calendar month following the month during which the overpayment was made. In addition, a refund or credit shall be made of any interest imposed upon the person making the overpayment with respect to the amount being refunded or credited. The interest shall be paid as follows: (a) In the case of a refund, to the last day of the calendar month following the date upon which the person making the overpayment, if he or she has not already filed a claim, is notified by the board that a claim may be filed or the date upon which the claim is approved by the board, whichever date is the earlier. (b) In the case of a credit, to the same date as that to which interest is computed on the surcharge or amount against which the credit is applied. (Amended by Stats. 1997, Ch. 620, Sec. 12. Effective January 1, 1998.) - 40117. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. )
The board must not allow interest on an overpayment if it finds the overpayment was intentional or due to carelessness. If a refund claimant asks the board to delay action on the claim, the board may require the claimant to waive interest for that delay period.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Claim for Refund [40111 - 40117] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40117. (a) If the board determines that any overpayment has been made intentionally or by reason of carelessness, it shall not allow any interest thereon. (b) If any person who has filed a claim for refund requests the board to defer action on the claim, the board, as a condition to deferring action, may require the claimant to waive interest for the period during which the person requests the board to defer action on the claim. (Amended by Stats. 1998, Ch. 420, Sec. 8. Effective January 1, 1999.) - 40121. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Cancellations [40121- 40121.] ( Article 2 added by Stats. 1974, Ch. 991. )
If an amount was illegally determined, the department must record that fact, certify the excess amount and the affected person, and authorize cancellation of the amount.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 2. Cancellations [40121- 40121.] ( Article 2 added by Stats. 1974, Ch. 991. ) ## 40121. If any amount has been illegally determined either by the person filing the return or by the department, the department shall set forth that fact in its records, certify the amount determined to be in excess of the amount legally due and the person against whom the determination was made, and authorize the cancellation of the amount upon the records of the department. Any determination by the department pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days after the effective date of that determination. (Amended by Stats. 2022, Ch. 474, Sec. 54. (SB 1496) Effective January 1, 2023.) - 40125. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
Courts may not issue injunctions or similar relief to stop collection of a surcharge under this part.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40125. No injunction, or writ of mandate, judgment of declaratory relief, or other legal or equitable process shall issue in any suit, action, or proceeding in any court against the state or against any officer of the state to prevent or enjoin the collection under this part of any surcharge, or any amount of surcharge required to be collected. (Added by Stats. 1974, Ch. 991.) - 40126. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
A court suit or proceeding to recover an allegedly erroneous or illegal tax amount cannot be maintained unless a refund or credit claim has been duly filed under Article 1.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40126. No suit or proceeding shall be maintained in any court for the recovery of any amount alleged to have been erroneously or illegally determined or collected unless a claim for refund or credit has been duly filed pursuant to Article 1 of this chapter. (Added by Stats. 1974, Ch. 991.) - 40127. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
A claimant may sue the board within 90 days after notice of the board’s action on a claim is mailed.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40127. Within 90 days after the mailing of the notice of the board’s action upon a claim filed pursuant to Article 1 (commencing with Section 40111) of this chapter, the claimant may bring an action against the board on the grounds set forth in the claim in a court of competent jurisdiction in any city or city and county of this state in which the Attorney General has an office for the recovery of the whole or any part of the amount with respect to which the claim has been disallowed. (Added by Stats. 1974, Ch. 991.) - 40128. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
If the board does not mail notice of action on a claim within six months after the claim is filed, the claimant may treat the claim as disallowed and sue the board for the claimed overpayment.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40128. If the board fails to mail notice of action on a claim within six months after the claim is filed, the claimant may, prior to the mailing of notice by the board of its action on the claim, consider the claim disallowed and bring an action against the board on the grounds set forth in the claim for the recovery of the whole or any part of the amount claimed as an overpayment. (Added by Stats. 1974, Ch. 991.) - 40129. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
If the plaintiff wins a judgment, it must first be applied to any surcharge the plaintiff still owes, and any remaining amount must be refunded to the plaintiff.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40129. If judgment is rendered for the plaintiff, the amount of the judgment shall first be credited on any surcharge due and payable from the plaintiff. The balance of the judgment shall be refunded to the plaintiff. (Added by Stats. 1974, Ch. 991.) - 40130. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
Interest must be allowed on a judgment at the modified adjusted annual rate, on the amount illegally collected, from payment until credit is allowed or up to 30 days before the refund warrant date.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40130. In any judgment, interest shall be allowed at the modified adjusted rate per annum established pursuant to Section 6591.5, upon the amount found to have been illegally collected from the date of payment of the amount to the date of allowance of credit on account of the judgment or to a date preceding the date of the refund warrant by not more than 30 days, the date to be determined by the board. (Amended by Stats. 1984, Ch. 1020, Sec. 49. Operative July 1, 1985, by Sec. 65 of Ch. 1020.) - 40131. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. )
A court may not enter judgment for a plaintiff in a refund action brought by an assignee or by someone other than the person who paid the amount.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 3. Suit for Refund [40125 - 40131] ( Article 3 added by Stats. 1974, Ch. 991. ) ## 40131. A judgment shall not be rendered in favor of the plaintiff in any action brought against the board to recover any amount paid when the action is brought by or in the name of an assignee of the person paying the amount or by any person other than the person who paid the amount. (Added by Stats. 1974, Ch. 991.) - 40135. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. )
The board may recover erroneous refunds and credits, either by court action in Sacramento or as an alternative directly. If it does so, it may issue a deficiency determination, which must generally be made within three years unless fraud is involved.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. ) ## 40135. (a) The board may recover any refund or part thereof that is erroneously made, and any credit or part thereof that is erroneously allowed, in an action brought in a court of competent jurisdiction in the County of Sacramento in the name of the people of the State of California. (b) As an alternative to subdivision (a), the board may recover any refund or part thereof that is erroneously made, and any credit or part thereof that is erroneously allowed. In recovering any erroneous refund or credit, the board may, in its discretion, issue a deficiency determination in accordance with Article 3 (commencing with Section 40071) of Chapter 4. Except in the case of fraud, the deficiency determination shall be made by the board within three years from the date of the Controller’s warrant or date of credit. (Added by Stats. 1998, Ch. 609, Sec. 31. Effective January 1, 1999.) - 40136. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. )
The court may change the place of trial in a Section 40135(a) action if the Attorney General consents.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. ) ## 40136. In any action brought pursuant to subdivision (a) of Section 40135, the court may, with the consent of the Attorney General, order a change in the place of trial. (Added by Stats. 1998, Ch. 609, Sec. 31. Effective January 1, 1999.) - 40137. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. )
The Attorney General must prosecute actions brought under subdivision (a) of Section 40135, and certain civil procedure rules apply to those proceedings.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 5. Overpayments and Refunds [40111 - 40137] ( Chapter 5 added by Stats. 1974, Ch. 991. ) ## ARTICLE 4. Recovery of Erroneous Refunds [40135 - 40137] ( Article 4 added by Stats. 1998, Ch. 609, Sec. 31. ) ## 40137. The Attorney General shall prosecute any action brought pursuant to subdivision (a) of Section 40135, and the provisions of the Code of Civil Procedure relating to service of summons, pleadings, proof, trials, and appeals shall apply to the proceedings. (Added by Stats. 1998, Ch. 609, Sec. 31. Effective January 1, 1999.) - 40141. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. )
The board may sue to collect delinquent surcharge amounts and penalties, but generally only within 10 years after the surcharge becomes due and payable.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40141. At any time within 10 years after any surcharge or any amount of surcharge required to be collected becomes due and payable, and at any time after any amount determined under Articles 3 (commencing with Section 40071), 4 (commencing with Section 40081), and 5 (commencing with Section 40091) of Chapter 4 of this part becomes due and payable, the board may bring an action in the courts of this state, of any other state, or of the United States in the name of the people of California to collect the amount delinquent together with penalties. (Added by Stats. 1974, Ch. 991.) - 40142. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. )
The Attorney General must prosecute the action, and related civil procedure rules for summons, pleadings, proof, trials, and appeals apply.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40142. The Attorney General shall prosecute the action, and the provisions of the Code of Civil Procedure relating to service of summons, pleadings, proof, trials, and appeals are applicable to the proceedings. (Added by Stats. 1974, Ch. 991.) - 40143. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. )
In the action, a writ of attachment may issue, and no bond or prior affidavit is required.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40143. In the action a writ of attachment may issue, and no bond or affidavit previous to the issuing of the attachment is required. (Added by Stats. 1974, Ch. 991.) - 40144. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. )
In a surcharge action, a board certificate showing delinquency is prima facie evidence of the surcharge determination, the delinquency of the listed amounts, and the board’s compliance with the part’s computation rules.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40144. In the action a certificate by the board showing the delinquency shall be prima facie evidence of the determination of the surcharge or the amount of surcharge, of the delinquency of the amounts set forth, and of the compliance by the board with all the provisions of this part in relation to the computation and determination of the amounts. (Added by Stats. 1974, Ch. 991.) - 40145. Verify source ↗
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. )
In actions brought under this part, process may be served according to the Code of Civil Procedure and the Civil Code of this state.
## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 19. ENERGY RESOURCES SURCHARGE LAW [40001 - 40216] ( Part 19 added by Stats. 1974, Ch. 991. ) ## CHAPTER 6. Collection of Surcharge [40141 - 40169] ( Chapter 6 added by Stats. 1974, Ch. 991. ) ## ARTICLE 1. Suit for Surcharge [40141 - 40145] ( Article 1 added by Stats. 1974, Ch. 991. ) ## 40145. In any action brought under this part process may be served according to the Code of Civil Procedure and the Civil Code of this state. (Added by Stats. 1974, Ch. 991.)
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