Revenue and Taxation Code — Part 7 | RTC — United States — California law | Esheria

Revenue and Taxation Code

Part 7 of 36 · provisions 1,201–1,400

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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Provisions of Revenue and Taxation Code

Showing 200 of 7,200

  1. 18501.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain individuals must file a return with the Franchise Tax Board when their income exceeds the listed thresholds, and spouses above the listed thresholds must file separately or jointly as allowed.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18501. (a) Every individual taxable under Part 10 (commencing with Section 17001) shall make a return to the Franchise Tax Board, stating specifically the items of the individual’s gross income from all sources and the deductions and credits allowable, if the individual has any of the following for the taxable year: (1) An adjusted gross income from all sources in excess of eight thousand dollars ($8,000), if single. (2) An adjusted gross income from all sources in excess of sixteen thousand dollars ($16,000), if married or in a registered domestic partnership. (3) A gross income from all sources in excess of ten thousand dollars ($10,000), if single, and twenty thousand dollars ($20,000), if married or in a registered domestic partnership, regardless of the amount of adjusted gross income. (4) In the case of an individual described in Section 63(c)(5) of the Internal Revenue Code, relating to limitation on basic standard deduction in the case of certain dependents, a gross income from all sources that exceeds the amount of the standard deduction allowed under that section. (b) If spouses have for the taxable year an adjusted gross income from all sources in excess of sixteen thousand dollars ($16,000) or a gross income from all sources in excess of twenty thousand dollars ($20,000), each spouse shall make a return or the income of each shall be included on a single joint return as otherwise provided in this article. (c) For any individual described in paragraph (1) or (2), the Franchise Tax Board shall recompute the amounts provided in subdivision (b) and paragraphs (1) to (3), inclusive, of subdivision (a) as follows: (1) For any individual eligible to claim the credit described in subdivision (c) of Section 17054, the Franchise Tax Board shall increase the income amounts described in subdivision (b) and paragraphs (1) to (3), inclusive, of subdivision (a), as adjusted by subdivision (d), by the quotient provided by dividing the credit described in subdivision (c) of Section 17054, as adjusted in subdivision (i) of Section 17054, by 2 percent. (2) For any individual or spouses eligible to claim the credit described in subdivision (d) of Section 17054, the Franchise Tax Board shall increase the income amounts described in subdivision (b) or paragraphs (1) to (3), inclusive, of subdivision (a), as adjusted by subdivision (d), by the quotient provided by dividing each credit described in subdivision (d) of Section 17054, as adjusted in subdivision (i) of Section 17054, by the following: (A) If the individual or spouses are not eligible to claim the credit allowed in subdivision (c) of Section 17054, 3 percent for the first dependent credit and 4 percent for the second dependent credit, if any. (B) If the individual or spouses are eligible to claim the credit allowed in subdivision (c) of Section 17054, 4 percent for the first dependent credit and 5 percent for the second dependent credit, if any. (d) For each taxable year beginning on or after January 1, 1996, the Franchise Tax Board shall recompute the income amounts prescribed in paragraphs (1) to (3), inclusive, of subdivision (a) and in subdivision (b), as follows: (1) The Department of Industrial Relations shall transmit annually to the Franchise Tax Board the percentage change in the California Consumer Price Index for all items from June of the prior calendar year to June of the current calendar year, no later than August 1 of the current calendar year. (2) The Franchise Tax Board shall do both of the following: (A) Compute an inflation adjustment factor by adding 100 percent to the percentage change figure that is furnished pursuant to paragraph (1) and dividing the result by 100. (B) Multiply the income amounts for the preceding taxable year by the inflation adjustment factor determined in subparagraph (A) and round off the resulting products to the nearest one dollar ($1). (e) The changes to subdivision (c) made by the act adding this subdivision shall apply to each taxable year beginning on or after January 1, 1999. (Amended by Stats. 2016, Ch. 50, Sec. 102. (SB 1005) Effective January 1, 2017.)
  2. 18505.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A fiduciary taxable under Part 10 must file a return for certain taxpayers and include a perjury declaration plus specific income, deduction, and credit details.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18505. Every fiduciary (except a receiver appointed by authority of law in possession of only a part of the property of an individual) taxable under Part 10 (commencing with Section 17001) shall make a return, which shall contain or be verified by a written declaration that it is made under the penalties of perjury, for any of the following taxpayers for whom he or she acts, stating specifically the items of gross income of the taxpayer and the deductions and credits allowed for the taxable year: (a) Every individual having an adjusted gross income from all sources in excess of eight thousand dollars ($8,000), if single. (b) Every individual having an adjusted gross income from all sources in excess of sixteen thousand dollars ($16,000), if married. (c) Every individual having a gross income from all sources in excess of ten thousand dollars ($10,000), if single, and twenty thousand dollars ($20,000), if married, regardless of the amount of adjusted gross income. (d) Every estate having a net income from all sources in excess of one thousand dollars ($1,000). (e) Every trust (not treated as a corporation under Section 23038) having a net income from all sources in excess of one hundred dollars ($100). (f) Every estate or trust (not treated as a corporation under Section 23038) having a gross income from all sources in excess of ten thousand dollars ($10,000), regardless of the amount of the net income. (g) Every decedent, for the year in which death occurred, and for prior years, if returns for those years should have been filed but have not been filed by the decedent, under the rules and regulations that the Franchise Tax Board may prescribe. (Amended by Stats. 2000, Ch. 863, Sec. 3. Effective January 1, 2001.)
  3. 18505.3.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    If a person has died, the tax return required by Section 18501 must be filed by the executor, administrator, or another person responsible for the decedent’s property.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18505.3. If an individual is deceased, the return of that individual required under Section 18501 shall be made by his or her executor, administrator, or other person charged with property of that decedent. (Added by Stats. 2000, Ch. 863, Sec. 4. Effective January 1, 2001.)
  4. 18505.6.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    If an individual cannot file a return required by Section 18501, a duly authorized agent, committee, guardian, fiduciary, or other caretaker must file it instead, except that the rule does not apply to certain receivers.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18505.6. If an individual is unable to make a return required under Section 18501, the return of that individual shall be made by a duly authorized agent, his or her committee, guardian, fiduciary, or other person charged with the care of the person or property of the individual. The preceding sentence shall not apply in the case of a receiver appointed by authority of law in possession of only a part of the property of an individual. (Added by renumbering Section 18503 by Stats. 2000, Ch. 863, Sec. 1. Effective January 1, 2001.)
  5. 18506.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    An exempt trust generally does not have to file a return unless its organization or operations change, or it has unrelated business taxable income.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18506. A trust that qualifies under Section 401(a) of the Internal Revenue Code and which is exempt is not required to file a return unless it changes the character of its organization, the purpose for which it was organized, or its method of operation or unless the trust has unrelated business taxable income. Where an exempt trust has unrelated business taxable income which exceeds one thousand dollars ($1,000) it shall file a return, verified by an executive officer under penalties of perjury in the form prescribed by the Franchise Tax Board on or before the 15th day of the fourth month following the close of the taxable year. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  6. 18508.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A fiduciary must file returns for an estate or trust, and the Franchise Tax Board may prescribe rules for joint fiduciary returns.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18508. (a) Returns of an estate, a trust, or an estate of an individual under Chapter 7 or Chapter 11 of Title 11 of the United States Code shall be made by the fiduciary thereof. (b) Under the rules and regulations that the Franchise Tax Board may prescribe, a return made by one of two or more joint fiduciaries shall be sufficient compliance with the requirements of Section 18501. A return made pursuant to this subdivision shall contain a statement that the fiduciary has sufficient knowledge of the affairs of the person for whom the return is made to enable him or her to make the return, and that the return is, to the best of his or her knowledge and belief, true and correct. (Amended by Stats. 2000, Ch. 863, Sec. 6. Effective January 1, 2001.)
  7. 18509.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A fiduciary required to file a return under Section 18505 is treated as subject to the provisions of Part 10 and this part that apply to individuals.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18509. Any fiduciary required to make a return under Section 18505 is subject to all the provisions of Part 10 (commencing with Section 17001) and this part that apply to individuals. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  8. 18510.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section requires the Franchise Tax Board to revise certain tax returns and instructions so taxpayers can report and pay qualified use tax, and it requires the State Board of Equalization to approve or comment on those changes within 10 working days.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18510. (a) (1) (A) The Franchise Tax Board shall revise the returns required to be filed pursuant to this article, Article 2 (commencing with Section 18601), Section 18633, Section 18633.5, and Article 3 (commencing with Section 23771) of Chapter 4 of Part 11, and the accompanying instructions for filing those returns, in a form and manner approved by the State Board of Equalization, to allow a person to report and pay qualified use tax in accordance with Section 6452.1 and subparagraph (B). (B) The returns and instructions shall require the following: (i) That a taxpayer enter a number on the use tax line of the personal income tax return. (ii) That a taxpayer who enters the number zero on the use tax line of the personal income tax return check one of two boxes, the first of which shall indicate that the taxpayer owes no use tax, and the second of which shall indicate that the taxpayer has remitted his or her use tax obligation for the taxable year directly to the State Board of Equalization. (2) Within 10 working days of receiving from the Franchise Tax Board the returns and instructions described in subparagraph (A) of paragraph (1), the State Board of Equalization shall do either of the following: (A) Approve the form and manner of the returns and instructions and notify the Franchise Tax Board of this approval. (B) Submit comments to the Franchise Tax Board regarding changes to the returns and instructions that shall be incorporated before the State Board of Equalization approves the form and manner of the returns and instructions. (b) (1) Of payments and credits shown on the return, together with any other credits associated with that person’s tax year, of a person that reports qualified use tax on an acceptable tax return, an amount equal to the qualified use tax liability reported on that acceptable tax return in accordance with Section 6452.1 shall be applied to that liability. (2) This subdivision shall apply to returns filed for taxable years beginning on or after January 1, 2015. (c) The Franchise Tax Board shall transfer the qualified use tax received pursuant to Section 6452.1, and any information the State Board of Equalization deems necessary for its administration of the use tax, to the State Board of Equalization within 60 days from the date the use tax is received or the acceptable tax return is processed, whichever is later. (d) Except as otherwise provided, this section shall be operative for returns filed for taxable years beginning on and after January 1, 2010. (e) The amendments made by Chapter 14 of the Statutes of 2011 shall apply to returns filed for taxable years beginning on and after January 1, 2011. (f) The amendments to this section made by the act adding this subdivision shall apply to returns filed for taxable years beginning on and after January 1, 2017. (Amended by Stats. 2017, Ch. 563, Sec. 1. (AB 1593) Effective January 1, 2018.)
  9. 18521.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section sets filing-status rules for individuals, spouses, and domestic partners on California income tax returns.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18521. (a) (1) Except as otherwise provided in this section, an individual shall use the same filing status that he or she used on his or her federal income tax return filed for the same taxable year. (2) If the Franchise Tax Board determines that the filing status used on the taxpayer’s federal income tax return was incorrect, the Franchise Tax Board may, under Section 19033 (relating to deficiency assessments), revise the return to reflect a correct filing status. (3) If either spouse or domestic partner was a nonresident for any portion of the taxable year, and the couple files a joint federal income tax return, the spouses or domestic partners shall be required to file a joint nonresident return. (b) In the case of an individual who is not required to file a federal income tax return for the taxable year, that individual may use any filing status on the return required under this part that he or she would be eligible to use on a federal income tax return for the same taxable year if a federal income tax return was required. (c) Notwithstanding subdivision (a), spouses and registered domestic partners, as described in Section 297 of the Family Code, who are registered as domestic partners as of the close of the taxable year, may file separate returns under this part if either spouse or registered domestic partner was either of the following during the taxable year: (1) An active member of the Armed Forces or any auxiliary branch thereof. (2) A nonresident for the entire taxable year who had no income from a California source. (d) Notwithstanding subdivision (a), registered domestic partners, as described in Section 297 of the Family Code, who are registered as domestic partners as of the close of the taxable year and who are prohibited under federal law from filing a joint federal income tax return, shall either file a joint state income tax return or separate state income tax returns by applying the standards applicable to spouses who file separately pursuant to Section 6013 of the Internal Revenue Code. A separate return filed by a domestic partner of a registered domestic partnership shall be subject to the same conditions and limitations applicable to the separate return of a spouse. (e) Except for taxpayers described in subdivision (c), for any taxable year with respect to which a joint return has been filed, a separate return shall not be made by either spouse or domestic partner after the period for either to file a separate return has expired. (f) No joint return shall be made if the spouses or the domestic partners have different taxable years; except that if their taxable years begin on the same day and end on different days because of the death of either or both, then a joint return may be made with respect to the taxable year of each. The above exception shall not apply if the surviving spouse remarries or the surviving domestic partner enters into a new domestic partnership before the close of his or her taxable year, or if the taxable year of either spouse or domestic partner is a fractional part of a year under Section 443(a) of the Internal Revenue Code. (g) In the case of the death of one spouse or domestic partner or both spouses or both domestic partners the joint return with respect to the decedent may be made only by the decedent’s executor or administrator; except that, in the case of the death of one spouse or domestic partner, the joint return may be made by the surviving spouse or surviving domestic partner with respect to both that spouse or domestic partner and the decedent if no return for the taxable year has been made by the decedent, no executor or administrator has been appointed, and no executor or administrator is appointed before the last day prescribed by law for filing the return of the surviving spouse or surviving domestic partner. If an executor or administrator of the decedent is appointed after the making of the joint return by the surviving spouse or surviving domestic partner, the executor or administrator may disaffirm the joint return by making, within one year after the last day prescribed by law for filing the return of the surviving spouse or surviving domestic partner, a separate return for the taxable year of the decedent with respect to which the joint return was made, in which case the return made by the survivor shall constitute his or her separate return. (Amended by Stats. 2006, Ch. 802, Sec. 4. Effective January 1, 2007.)
  10. 18522.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    An individual and spouse may still file a joint return for the taxable year after a separate return was filed, if the filing deadline has passed and a joint federal return is made under IRC Section 6013(b).

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18522. If an individual has filed a separate return for a taxable year for which a joint return could have been made by him or her and his or her spouse under Section 18521, and the time prescribed for filing the return for that taxable year has expired, that individual and his or her spouse may nevertheless make a joint return for that taxable year, provided a joint federal income tax return is made under the provisions of Section 6013(b) of the Internal Revenue Code. A joint return filed by the spouses in that case shall constitute the return of the spouses for that taxable year, and all payments, credits, refunds, or other repayments made or allowed with respect to the separate return of either spouse for that taxable year shall be taken into account in determining the extent to which the tax based upon the joint return has been paid. (Amended by Stats. 2016, Ch. 50, Sec. 103. (SB 1005) Effective January 1, 2017.)
  11. 18523.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    If spouses file a joint return under Section 18522, they cannot change certain prior elections made on separate returns.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18523. If a joint return is made under Section 18522, any election (other than the election to file a separate return) made by either spouse in his or her separate return for the taxable year with respect to the treatment of any income, deduction, or credit of the spouse shall not be changed in the making of the joint return where the election would have been irrevocable if the joint return had not been made. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  12. 18524.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a joint return is filed under Section 18522 after either spouse dies, only the decedent’s executor or administrator may file the return for the decedent.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18524. If a joint return is made under Section 18522 after the death of either spouse, the return with respect to the decedent may be made only by his or her executor or administrator. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  13. 18526.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A joint return under Section 18522 may not be made in certain situations.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18526. A joint return may not be made under Section 18522 in any of the following situations: (a) After the expiration of four years from the last date prescribed by law for filing the return for the taxable year (determined without regard to any extension of time granted to either spouse). (b) After there has been mailed to either spouse, with respect to the taxable year, a notice of deficiency under Section 19033, if the spouse, as to that notice, files a protest under Section 19041 or appeal under Section 19045. (c) After either spouse has commenced a suit in any court for the recovery of any part of the tax for that taxable year. (d) After either spouse has entered into a closing agreement under Section 19441 with respect to the taxable year. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  14. 18527.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A joint return under Section 18522 is treated as filed on the last day allowed for filing for the taxable year.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18527. For the purposes of Article 1 (commencing with Section 19301) of Chapter 6 (relating to refunds and credits), a joint return made under Section 18522 shall be deemed to have been filed on the last date prescribed for filing the return for the taxable year (determined without regard to any extension of time granted to either spouse). (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  15. 18528.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section sets when a joint return is treated as filed for certain tax rules, depending on which spouse filed separate returns first and on income thresholds.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18528. (a) For the purposes of Sections 19057 to 19067, inclusive (relating to period of limitations upon assessment and collection), and for the purposes of Section 19131 (relating to delinquent returns), a joint return made under Section 18522 shall be deemed to have been filed as follows: (1) Where both spouses filed separate returns prior to making the joint return, on the date the last separate return was filed (but not earlier than the last date prescribed by this part for filing the return of either spouse). (2) Where one spouse filed a separate return prior to the making of the joint return, and the other spouse had eight thousand dollars ($8,000) or less of adjusted gross income from all sources and ten thousand dollars ($10,000) or less of gross income from all sources for the taxable year, on the date of the filing of the separate return (but not earlier than the last date prescribed by this part for the filing of the separate return). (3) Where only one spouse filed a separate return prior to the making of a joint return and the other spouse had an adjusted gross income from all sources in excess of eight thousand dollars ($8,000) or a gross income from all sources in excess of ten thousand dollars ($10,000) for the taxable year, on the date of the filing of the joint return. (b) For purposes of Article 1 (commencing with Section 19301) of Chapter 6, a joint return made under Section 18522 shall be deemed to have been filed on the later of the last date prescribed by this part for filing the return for the taxable year (determined without regard to any extension of time granted to either spouse) or the date the later timely filed separate return was filed. (Amended by Stats. 2000, Ch. 863, Sec. 7. Effective January 1, 2001.)
  16. 18529.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    For a joint return under Section 18522, the limitations period for assessments and tax collection includes one extra year after the 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18529. If a joint return is made under Section 18522, the period of limitations provided in Sections 19057 to 19067, inclusive, on the making of assessments and collecting taxes shall with respect to that return include one year immediately after the date of the filing of the joint return (computed without regard to Section 18528). (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  17. 18530.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If spouses file a joint return and the tax shown on that return exceeds the spouses’ separate tax totals, a 20% or 75% amount of the excess applies depending on whether the excess was caused by negligence or by fraud.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18530. Where the amount shown as the tax by the spouses on a joint return made under Section 18522 exceeds the aggregate of the amounts shown as the tax upon the separate return of each spouse, each of the following shall apply: (a) If any part of the excess is attributable to negligence or intentional disregard of rules and regulations (but without intent to defraud) at the time of the making of the separate return, then 20 percent of the total amount of the excess shall be assessed, collected, and paid, in lieu of the 20-percent addition to the tax provided in subdivision (a) of Section 19164. (b) If any part of the excess is attributable to fraud with intent to evade tax at the time of the making of the separate return, then 75 percent of the total amount of the excess shall be assessed, collected, and paid, in lieu of the 75-percent addition to the tax provided in subdivision (b) of Section 19164. (Amended by Stats. 2016, Ch. 50, Sec. 104. (SB 1005) Effective January 1, 2017.)
  18. 18531.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    For Chapter 9 fraudulent-return penalties, “return” includes a spouse’s separate return in the listed joint-return situation.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18531. For the purposes of Chapter 9 (commencing with Section 19701) which relates to criminal penalties in the case of fraudulent returns, the term “return” includes a separate return filed by a spouse with respect to a taxable year for which a joint return is made under Section 18522 after the filing of the separate return. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  19. 18531.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If one spouse dies and the spouses have different taxable years, the joint return is treated as though both taxable years ended when the surviving spouse’s taxable year closed.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18531.5. For purposes of Section 443 of the Internal Revenue Code, where the spouses have different taxable years because of the death of either spouse, the joint return shall be treated as if the taxable years of both spouses ended on the date of the closing of the surviving spouse’s taxable year. (Amended by Stats. 2016, Ch. 50, Sec. 105. (SB 1005) Effective January 1, 2017.)
  20. 18532.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section sets rules for when two people are treated as spouses, when a legally separated person is not treated as married or in a registered domestic partnership, and how tax is computed if a joint 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18532. For the purposes of this article, each of the following shall apply: (a) The status as spouses of two individuals having taxable years beginning on the same day shall be determined as follows: (1) If both have the same taxable year, then as of the close of that year. (2) If one dies before the close of the taxable year of the other, then as of the time of the death. (b) An individual who is legally separated from his or her spouse under a decree of divorce, termination of registered domestic partnership, or of separate maintenance shall not be considered as married or in a registered domestic partnership. (c) If a joint return is made, the tax shall be computed on the aggregate income and the liability with respect to the tax shall be joint and several. (Amended by Stats. 2016, Ch. 50, Sec. 106. (SB 1005) Effective January 1, 2017.)
  21. 18533.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section lets a person who filed a joint return seek relief from certain joint tax liabilities and, in some cases, limit liability to the person’s share of the deficiency.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18533. (a) (1) Notwithstanding subdivision (a) and the first sentence of subdivision (b) of Section 19006: (A) An individual who has made a joint return may elect to seek relief under the procedures prescribed under subdivision (b), and (B) If the individual is eligible to elect the application of subdivision (c), the individual may, in addition to any election under subparagraph (A), elect to limit the individual’s liability for any deficiency with respect to the joint return in the manner prescribed under subdivision (c). (2) Any determination under this section shall be made without regard to community property laws. (b) (1) Under procedures prescribed by the Franchise Tax Board, if— (A) A joint return has been made under this chapter for a taxable year, (B) On that return there is an understatement of tax attributable to erroneous items of one individual filing the joint return, (C) The other individual filing the joint return establishes that in signing the return he or she did not know of, and had no reason to know of, that understatement, (D) Taking into account all facts and circumstances, it is inequitable to hold the other individual liable for the deficiency in tax for that taxable year attributable to that understatement, and (E) The other individual elects (in the form and manner as the Franchise Tax Board may prescribe) the benefits of this subdivision not later than the date that is two years after the date the Franchise Tax Board has begun collection activities with respect to the individual making the election, then the other individual shall be relieved of liability for tax (including interest, penalties, and other amounts) for that taxable year to the extent that the liability is attributable to that understatement. (2) If an individual who, but for subparagraph (C) of paragraph (1), would be relieved of liability under paragraph (1), establishes that in signing the return the individual did not know, and had no reason to know, the extent of the understatement, then the individual shall be relieved of liability for tax (including interest, penalties, and other amounts) for that taxable year to the extent that the liability is attributable to the portion of the understatement of which that individual did not know and had no reason to know. (3) For purposes of this subdivision, the term “understatement” has the meaning given to that term by Section 6662(d)(2)(A) of the Internal Revenue Code. (c) (1) Except as provided in this subdivision, if an individual who has made a joint return for any taxable year elects the application of this subdivision, the individual’s liability for any deficiency that is assessed with respect to the return may not exceed the portion of the deficiency properly allocable to the individual under subdivision (d). (2) Except as provided in clause (ii) of subparagraph (A) of paragraph (3) or subparagraph (C) of paragraph (3), each individual who elects the application of this subdivision shall have the burden of proof with respect to establishing the portion of any deficiency allocable to that individual. (3) (A) (i) An individual shall only be eligible to elect the application of this subdivision if— (I) At the time the election is filed, that individual is no longer married to, or is legally separated from, the individual with whom that individual filed the joint return to which the election relates, or (II) That individual was not a member of the same household as the individual with whom the joint return was filed at any time during the 12-month period ending on the date the election is filed. (ii) If the Franchise Tax Board demonstrates that assets were transferred between individuals filing a joint return as part of a fraudulent scheme by those individuals, an election under this subdivision by either individual shall be invalid (and subdivision (a) and the first sentence of subdivision (b) of Section 19006 shall apply to the joint return). (B) An election under this subdivision for any taxable year shall be made not later than two years after the date on which the Franchise Tax Board has begun collection activities with respect to the individual making the election. (C) If the Franchise Tax Board demonstrates that an individual making an election under this subdivision had actual knowledge, at the time the individual signed the return, of any item giving rise to a deficiency (or portion thereof) that is not allocable to the individual under subdivision (d), that election does not apply to that deficiency (or portion). This subparagraph does not apply where the individual with actual knowledge establishes that the individual signed the return under duress. (4) (A) Notwithstanding any other provision of this subdivision, the portion of the deficiency for which the individual electing the application of this subdivision is liable (without regard to this paragraph) shall be increased by the value of any disqualified asset transferred to the individual. (B) For purposes of this paragraph— (i) The term “disqualified asset” means any property or right to property transferred to an individual making the election under this subdivision with respect to a joint return by the other individual filing the joint return if the principal purpose of the transfer was the avoidance of tax or payment of tax. (ii) (I) For purposes of clause (i), except as provided in subclause (II), any transfer that is made after the date that is one year before the date on which the first notice of proposed assessment under Article 3 (commencing with Section 19031) of Chapter 4 is sent shall be presumed to have as its principal purpose the avoidance of tax or payment of tax. (II) Subclause (I) does not apply to any transfer pursuant to a decree of divorce or separate maintenance or a written instrument incident to that decree or to any transfer that an individual establishes did not have as its principal purpose the avoidance of tax or payment of tax. (d) For purposes of subdivision (c)— (1) The portion of any deficiency on a joint return allocated to an individual shall be the amount that bears the same ratio to the deficiency as the net amount of items taken into account in computing the deficiency and allocable to the individual under paragraph (3) bears to the net amount of all items taken into account in computing the deficiency. (2) If a deficiency (or portion thereof) is attributable to— (A) The disallowance of a credit, or (B) Any tax (other than tax imposed by Section 17041 or 17062) required to be included with the joint return, and the item is allocated to one individual under paragraph (3), that deficiency (or portion) shall be allocated to that individual. Any item so allocated may not be taken into account under paragraph (1). (3) For purposes of this subdivision— (A) Except as provided in paragraphs (4) and (5), any item giving rise to a deficiency on a joint return shall be allocated to individuals filing the return in the same manner as it would have been allocated if the individuals had filed separate returns for the taxable year. (B) Under rules prescribed by the Franchise Tax Board, an item otherwise allocable to an individual under subparagraph (A) shall be allocated to the other individual filing the joint return to the extent the item gave rise to a tax benefit on the joint return to the other individual. (C) The Franchise Tax Board may provide for an allocation of any item in a manner not prescribed by subparagraph (A) if the Franchise Tax Board establishes that the allocation is appropriate due to fraud of one or both individuals. (4) If an item of deduction or credit is disallowed in its entirety solely because a separate return is filed, the disallowance shall be disregarded and the item shall be computed as if a joint return had been filed and then allocated between the spouses appropriately. (5) If the liability of a child of a taxpayer is included on a joint return, that liability shall be disregarded in computing the separate liability of either spouse and that liability shall be allocated appropriately between the spouses. (e) (1) In the case of an individual who elects to have subdivision (b) or (c) apply, or who requests equitable relief under subdivision (f)— (A) (i) The determination of the Franchise Tax Board as to whether the liability is to be revised as to one individual filing the joint return shall be made not less than 30 days after notification of the other individual filing the joint return. (ii) Any action taken under this section shall be treated as though it were action on a protest taken under Section 19044 and shall become final upon the expiration of 30 days from the date that notice of the action is mailed to both individuals filing the joint return, unless, within that 30-day period, the individual making the election under subdivision (b) or (c) or requesting equitable relief under subdivision (f) appeals the determination to the board as provided in clause (iii) or the other individual filing the joint return appeals the determination to the board as provided in Section 19045. (iii) The individual making the election under subdivision (b) or (c) or requesting equitable relief under subdivision (f) may appeal the determination of the Franchise Tax Board of the appropriate relief available to the individual under this section if that appeal is filed during the 30-day period prescribed in clause (ii) and the appeal shall be treated as an appeal to the board under Section 19045. Notwithstanding the preceding sentence, the individual making the election under subdivision (b) or (c) or requesting equitable relief under subdivision (f) may appeal to the board at any time after the date that is six months after the date the election is filed with the Franchise Tax Board and before the close of the 30-day period prescribed in clause (ii). (B) Except as otherwise provided in Section 19081 or 19082, no levy or proceeding in court shall be made, begun, or prosecuted against the individual making an election under subdivision (b) or (c) or requesting equitable relief under subdivision (f), for collection of any assessment to which the election relates until the expiration of the 30-day period described in clause (ii) of subparagraph (A), or, if an appeal to the board has been filed under clause (iii) or Section 19045, until the decision of the board has become final. (2) The running of the period of limitations in Section 19371 on the collection of the assessment to which the petition under subparagraph (A) of paragraph (1) relates shall be suspended for the period during which the Franchise Tax Board is prohibited by subparagraph (B) of paragraph (1) from collecting by levy or a proceeding in court and for 60 days thereafter. (3) (A) Except as provided in subparagraph (B), notwithstanding any other law or rule of law (other than Section 19306 and Article 6 (commencing with Section 19441) of Chapter 6), a credit or refund shall be allowed or made to the extent attributable to the application of this section. (B) In the case of any election under subdivision (b) or (c) or request for equitable relief under subdivision (f), if a decision of the board in any prior proceeding for the same taxable year has become final, that decision shall be conclusive except with respect to the qualification of the individual for relief that was not an issue in that proceeding. The exception contained in the preceding sentence does not apply if the board determines that the individual participated meaningfully in the prior proceeding. (C) No credit or refund shall be allowed as a result of an election under subdivision (c). (f) Under procedures prescribed by the Franchise Tax Board, if taking into account all the facts and circumstances, it is inequitable to hold the individual liable for any unpaid tax or any deficiency (or any portion of either), and relief is not available to the individual under subdivision (b) or (c), the Franchise Tax Board may relieve the individual of that liability. (g) (1) The Franchise Tax Board may prescribe regulations providing methods for allocation of items other than the methods under paragraph (3) of subdivision (d). (2) It is the intent of the Legislature that, in construing this section and any other sections that are specifically cross-referenced in this section, any regulations that may be promulgated by the Secretary of the Treasury under Section 6015 of the Internal Revenue Code shall apply to the extent that those regulations do not conflict with this section or with any regulations that may be promulgated by the Franchise Tax Board. (h) The amendments made by Section 5 of Chapter 931 of the Statutes of 1999 shall apply to any liability for tax arising after October 10, 1999, and any liability for tax arising on or before that date but remaining unpaid as of that date. (i) (1) An individual who has made a joint return and has been granted relief under Section 6015 of the Internal Revenue Code, relating to joint and several liability with respect to a federal joint income tax return, shall be eligible for relief under this section if all of the following conditions are satisfied: (A) The individual requests relief under this section. (B) The facts and circumstances that apply to the understatement and liabilities for which the relief is requested are the same facts and circumstances that applied to the understatement and liabilities for which that individual was granted relief under Section 6015 of the Internal Revenue Code. (C) The individual requesting relief under this subdivision furnishes the Franchise Tax Board with a copy of the federal determination granting that individual relief under Section 6015 of the Internal Revenue Code. If the federal determination does not clearly identify the issues and liabilities for which the individual was granted relief under Section 6015 of the Internal Revenue Code, the Franchise Tax Board may request, from the individual requesting relief, any supporting documentation reasonably necessary to substantiate that the issues and liabilities for which relief is requested under this section are the same as the issues and liabilities for which the individual received relief under Section 6015 of the Internal Revenue Code. (2) This subdivision does not apply if, prior to the expiration of the 30-day period described in clause (i) of subparagraph (A) of paragraph (1) of subdivision (e), the other individual that filed the joint return for which the relief is requested under this subdivision submits information to the Franchise Tax Board that indicates that relief should not be granted. For purposes of this paragraph, “information that indicates that relief should not be granted” is limited to the following: (A) Information that indicates that the facts and circumstances that apply to the understatement and liabilities for which the relief is requested are not the same facts and circumstances that applied to the understatement and liabilities for which that individual was granted relief under Section 6015 of the Internal Revenue Code. (B) Information that indicates that there has not been a federal determination granting relief under Section 6015 of the Internal Revenue Code or that the federal determination granting relief under Section 6015 of the Internal Revenue Code has been modified, altered, withdrawn, canceled, or rescinded. (C) Information indicating that the other individual, as described in the first sentence of this paragraph, did not have the opportunity to participate, within the meaning of Section 6015 of the Internal Revenue Code and the regulations thereunder, in the federal administrative or judicial proceeding that resulted in relief under Section 6015 of the Internal Revenue Code. (j) If, prior to the date the Franchise Tax Board issues its determination with respect to a request for relief under this section, the individual requesting relief demonstrates to the Franchise Tax Board that a request for relief has been filed with the Internal Revenue Service pursuant to Section 6015 of the Internal Revenue Code and demonstrates that the request for relief involves the same facts and circumstances as the request for relief that is pending before the Franchise Tax Board, the Franchise Tax Board may not deny relief with respect to that request, in whole or in part, until federal action on the request for relief under Section 6015 of the Internal Revenue Code is final. (k) An individual may not be granted relief under this section if a court has revised the tax liability in a proceeding for dissolution of the marriage in accordance with subdivision (b) of Section 19006. (l) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any procedure or rule prescribed by the Franchise Tax Board pursuant to this section. (m) (1) This section shall become operative on January 1, 2009. (2) The provisions of subdivision (i) and (j), as amended by the act adding this paragraph, shall apply on and after January 1, 2009. (3) The amendments made to subdivisions (e), (g), and (h) shall apply to requests for relief received on or after the effective date of the act adding this paragraph. (Amended by Stats. 2010, Ch. 318, Sec. 1. (SB 1065) Effective January 1, 2011.)
  22. 18534.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section lets the Franchise Tax Board shift community income to the other spouse in certain cases and, in some cases, relieve a taxpayer from tax liability. It also lets the Franchise Tax Board deny community property benefits when a taxpayer acts as if solely entitled to income and does not timely notify the spouse.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18534. (a) Under regulations prescribed by the Franchise Tax Board, if: (1) An individual does not file a joint return for any taxable year, (2) That individual does not include in gross income for that taxable year an item of community income properly includable therein, (3) The individual establishes that he or she did not know of, and had no reason to know of, that item of community income, and (4) Taking into account all facts and circumstances, it is inequitable to include that item of community income in that individual’s gross income, then, for purposes of Part 10 (commencing with Section 17001) and this part, that item of community income shall be included in the gross income of the other spouse (and not in the gross income of the individual). Under procedures prescribed by the Franchise Tax Board, if, taking into account all the facts and circumstances, it is inequitable to hold the individual liable for any unpaid tax or any deficiency (or any portion of either) attributable to any item for which relief is not available under the preceding sentence, the Franchise Tax Board may relieve the individual of that liability. (b) The Franchise Tax Board may disallow the benefits of any community property law to any taxpayer with respect to any income if that taxpayer acted as if solely entitled to that income and failed to notify the taxpayer’s spouse before the due date (including extensions) for filing the return for the taxable year in which the income was derived of the nature and amount of that income. (c) It is the intent of the Legislature that, in construing this section, any regulations that may be promulgated by the Secretary of the Treasury under Section 66(c) of the Internal Revenue Code, as amended by Public Law 105-206, shall apply to the extent that those regulations do not conflict with this section or with any regulations that may be promulgated by the Franchise Tax Board. (d) The amendments made by the act adding this subdivision shall apply to any liability for tax arising after the effective date of the act adding this subdivision and any liability for tax arising on or before that date but remaining unpaid as of that date. (Amended by Stats. 1999, Ch. 931, Sec. 6. Effective October 10, 1999.)
  23. 18535.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may allow a partnership to file a group return for electing nonresident partners, and the partnership must make the related tax payments as agent if required.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18535. (a) In lieu of electing nonresident partners filing a return pursuant to Section 18501, the Franchise Tax Board may, pursuant to requirements and conditions set forth in forms and instructions, provide for the filing of a group return for one or more electing nonresident partners by a partnership doing business in, or deriving income from, sources in California. The tax rate or rates applicable to each electing partner’s distributive share shall consist of the highest marginal rate or rates provided by Part 10 (commencing with Section 17001) plus, in the case of any electing nonresident partner included on the group return who would be subject to Section 17043 when filing individually, an additional tax rate of 1 percent. Except as provided in subdivision (b), no deductions shall be allowed except those necessary to determine each partner’s distributive share, and no credits shall be allowed except those directly attributable to the partnership. As required by the Franchise Tax Board, the partnership as agent for the electing partners shall make the payments of tax, additions to tax, interest, and penalties otherwise required to be paid by the electing partners. (b) Deductions provided by Chapter 5 (commencing with Section 17501) of Part 10, attributable to earned income of a partner derived from a partnership filing a group return on behalf of electing nonresident partners under subdivision (a), shall be allowed if the partner certifies, in the form and manner as the Franchise Tax Board may prescribe, that he or she has no earned income from any other source. (c) This section shall also be applicable to a nonresident shareholder of a corporation which is treated as an “S” corporation under Chapter 4.5 (commencing with Section 23800) of Part 11. In that case, the provisions of subdivisions (a) and (b) are modified to refer to“shareholder or shareholders” in lieu of “partners” and to “S” corporation in lieu of “partnership.” (d) This section shall also be applicable to a nonresident individual with a membership or economic interest in a limited liability company, registered limited liability partnership, or foreign limited liability partnership, which is classified as a partnership for California tax purposes. In that case, the provisions of subdivisions (a) and (b) are modified to refer to “holders of a membership or economic interest” in lieu of “partners” and to “limited liability companies” in lieu of “partnerships,” and “partnerships” shall include registered limited liability partnerships and foreign limited liability partnerships. (e) The Franchise Tax Board may adjust the income of an electing nonresident taxpayer included in a group return filed under this section to properly reflect income under Part 10 (commencing with Section 17001), including Chapter 11 thereof (commencing with Section 17951), this part (commencing with Section 18401), and Part 11 (commencing with Section 23001), including Chapter 17 thereof (commencing with Section 25101). (Amended by Stats. 2008, Ch. 751, Sec. 65. Effective September 30, 2008.)
  24. 18536.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may allow a corporation to file a group return for certain electing nonresident directors, and the corporation must pay the related tax and penalty amounts when required.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18536. (a) In lieu of electing nonresident directors filing a return pursuant to Section 18501, the Franchise Tax Board may, pursuant to requirements and conditions set forth in applicable forms and instructions, provide for the filing of a group return by a corporation for one or more electing nonresident individuals who receive wages, salaries, fees, or other compensation from that corporation for director services, including attendance of board of directors’ meetings that take place in this state. The tax rate or rates applicable to each director’s compensation for services performed in this state shall consist of highest marginal rate or rates provided for by Part 10 (commencing with Section 17001) of Division 2 plus, in the case of any electing nonresident director included on the group return who would be subject to Section 17043 when filing individually, an additional tax rate of 1 percent and no deductions or credits shall be allowed. As required by the Franchise Tax Board, the corporation, as the agent for the electing nonresident directors, shall make the payments of tax, additions to tax, interest, and penalties otherwise required to be paid by, or imposed on, the electing directors. (b) The Franchise Tax Board may adjust the income of an electing nonresident taxpayer included in a group return filed under this section to properly reflect the income under Part 10 (commencing with Section 17001) of Division 2. (Amended by Stats. 2008, Ch. 751, Sec. 66. Effective September 30, 2008.)
  25. 18537.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board must provide for group returns for electing nonresident aliens, and the taxpayer or its authorized filer must pay the related tax, interest, additions to tax, and penalties.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18537. (a) For taxable years beginning on or after January 1, 2021, in lieu of nonresident aliens filing a return pursuant to Section 18501, the Franchise Tax Board shall provide for the filing of a group return by a taxpayer, or an entity authorized by the taxpayer to file on its behalf, for one or more electing nonresident aliens who receive taxable income as computed under paragraph (1) of subdivision (i) of Section 17041 from that taxpayer for services that take place in this state. (b) For a nonresident alien electing to file in a group return pursuant to subdivision (a), the tax rate or rates applicable to each nonresident’s taxable income for services performed in this state for that taxpayer shall consist of the highest marginal rate or rates provided for by Part 10 (commencing with Section 17001) plus, in the case of any electing nonresident alien included on the group return who would be subject to Section 17043 when filing individually, an additional tax rate of 1 percent, and no deductions or credits shall be allowed, except credits allowed under Section 19002. (c) The taxpayer, or an entity authorized by the taxpayer to file on its behalf, as the agent for the electing nonresident aliens, shall make the payments of tax, additions to tax, interest, and penalties otherwise required to be paid by, or imposed on, the electing nonresident aliens. (d) Pursuant to Section 18624, the Franchise Tax Board shall not require a nonresident alien who is not eligible for or has not been issued a federal social security number (SSN) or a federal individual taxpayer identification number (ITIN) to provide a SSN or ITIN in order to file in a group return under this section. If the nonresident alien subsequently becomes eligible for and is issued a SSN or ITIN, the Franchise Tax Board may require the nonresident alien to provide a letter or other form documenting the nonresident alien’s SSN or ITIN. (e) The Franchise Tax Board may adjust the income of an electing nonresident alien taxpayer included in a group return filed under this section to properly reflect the income under Part 10 (commencing with Section 17001). (f) (1) The Franchise Tax Board may adopt regulations as necessary or appropriate to carry out the purposes of this section. (2) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any standard, criterion, procedure, determination, rule, notice, or guideline established or issued by the Franchise Tax Board. (g) For purposes of this section, “nonresident alien” shall have the same meaning as described in subdivision (f) of Section 18624. (Amended by Stats. 2025, Ch. 73, Sec. 2. (AB 1518) Effective January 1, 2026.)
  26. 18542.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may design tax returns that include a separate schedule for designating contributions to specified funds.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18542. Notwithstanding any other provision of law, the Franchise Tax Board may design tax returns to provide for the designation of contributions to specified funds, as otherwise provided by law, on a separate schedule which shall be attached to the primary return form. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  27. 18543.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board must add a checkbox on individual income tax returns for taxpayers who want no-cost or low-cost health care coverage, and it may share tax return information with the California Health Benefit Exchange for notification purposes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18543. For taxable years beginning on or after January 1, 2023, the Franchise Tax Board shall include a checkbox for a taxpayer to indicate on their individual income tax return that they are interested in no-cost or low-cost health care coverage and authorize the Franchise Tax Board to share information from their tax return with the California Health Benefit Exchange for purposes of providing notification under subdivision (b) of Section 100720 of the Government Code. (Added by Stats. 2022, Ch. 170, Sec. 2. (SB 967) Effective January 1, 2023.)
  28. 18544.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board must put donation consent checkboxes on resident income tax returns and make an MOU with Donate Life California about the return language.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18544. (a) For each taxable year beginning on or after January 1, 2025, the Franchise Tax Board shall include checkboxes on resident income tax returns to allow individuals, including spouses filing a joint return, heads of households, or surviving spouses, to provide written consent for Donate Life California to enroll the individual in the Donate Life California Organ and Tissue Donor Registry and for the Franchise Tax Board to share the individual’s information, as described in Section 19572.5, with Donate Life California for purposes of administering that registry. The individual’s written consent to have their information shared with Donate Life California shall be valid for one year from the date the return is signed. (b) The Franchise Tax Board shall enter into a memorandum of understanding with the Donate Life California Organ and Tissue Donor Registry for purposes of mutually agreeing on the language to be used on the returns pursuant to subdivision (a). (c) For purposes of this section, “Donate Life California Organ and Tissue Donor Registry” means the registry established pursuant to Section 7150.90 of the Health and Safety Code. (Added by Stats. 2023, Ch. 573, Sec. 1. (AB 1268) Effective January 1, 2024.)
  29. 18551.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Employers that must withhold personal income tax from wages must file returns and pay the tax.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18551. Section 13021 of the Unemployment Insurance Code sets forth requirements for the filing of returns and payment of tax by every employer required to withhold any personal income tax on wages. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  30. 18566.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Returns under this article must be filed by April 15 after a calendar year ends, or by the fifteenth day of the fourth month after a fiscal year ends.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18566. Returns filed under this article on the basis of the calendar year shall be filed on or before the 15th day of April following the close of the calendar year. Returns made on the basis of a fiscal year shall be filed on or before the fifteenth day of the fourth month following the close of the fiscal year. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  31. 18567.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may grant filing or payment extensions, but filing and payment rules still have limits and some tax penalties still apply.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18567. (a) (1) The Franchise Tax Board may grant a reasonable extension of time for filing any return, declaration, statement, or other document required by Part 10 (commencing with Section 17001) or this part in the manner and form as the Franchise Tax Board may determine. Except as provided in paragraph (2), no extension shall be for more than six months. (2) (A) In the case of a taxpayer residing or traveling abroad, returns shall be filed no later than the 15th day of the sixth month following the close of the taxable year, unless the requirements for extension have been fulfilled on or before that date. (B) In the case of a partnership required to file a return under Section 18633 or 18633.5, the extension shall be for no more than seven months. (b) An extension of time granted pursuant to this section is not an extension of time for payment of tax required to be paid on or before the due date of the return without regard to extension. Underpayment of tax penalties shall be imposed as provided by law without regard to any extension granted under this section. (c) A reasonable extension for payment of tax required by this part may be granted by the Franchise Tax Board whenever in its judgment good cause exists. (d) The amendments made to this section by the act adding this subdivision shall apply to returns required to be filed for taxable years beginning on or after January 1, 2017. (Amended by Stats. 2017, Ch. 21, Sec. 13. (AB 119) Effective June 27, 2017.)
  32. 18570.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board must automatically give certain service members, and their spouses, an extension to file returns, pay tax, and complete related steps, without application, and free of interest and penalties, with some income-withheld-at-source exceptions.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18570. (a) In the case of an individual who is serving as a member of the armed forces of the United States or any auxiliary branch thereof, or the merchant marine, beyond the boundaries of the United States, the Franchise Tax Board shall automatically grant, without application being made therefor, an extension of time, free from interest and penalties, for filing the return (except income withheld at source), for payment of the tax (except income withheld at source), for taking any of the steps required by Sections 19041, 19045, 19306, 19324, and 19331, until 180 days after his or her return to the United States. (b) “United States,” as used in subdivision (a), means the 50 states of the United States and the District of Columbia. (c) This section shall also apply to the spouse of any individual described in subdivision (a). (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  33. 18571.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section applies federal IRC Section 7508 timing relief for certain acts postponed because of service in a combat zone or contingency operation, with exceptions stated elsewhere.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18571. (a) The provisions of Section 7508 of the Internal Revenue Code, relating to time for performing certain acts postponed by reason of service in a combat zone or contingency operation, shall apply except as otherwise provided. (b) Section 7508(e)(1) of the Internal Revenue Code, relating to tax in jeopardy, etc., is modified to refer to jeopardy assessments and liens authorized under this part, in lieu of the references to Section 6851 and Chapter 70 or 71 of the Internal Revenue Code. (c) Notwithstanding Section 17034, this section shall be operative without regard to taxable years and shall be operative with respect to any actions specified in Section 18570 that are required or permitted to be taken on or after August 2, 1990. (Amended by Stats. 2005, Ch. 691, Sec. 41. Effective October 7, 2005.)
  34. 18572.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section lets certain taxpayers affected by a Governor-declared emergency get postponement of tax-related deadlines, with the Director of Finance determining the postponement and the Franchise Tax Board able to issue implementing regulations.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Individuals and Fiduciaries [18501 - 18572] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18572. (a) Section 7508A of the Internal Revenue Code, relating to postponement of certain tax-related deadlines, shall apply, except as otherwise provided. (b) Section 7508A of the Internal Revenue Code, relating to postponement of certain tax-related deadlines, shall apply to a taxpayer determined by the Director of Finance to be affected by a state of emergency declared by the Governor. (c) Notwithstanding any other provision of law, the postponement of certain tax-related deadlines under this section shall be determined by the Director of Finance. (d) (1) Section 7508A of the Internal Revenue Code, relating to postponement of certain tax-related deadlines, shall apply to an impacted taxpayer, during an additional relief period, that requests relief pursuant to this section. (2) For purposes of this subdivision, the following definitions shall apply: (A) “Additional relief period” means the period beginning on the date the state postponement period expires, if any, and ending on the date the federal postponement period expires. (B) “Federal postponement period” means the postponement period as defined in Section 301.7508A-1(d)(3) of Title 26 of the Code of Federal Regulations. (C) “Impacted taxpayer” means a taxpayer that meets both of the following: (i) Otherwise qualifies for relief under subdivision (a) or (b), but did not file their California tax return or make payments of tax or fee, as required under Part 10 (commencing with Section 17001), Part 11 (commencing with Section 23001), or this part, before the expiration of the state postponement period. (ii) Requests relief pursuant to this section in the form and manner prescribed by the Franchise Tax Board and shall, upon request, submit supporting documentation related to the declared disaster, pursuant to this section. (D) “State postponement period” means the postponement period determined by the Director of Finance pursuant to subdivision (c). (E) “Supporting documentation” means any of the following: (i) A letter from the Federal Emergency Management Agency that approves assistance to the impacted taxpayer pursuant to the federal Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. Sec. 5121 et seq.). (ii) A determination of award letter from the Small Business Administration disaster loan program that approves assistance to the impacted taxpayer. (iii) A statement, signed under penalty of perjury, from a tax professional indicating the impacted taxpayer’s books and records that are necessary to meet a tax deadline were destroyed in the disaster area or jurisdiction for which the Governor has proclaimed a state of emergency. (iv) A law enforcement report issued to the impacted taxpayer, related to theft or looting due to lawlessness occurring during the disaster or emergency and in the disaster area or jurisdiction for which the Governor proclaimed a state of emergency. (v) An insurance claim submitted by or on behalf of the impacted taxpayer, related to the disaster or conditions of emergency. (vi) Verification of disaster relief related to housing assistance, property damage, employment, public health, mortgage assistance, or business operation received from a government entity, banking institution, or organization described in Section 501(c)(3) of the Internal Revenue Code. (e) (1) The Franchise Tax Board may adopt regulations that are necessary or appropriate to implement this section. (2) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) shall not apply to any standard, criterion, procedure, determination, rule, notice, guideline, or any other guidance established or issued by the Franchise Tax Board pursuant to this section. (f) The amendments made to this section by the act adding this subdivision shall apply to any federally declared disaster or Governor-proclaimed state of emergency on or after the effective date of the act adding this subdivision. (Amended by Stats. 2024, Ch. 34, Sec. 28. (SB 167) Effective June 27, 2024.)
  35. 18601.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Most taxpayers subject to Part 11 must file a prescribed return with the Franchise Tax Board by the applicable deadline; special deadlines and extra S corporation/shareholder reporting rules apply.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18601. (a) Except as provided in subdivision (b), (c), or (d), every taxpayer subject to the tax imposed by Part 11 (commencing with Section 23001) shall, on or before the 15th day of the fourth month following the close of its taxable year, transmit to the Franchise Tax Board a return in a form prescribed by it, specifying for the taxable year, all the facts as it may by rule, or otherwise, require in order to carry out this part. A tax return, disclosing net income for any taxable year, filed pursuant to Chapter 2 (commencing with Section 23101) or Chapter 3 (commencing with Section 23501) of Part 11 shall be deemed filed pursuant to the proper chapter of Part 11 for the same taxable period, if the chapter under which the return is filed is determined erroneous. (b) In the case of cooperative associations described in Section 24404, returns shall be filed on or before the 15th day of the ninth month following the close of its taxable year. (c) In the case of taxpayers required to file a return for a short period under Section 24634, the due date for the short period return shall be the same as the due date of the federal tax return that includes the net income of the taxpayer for that short period, or the due date specified in subdivision (a) if no federal return is required to be filed that would include the net income for that short period. (d) (1) In the case of an “S corporation” described in Section 1361 of the Internal Revenue Code, relating to S corporation defined, returns shall be filed on or before the 15th day of the third month following the close of its taxable year. (2) For taxable years beginning on or after January 1, 1997, each “S corporation” required to file a return under subdivision (a) for any taxable year shall, on or before the day on which the return for the taxable year was filed, furnish each person who is a shareholder at any time during the taxable year a copy of the information shown on the return. (e) For taxable years beginning on or after January 1, 1997: (1) A shareholder of an “S corporation” shall, on the shareholder’s return, treat a Subchapter S item in a manner that is consistent with the treatment of the item on the corporate return. (2) (A) In the case of any Subchapter S item, paragraph (1) shall not apply to that item if both of the following occur: (i) Either of the following occurs: (I) The corporation has filed a return, but the shareholder’s treatment of the item on the shareholder’s return is, or may be, inconsistent with the treatment of the item on the corporate return. (II) The corporation has not filed a return. (ii) The shareholder files with the Franchise Tax Board a statement identifying the inconsistency. (B) A shareholder shall be treated as having complied with clause (ii) of subparagraph (A) with respect to a Subchapter S item if the shareholder does both of the following: (i) Demonstrates to the satisfaction of the Franchise Tax Board that the treatment of the Subchapter S item on the shareholder’s return is consistent with the treatment of the item on the schedule furnished to the shareholder by the corporation. (ii) Elects to have this paragraph apply with respect to that item. (3) In any case described in subclause (I) of clause (i) of subparagraph (A) of paragraph (2), and in which the shareholder does not comply with clause (ii) of subparagraph (A) of paragraph (2), any adjustment required to make the treatment of the items by the shareholder consistent with the treatment of the items on the corporate return shall be treated as arising out of a mathematical error and assessed and collected under Section 19051. (4) For purposes of this subdivision, “Subchapter S item” means any item of an “S corporation” to the extent provided by regulations that, for purposes of Part 10 (commencing with Section 17001) or this part, the item is more appropriately determined at the corporation level than at the shareholder level. (5) The penalties imposed under Article 7 (commencing with Section 19131) of Chapter 4 shall apply in the case of a shareholder’s negligence in connection with, or disregard of, the requirements of this section. (f) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016. (Amended by Stats. 2016, Ch. 348, Sec. 1. (AB 1775) Effective January 1, 2017.)
  36. 18602.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a corporation’s taxes, interest, or penalties were assessed, paid, or collected under Chapter 2 but should have been handled under Chapter 3, they are treated as if they had been handled under Chapter 3 from the original date.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18602. In the event that taxes, interest, and penalties have been or shall be assessed against, paid by, or collected from a corporation under Chapter 2 (commencing with Section 23101) of Part 11, which assessment, payment, or collection should have been made under Chapter 3 (commencing with Section 23501) of Part 11, those taxes, interest, and penalties shall be considered as having been assessed, paid, or collected under Chapter 3 (commencing with Section 23501) of Part 11 as of the date or dates they were made. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  37. 18604.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may grant a reasonable extension of time to file certain required documents, but the total extension cannot exceed seven months and it does not extend the time to pay tax.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18604. (a) The Franchise Tax Board may grant a reasonable extension of time for filing any return, declaration, statement, or other document required by Part 11 (commencing with Section 23001), in the manner and form as the Franchise Tax Board may determine. No extension or extensions shall aggregate more than seven months from the due date for filing the return. (b) An extension of time granted pursuant to this section is not an extension of time for payment of tax required to be paid on or before the due date of the return without regard to extension. Underpayment of tax penalties shall be imposed as provided by law without regard to any extension granted under this section. (Amended by Stats. 1999, Ch. 987, Sec. 54.5. Effective October 10, 1999.)
  38. 18606.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Receivers, trustees, or assignees operating a corporation’s property or business must file the corporation’s returns in the same manner and form as the corporation would. Tax due on those returns is collected the same way as if it were collected from the corporation.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [18601 - 18606] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18606. (a) In cases where receivers, trustees in a case under Title 11 of the United States Code, or assignees are operating the property or business of a corporation those receivers, trustees, or assignees shall make returns for that corporation in the same manner and form as that corporation is required to make a return. (b) Any tax due on the basis of returns made by receivers, trustees, or assignees shall be collected in the same manner as if collected from the corporation of whose business or property they have custody and control. (Amended by Stats. 1997, Ch. 605, Sec. 9. Effective January 1, 1998.)
  39. 18621.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Required tax filings must include a perjury declaration, use the Franchise Tax Board’s prescribed form, and be filed with the Board.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18621. Except as otherwise provided by the Franchise Tax Board and in Section 18621.5, any return, declaration, statement, or other document required to be made under any provision of Part 10 (commencing with Section 17001), Part 11 (commencing with Section 23001), this part, or any applicable regulation shall contain, or be verified by, a written declaration that it is made under the penalties of perjury. Those returns, and all other returns, declarations, statements, or other documents or copies thereof required, shall be in any form as the Franchise Tax Board may from time to time prescribe, including, but not limited to, on paper, on magnetic media pursuant to Section 19524, or by electronic technology or electronic imaging technology pursuant to Section 18621.5, and shall be filed with the Franchise Tax Board. The Franchise Tax Board shall prepare blank forms for the returns, declarations, statements, or other documents and shall distribute them throughout the state and furnish them upon application. Failure to receive or secure the form does not relieve any taxpayer from making any return, declaration, statement, or other document required. (Amended by Stats. 1994, Ch. 1243, Sec. 41. Effective September 30, 1994.)
  40. 18621.10.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a business entity’s return was prepared with tax preparation software, it must be filed electronically in the form and manner set by the Franchise Tax Board.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18621.10. (a) For taxable years beginning on or after January 1, 2014, if an acceptable return of a business entity was prepared using a tax preparation software, that return shall be filed using electronic technology in a form and manner prescribed by the Franchise Tax Board. (b) For purposes of this section: (1) “Acceptable return” means any original or amended return that is required to be filed pursuant to Article 2 (commencing with Section 18601), Section 18633, Section 18633.5, or Article 3 (commencing with Section 23771) of Chapter 4 of Part 11, other than the return for unrelated business taxable income required by Section 23771. (2) “Business entity” means a corporation, including an “S” corporation, an organization exempt from tax pursuant to Chapter 4 (commencing with Section 23701) of Part 11, a partnership, or a limited liability company. (3) “Tax preparation software” means any computer software program used to prepare an acceptable return or for use in tax compliance. (4) “Electronic technology” includes, but is not limited to, the Internet, cloud computing, or an electronic information delivery system. (5) “Technology constraints” means an inability of the tax preparation software used by a business entity to electronically file the acceptable return as required by this section as a result of the complex nature of the return or inadequacy of the software. (c) Any business entity required to file a return electronically under this section may annually request a waiver of the requirements of this section from the Franchise Tax Board with respect to an acceptable return filed for a taxable year. The Franchise Tax Board may grant a waiver if it determines the business entity is unable to comply with the requirements of this section due to, but not limited to, technology constraints, where compliance would result in undue financial burden, or due to circumstances that constitute reasonable cause, and not willful neglect, as applicable with respect to the penalty imposed under Section 19171. (d) This section applies to an acceptable return required to be filed on or after January 1, 2015. (Added by Stats. 2014, Ch. 478, Sec. 5. (AB 2754) Effective January 1, 2015.)
  41. 18621.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Electronic tax filings must use a Franchise Tax Board–prescribed form and are not filed unless the taxpayer signs the electronic filing declaration.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18621.5. (a) Any return, declaration, statement, or other document required to be made under this part that is filed using electronic technology shall be in a form as the Franchise Tax Board may prescribe and is not complete, and therefore not filed, unless an electronic filing declaration is signed by the taxpayer, in accordance with Section 18621 in the case of individuals, subdivision (a) of Section 18505 in the case of estates or trusts, corporations, or limited liability companies classified as corporations for California income tax purposes, subdivision (a) of Section 18633 in the case of a partnership, or Section 18633.5 in the case of limited liability companies classified as partnerships for California income tax purposes. The Franchise Tax Board may prescribe forms and instructions for requiring the electronic filing declaration to be retained by the preparer or taxpayer and may require the declaration to be furnished to the Franchise Tax Board upon request. (b) Notwithstanding any other provision of law, any return, declaration, statement, or other document otherwise required to be signed that is filed in a traditional medium and captured using electronic imaging technology shall be deemed to be a valid original document upon reproduction to paper form by the Franchise Tax Board. (c) Notwithstanding any other law, any return, declaration, statement, or other document otherwise required to be signed that is filed by the taxpayer using electronic technology in a form as required by the Franchise Tax Board shall be deemed to be a signed, valid original document, including upon reproduction to paper form by the Franchise Tax Board. (d) “Electronic imaging technology” means a system of microphotography, optical disk, or reproduction by other technique that does not permit additions, deletions, or changes to the original document. The system may include, but is not limited to, any magnetic media or other machine readable form. (e) “Traditional medium” means any return, declaration, statement, or other document required to be made pursuant to this article other than those made using electronic imaging technology. (f) “Electronic technology” includes, but is not limited to, computer modem, magnetic media, optical disk, facsimile machine, or telephone. (Amended by Stats. 1997, Ch. 605, Sec. 10. Effective January 1, 1998.)
  42. 18621.7.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board must not approve certain electronic filing software or tax preparation forms if access to them requires taxpayer consent to disclose information covered by Section 17530.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18621.7. The Franchise Tax Board shall not approve for electronic filing any proprietary filing software or electronic tax preparation forms that require a taxpayer to consent to the disclosure of any information for which a consent to disclose is required by Section 17530.5 of the Business and Professions Code as a condition of access to that software or to those electronic tax preparation forms. (Added by Stats. 2000, Ch. 1084, Sec. 6. Effective January 1, 2001.)
  43. 18621.9.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Some income tax preparers must file all acceptable individual income tax returns electronically.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18621.9. (a) If an income tax return preparer prepared more than 100 timely original individual income tax returns that were filed during any calendar year that began on and after January 1, 2003, and if in the current calendar year that income tax preparer prepares one or more acceptable individual income tax returns using tax preparation software, then, for that calendar year and for each subsequent calendar year thereafter, all acceptable individual income tax returns prepared by that income tax preparer shall be filed using electronic technology, as defined in Section 18621.5. (b) For purposes of this section: (1) “Income tax preparer” means a person that meets both of the following: (A) Any person that prepares, in exchange for compensation, or who employs another person to prepare, in exchange for compensation, any return for the tax imposed by Part 10 (commencing with Section 17001) (hereafter Part 10). A person that only performs those acts described in clauses (i) through (iv) of Section 7701(a)(36)(B) of the Internal Revenue Code, with respect to the preparation of a return for the tax imposed by Part 10, is not an income tax preparer for purposes of this section or for purposes of Section 19170. (B) Any person that prepares returns for the tax imposed by Part 10 that is also required, by this article, to include an identification number on any return prepared by that tax preparer for the tax imposed by Part 10. (2) “Original individual income tax return” means any return that is required, by Section 18501, to be made with respect to the tax imposed by Part 10. For purposes of subdivision (a), a “timely” original individual tax return means any original individual tax return that is filed, without regard to extensions, during the calendar year for which that tax return is required to be filed. (3) “Acceptable individual income tax return” means any original individual tax return that is authorized by the Franchise Tax Board to be filed using electronic technology, as defined in Section 18621.5. For purposes of this section, Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code does not apply to any rule, notice, or guideline issued by the Franchise Tax Board that identifies a tax return as an acceptable individual income tax return. (4) “Tax preparation software” means any computer software program intended for accounting, tax return preparation, or tax compliance. (c) Subdivision (a) shall cease to apply to an income tax preparer if, during the previous calendar year, that income tax preparer prepared no more than 25 original individual income tax returns. (d) (1) This section applies to acceptable individual income tax returns required to be filed on and after January 1, 2004. (2) This section may not be interpreted to require electronic filing of acceptable individual income tax returns that are required to be filed before January 1, 2004. (Amended by Stats. 2003, Ch. 455, Sec. 1. Effective January 1, 2004.)
  44. 18622.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Taxpayers must report certain federal tax changes to the Franchise Tax Board and may need to file an amended California return within six months.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18622. (a) If any item required to be shown on a federal tax return, including any gross income, deduction, penalty, credit, or tax for any year of any taxpayer is changed or corrected by the Commissioner of Internal Revenue or other officer of the United States or other competent authority, or where a renegotiation of a contract or subcontract with the United States results in a change in gross income or deductions, that taxpayer shall report each change or correction, or the results of the renegotiation, within six months after the date of each final federal determination of the change or correction or renegotiation, or as required by the Franchise Tax Board, and shall concede the accuracy of the determination or state wherein it is erroneous. For any individual subject to tax under Part 10 (commencing with Section 17001), changes or corrections need not be reported unless they increase the amount of tax payable under Part 10 (commencing with Section 17001) for any year. (b) Any taxpayer filing an amended return with the Commissioner of Internal Revenue shall also file within six months thereafter an amended return with the Franchise Tax Board which shall contain any information as it shall require. For any individual subject to tax under Part 10 (commencing with Section 17001), an amended return need not be filed unless the change therein would increase the amount of tax payable under Part 10 (commencing with Section 17001) for any year. (c) Notification of a change or correction by the Commissioner of Internal Revenue or other officer of the United States or other competent authority, or renegotiation of a contract or subcontract with the United States that results in a change in any item or the filing of an amended return must be sufficiently detailed to allow computation of the resulting California tax change and shall be reported in the form and manner as prescribed by the Franchise Tax Board. (d) For purposes of this part, the date of each final federal determination shall be the date on which each adjustment or resolution resulting from an Internal Revenue Service examination is assessed pursuant to Section 6203 of the Internal Revenue Code. (Amended by Stats. 1999, Ch. 987, Sec. 56. Effective October 10, 1999. Applicable, by Sec. 105 of Ch. 987, to federal determinations that become final on or after January 1, 2000.)
  45. 18622.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Partnerships must report federal changes or corrections to the Franchise Tax Board within six months after the final federal determination, and the filing must be detailed and in the form required by the Board.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18622.5. (a) Notwithstanding Section 18622, if any item required to be shown on a federal partnership return, including any partnership-related item, is changed or corrected by the Commissioner of Internal Revenue or other officer of the United States or other competent authority, and the partnership is issued an adjustment under Section 6225 of the Internal Revenue Code or makes a federal election for alternative payment with the Internal Revenue Service as part of a Partnership Level Audit, the partnership shall report each change or correction to the Franchise Tax Board for the reviewed year within six months after the date of each final federal determination. The report of adjustments or return reporting the adjustments shall be sufficiently detailed to allow computation of the California tax change resulting from the federal adjustment and shall be reported in the form and manner as prescribed by the Franchise Tax Board. (b) For purposes of this section the following terms have the following meanings: (1) “Administrative adjustment request” means an administrative adjustment request filed by a partnership under Section 6227 of the Internal Revenue Code. (2) “California share of the adjustments” means the adjustments described in subdivision (a), subject to the provisions of Chapter 11 (commencing with Section 17951) of Part 10 and the provisions of Chapter 17 (commencing with Section 25101) of Part 11. (3) “Date of each final federal determination” means the date on which each adjustment or resolution resulting from an Internal Revenue Service examination is assessed pursuant to Section 6203 of the Internal Revenue Code. (4) “Direct partner” means a partner that holds an interest directly in a partnership or pass-through entity. (5) “Federal adjustment” means a change to an item or amount determined under the Internal Revenue Code that is used by a partner or partnership to compute state tax owed for the reviewed year whether that change results from action by the Internal Revenue Service, including a Partnership Level Audit, or the filing of a federal refund claim, or an Administrative Adjustment Request by the partnership. A Federal Adjustment is positive to the extent that it increases taxable income as determined under Part 10 (commencing with Section 17001) or net income as determined under Part 11 (commencing with Section 23001) and is negative to the extent that it decreases taxable income as determined under Part 10 (commencing with Section 17001) or net income as determined under Part 11 (commencing with Section 23001). (6) “Federal election for alternative payment” refers to the election described in Section 6226 of the Internal Revenue Code, relating to alternative to payment of imputed underpayment by partnership. (7) “Indirect partner” means a partner in a partnership or pass-through entity that itself holds an interest directly, or through another indirect partner, in a partnership or pass-through entity. (8) “Partnership level audit” means an examination by the Internal Revenue Service at the partnership level pursuant to Subchapter C of Chapter 63 of Subtitle F of Title 26 of the Internal Revenue Code, which results in a federal adjustment. (9) “Publicly traded partnership” means either of the following: (A) A partnership that is a publicly traded partnership within the meaning of Section 7704 of the Internal Revenue Code. (B) Any other partnership where more than 10 percent of the profits or capital interest is owned directly or indirectly by a partnership described in subparagraph (A). (10) “Reallocation adjustment” means a federal adjustment that changes the shares of items of partnership income, gain, loss, expense, or credit allocated to direct partners. A positive reallocation adjustment means a reallocation adjustment that would increase state taxable income for direct partners, and a negative reallocation adjustment means a reallocation adjustment that would decrease state taxable income for direct partners. (11) “Reviewed year” has the meaning provided in Section 6225(d)(1) of the Internal Revenue Code. (12) “Tiered partner” means any partner that is a partnership or pass-through entity. (13) “Partnership-related item” has the meaning provided in Section 6241(2)(B) of the Internal Revenue Code. (c) (1) Notwithstanding Section 17024.5, and except as otherwise provided in this subdivision, any election made for federal purposes under the provisions of Subchapter C of Chapter 63 of the Internal Revenue Code (commencing with Section 6221) shall be applicable for purposes of Part 10 (commencing with Section 17001), this part, and Part 11 (commencing with Section 23001), and a separate election shall not be allowed. (2) In the case of any unitary partner whose distributive share of a partnership’s income and apportionment factors would properly be included in the computation of that partner’s business income (within the meaning of subdivision (a) of Section 25120) apportioned to California on that partner’s original California franchise or income tax return, subparagraph (A) of paragraph (1) of subdivision (d) shall not apply and instead such partner shall be treated as having filed an amended return within the meaning of Section 6225(c)(2) of the Internal Revenue Code for purposes of this section and that partner shall file an amended return to separately report its California share of the adjustments under Section 18622. (3) (A) Notwithstanding paragraph (1), and subject to the requirement of paragraph (2), a partnership may file a request, in the form and manner specified by the Franchise Tax Board, to make an election different from their federal election under this section, and the Franchise Tax Board shall grant such requests as specified in subparagraphs (B) and (C). (B) In the case where an audited partnership or a tiered partnership makes a federal election for alternative payment, which requires adjustments to be taken into account by the partners, the Franchise Tax Board shall grant a request to make an election different from their federal election pursuant to subparagraph (A), provided that the partnership properly computes the amount of the tax due under the provisions specified in subparagraph (A) of paragraph (1) of subdivision (d). (C) In the case where an audited partnership pays the tax at the federal level under Section 6225(a) of the Internal Revenue Code or a tiered partnership pays the tax at the federal level under Section 6226(b)(4)(A)(ii)(II), the Franchise Tax Board shall grant a request to make an election different from their federal election pursuant to subparagraph (A), provided the partnership is able to demonstrate to the Franchise Tax Board that the Franchise Tax Board’s ability to collect any state income or franchise taxes would not be impeded and the partnership properly follows the reporting provisions specified in paragraph (2) of subdivision (d). (4) (A) Each tiered partner and each indirect partner of an audited partnership shall be subject to the applicable election, reporting and payment requirements for audited partnerships and their direct partners under this section. (B) Each tiered partner and indirect partner must make all reports and payments required to be made by such partners under this section no later than 90 days after the time for filing and furnishing statements to tiered partners and their partners, as required under Section 6226 of the Internal Revenue Code and any regulations thereunder. (d) (1) (A) If the change or correction described in subdivision (a) results in an increase of the amount of tax payable under Part 10 (commencing with Section 17001), this part, or Part 11 (commencing with Section 23001), and if paragraph (2) does not apply, then a tax is hereby imposed on the partnership determined as follows, in lieu of taxes owed by its direct partners and indirect partners: (i) Exclude from federal adjustments and any positive reallocation adjustments the distributive share of these adjustments made to a tax-exempt partner that is not unrelated business taxable income within the meaning of Section 23731. (ii) Exclude from federal adjustments and any positive reallocation adjustments the distributive share of the adjustments made to a partner that has previously filed an amended return under Section 18622 reporting the distributive share and paid any additional state tax liability due. (iii) With respect to any corporate partner or tax-exempt partner that is not excluded under paragraph (2) of subdivision (c) or clauses (i) or (ii), determine the total distributive share of all federal adjustments and positive reallocation adjustments, and apportion and allocate the adjustments as provided in Chapter 17 (commencing with Section 25101) of Part 11, and multiply that amount by the highest marginal tax rate provided in Sections 23151 or 23501, as applicable, for the reviewed year. (iv) With respect to all tiered partners, nonresident individual partners, or nonresident fiduciary partners not excluded under paragraph (2) of subdivision (c) or clause (i) or (ii) or taken into account under clause (iii), determine the total distributive share of all federal adjustments and positive reallocation adjustments and compute the amount of California source income attributable to the adjustments as provided in Chapter 11 (commencing with Section 17951) of Part 10 and the provisions of Chapter 17 (commencing with Section 25101) of Part 11, and multiply that amount by the highest marginal tax rate applicable to individuals for the reviewed year. (v) With respect to all resident partners, resident fiduciary partners, or any other partners not excluded under paragraph (2) of subdivision (c) or clauses (i) or (ii) or taken into account under clauses (iii) or (iv), determine the total distributive share of all federal adjustments and positive reallocation adjustments that are subject to tax under subdivisions (a) or (c) of Section 17041, and multiply that amount by the highest marginal tax rate applicable to individuals for the reviewed year. (vi) The total tax imposed under this paragraph shall be equal to the sum of the amounts determined under clauses (iii), (iv), and (v). The tax imposed under this subdivision shall be due and payable as provided in Section 19001 and treated as if imposed under Part 10 (commencing with Section 17001). (B) Penalties and interest, as applicable, shall be imposed under Article 6 of Chapter 4 (commencing with Section 19101) and Article 7 of Chapter 4 (commencing with Section 19131) from the original due date of the partnership return for the reviewed year. (2) If the partnership makes a federal election for alternative payment under Section 6226 of the Internal Revenue Code, then the partnership shall file an amended California Nonresident Group Return for all nonresident direct partners under Section 18535 and pay the additional amount of tax due that would have been due had the federal adjustments been reported properly as required. For any partners not included in the amended California Nonresident Group Return, the amount reported to each partner shall be an adjustment to the partner’s share of partnership items as a result of the change or correction in subdivision (a) and each partner shall report any adjustments in accordance with Section 18622. (e) Subject to the approval of the Franchise Tax Board, an audited partnership or tiered partner may enter into an alternative agreement with the Franchise Tax Board regarding any issue resulting from a federal audit adjustment, amended federal return, or administrative adjustment that would otherwise be subject to this section, including, but not limited to, the reporting and payment of tax, applicable time requirements, or any other provision that will provide, to the satisfaction of the Franchise Tax Board, for the reporting and payment of any taxes, penalties, and interest due pursuant to this section. (f) (1) If a partnership files a report or return as required under subdivision (a) after the six-month period specified in subdivision (a) or if the partnership or partner does not pay the tax required under subdivision (c) when due and payable, the Franchise Tax Board shall mail notice to the partnership of the deficiency proposed to be assessed pursuant to Section 19033. The deficiency proposed to be assessed must be mailed within four years from the date the change or correction was reported pursuant to subdivision (a), the return or payment was due, or within four years from the date the return was filed, whichever period expires later. (2) If a partnership files a report, or files a return required under subdivision (a) within six months of the final federal determination, the Franchise Tax Board shall mail notice to the partnership of the deficiency proposed to be assessed pursuant to Section 19033. The deficiency proposed to be assessed must be mailed within two years from the date the change or correction was reported pursuant to subdivision (a). (3) If the partnership fails to file a report or return as required by subdivision (a), a notice of proposed deficiency assessment resulting from the federal determination may be made at any time. (g) (1) Nothing in this section is intended to prevent the Franchise Tax Board from assessing direct partners or indirect partners for taxes they owe in the event that an audited partnership or tiered partner fails to timely make any report or payment required by this section for any reason. (2) If a partnership’s report of the California tax changes resulting from the adjustments filed pursuant to subdivision (a) results in an overstatement of California taxable or net income, the adjustment shall be applied as follows: (A) If the original adjustments were passed through to the partners under paragraph (2) of subdivision (c), the revised adjustment shall be passed through to the partners. The partnership shall file or amend the return as described in subdivision (a). (B) If the tax on the adjustments was originally paid by the partnership under paragraph (1) of subdivision (c), the partnership may amend the return filed under paragraph (1) of subdivision (c) to claim a refund of that overpayment within the time periods provided by Section 19311. This subparagraph shall not allow a partnership to claim an overpayment for amounts not actually paid by the partnership. (3) If properly reported and paid by the partnership or tiered partner, the amount determined in subparagraph (A) of paragraph (1) of subdivision (d) or similarly under an optional election, will be treated as paid in satisfaction of taxes owed by its direct and indirect partners on the same federal adjustments. The direct partners or indirect partners may not take any deduction or credit for this amount or claim a refund of the amount in this state. Nothing in this subdivision shall preclude a partner from claiming a credit against taxes paid to this state pursuant to Chapter 12 (commencing with Section 18001) of Part 10 of Division 2, with respect to any amount paid by the partnership, or any amount paid by any tiered partnership that is a direct partner or indirect partner in the partnership, on that partner’s behalf to another state. (h) (1) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any standard, criterion, procedure, determination, rule, notice, or guideline established or issued by the Franchise Tax Board pursuant to this section, including any requirements or procedures necessary to seek a written consent under paragraph (3) of subdivision (g). (2) The Franchise Tax Board may prescribe regulations necessary or appropriate to implement the purposes of this section, including regulations to determine the California share of adjustments. (i) A publicly traded partnership that is otherwise in compliance with this section shall not be subject to paragraph (2) of subdivision (d). For purposes of the reporting requirements set forth in subdivision (a), a publicly traded partnership shall only be required to report their direct partners’ distributive share of a federal adjustment to the Franchise Tax Board. A publicly traded partnership shall be deemed to have made a federal election for alternative payment pursuant to Section 6226 of the Internal Revenue Code unless the publicly traded partnership files a request to make an election different from their federal election pursuant to paragraph (3) of subdivision (c). (j) In order to reduce the administrative burden on taxpayers that may be imposed by additional filings and payments that do not contribute materially to revenue, the Franchise Tax Board shall convene a meeting or meetings of interested parties for the purpose of determining appropriate de minimis partner reporting and payment requirements as the result of a partnership level audit. (k) (1) With respect to an action required or permitted to be taken by a partnership under this section and a proceeding under this part with respect to federal adjustments arising from a partnership level audit or an administrative adjustment request, the state partnership representative for the reviewed year shall have the sole authority to act on behalf of the partnership, and its partners and indirect partners shall be bound by those actions. (2) The state partnership representative for the reviewed year is the partnership’s federal partnership representative, unless the partnership designates in writing another person as its state partnership representative. (3) The Franchise Tax Board may establish reasonable qualifications for and procedures for designating a person, other than the federal partnership representative, to be the state partnership representative. (l) This section shall apply to final federal determinations assessed pursuant to amendments made to Subchapter C of Chapter 63 of the Internal Revenue Code as in effect January 1, 2018. (Amended by Stats. 2025, Ch. 231, Sec. 64. (SB 711) Effective October 1, 2025.)
  46. 18623.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may set rules for rounding amounts shown on returns and related documents, and filers may use those rules under Board regulations.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18623. (a) The Franchise Tax Board is authorized to provide, with respect to any amount required to be shown on any return, form, statement, or other document required to be filed with the Franchise Tax Board, that if the amount of the item is other than a whole dollar amount, either of the following shall apply: (1) The fractional part of a dollar shall be disregarded. (2) The fractional part of a dollar shall be disregarded unless it amounts to one-half dollar ($0.50) or more, in which case the amount (determined without regard to the fractional part of a dollar) shall be increased by one dollar ($1). (b) Any person making a return, statement, or other document shall be allowed, under regulations prescribed by the Franchise Tax Board, to make the return, statement, or other document without regard to subdivision (a). (c) Subdivisions (a) and (b) shall not be applicable to items which must be taken into account in making the computations necessary to determine the amount required to be shown on a form, but shall be applicable only to the final amount. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  47. 18624.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may not require certain nonresident aliens to provide a SSN or ITIN to file covered state tax documents, but it may later ask for documentation if they become eligible for and receive one.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18624. (a) Section 6109 of the Internal Revenue Code, relating to identifying numbers, shall apply, except as otherwise provided. (b) Identifying numbers shall be required on state tax returns, statements, or other documents in the form and manner as the Franchise Tax Board may require. (c) Section 6109(h) of the Internal Revenue Code, relating to identifying information required with respect to certain seller-provided financing, shall not apply. (d) The amendments made to Section 6109(a) of the Internal Revenue Code, relating to identifying number of income tax return preparer, by Public Law 105-206 shall apply. (e) The amendments made by Chapter 931 of the Statutes of 1999 shall be operative on the effective date of that chapter. (f) (1) For taxable years beginning on or after January 1, 2021, the Franchise Tax Board shall not require a nonresident alien who is not eligible for or has not been issued a federal social security number (SSN) or a federal individual taxpayer identification number (ITIN) to provide a SSN or ITIN in order to file a state tax return, statement, or other document required under this part. If a nonresident alien subsequently becomes eligible for and is issued a SSN or ITIN, the Franchise Tax Board may require the nonresident alien to provide a letter or other form documenting the nonresident alien’s SSN or ITIN. (2) For purposes of this subdivision, “nonresident alien” shall mean a nonresident, as defined in Section 17015, who also meets the requirements of Section 7701(b)(1)(B) of the Internal Revenue Code. (Amended (as amended by Stats. 2020, Ch. 102, Sec. 3) by Stats. 2025, Ch. 73, Sec. 3. (AB 1518) Effective January 1, 2026.)
  48. 18625.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    An income tax return preparer must give the taxpayer a copy of any state tax return and keep information as required by Section 6107 of the Internal Revenue Code.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18625. An income tax return preparer shall furnish a copy of any state tax return to a taxpayer and retain information in accordance with Section 6107 of the Internal Revenue Code. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  49. 18626.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    For Chapter 9 on fraudulent-return criminal penalties, “return” includes electronic returns filed under this part under Section 18621.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18626. For purposes of Chapter 9 (commencing with Section 19701), which relates to criminal penalties in the case of fraudulent returns, the term “return” includes any return filed under this part using electronic technology pursuant to Section 18621.5. (Added by Stats. 1995, Ch. 845, Sec. 1. Effective January 1, 1996.)
  50. 18628.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Material advisors must send reportable-transaction information to the Franchise Tax Board and, in some cases, file listed-transaction returns by deadline.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. General Provisions Applicable to All Persons [18621 - 18628] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18628. (a) Section 6111 of the Internal Revenue Code, relating to disclosure of reportable transactions, applies, except as otherwise provided. (b) (1) Except as provided in subdivision (e), a material advisor is required to send a duplicate of the federal return, if applicable, or the same information required to be provided on the federal reportable transactions return for California reportable transactions to the Franchise Tax Board not later than the date specified by the Franchise Tax Board or the Secretary of the Treasury. (2) (A) The information provided to the Franchise Tax Board pursuant to paragraph (1) shall also include any other information required by a Franchise Tax Board Notice. (B) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code does not apply to any additional information requested under this section. (c) Section 6111 of the Internal Revenue Code is modified by substituting the phrase “Secretary or the Franchise Tax Board” for the word “Secretary” in each place it appears. (d) The reportable transactions return requirements of this section shall apply to any material advisor with respect to any reportable transaction, as defined in Section 6707A(c) of the Internal Revenue Code with respect to a material advisor that satisfies any of the following conditions: (1) Is organized in this state. (2) Is doing business in this state. (3) Derives income from sources in this state. (4) Provides any material aid, assistance, or advice with respect to organizing, managing, promoting, selling, implementing, insuring, or carrying out any reportable transaction with respect to a taxpayer that meets any of the following requirements: (A) Is organized in this state. (B) Does business in this state. (C) Derives income from sources in this state. (e) In addition to the requirements set forth in subdivision (a), for any transactions entered into on or after February 28, 2000, that become listed transactions (as defined under Section 6707A(c)(2) of the Internal Revenue Code) at any time, a return for those transactions shall be required to be filed with the Franchise Tax Board by the later of: (1) Sixty days after entering into the transaction. (2) Sixty days after the transaction becomes a listed transaction. (3) Sixty days after the effective date of the act amending this section. (f) In addition to the requirements set forth in subdivisions (a) and (e), for any transactions entered into on or after September 2, 2003, that are specifically identified by the Franchise Tax Board for California income or franchise tax purposes (under the authority of paragraph (4) of subdivision (a) of Section 18407) as a “listed transaction” at any time, a return for those transactions shall be required to be filed with the Franchise Tax Board by the later of: (1) Sixty days after entering into the transaction. (2) Sixty days after the transaction becomes a listed transaction. (3) Sixty days after the effective date of the act amending this section. (Amended by Stats. 2005, Ch. 691, Sec. 42.5. Effective October 7, 2005.)
  51. 18631.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section lets California require certain filers of federal information returns to file a copy with the Franchise Tax Board, and it also requires related recipient statements and some confidentiality rules.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18631. (a) This article does not apply to any payment of interest obligations not taxable under Part 10 (commencing with Section 17001) or Part 11 (commencing with Section 23001). (b) Except as otherwise provided, every person required to file an information return with the Secretary of the Treasury under any of the federal sections listed in subdivision (c) may be required to file a copy of the federal information return with the Franchise Tax Board at the time and in the manner as it may, by forms and instructions, require. (c) Subdivision (b) shall apply to each of the following: (1) Section 6034A of the Internal Revenue Code, relating to information to beneficiaries of estates and trusts. (2) Section 6039 of the Internal Revenue Code, relating to returns required in connection with certain options. (3) Section 6039C of the Internal Revenue Code, relating to returns with respect to foreign persons holding direct investments in United States real property interests, if that person holds a direct investment in a California real property as defined in Section 18662. (4) Section 6041 of the Internal Revenue Code, relating to information at source. (5) Section 6041A of the Internal Revenue Code, relating to returns regarding payments of remuneration for services and direct sales, except that no return or statement shall be required with respect to direct sales pursuant to Section 6041A(b) of the Internal Revenue Code. (6) Section 6042 of the Internal Revenue Code, relating to returns regarding payments of dividends and corporate earnings and profits. (7) Section 6045 of the Internal Revenue Code, relating to returns of brokers. (8) Section 6049 of the Internal Revenue Code, relating to returns regarding payments of interest. (9) Section 6050H of the Internal Revenue Code, relating to returns relating to mortgage interest received in trade or business from individuals. (10) (A) Section 6050I of the Internal Revenue Code, relating to returns relating to cash received in trade or business, etc., except that Section 6050I(g) of the Internal Revenue Code, relating to cash received by criminal court, shall not apply. (B) (i) The Attorney General shall, upon court order following a showing ex parte to a magistrate of an articulable suspicion that an individual or entity has committed a felony offense to which a federal information return is related, be provided a copy of a federal information return filed with the Franchise Tax Board under this paragraph. The Attorney General may make a return or information therefrom available to a district attorney subject to regulations promulgated by the Attorney General. The regulations shall require the district attorney seeking the return or information to specify in writing the specific reasons for believing that a felony offense has been committed to which the return or information is related. (ii) Any information or return obtained by the Attorney General or a district attorney pursuant to this subparagraph shall be confidential and used only for investigative or prosecutorial purposes. (11) Section 6050J of the Internal Revenue Code, relating to returns relating to foreclosures and abandonments of security. (12) (A) Section 6050K of the Internal Revenue Code, relating to returns relating to exchanges of certain partnership interests. (B) In addition to the general requirement under subparagraph (A), a transferor of a partnership interest shall be required to notify the partnership of that exchange in accordance with Section 6050K(c) of the Internal Revenue Code. (13) Section 6050L of the Internal Revenue Code, relating to returns relating to certain donated property. (14) Section 6050N of the Internal Revenue Code, relating to returns regarding payments of royalties. (15) Section 6050P of the Internal Revenue Code, relating to returns relating to the cancellation of indebtedness by certain entities. (16) Section 6050Q of the Internal Revenue Code, relating to certain long-term care benefits. (17) Section 6050R of the Internal Revenue Code, relating to returns relating to certain purchases of fish. (18) Section 6050S of the Internal Revenue Code, relating to returns relating to higher education tuition and related expenses. (19) Section 6052 of the Internal Revenue Code, relating to returns regarding payment of wages in the form of group-term life insurance. (20) Section 6034(a) of the Internal Revenue Code, relating to returns of split-interest trusts. (21) Section 6039I of the Internal Revenue Code, relating to returns and records with respect to employer-owned life insurance contracts. (22) Section 6039J of the Internal Revenue Code, relating to information reporting with respect to commodity credit corporation transactions. (23) Section 6050V of the Internal Revenue Code, relating to returns relating to applicable insurance contracts in which certain exempt organizations hold interests. (24) Section 6050W of the Internal Revenue Code, relating to returns relating to payments made in settlement of payment card and third party network transactions. (25) Any information return that is required to be filed with the Secretary of the Treasury pursuant to a provision of Part III of Subchapter A of Chapter 61 of Subtitle F (commencing with Section 6031) of the Internal Revenue Code that is added to the Internal Revenue Code by a public law enacted on or after January 1, 2009. (d) Every person required to make a return under subdivision (b) shall also furnish a statement to each person whose name is required to be set forth in the return, as required to do so by the Internal Revenue Code. (Amended by Stats. 2010, Ch. 14, Sec. 42. (SB 401) Effective January 1, 2011.)
  52. 18631.7.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain check cashers must file an informational return with the Franchise Tax Board for large non-exempt check-cashing transactions.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18631.7. (a) Any check casher engaged in the trade or business of cashing checks that, in the course of that trade or business, cashes checks other than one-party checks, payroll checks, or government checks totaling more than ten thousand dollars ($10,000) in one transaction or two or more transactions for the same person within the calendar year, shall file an informational return with the Franchise Tax Board with respect to that transaction or transactions. (b) The return required in subdivision (a) shall be filed no later than 90 days after the end of the calendar year and in the form and manner prescribed by the Franchise Tax Board, and shall, at a minimum, contain both of the following: (1) The name, address, taxpayer identification number, and any other identifying information of the person presenting the check that the Franchise Tax Board deems necessary. (2) The amount and date of the transaction or transactions. (c) For purposes of this section the following definitions apply: (1) Except as otherwise provided, “check casher” means a check casher as defined under Section 1789.31 of the Civil Code. (2) “Checks” includes warrants, drafts, money orders, and other commercial paper serving the same purposes, including payroll checks, government checks, and one-party checks. (3) “Government check” means a check issued by a federal, state, or local governmental entity and treated as a government check pursuant to Section 1789.35 of the Civil Code for fee-setting purposes. (4) “Payroll check” means a check for wages subject to withholding pursuant to Section 13020 of the Unemployment Insurance Code and treated as a payroll check pursuant to Section 1789.35 of the Civil Code for fee-setting purposes. (5) “One-party check” means a check drawn upon the maker’s account and presented by the maker. (d) With respect to a person who fails to file the report required by this section or fails to include all of the information required to be shown on that report, both of the following apply: (1) Sections 6721 and 6724 of the Internal Revenue Code shall apply, except that the “Franchise Tax Board” is substituted for the “secretary” in each place it appears in those sections. (2) If the failure was willful, the person, upon conviction, shall be punished by a fine of not more than twenty-five thousand dollars ($25,000) or, in the case of a corporation, not more than one hundred thousand dollars ($100,000), by imprisonment in a county jail for not more than one year, by imprisonment pursuant to subdivision (h) of Section 1170 of the Penal Code, or by both that fine and imprisonment, together with the costs of prosecution. (Amended by Stats. 2025, Ch. 231, Sec. 65. (SB 711) Effective October 1, 2025.)
  53. 18632.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section says certain Unemployment Insurance Code provisions are administered by the Employment Development Department for reporting, collection, employer refunds, and enforcement of wage-withholding taxes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18632. Division 6 (commencing with Section 13000) of the Unemployment Insurance Code sets forth provisions administered by the Employment Development Department relating to the reporting, collection, refunding to the employer, and enforcement of taxes required to be withheld from wages paid by employers. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  54. 18633.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Partnerships must file annual returns by the 15th day of the third month after year-end, and related information must be shared with partners and nominee holders.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18633. (a) (1) Every partnership, on or before the 15th day of the third month following the close of its taxable year, shall make a return for that taxable year, stating specifically the items of gross income and the deductions allowed by Part 10 (commencing with Section 17001). Except as otherwise provided in Section 18621.5, the return shall include the names, addresses, and taxpayer identification numbers of the persons, whether residents or nonresidents, who would be entitled to share in the net income if distributed and the amount of the distributive share of each person. The return shall contain or be verified by a written declaration that it is made under penalty of perjury, signed by one of the partners. (2) In addition to returns required by paragraph (1), every limited partnership subject to the tax imposed by subdivision (b) of Section 17935, on or before the 15th day of the third month following the close of its taxable year, shall make a return for that taxable year, containing the information identified in paragraph (1). In the case of a limited partnership not doing business in this state, the Franchise Tax Board shall prescribe the manner and extent to which the information identified in paragraph (1) shall be included with the return required by this paragraph. (b) Each partnership required to file a return under subdivision (a) for any taxable year shall (on or before the day on which the return for that taxable year was required to be filed) furnish to each person who is a partner or who holds an interest in that partnership as a nominee for another person at any time during that taxable year a copy of the information required to be shown on that return as may be required by regulations. (c) Any person who holds an interest in a partnership as a nominee for another person shall do both of the following: (1) Furnish to the partnership, in the manner prescribed by the Franchise Tax Board, the name, address, and taxpayer identification number of that other person, and any other information for that taxable year as the Franchise Tax Board may by form and regulation prescribe. (2) Furnish to that other person, in the manner prescribed by the Franchise Tax Board, the information provided by that partnership under subdivision (b). (d) The provisions of Section 6031(d) of the Internal Revenue Code, relating to the separate statement of items of unrelated business taxable income, shall apply. (e) The provisions of Section 6031(f) of the Internal Revenue Code, relating to electing investment partnerships, shall apply, except as otherwise provided. (f) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016. (Amended by Stats. 2016, Ch. 348, Sec. 2. (AB 1775) Effective January 1, 2017.)
  55. 18633.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain LLCs must file annual returns, share specified return information with members and interested persons, and file or pay additional nonresident-member-related documents and amounts when required.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18633.5. (a) Every limited liability company that is classified as a partnership for California tax purposes that is doing business in this state, organized in this state, or registered with the Secretary of State shall file its return on or before the 15th day of the third month following the close of its taxable year, stating specifically the items of gross income and the deductions allowed by Part 10 (commencing with Section 17001). The return shall include the names, addresses, and taxpayer identification numbers of the persons, whether residents or nonresidents, who would be entitled to share in the net income if distributed and the amount of the distributive share of each person. The return shall contain or be verified by a written declaration that it is made under penalty of perjury, signed by one of the limited liability company members. In the case of a limited liability company not doing business in this state, and subject to the tax imposed by subdivision (b) of Section 17941, the Franchise Tax Board shall, for returns required to be filed on or after January 1, 1998, prescribe the manner and extent to which the information identified in this subdivision shall be included with the return required by this subdivision. (b) Each limited liability company required to file a return under subdivision (a) for any limited liability company taxable year shall, on or before the day on which the return for that taxable year was required to be filed, furnish to each person who holds an interest in that limited liability company at any time during that taxable year a copy of that information required to be shown on that return as may be required by forms and instructions prescribed by the Franchise Tax Board. (c) Any person who holds an interest in a limited liability company as a nominee for another person shall do both of the following: (1) Furnish to the limited liability company, in the manner prescribed by the Franchise Tax Board, the name, address, and taxpayer identification number of that person, and any other information for that taxable year as the Franchise Tax Board may prescribe by forms and instructions. (2) Furnish to that other person, in the manner prescribed by the Franchise Tax Board, the information provided by that limited liability company under subdivision (b). (d) The provisions of Section 6031(d) of the Internal Revenue Code, relating to the separate statement of items of unrelated business taxable income, shall apply. (e) (1) A limited liability company shall file with its return required under subdivision (a), in the form required by the Franchise Tax Board, the agreement of each nonresident member to file a return pursuant to Section 18501, to make timely payment of all taxes imposed on the member by this state with respect to the income of the limited liability company, and to be subject to personal jurisdiction in this state for purposes of the collection of income taxes, together with related interest and penalties, imposed on the member by this state with respect to the income of the limited liability company. If the limited liability company fails to timely file the agreements on behalf of each of its nonresident members, then the limited liability company shall, at the time set forth in subdivision (f), pay to this state on behalf of each nonresident member of whom an agreement has not been timely filed an amount equal to the highest marginal tax rate in effect under Section 17041, in the case of members that are individuals, estates, or trusts, and Section 23151, in the case of members that are corporations, multiplied by the amount of the member’s distributive share of the income source to the state reflected on the limited liability company’s return for the taxable period, reduced by the amount of tax previously withheld and paid by the limited liability company pursuant to Section 18662 and the regulations thereunder with respect to each nonresident member. A limited liability company shall be entitled to recover the payment made from the member on whose behalf the payment was made. (2) If a limited liability company fails to attach the agreement or to timely pay the payment required by paragraph (1), the payment shall be considered the tax of the limited liability company for purposes of the penalty prescribed by Section 19132 and interest prescribed by Section 19101 for failure to timely pay the tax. Payment of the penalty and interest imposed on the limited liability company for failure to timely pay the amount required by this subdivision shall extinguish the liability of a nonresident member for the penalty and interest for failure to make timely payment of all taxes imposed on that member by this state with respect to the income of the limited liability company. (3) No penalty or interest shall be imposed on the limited liability company under paragraph (2) if the nonresident member timely files and pays all taxes imposed on the member by this state with respect to the income of the limited liability company. (f) Any agreement of a nonresident member required to be filed pursuant to subdivision (e) shall be filed at either of the following times: (1) The time the annual return is required to be filed pursuant to this section for the first taxable period for which the limited liability company became subject to tax pursuant to Chapter 10.6 (commencing with Section 17941). (2) The time the annual return is required to be filed pursuant to this section for any taxable period in which the limited liability company had a nonresident member on whose behalf an agreement described in subdivision (e) has not been previously filed. (g) Any amount paid by the limited liability company to this state pursuant to paragraph (1) of subdivision (e) shall be considered to be a payment by the member on account of the income tax imposed by this state on the member for the taxable period. (h) Every limited liability company that is classified as a corporation for California tax purposes shall be subject to the requirement to file a tax return under the provisions of Part 10.2 (commencing with Section 18401) and the applicable taxes imposed by Part 11 (commencing with Section 23001). (i) (1) Every limited liability company doing business in this state, organized in this state, or registered with the Secretary of State, that is disregarded pursuant to Section 23038 shall file a return that includes information necessary to verify its liability under Sections 17941 and 17942, provides its sole owner’s name and taxpayer identification number, includes the consent of the owner to California tax jurisdiction, and includes other information necessary for the administration of this part, Part 10 (commencing with Section 17001), or Part 11 (commencing with Section 23001). (2) If the owner’s consent required under paragraph (1) is not included, the limited liability company shall pay on behalf of its owner an amount consistent with, and treated the same as, the amount to be paid under subdivision (e) by a limited liability company on behalf of a nonresident member for whom an agreement required by subdivision (e) is not attached to the return of the limited liability company. (3) (A) Except as provided in subparagraph (B), the return required under paragraph (1) shall be filed on or before the 15th day of the fourth month after the close of the taxable year of the owner subject to tax under Part 10 (commencing with Section 17001) or Chapter 2 (commencing with Section 23101) of Part 11. (B) In the event that the owner is an “S corporation,” a partnership, or a limited liability company classified as a partnership for California tax purposes, the return required under paragraph (1) shall be filed on or before the 15th day of the third month after the close of the taxable year. (4) For limited liability companies disregarded pursuant to Section 23038, “taxable year of the owner” shall be substituted for “taxable year” in Sections 17941 and 17942. (j) The amendments made by Chapter 264 of the Statutes of 2005 apply to taxable years beginning on or after January 1, 2005. (k) The amendments made to this section by the act adding this subdivision shall apply to returns for taxable years beginning on or after January 1, 2016. (Amended by Stats. 2016, Ch. 348, Sec. 3. (AB 1775) Effective January 1, 2017.)
  56. 18635.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A qualifying trust must give the Franchise Tax Board specified information about its deductible amounts, income, expenses, and balance sheet for the taxable year.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18635. Every trust claiming a charitable, religious, scientific, literary, or educational deduction under Section 642(c) of the Internal Revenue Code for the taxable year shall furnish information with respect to the taxable year, at the time and in the manner as the Franchise Tax Board may by regulations prescribe, setting forth all of the following: (a) The amount of the charitable, religious, scientific, literary, or educational deduction taken under Section 642(c) of the Internal Revenue Code within that year (showing separately the amount of the deduction which was paid out and the amount which was permanently set aside for charitable, religious, scientific, literary, or educational purposes during that year). (b) The amount paid out within that year which represents amounts for which charitable, religious, scientific, literary, or educational deductions under Section 642(c) of the Internal Revenue Code have been taken in prior years. (c) The amount for which charitable, religious, scientific, literary, or educational deductions have been taken in prior years but which has not been paid out at the beginning of that year. (d) The amount paid out of principal in the current and prior years for charitable, religious, scientific, literary, or educational purposes. (e) The total income of the trust within that year and the expenses attributable thereto. (f) A balance sheet showing the assets, liabilities, and net worth of the trust as of the beginning of that year. This section shall not apply in the case of a taxable year if all the taxable income for that year, determined under the applicable principles of the law of trusts, is required to be distributed currently to the beneficiaries. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  57. 18635.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section makes Internal Revenue Code Section 6034A apply, with specified California substitutions and exceptions.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18635.5. (a) Section 6034A of the Internal Revenue Code, relating to information to beneficiaries of estates and trusts, shall apply, except as otherwise provided. (b) Section 6034A(a) is modified to refer to Section 18505 in lieu of Section 6012(a) of the Internal Revenue Code. (c) Section 6034A(c)(3) is modified to refer to Section 19051 in lieu of Section 6213(b)(1) of the Internal Revenue Code. (d) Section 6034A(c)(5) is modified to refer to Article 7 of Chapter 4 of this part in lieu of Part II of Subchapter A of Chapter 68 of the Internal Revenue Code. (Added by Stats. 2000, Ch. 863, Sec. 15. Effective January 1, 2001.)
  58. 18639.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Certain payors must file information returns about specified exempt-interest dividend and nominee-interest payments, and must give statements to named recipients.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18639. (a) (1) In addition to those reports required under paragraph (8) of subdivision (c) of Section 18631, information returns shall be required, at the time and in the form and manner and to the extent that the Franchise Tax Board may prescribe, from both of the following: (A) Every person who makes payments of exempt-interest dividends, as described in Section 852(b)(5) of the Internal Revenue Code, that are not exempt-interest dividends, as described in Section 17145 of this code, aggregating ten dollars ($10) or more to any person, other than to any person described in paragraph (2), during any calendar year. (B) Every person who receives payments of interest as a nominee and who makes payments aggregating ten dollars ($10) or more during any calendar year to any other person, other than to any person described in paragraph (2), with respect to the interest so received. For purposes of this paragraph, “interest” is limited to interest on any obligation if the interest is exempt from tax under Section 103(a) of the Internal Revenue Code or if the interest is exempt from tax, without regard to the identity of the holder, under any other provision of Title 26 of the United States Code, but which is not exempt from income tax under Part 10 (commencing with Section 17001). (2) For purposes of this subdivision, a person shall not be required to make a report pursuant to paragraph (1) if the person receiving the payment is any of the following: (A) A corporation. (B) An organization exempt from taxation under Section 23701 or an individual retirement plan. (C) The United States or any wholly owned agency or instrumentality thereof. (D) A state, the District of Columbia, a possession of the United States, any political subdivision of any of the foregoing, or any wholly owned agency or instrumentality of any one or more of the foregoing. (E) A foreign government, a political subdivision of a foreign government, or any wholly owned agency or instrumentality of any one or more of the foregoing. (F) An international organization or any wholly owned agency or instrumentality thereof. (G) A foreign central bank of issue. (H) A dealer in securities or commodities required to register under the laws of the United States or a state, the District of Columbia, or possession of the United States. (I) A real estate investment trust, as defined in Section 856 of the Internal Revenue Code. (J) An investment company, as defined in Section 80a-3 of the United States Code, registered at all times during the taxable year under the Investment Company Act of 1940. (K) A common trust fund, as defined in Section 17671. (L) Any trust that is exempt from tax under Section 664(c) of the Internal Revenue Code. (b) Every person required to make a return under this section shall also furnish a statement to each person whose name is set forth in the return, as required to do so by the Internal Revenue Code. (Amended by Stats. 2011, Ch. 296, Sec. 276. (AB 1023) Effective January 1, 2012.)
  59. 18640.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Certain corporations must file a correct return about patronage dividends, rebates, or refunds, and cooperatives must give affected patrons a written statement by January 31.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18640. (a) Any corporation allocating amounts as patronage dividends, rebates, or refunds (whether in cash, merchandise, capital stock, revolving fund certificates, retain certificates, certificates of indebtedness, letters of advice, or in some other manner that discloses to each patron the amount of the dividend, refund, or rebate) shall render a correct return that shall contain or be verified by a written declaration that it is made under the penalty of perjury, stating both of the following: (1) The name and address of each patron to whom it has made those allocations amounting to one hundred dollars ($100) or more during the calendar year. (2) The amount of those allocations to each patron. If required by the Franchise Tax Board, any corporation described in this subdivision shall render a correct return, which shall contain or be verified by a written declaration that it is under penalty of perjury, of all patronage dividends, rebates, or refunds made during the calendar year to its patrons. This section shall not apply in the case of any corporation exempt from tax under Article 1 (commencing with Section 23701) of Chapter 4 of Part 11. (b) Every cooperative required to make a return under subdivision (a) shall furnish to each person whose name is required to be set forth in that return a written statement showing both of the following: (1) The name, address, and telephone number of the cooperative required to make that return. (2) The aggregate amount of the allocations required to be made to the person as shown on that return. (c) The written statement required under subdivision (b) shall be furnished (either in person or in a separate mailing by first-class mail which includes adequate notice that the statement is enclosed) to the person on or before January 31 of the year following the calendar year for which the return under subdivision (a) was required to be made, and shall be in the form which the Franchise Tax Board may prescribe. (d) The amendments made by this act adding this subdivision are operative for information returns required to be filed on or after January 1, 1999. (Amended by Stats. 1997, Ch. 600, Sec. 2. Effective January 1, 1998.)
  60. 18642.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    On written request, owners and transferors of interests in real property or mobilehomes must file a return with specified identification information.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18642. (a) All owners and transferors of an interest in real property or a mobilehome shall file a return upon written request by the Franchise Tax Board which includes a social security number or other identification number prescribed by the Franchise Tax Board, identification of the property interest, and any other pertinent information about the interest requested by the Franchise Tax Board. (b) Subdivision (a) shall not apply to any of the following: (1) Property granted a homeowner’s property tax exemption. (2) Property which is not assessed by a California county assessor. (c) Owners and transferors failing to file a return required by subdivision (a) on or before the due date of the return shall be subject to the penalty provided by Section 19183, unless the failure is due to reasonable cause and not due to willful neglect. (d) Owners failing to file a return required by subdivision (a) within 60 days of the due date of the return shall be subject to the sanctions provided by Section 17299.9 disallowing certain expenses related to the property for which a return is required, unless it is shown that the failure is due to reasonable cause and not due to willful neglect. (e) The Franchise Tax Board shall mail to each owner and transferor required to file a return pursuant to subdivision (a) a notice at least 60 days prior to the due date of the return. The notice shall be in a form and shall include any information which the Franchise Tax Board prescribes and shall advise owners and transferors of all of the following: (1) The requirement to provide the Franchise Tax Board with a social security number or other identification number prescribed by the Franchise Tax Board. (2) When the statement is due. (3) A general description of the tax consequences of not providing the requested information. (f) The social security number or other identification number furnished pursuant to this section shall be used exclusively for tax administration purposes. It is the intent of the Legislature in enacting this section to utilize the social security number or other identification number for the sole purpose of establishing the identification of individuals or entities affected by state tax laws. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  61. 18644.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Boat operators with covered workers must file specified information with the Franchise Tax Board, and filers must give each named person a written statement by January 31 of the following year.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18644. (a) The operator of a boat on which one or more individuals, during a calendar year, perform services described in subdivision (o) of Section 13009 of the Unemployment Insurance Code shall submit to the Franchise Tax Board (at the time, and in the manner and form, as the Franchise Tax Board shall by regulations prescribe) information respecting all of the following: (1) The identity of each individual performing those services. (2) The percentage of each individual’s share of the catches of fish or other forms of aquatic animal life, and the percentage of the operator’s share of those catches. (3) If that individual receives his or her share in kind, the type and weight of that share, together with the other information as the Franchise Tax Board may prescribe by regulations reasonably necessary to determine the value of those shares. (4) If that individual receives a share of the proceeds of those catches, the amount so received. (b) Every person required to make a return under subdivision (a) shall furnish to each person whose name is required to be set forth in that return a written statement showing the information relating to that person contained in that return. The written statement required under the preceding sentence shall be furnished to the person on or before January 31 of the year following the calendar year for which the return under subdivision (a) was required to be made. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  62. 18646.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The head of each state agency must file a return for each contract, and the Franchise Tax Board may set the return’s timing, form, and any required extra information.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18646. (a) The head of every state agency (as defined by Section 11000 of the Government Code) entering into any contract shall make a return (at the time and in the form the Franchise Tax Board may by regulation prescribe) setting forth all of the following: (1) The name, address, type of business entity, and taxpayer identification number of each person with which that agency entered into a contract during the calendar year. (2) Any other information the Franchise Tax Board may require. (b) The Franchise Tax Board may provide that this section also shall apply to any of the following: (1) Licenses granted by state agencies. (2) Subcontracts under contracts to which subdivision (a) applies. (c) This section shall not apply to contracts or licenses in any class which are below a minimum amount or value which may be determined by the Franchise Tax Board for that class. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  63. 18648.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Material advisors with reportable transactions must keep lists of advisees, and those lists must be kept and submitted to the Franchise Tax Board on the timelines and format stated here.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18648. (a) Section 6112 of the Internal Revenue Code, relating to material advisors of reportable transactions that must keep lists of advisees, applies except as otherwise provided. (b) Section 6112 of the Internal Revenue Code is modified by substituting the phrase “Secretary or the Franchise Tax Board” for the word “Secretary” each place it appears. (c) The requirement to maintain lists under this section shall apply to any material advisor, as defined in Section 6111 of the Internal Revenue Code, with respect to any reportable transaction, as defined in Section 6707A(c) of the Internal Revenue Code and regardless of whether a return is required to be filed under Section 18628 with respect to that reportable transaction and with respect to a material advisor that satisfies any of the following conditions: (1) Is organized in this state. (2) Is doing business in this state. (3) Derives income from sources in this state. (4) Provides any material aid, assistance, or advice with respect to organizing, managing, promoting, selling, implementing, insuring, or carrying out any reportable transaction with respect to a taxpayer that meets any of the following conditions: (A) Is organized in this state. (B) Does business in this state. (C) Derives income from sources in this state. (d) (1) In addition to any regulation issued under Section 6112 of the Internal Revenue Code, the list required to be maintained by this section for listed transactions, as defined in Section 6707A(c)(2) of the Internal Revenue Code, shall be maintained in the form and manner prescribed by the Franchise Tax Board. (2) Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code does not apply to any requirement prescribed by the Franchise Tax Board under this section. (3) For transactions entered into on or after February 28, 2000, that become listed transactions (as defined under Section 6707A(c)(2) of the Internal Revenue Code) at any time, the lists shall be provided to the Franchise Tax Board by the later of: (A) Sixty days after entering into the transaction. (B) Sixty days after the transaction becomes a listed transaction. (4) For transactions entered into on or after September 2, 2003, that are specifically identified by the Franchise Tax Board for California income or franchise tax purposes (under the authority of paragraph (4) of subdivision (a) of Section 18407) as a “listed transaction” at any time, the list shall be provided to the Franchise Tax Board by the later of: (A) Sixty days after entering into the transaction. (B) Sixty days after the transaction becomes a listed transaction. (Amended by Stats. 2005, Ch. 691, Sec. 43.5. Effective October 7, 2005.)
  64. 18648.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section makes Internal Revenue Code section 6115 apply to quid pro quo contributions, with any other stated exceptions, and treats the state requirement as satisfied if the federal section 6115 requirements were met for that contribution for federal purposes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18648.5. (a) Section 6115 of the Internal Revenue Code, relating to disclosure related to quid pro quo contributions, shall apply, except as otherwise provided. (b) The requirements of subdivision (a) shall be treated as being satisfied upon a showing that the requirements in Section 6115 of the Internal Revenue Code have been met with respect to that contribution for federal purposes. (c) The provisions of this section shall apply to quid pro quo contributions made on or after January 1, 1997. (Added by Stats. 1997, Ch. 611, Sec. 56. Effective October 3, 1997.)
  65. 18649.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    An issuer subject to tax under this part must give the Franchise Tax Board a copy of certain information returns, at the time and in the manner 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 4. Information Returns [18631 - 18649] ( Article 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18649. A copy of the information furnished pursuant to Section 1275(c)(2) of the Internal Revenue Code shall be provided to the Franchise Tax Board by any issuer subject to tax under this part at the time and in the manner required by the Franchise Tax Board. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  66. 18661.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    When needed to make this article or Article 4 effective, the recipient of income must provide identifying information on demand from the person paying the income.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18661. When necessary to make effective the provisions of this article or Article 4 (commencing with Section 18631), the name, address, social security number, or other taxpayer identification number of the recipient of income shall be furnished upon demand of the person paying the income. (Amended by Stats. 2009, 4th Ex. Sess., Ch. 16, Sec. 2. (AB 18 4x) Effective January 23, 2009.)
  67. 18662.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section lets the Franchise Tax Board require certain people to withhold tax from specified income and real estate transfers, and send the withheld amounts 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18662. (a) The Franchise Tax Board may, by regulation, require any person, in whatever capacity acting, including lessees or mortgagors of real or personal property, fiduciaries, employers, and any officer or department of the state, or any political subdivision or agency of the state, or any city organized under a freeholder’s charter, or any political body not a subdivision or agency of the state, having the control, receipt, custody, disposal, or payment of items of income specified in subdivision (b), to withhold an amount, determined by the Franchise Tax Board to reasonably represent the amount of tax due when the items of income are included with other income of the taxpayer, and to transmit the amount withheld to the Franchise Tax Board at the time as it may designate. (b) The items of income referred to in subdivision (a) are interest, dividends, rents, prizes and winnings, premiums, annuities, emoluments, compensation for services, including bonuses, partnership income or gains, and other fixed or determinable annual or periodical gains, profits, and income. (c) The Franchise Tax Board may authorize the tax under subdivision (a) to be deducted and withheld from the interest upon any securities the owners of which are not known to the withholding agent. (d) Any person that fails to withhold from any payments any amounts required to be withheld by this section or fails to remit the taxes withheld is liable for the amount specified in Section 18668. (e) (1) This subdivision applies to any disposition of a California real property interest by: (A) Any person, other than either of the following: (i) Except as otherwise provided in this subdivision, a corporation, including an entity classified for tax purposes as a corporation under Part 11 (commencing with Section 23001). (ii) Except as otherwise provided in this subdivision, a partnership, as determined in accordance with Subchapter K of Chapter 1 of Subtitle A of the Internal Revenue Code, including an entity classified as a partnership for tax purposes under Part 10 (commencing with Section 17001). (B) A corporation or partnership, if that corporation or partnership immediately after the transfer of the title to the California real property has no permanent place of business in California. For purposes of this subdivision, a corporation or partnership has no permanent place of business in California if all of the following apply: (i) It is not organized and existing under the laws of California. (ii) It does not qualify with the office of the Secretary of State to transact business in California. (iii) It does not maintain and staff a permanent office in California. (2) (A) Except as provided in subparagraph (B), in the case of any disposition of a California real property interest by a transferor described in paragraph (1), the transferee, including for this purpose any intermediary or accommodator in a deferred exchange, is required to withhold an amount equal to 31/3 percent of the sales price of the California real property conveyed. (B) If the transferor makes an election under this subparagraph, the transferee, including any intermediary or accommodator in a deferred exchange, is required to withhold an amount equal to an amount certified by the transferor in writing under penalty of perjury. The amount certified shall not be less than the gain required to be recognized under Part 10 (commencing with Section 17001) and Part 11 (commencing with Section 23001) on the disposition of the California real property multiplied by the rate specified in either Section 23151 or Section 23186, as applicable, for transferors that are corporations, or the highest rate specified in Section 17041 for transferors other than corporations. For purposes of applying the previous sentence, the following shall apply: (i) The highest rate specified in Section 17041 is determined without regard to any other tax rate specified under Part 10 (commencing with Section 17001) irrespective of whether the applicable statute provides that tax shall be treated as if imposed under Section 17041. (ii) For corporations that are “S” corporations subject to the modified tax rate specified in Section 23802, the rate shall be the sum of the rate specified in subdivision (b) of Section 23802 and the highest rate specified in Section 17041, as described in clause (i). (C) (i) The written certification required by subparagraph (B) shall be in a form, as prescribed by the Franchise Tax Board. The form shall provide as follows: “Title and escrow persons and exchange accommodators are not authorized to provide legal or accounting advice for purposes of determining withholding amounts. Transferors are strongly encouraged to consult with a competent tax professional for this purpose.” (ii) The Franchise Tax Board shall make this form available electronically on its Web site in a format that allows a transferor to complete and print the form. The Franchise Tax Board shall also provide electronic means to enable the transferor to estimate the amount of gain required to be recognized by the transferor in the transaction. Any form or worksheet, electronic or otherwise, developed for this purpose shall provide as follows: “Title and escrow persons and exchange accommodators are not authorized to provide legal or accounting advice for purposes of determining withholding amounts. Transferors are strongly encouraged to consult with a competent tax professional for this purpose.” (3) Notwithstanding any other provision of this subdivision, all of the following shall apply: (A) No transferee is required to withhold any amount under this subdivision unless the sales price of the California real property conveyed exceeds one hundred thousand dollars ($100,000). (B) No transferee, other than an intermediary or an accommodator in a deferred exchange, is required to withhold any amount under this subdivision unless written notification of the withholding requirements of this subdivision has been provided by the real estate escrow person. (C) (i) No transferee, trustee under a deed of trust, or mortgagee under a mortgage with a power of sale is required to withhold under this subdivision when the transferee has acquired California real property at a sale pursuant to a power of sale under a mortgage or deed of trust or a sale pursuant to a decree of foreclosure or has acquired the property by a deed in lieu of foreclosure. (ii) No transferee is required to withhold under this subdivision when the transferor is a bank acting as trustee other than a trustee of a deed of trust. (D) No transferee, including for this purpose any intermediary or accommodator in a deferred exchange, is required to withhold any amount under this subdivision if the transferee, in good faith and based on all the information of which the transferee has knowledge, relies on a written certificate executed by the transferor, certifying, under penalty of perjury, one of the following: (i) (I) The California real property being conveyed is the seller’s or decedent’s principal residence, within the meaning of Section 121 of the Internal Revenue Code. (II) The last use of the property being conveyed was use by the transferor as the transferor’s principal residence within the meaning of Section 121 of the Internal Revenue Code. (ii) (I) The California real property being conveyed is being exchanged, or will be exchanged, for property of like kind, within the meaning of Section 1031 of the Internal Revenue Code, but only to the extent of the amount of the gain not required to be recognized for California income or franchise tax purposes under Section 1031 of the Internal Revenue Code. (II) Subclause (I) may not apply if an exchange does not qualify for nonrecognition treatment for California income or franchise tax purposes under Section 1031 of the Internal Revenue Code, in whole or in part, due to the failure of the transaction to comply with the provisions of Section 1031(a)(3) of the Internal Revenue Code, relating to the requirement that property be identified and that the exchange be completed not more than 180 days after the transfer of the exchanged property. (III) In any case where clause (ii) applies, the transferee, including for this purpose any intermediary or accommodator in a deferred exchange, is required to notify the Franchise Tax Board in writing within 10 days of the expiration of the statutory periods specified in Section 1031(a)(3) of the Internal Revenue Code and thereafter remit the applicable withholding amounts determined under this subdivision in accordance with paragraph (4), but only to the extent that an intermediary or accommodator has received amounts from the disposition of California real property and has not disbursed those amounts for the purpose of completing an exchange or exchanges within the meaning of Section 1031 of the Internal Revenue Code, relating to exchange of real property held for productive use or investment. (IV) (ia) The Franchise Tax Board may prescribe any regulations necessary or appropriate to carry out the purposes of subclause (III), including, but not limited to, any regulations to clarify the meaning of disbursement for the purpose of completing an exchange or exchanges within the meaning of Section 1031 of the Internal Revenue Code. (ib) The Franchise Tax Board may prescribe rules, guidelines, procedures, or other guidance to carry out the purposes of subclause (III). Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any rule, guideline, procedure, or other guidance prescribed by the Franchise Tax Board pursuant to subclause (III). (iii) The California real property has been compulsorily or involuntarily converted, within the meaning of Section 1033 of the Internal Revenue Code, and the transferor intends to acquire property similar or related in service or use so as to be eligible for nonrecognition of gain for California income tax purposes under Section 1033 of the Internal Revenue Code. (iv) The transaction will result in either a net loss or a net gain not required to be recognized for California income or franchise tax purposes. (v) The transferor is a corporation with a permanent place of business in California. (E) (i) In the case of any transaction otherwise subject to this subdivision that qualifies as an “installment sale,” within the meaning of Section 453(b) of the Internal Revenue Code, for California income tax purposes, the provisions of this subdivision shall be separately applied to each principal payment to be made under the terms of the installment sale agreement between the parties. (ii) For purposes of clause (i), subparagraph (A) of paragraph (3) does not apply to each individual payment to be received under the terms of the installment sale agreement. (4) (A) Amounts withheld and payments made in accordance with this subdivision shall be reported and remitted to the Franchise Tax Board in the form and manner and at the time specified by the Franchise Tax Board. Notwithstanding the foregoing, funds withheld on individual transactions by real estate escrow persons may, at the option of the real estate escrow person, be remitted by the 20th day of the month following the close of escrow for the individual transaction, or may be remitted on a monthly basis in combination with other transactions closed during that month. (B) The transferor shall submit a copy of the written certificate and supporting documentation for the reduced withholding specified in subparagraph (B) of paragraph (2) or subparagraph (D) of paragraph (3), executed by the transferor, to the Franchise Tax Board upon request. (5) For purposes of this subdivision, “California real property interest” means an interest in real property located in California and defined in Section 897(c)(1)(A)(i) of the Internal Revenue Code. (6) For purposes of this subdivision, “real estate escrow person” means any of the following persons involved in the real estate transaction: (A) The person, including any attorney, escrow company, or title company, responsible for closing the transaction. (B) If no person described in subparagraph (A) is responsible for closing the transaction, then any other person who receives and disburses the consideration or value for the interest or property conveyed. (7) (A) Unless the real estate escrow person provides “assistance,” it shall be unlawful for any real estate escrow person to charge any customer for complying with the requirements of this subdivision. (B) For purposes of this paragraph, “assistance” includes, but is not limited to, helping the parties clarify with the Franchise Tax Board the issue of whether withholding is required under this subdivision or, upon request of the parties, withholding an amount under this subdivision and remitting that amount to the Franchise Tax Board. (C) For purposes of this paragraph, “assistance” does not include providing the written notification of the withholding requirements of this subdivision. (D) In a case where the real estate escrow person provides “assistance” in complying with the withholding requirements of this subdivision, it shall be unlawful for the real estate escrow person to charge any customer a fee that exceeds forty-five dollars ($45). (8) For purposes of this subdivision, “sales price” means the sum of all of the following: (A) The cash paid, or to be paid, but excluding for this purpose any stated or unstated interest or original issue discount, as determined under Sections 1271 through 1275, inclusive, of the Internal Revenue Code. (B) The fair market value of other property transferred, or to be transferred. (C) The outstanding amount of any liability assumed by the transferee or to which the California real property interest is subject immediately before and after the transfer. (9) The Franchise Tax Board may prescribe, by forms, instructions, published notices, or regulations, any requirements necessary for the efficient administration of this subdivision relating to the treatment of “de minimis” amounts otherwise required under this section. (f) Withholding is not required under this section with respect to wages, salaries, fees, or other compensation paid by a corporation for services performed in California for that corporation to a nonresident corporate director for director services, including attendance at a board of directors’ meeting. (g) In the case of any payment described in subdivision (f), the person making the payment shall do each of the following: (1) File a return with the Franchise Tax Board at the time and in the form and manner specified by the Franchise Tax Board. (2) Provide the payee with a statement at the time and in the form and manner specified by the Franchise Tax Board. (h) (1) The amendments to this section made by Chapter 488 of the Statutes of 2002 apply to dispositions of California real property interests that occur on or after January 1, 2003. (2) In the case of any payments received on or after January 1, 2003, pursuant to an installment sale agreement relating to a disposition occurring before January 1, 2003, the amendments to this section made by Chapter 488 of the Statutes of 2002 do not apply to those payments. (i) (1) The amendments made to this section by the act adding this subdivision shall apply to dispositions of California real property interests that occur on or after January 1, 2009. (2) In the case of any payments received on or after January 1, 2009, pursuant to an installment sale agreement relating to a disposition occurring before January 1, 2009, the amendments made to this section by the act adding this subdivision do not apply to those payments. (j) The amendments made to this section by the act adding this subdivision shall apply to dispositions of California real property interests that occur on or after January 1, 2022. (Amended by Stats. 2021, Ch. 66, Sec. 1. (AB 1582) Effective January 1, 2022.)
  68. 18663.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board must provide wage withholding tables to the Employment Development Department, and employers must use the tables to withhold tax from wages.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18663. (a) (1) The Franchise Tax Board shall annually (or more often if necessary) prepare and make available to the Employment Development Department, wage withholding tables that shall be used by every employer making payment of any wages to a resident employee for services performed either within or without this state; or to a nonresident employee for services performed in this state, to deduct and withhold from those wages for each payroll period, a tax computed in a manner as to produce, so far as practicable, with due regard to the credits for personal exemptions allowable under Section 17054, a sum that is substantially equivalent to the amount of tax reasonably estimated to be due under Part 10 (commencing with Section 17001) resulting from the inclusion in the gross income of the employee the wages which were subject to withholding. (2) For wages paid on or after November 1, 2009, wage withholding tables prepared by the Franchise Tax Board pursuant to this subdivision shall produce, so far as practicable, with due regard to the credits for personal exemptions allowable under Section 17054, a sum that will significantly prevent underwithholding by using an amount equal to 10 percent more than the sum described in paragraph (1). (b) (1) (A) For supplemental wages paid on or after January 1, 1992, the rate of withholding that may be applied to supplemental wages in lieu of the wage withholding tables specified in subdivision (a) shall be 6 percent. (B) For supplemental wages paid on or after November 1, 2009, the rate of withholding shall be 6.6 percent. (2) For purposes of this subdivision, “supplemental wages” includes, but is not limited to, bonus payments, overtime payments, commissions, sales awards, back pay including retroactive wage increases, and reimbursements for nondeductible moving expenses that are paid for the same or a different period, or without regard to a particular period. (c) (1) For stock options and bonus payments that constitute wages paid on or after January 1, 2002, the rate of withholding that may be applied to those stock options and bonus payments in lieu of the wage withholding tables specified in subdivision (a) shall, notwithstanding subdivision (b), be 9.3 percent. (2) For stock options and bonus payments that constitute wages paid on or after November 1, 2009, the rate of withholding shall be 10.23 percent. (Amended by Stats. 2009, 4th Ex. Sess., Ch. 15, Sec. 1. (AB 17 4x) Effective October 23, 2009.)
  69. 18664.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain payers must withhold tax at 7% from reportable payments and notify the payee of the withholding.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18664. (a) (1) Section 3406 of the Internal Revenue Code, relating to the backup withholding, shall apply, except as otherwise provided. (2) For purposes of this section, the term “reportable payment,” as defined in Section 3406(b) of the Internal Revenue Code, shall include payments of items of income as defined in Section 18662, and any regulations thereunder, with respect to rents, prizes and winnings, compensation for services, including bonuses, and other fixed or determinable annual or periodic gains, profits, and income. (3) This section shall not apply to either of the following: (A) Payment of interest and dividends. (B) Any release of loan funds made by a financial institution in the normal course of business. (4) For the purposes of subparagraph (B) of paragraph (3), “financial institution” means any of the following: (A) A depository institution, as defined in Section 1813(c) of Title 12 of the United States Code. (B) An institution-affiliated party, as defined in Section 1813(u) of Title 12 of the United States Code. (C) Any federal credit union or state credit union, as defined in Section 1752 of Title 12 of the United States Code, including an institution-affiliated party of a credit union, as defined in Section 1786(r) of Title 12 of the United States Code. (b) The amount of tax to be withheld shall be computed by applying a rate of 7 percent to the reportable payment. (c) Where withholding under both this section and other provisions of this article would otherwise be required, withholding shall only be required under this section. (d) Any payer required to withhold tax pursuant to this section shall notify the payee of such withholding at a time and in a manner as may be prescribed in forms and instructions by the Franchise Tax Board. (e) This section shall apply to payments made on or after January 1, 2010. (Added by Stats. 2009, 4th Ex. Sess., Ch. 16, Sec. 3. (AB 18 4x) Effective January 23, 2009.)
  70. 18665.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Changes in withholding law generally apply in the later of the next calendar year after chaptering or the year the provision becomes operative, unless a specific law says otherwise.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18665. Unless otherwise specifically provided, the provisions of any law effecting changes in withholding shall apply to withholding in the calendar year succeeding the year the provision was chaptered, or in the calendar year the provision is operative, whichever is later. (Amended by Stats. 2001, Ch. 191, Sec. 1. Effective January 1, 2002.)
  71. 18666.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    California says IRC Section 1446 applies to income from California sources, and it substitutes California tax rates for certain federal rates.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18666. (a) Section 1446 of the Internal Revenue Code, relating to withholding of tax on foreign partners’ share of effectively connected income, shall apply to the extent that the amounts represent income from California sources, except as otherwise provided. (b) (1) The rate of tax referred to in Section 1446(b)(2)(A) of the Internal Revenue Code shall be the maximum tax rate specified in Sections 17041 and 17043, as applicable, rather than the rate specified in Section 1 of the Internal Revenue Code. (2) The rate of tax referred to in Section 1446(b)(2)(B) of the Internal Revenue Code shall be the rate specified in Section 23151, 23181, or 23183, as applicable, rather than the rate specified in Section 11 of the Internal Revenue Code. (3) The rate of tax referred to in Section 1446(f)(1) of the Internal Revenue Code, relating to disposition of partnership interests, shall be the rate specified in Sections 17041 and 17043, as applicable, rather than the rate specified in Section 1, or Section 11, of the Internal Revenue Code, relating to tax imposed. (Amended by Stats. 2025, Ch. 231, Sec. 66. (SB 711) Effective October 1, 2025.)
  72. 18667.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board may require employers to submit copies of income tax withholding exemption certificates, must notify the employer and affected employee if it finds a certificate invalid, and must send written notice of its decision after review. An employee may request review by filing a written petition in the form and time the Franchise Tax Board prescribes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18667. The Franchise Tax Board may require employers to submit copies of income tax withholding exemption certificates. If the Franchise Tax Board determines that a certificate is invalid for state income tax purposes, the Franchise Tax Board shall notify the employer and the affected employee of its determination. An employee who disagrees with the Franchise Tax Board’s determination may request review of the determination by filing a written petition in the form and within the time prescribed by the Franchise Tax Board. After review, the Franchise Tax Board shall give written notification of its decision to both the employer and the employee. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  73. 18668.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section makes withholding agents liable for withheld taxes, imposes interest and penalties for late or missing withholding payments, and requires escrow-person notice in certain California real property withholding cases.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18668. (a) Every person required under this article to deduct and withhold any tax is hereby made liable for that tax, to the extent provided by this section. Any amount required to be deducted and paid to the Franchise Tax Board under this article shall be considered the tax of that person. Unless it is shown that the failure is due to reasonable cause, any person who fails to withhold from any payments any amount required to be withheld under this article or who fails to transmit the withheld amounts to the Franchise Tax Board on or before the due date required by regulations is liable for the amount actually withheld, or the amount of taxes due from the taxpayer to whom the payments are made, whichever is greater, but not in excess of the amount required to be withheld. (b) If any amount required to be withheld under this article is not paid to the Franchise Tax Board on or before the due date required by regulations, interest shall be assessed at the adjusted annual rate established pursuant to Section 19521, computed from the due date to the date paid. (c) Whenever any person has withheld any amount pursuant to this article, the amount so withheld shall be held to be a special fund in trust for the State of California. (d) In lieu of the amount provided for in subdivision (a), unless it is shown that the failure to withhold is due to reasonable cause, whenever any transferee is required to withhold any amount pursuant to subdivision (e) of Section 18662, the transferee is liable for the greater of the following amounts for failure to withhold only after the transferee, as specified, is notified in writing of the requirements under subdivision (e) of Section 18662: (1) Five hundred dollars ($500). (2) Ten percent of the amount required to be withheld under subdivision (e) of Section 18662. (e) (1) Unless it is shown that the failure to notify is due to reasonable cause, the real estate escrow person is liable for the amount specified in subdivision (d), when written notification of the withholding requirements of subdivision (e) of Section 18662 is not provided to the transferee, other than a transferee that is an intermediary or accommodator in a deferred exchange, and the California real property disposition is subject to withholding under subdivision (e) of Section 18662. (2) The real estate escrow person shall provide written notification to the transferee (other than a transferee that is an intermediary or accommodator in a deferred exchange) in substantially the same form as follows: “In accordance with Section 18662 of the Revenue and Taxation Code, a buyer may be required to withhold an amount equal to 31/3 percent of the sales price or the amount that is specified in a written certificate executed by the transferor in the case of a disposition of California real property interest by either: 1. A seller who is an individual, trust, or estate or when the disbursement instructions authorize the proceeds to be sent to a financial intermediary of the seller, OR 2. A corporate or partnership seller that has no permanent place of business in California immediately after the transfer of title to the California real property. The buyer may become subject to penalty for failure to withhold an amount equal to the greater of 10 percent of the amount required to be withheld or five hundred dollars ($500). However, notwithstanding any other provision included in the California statutes referenced above, no buyer will be required to withhold any amount or be subject to penalty for failure to withhold if: 1. The sales price of the California real property conveyed does not exceed one hundred thousand dollars ($100,000), OR 2. The seller executes a written certificate, under the penalty of perjury, certifying that the seller is a corporation or a partnership with a permanent place of business in California, OR 3. The seller, who is an individual, trust, estate, partnership, or a corporation without a permanent place of business in California executes a written certificate, under the penalty of perjury, of any of the following: A. The California real property being conveyed is the seller’s or decedent’s principal residence, within the meaning of Section 121 of the Internal Revenue Code. B. The last use of the property being conveyed was use by the transferor as the transferor’s principal residence within the meaning of Section 121 of the Internal Revenue Code. C. The California real property being conveyed is or will be exchanged for property of like kind, within the meaning of Section 1031 of the Internal Revenue Code, but only to the extent of the amount of gain not required to be recognized for California income tax purposes under Section 1031 of the Internal Revenue Code. D. The California real property has been compulsorily or involuntarily converted, within the meaning of Section 1033 of the Internal Revenue Code, and that the seller intends to acquire property similar or related in service or use so as to be eligible for nonrecognition of gain for California income tax purposes under Section 1033 of the Internal Revenue Code. E. The California real property transaction will result in a loss or a net gain not required to be recognized for California income tax purposes. The seller is subject to penalty for knowingly filing a fraudulent certificate for the purpose of avoiding the withholding requirement.” (3) The real estate escrow person is not liable under this subdivision if the tax due as a result of the disposition of California real property is paid by the original or extended due date of the transferor’s return for the taxable year in which the disposition occurred. (4) The real estate escrow person or transferee is not liable under paragraph (1) or subdivision (d), if the failure to withhold is the result of his or her reliance, based on good faith and on all the information of which he or she has knowledge, upon a written certificate executed by the transferor under penalty of perjury pursuant to subparagraph (D) of paragraph (3) of subdivision (e) of Section 18662. (5) Any transferor who for the purpose of avoiding the withholding requirements of subdivision (e) of Section 18662 knowingly executes a false certificate pursuant to that section is liable for twice the amount specified in subdivision (d). (f) The amount of tax required to be deducted, withheld, and remitted under this article shall be assessed, collected, and paid upon notice and demand. Article 3 (commencing with Section 19031), relating to deficiency assessments, shall not apply with respect to the assessment or collection of any amount due under this article. (Amended by Stats. 2008, Ch. 305, Sec. 4. Effective January 1, 2009.)
  74. 18669.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a business or substantial assets are sold or transferred, the successor must hold back enough money or property to cover unpaid withholding-related taxes, interest, and penalties, and may have to pay the Franchise Tax Board on set deadlines.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18669. (a) Whenever any payer required to deduct and withhold tax under this article sells, transfers, dissolves, withdraws, terminates, or otherwise disposes of the business or a substantial portion of its assets, the successors (including assigns, purchasers, heirs, distributees, beneficiaries, or other persons acquiring either a substantial portion of the assets or the business) shall withhold in trust a sufficient part of the purchase price or set aside in trust money or property to cover the amount of the taxes required to be withheld and any interest or penalties with respect thereto which are due or unpaid by the payer. The money, property or portion of the purchase price shall be held in trust until a certificate is issued by the Franchise Tax Board stating that no amount of such tax, interest, or penalties are due or unpaid from the payer. (b) Upon written request by the successor, the Franchise Tax Board shall, within 60 days, issue a certificate or a statement showing the amount of tax, interest, and penalties due from the payer. Except as provided in subdivision (c), failure to issue a certificate or statement within the 60-day period shall be deemed equivalent to the issuance of a certificate stating that no tax, interest, or penalties are due. If the Franchise Tax Board issues a statement showing that taxes, interest, and penalties are claimed to be due, the amount stated therein (not in excess of the fair market value of the assets or business acquired) shall be paid by the successor to the Franchise Tax Board within (1) 30 days after the statement is mailed or delivered to the successor, or (2) on the day the business or assets are acquired, whichever occurs last. If a request for a certificate is not made by the successor, the amount of tax, interest, or penalties due or unpaid by the payer shall be paid by the successor to the Franchise Tax Board on the day the business or assets are acquired. If a successor fails to pay the amount required by this section by the time prescribed in this subdivision, a penalty of 10 percent of the amount payable shall be levied. (c) The issuance of a certificate stating that no taxes, interest, and penalties are due, or the failure to issue the certificate or statement within the period of 60 days shall not release the payer from liability on account of any taxes, interest, and penalties then or thereafter determined to be due from him or her, but shall release the successor from any further liability on account of any such taxes, interest, and penalties. Payment by the successor pursuant to subdivision (b) shall not release the payer from liability except to the extent of the amount paid by the successor. (d) Any successor that fails to withhold money or other property or fails to pay the amount or value of the property withheld as provided in this section shall be personally liable for the payment of the taxes, interest, and penalties due from the payer up to but not exceeding the fair market value of the assets or business acquired. The Franchise Tax Board shall have all of the remedies for collection against any successor that acquires the business or substantially all the assets thereof of a payer as provided by this part against any payer liable for taxes, interest, and penalties. The time within which the obligation may be enforced against the successor acquiring the business or substantially all the assets thereof of a payer shall commence from (1) the date the successor acquires the assets or business, (2) the date an assessment against the successor payer becomes final, or (3) 31 days after the statement is mailed or delivered to the successor if a certificate is requested by the successor as provided in subdivision (b), whichever of the three events is later. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  75. 18670.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may order certain holders of a taxpayer’s property to withhold and send money to the Board, and some depository-institution timing and address rules apply.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18670. (a) The Franchise Tax Board may by notice, served personally or by first-class mail, require any employer, person, officer or department of the state, political subdivision or agency of the state, including the Regents of the University of California, a city organized under a freeholders’ charter, or a political body not a subdivision or agency of the state, having in their possession, or under their control, any credits or other personal property or other things of value, belonging to a taxpayer or to an employer or person who has failed to withhold and transmit amounts due pursuant to this article, to withhold, from the credits or other personal property or other things of value, the amount of any tax, interest, or penalties due from the taxpayer or the amount of any liability incurred by that employer or person for failure to withhold and transmit amounts due from a taxpayer under this part and to transmit the amount withheld to the Franchise Tax Board at the times that it may designate. However, in the case of a depository institution, as defined in Section 19(b) of the Federal Reserve Act (12 U.S.C.A. Sec. 461(b)(1)(A)), amounts due from a taxpayer under this part shall be transmitted to the Franchise Tax Board not less than 10 business days from receipt of the notice. To be effective, the notice shall state the amount due from the taxpayer and shall be delivered or mailed to the branch or office reported in information returns filed with the Franchise Tax Board, or the branch or office where the credits or other property is held, unless another branch or office is designated by the employer, person, officer or department of the state, political subdivision or agency of the state, including the Regents of the University of California, a city organized under a freeholders’ charter or a political body not a subdivision or agency of the state. (b) (1) At least 45 days before sending a notice to withhold to the address indicated on the information return, the Franchise Tax Board shall request a depository institution to do either of the following: (A) Verify that the address on its information return is its designated address for receiving notices to withhold. (B) Provide the Franchise Tax Board with a designated address for receiving notices to withhold. (2) Once the depository institution has specified a designated address pursuant to paragraph (1), the Franchise Tax Board shall send all notices to that address unless the depository institution provides notification of another address. The Franchise Tax Board shall send all notices to withhold to a new designated address 30 days after notification. (3) Failure to verify or provide a designated address within 30 days of receiving the request shall be deemed verification of the address on the information return as the depository institution’s designated address. (c) (1) Notwithstanding Section 8112 of the Commercial Code and Section 700.130 of the Code of Civil Procedure, when the Franchise Tax Board, pursuant to this section or Section 18670.5, issues a levy upon, or requires by notice, any person, financial institution, or securities intermediary, as applicable, to withhold all, or a portion of, a financial asset for the purpose of collecting a delinquent tax liability, the person, financial institution, or securities intermediary, as defined in Section 8102 of the Commercial Code, that maintains, administers, or manages that asset on behalf of the taxpayer, or has the legal authority to accept instructions from the taxpayer as to the disposition of that asset, shall liquidate the financial asset in a commercially reasonable manner within 90 days of the issuance of the order to withhold. Within five days of liquidation, the person, financial institution, or securities intermediary, as applicable, shall remit to the Franchise Tax Board the proceeds of the liquidation, less any reasonable commissions or fees, or both, which are charged in the normal course of business. (2) If the value of the financial assets to be liquidated exceeds the tax liability, the taxpayer may, within 60 days after the service of the order to withhold upon the person, financial institution, or securities intermediary, instruct the person, financial institution, or securities intermediary as to which financial assets are to be sold to satisfy the tax liability. If the taxpayer does not provide instructions for liquidation, the person, financial institution, or securities intermediary shall liquidate the financial assets in a commercially reasonable manner and in an amount sufficient to cover the tax liability, and any reasonable commissions or fees, or both, which are charged in the normal course of business, beginning with the financial assets purchased most recently. (3) For purposes of this section, a financial asset shall include, but not be limited to, an uncertificated security, certificated security, or security entitlement as defined in Section 8102 of the Commercial Code, a security as defined in Section 8103 of the Commercial Code, or a securities account as defined in Section 8501 of the Commercial Code. (d) Any corporation or person failing to withhold the amounts due from any taxpayer and transmit them to the Franchise Tax Board after service of the notice shall be liable for those amounts. However, in the case of a depository institution, if a notice to withhold is mailed to the branch where the account is located or principal banking office, the depository institution shall be liable for a failure to withhold only to the extent that the accounts can be identified in information normally maintained at that location in the ordinary course of business. (Amended by Stats. 2005, Ch. 349, Sec. 2. Effective January 1, 2006.)
  76. 18670.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may order a depository institution to withhold and send over taxpayer funds or other value it holds.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18670.5. (a) The Franchise Tax Board may by notice, served by magnetic media, electronic transmission, or other electronic technology, require any depository institution, as defined in Section 19 (b) of the Federal Reserve Act (12 U.S.C.A. Sec. 461(b)(1)(A)), that the Franchise Tax Board, in its sole discretion, has reason to believe may have in its possession, or under its control, any credits or other personal property or other things of value, belonging to a taxpayer, to withhold, from the credits or other personal property or other things of value, the amount of any tax, interest, or penalties due from the taxpayer and transmit that amount withheld to the Franchise Tax Board at the times that it may designate, but not less than 10 business days from receipt of the notice. The notice shall state the amount due from the taxpayer and shall be delivered or transmitted to the branch or office reported in the information returns filed with the Franchise Tax Board, or the branch or office where the credits or other property is held, or other address designated by that depository institution for purposes of the Franchise Tax Board serving notice by magnetic media, electronic transmission, or other electronic technology. (b) Any depository institution failing to withhold the amount due from the taxpayer and to transmit that amount to the Franchise Tax Board after the Franchise Tax Board provides notice to the depository institution as authorized by subdivision (a) shall be liable for those amounts only to the extent that the depository institution can identify the account by magnetic media, electronic transmission, or other electronic technology. (c) For purposes of this section, the term “address” shall include telephone or modem number, facsimile number, or any other number designated by the depository institution to receive data by electronic means. (Added by Stats. 1995, Ch. 222, Sec. 1. Effective January 1, 1996.)
  77. 18671.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may order certain public and private entities to withhold tax-related amounts from payments and send the withheld money 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18671. (a) Subject to the limitations in subdivisions (b) and (c), the Franchise Tax Board, may, by notice, served personally, by first-class mail, or by electronic transmission or other electronic technology, require any person, officer, department of the state, or political subdivision or agency of the state including the Regents of the University of California, a city organized under a freeholder’s charter, or a political body not a subdivision or agency of the state, to withhold the amount of any tax, interest, or penalties due from a taxpayer, or the amount due from an employer or person who has failed to withhold and transmit amounts due pursuant to this article, from any payments due the taxpayer, employer, or person and from any payments becoming due the taxpayer, employer, or person after receipt of the notice. The amounts withheld shall be transmitted to the Franchise Tax Board at those times as it may designate. (b) The effect of a levy made pursuant to subdivision (a) shall be continuous from the date the notice is received until the amount due stated on the notice has been withheld, until the notice has been withdrawn, or until one year after the date the notice is received, whichever occurs first. (c) The amount required to be withheld pursuant to a notice issued under subdivision (a) is the lesser of the amount due stated on the notice, or either of the following: (1) If the taxpayer, employer, or person is not a natural person, 100 percent of the amount of each payment due or becoming due the taxpayer, employer, or person during the period the levy is in effect as provided in subdivision (b). (2) If the taxpayer, employer, or person is a natural person, 25 percent of the amount of each payment due or becoming due the taxpayer, employer, or person during the period the levy is in effect as provided in subdivision (b). (d) Any notice or document required to be served or provided in connection with the notice to withhold described in subdivision (a) may be served personally, by first-class mail, or by electronic transmission or other electronic technology. (e) Upon consent, the Franchise Tax Board may provide service by electronic transmission or other electronic technology under this section. (f) For purposes of this section, the term “payments” does not include earnings as defined in subdivision (a) of Section 706.011 of the Code of Civil Procedure or funds in a deposit account as defined in paragraph (29) of subdivision (a) of Section 9102 of the Commercial Code. The term “payments” does include any of the following: (1) Payments due for services of independent contractors, dividends, rents, royalties, residuals, patent rights, or mineral or other natural resource rights. (2) Payments or credits due or becoming due as a result of written or oral contracts for services or sales whether denominated as wages, salary, commission, bonus, or otherwise. (3) Any other payments or credits due or becoming due periodically as a result of an enforceable obligation to the taxpayer, employer, or person. (g) The amendments made to this section by the act adding this subdivision shall apply to notices served or provided on or after the effective date of the act. (Amended by Stats. 2020, Ch. 297, Sec. 1. (AB 3372) Effective January 1, 2021.)
  78. 18672.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If an employer or other person does not withhold and transmit required tax amounts after notice, they are liable for those amounts.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18672. Any employer or person failing to withhold the amount due from any taxpayer and to transmit the same to the Franchise Tax Board after service of a notice pursuant to Section 18670 or 18671 is liable for those amounts. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  79. 18673.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If the Franchise Tax Board finds that an employer withheld tax from wages but did not remit it, the employer becomes liable for the unremitted amount.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18673. (a) Notwithstanding Article 7 (commencing with Section 706.151) of Chapter 5 of Title 9 of Part II of the Code of Civil Procedure, if the Franchise Tax Board determines upon receiving information from the taxpayer that his or her employer withheld earnings for taxes pursuant to Article 4 (commencing with Section 19251) of Chapter 5 and failed to remit the withheld earnings to the Franchise Tax Board, the employer shall be liable for the amount not remitted. The Franchise Tax Board’s determination shall be based on payroll documents or other substantiating evidence furnished by the taxpayer. (b) Upon its determination, the Franchise Tax Board shall mail notice to the employer at its last known address that upon failure to remit the withheld earnings to the Franchise Tax Board within 15 days of the date of its notice to the employer, the employer shall be liable for that amount which was withheld and not remitted. (c) If the employer fails to remit the amount withheld to the Franchise Tax Board upon notice, that amount for which the employer is liable shall be assessed, collected, and paid as though it were a tax deficiency. The amount may be assessed at any time prior to seven years from the first day that the unremitted amount, in the aggregate, was first withheld. Interest shall accrue on that amount from the first day that the unremitted amount, in the aggregate, was first withheld. (d) When the assessment against the employer is final and due and payable, the taxpayer’s account shall be immediately credited with an amount equal to that assessed amount as though it were a payment received by the Franchise Tax Board on the first date that the unremitted amount, in the aggregate, was first withheld by the employer. (e) Collection against the taxpayer is stayed for both the following amount and period: (1) An amount equal to the amount determined by the Franchise Tax Board under subdivision (a). (2) The earlier of the time the credit is applied to the taxpayer’s account pursuant to subdivision (d) or the assessment against the employer is withdrawn or revised and the taxpayer is notified by the Franchise Tax Board thereof. (f) If under this section an amount that was withheld and not remitted to the Franchise Tax Board is final and due and payable by the employer and credited to the taxpayer’s account, this remedy shall be the exclusive remedy for the taxpayer to recover that amount from the employer. (g) This section shall not apply to debts, obligations, or other amounts for which an earnings withholding order or assignment is issued by the Franchise Tax Board pursuant to Article 5, 5.5, or 6 of Chapter 5 or Section 10878. (h) This section shall apply to determinations made by the Franchise Tax Board on or after the effective date of the act adding this section. (Added by Stats. 1999, Ch. 931, Sec. 8. Effective October 10, 1999.)
  80. 18674.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Employers and others who must withhold under this article must comply without taking court action; depository institutions must mail notice to account holders, may charge up to $3, and may file interpleader in a lien dispute.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18674. (a) Any employer or person required to withhold and transmit any amount pursuant to this article shall comply with the requirement without resort to any legal or equitable action in a court of law or equity. Any employer or person paying to the Franchise Tax Board any amount required by it to be withheld is not liable therefor to the person from whom withheld unless the amount withheld is refunded to the withholding agent. However, if a depository institution, as defined in 12 U.S.C. Sec. 461(b)(1)(A) withholds and pays to the Franchise Tax Board pursuant to this article any moneys held in a deposit account in which the delinquent taxpayer and another person or persons have an interest, or in an account held in the name of a third party or parties in which the delinquent taxpayer is ultimately determined to have no interest, the depository institution paying those moneys to the Franchise Tax Board is not liable therefor to any of the persons who have an interest in the account, unless the amount withheld is refunded to the withholding agent. (b) In the case of a deposit account or accounts for which this notice to withhold applies, the depository institution shall send a notice by first-class mail to each person named on the account or accounts included in the notice from the Franchise Tax Board, provided that a current address for each person is available to the institution. This notice shall inform each person as to the reason for the hold placed on the account or accounts, the amount subject to being withheld, and the date by which this amount is to be remitted to the Franchise Tax Board. An institution may assess the account or accounts of each person receiving this notice a reasonable service charge not to exceed three dollars ($3). (c) Any employer or person required under this article to withhold payments from a taxpayer may file an action in interpleader when a bona fide dispute has arisen as to priority of lien between the tax levied under this part and that of a federal taxing agency. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  81. 18675.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A person whose tax was collected by withholding has a right to the remedies listed in specified Chapter 6 articles. A refund is paid to the withholding agent, not directly to the taxpayer, if the agent asks in writing when the refundable amount is transmitted to the Franchise Tax Board.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18675. Any person from whom a tax is collected by withholding under this article or under Section 13020 of the Unemployment Insurance Code is entitled to the remedies set forth in Articles 1 (commencing with Section 19301) and 3 (commencing with Section 19381) of Chapter 6. Any refund of the tax under Chapter 6 (commencing with Section 19301) shall be made to the withholding agent instead of directly to the taxpayer, if requested in writing by the withholding agent at the time the amounts refundable were transmitted to the Franchise Tax Board. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  82. 18676.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    If a notice to withhold is served on the state under this article, the service must be made on the state agency that owes the obligation before that agency submits its claim for payment to the Controller, unless this section expressly exempts it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18676. Whenever, under any provision of this article, service is authorized upon the state of any notice to withhold, unless expressly exempted from the provisions of this section, the service to be effective must, in addition to any other requirements, be made on the state agency owing the obligation prior to the time the agency presents the claim for payment thereof to the Controller. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  83. 18677.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain lenders, sureties, or other persons can become liable for unpaid withholding taxes and interest when they directly pay wages or fund wage payments with notice of nonpayment risk.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 2. Returns [18501 - 18677] ( Chapter 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Withholding [18661 - 18677] ( Article 5 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18677. (a) For purposes of this article, if a lender, surety, or other person, who is not an employer under those sections with respect to an employee or group of employees, pays wages directly to such an employee or group of employees, employed by one or more employers, or to an agent on behalf of the employee or employees, the lender, surety, or other person shall be liable in his or her own person and estate to this state in a sum equal to the taxes (together with interest) required to be deducted and withheld from the wages by the employer. (b) If a lender, surety, or other person supplies funds to or for the account of an employer for the specific purpose of paying wages of the employees of the employer, with actual notice or knowledge that the employer does not intend to or will not be able to make timely payment or deposit of the amounts of tax required by this part to be deducted and withheld by the employer from those wages, the lender, surety, or other person shall be liable in his or her own person and estate to the State of California in a sum equal to the taxes (together with interest) which are not paid over to this state by the employer with respect to the wages. However, the liability of the lender, surety, or other person shall be limited to an amount equal to 25 percent of the amount so supplied to or for the account of the employer for that purpose. (c) Any amounts paid to this state pursuant to this section shall be credited against the liability of the employer. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  84. 187.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

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    Eligible counties must calculate and remit a specified amount to the Controller by December 31, 1986; if the calculation is below zero, the Controller must allocate that amount to the county.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 187. On or before December 31, 1986, each eligible county shall compute and remit to the Controller for deposit in the General Fund an amount equal to the amount allocated to it by the Controller pursuant to Section 183, less the amount of its property tax revenue lost in the 1985–86 fiscal year as a result of the reassessment pursuant to Section 170 of that property which was damaged or destroyed by the storms and floods of February 1986. If the amount computed pursuant to this section for an eligible county is less than zero, the Controller shall allocate that amount to the county. (Added by Stats. 1986, Ch. 16, Sec. 3. Effective March 11, 1986.)
  85. 187.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

    Verify source ↗

    Eligible counties that adopted a Section 191 ordinance must compute and remit a specified amount to the Controller for the General Fund by December 31, 1986.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 187.5. On or before December 31, 1986, each eligible county which has adopted an ordinance in accordance with Section 191, shall compute and remit to the Controller for deposit in the General Fund an amount equal to the amount allocated to it by the Controller pursuant to Section 184, less the amount of its supplemental roll property tax revenue lost in the 1985–86 fiscal year as the result of reassessment pursuant to Section 170 of that property which was damaged or destroyed by the storms and floods of February 1986 and for which a deferral of supplemental roll property taxes was claimed pursuant to the ordinance adopted in accordance with Section 191. (Added by Stats. 1986, Ch. 16, Sec. 3. Effective March 11, 1986.)
  86. 18700.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. )

    Verify source ↗

    Individuals may designate voluntary contributions on their tax return for the Parkinson’s Disease Research Voluntary Tax Contribution Fund, and the Franchise Tax Board must provide a return space and related instructions.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. ) ## 18700. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the Parkinson’s Disease Research Voluntary Tax Contribution Fund, established by Section 18701. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year, and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. If no designee is specified, the contribution shall be transferred to the General Fund, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and administration of funds under this article. (d) If an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available for designation is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) When another voluntary contribution designation is removed from the tax return, or as soon as space is available, whichever occurs first, the Franchise Tax Board shall revise the form of the tax return to include a space labeled the “Parkinson’s Disease Research Voluntary Tax Contribution Fund” to allow for the designation provided. The form shall include in the instruction information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to support the Richard Paul Hemann Parkinson’s Disease Program established pursuant to Chapter 1.6 (commencing with Section 103870) of Part 2 of Division 102 of the Health and Safety Code. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Added by Stats. 2025, Ch. 99, Sec. 2. (AB 829) Effective January 1, 2026. Inoperative on date prescribed in Section 18703. Repealed, pursuant to Section 18703, on December 1 following inoperative date.)
  87. 18701.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. )

    Verify source ↗

    This section creates the Parkinson’s Disease Research Voluntary Tax Contribution Fund and requires the Franchise Tax Board to notify the Controller of relevant contribution amounts, and the Controller to transfer limited funds into the account.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. ) ## 18701. There is hereby established in the State Treasury the Parkinson’s Disease Research Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18700. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18700 to be transferred to the Parkinson’s Disease Research Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the Parkinson’s Disease Research Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18700 for payment into that fund. (Added by Stats. 2025, Ch. 99, Sec. 2. (AB 829) Effective January 1, 2026. Inoperative on date prescribed in Section 18703. Repealed, pursuant to Section 18703, on December 1 following inoperative date.)
  88. 18702.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. )

    Verify source ↗

    Money in the Parkinson’s Disease Research Voluntary Tax Contribution Fund must be continuously appropriated, and the State Department of Public Health must follow the website reporting rules in Section 18873.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. ) ## 18702. (a) Notwithstanding Section 13340 of the Government Code, all moneys in the Parkinson’s Disease Research Voluntary Tax Contribution Fund shall be continuously appropriated, without regard to fiscal year, as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) The revenues remaining, after allocation pursuant to paragraph (1), to the State Department of Public Health for the purposes of administering the Richard Paul Hemann Parkinson’s Disease Program pursuant to Chapter 1.6 (commencing with Section 103870) of Part 2 of Division 102 of the Health and Safety Code. (b) The State Department of Public Health shall comply with the internet website reporting requirements described in Section 18873. (Added by Stats. 2025, Ch. 99, Sec. 2. (AB 829) Effective January 1, 2026. Inoperative on date prescribed in Section 18703. Repealed, pursuant to Section 18703, on December 1 following inoperative date.)
  89. 18703.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. )

    Verify source ↗

    This section sets an annual review duty for the Franchise Tax Board and gives the article a sunset if contribution estimates are too low.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Parkinson’s Disease Research Voluntary Tax Contribution Fund [18700 - 18703] ( Article 1 added by Stats. 2025, Ch. 99, Sec. 2. ) ## 18703. (a) Except as otherwise provided in subdivision (b), this article shall remain operative only until January 1 of the seventh calendar year following the first appearance of the Parkinson’s Disease Research Voluntary Tax Contribution Fund on the tax return, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and by September 1 of each subsequent calendar year that the Parkinson’s Disease Research Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Added by Stats. 2025, Ch. 99, Sec. 2. (AB 829) Effective January 1, 2026. Repealed on December 1 of the year prescribed in subd. (a) or subd. (b). Note: Termination provisions affect Article 1, commencing with Section 18700.)
  90. 18720.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. )

    Verify source ↗

    Individuals may make a voluntary checkoff contribution on a tax return to the California Pediatric Cancer Research Voluntary Tax Contribution Fund, and the Franchise Tax Board must update return forms and instructions to add the fund line.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. ) ## 18720. (a) Any individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Pediatric Cancer Research Voluntary Tax Contribution Fund, established pursuant to Section 18721. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. (d) In the event a taxpayer designates a contribution to more than one account or fund listed on the tax return, and the amount available for designation is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) When another voluntary contribution designation is removed from the tax return, or as soon as space is available, whichever occurs first, the Franchise Tax Board shall revise the forms of the return to include a space labeled the “California Pediatric Cancer Research Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to support research relating to the cure, screening, and treatment of pediatric cancers. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Added by Stats. 2025, Ch. 63, Sec. 2. (AB 703) Effective January 1, 2026. Inoperative on date prescribed in Section 18723. Repealed, pursuant to Section 18723, on December 1 following inoperative date.)
  91. 18721.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. )

    Verify source ↗

    Creates a state treasury fund for pediatric cancer research contributions and requires the Franchise Tax Board and Controller to process related notices and transfers.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. ) ## 18721. There is hereby established in the State Treasury the California Pediatric Cancer Research Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18720. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18720 to be transferred to the California Pediatric Cancer Research Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Pediatric Cancer Research Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18720 for payment into that fund. (Added by Stats. 2025, Ch. 63, Sec. 2. (AB 703) Effective January 1, 2026. Inoperative on date prescribed in Section 18723. Repealed, pursuant to Section 18723, on December 1 following inoperative date.)
  92. 18722.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. )

    Verify source ↗

    Money in the fund must be continuously appropriated for reimbursements and grants, and the Regents may use up to 5% for administration and promotion.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. ) ## 18722. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the California Pediatric Cancer Research Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the Regents of the University of California for distribution of grants for the purposes of conducting research on the causes and treatments for pediatric cancer and expanding community-based education on pediatric cancer. The Regents of the University of California may use up to 5 percent of the money allocated to them for administering and promoting the program. (b) The Legislature requests the Regents of the University of California to report on its internet website the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded, including, but not limited to, information regarding recipients of funds. (Added by Stats. 2025, Ch. 63, Sec. 2. (AB 703) Effective January 1, 2026. Inoperative on date prescribed in Section 18723. Repealed, pursuant to Section 18723, on December 1 following inoperative date.)
  93. 18723.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. )

    Verify source ↗

    The Franchise Tax Board must annually estimate and decide whether expected contributions meet a $250,000 minimum; the article also has sunset and repeal dates.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. California Pediatric Cancer Research Voluntary Tax Contribution Fund [18720 - 18723] ( Article 3 added by Stats. 2025, Ch. 63, Sec. 2. ) ## 18723. (a) Except as otherwise provided in subdivision (b), this article shall remain operative only until January 1 of the seventh calendar year following the first appearance of the California Pediatric Cancer Research Voluntary Tax Contribution Fund on the tax return, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and each subsequent calendar year that the California Pediatric Cancer Research Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year pursuant to paragraph (3). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is inoperative with respect to taxable years beginning on or after January 1 of that calendar year and is repealed on December 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Added by Stats. 2025, Ch. 63, Sec. 2. (AB 703) Effective January 1, 2026. Repealed on December 1 of the year prescribed in subd. (a) or subd. (b). Note: Termination provisions affect Article 3, commencing with Section 18720.)
  94. 18730.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. )

    Verify source ↗

    Individuals may designate a tax return contribution to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund, subject to limits and timing rules.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. ) ## 18730. (a) Any individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund established by Section 18731 to be used to conduct the sessions of the California Senior Legislature and to support its ongoing activities on behalf of older persons. (b) The contribution shall be in full dollar amounts and may be made individually by each signatory on the joint return. (c) A designation under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. If payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s tax liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the form of the return for taxable years 2017 to 2030, inclusive, to include a space labeled “California Senior Citizen Advocacy Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to conduct the sessions of the California Senior Legislature and to support its ongoing activities on behalf of older persons. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2023, Ch. 89, Sec. 1. (AB 559) Effective January 1, 2024. Inoperative on January 1, 2032, as prescribed in Section 18733. Repealed on December 1, 2032, pursuant to Section 18733.)
  95. 18731.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. )

    Verify source ↗

    This section creates a state treasury fund for certain voluntary tax contributions and requires the Franchise Tax Board and Controller to move and track designated amounts.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. ) ## 18731. (a) There is hereby established in the State Treasury the California Senior Citizen Advocacy Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18730. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18730 to be transferred to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18730 for payment into that fund. (b) Notwithstanding any other law, the California Senior Citizen Advocacy Voluntary Tax Contribution Fund is the successor fund of the California Senior Legislature Fund. All assets, liabilities, revenues, and expenditures of the California Senior Legislature Fund shall be transferred to, and become a part of, the California Senior Citizen Advocacy Voluntary Tax Contribution Fund, as provided in Section 16346 of the Government Code. Any references in state law to the California Senior Legislature Fund shall be construed to refer to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund. (Added by Stats. 2017, Ch. 443, Sec. 1. (AB 519) Effective January 1, 2018. Inoperative on January 1, 2032, as prescribed in Section 18733. Repealed on December 1, 2032, pursuant to Section 18733.)
  96. 18732.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. )

    Verify source ↗

    Money in the fund must be allocated for reimbursement, ongoing activities, marketing, and reporting, with some amounts allowed to carry over.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. ) ## 18732. (a) Notwithstanding Section 13340 of the Government Code, all moneys transferred to the California Senior Citizen Advocacy Voluntary Tax Contribution Fund pursuant to Section 18731 shall be continuously appropriated and allocated as follows: (1) To the Controller and the Franchise Tax Board for reimbursement of all costs incurred by the Controller and the Franchise Tax Board in connection with their duties under this article. (2) The balance to the California Senior Legislature, for its ongoing activities on behalf of older persons. The California Senior Legislature shall use at least 10 percent of this balance for purposes of marketing and promoting the fund. (b) All moneys allocated pursuant to paragraph (2) of subdivision (a) may be carried over from the year in which they were received and encumbered in any following year. (c) The funds allocated to the California Senior Legislature for the purpose of funding the activities of the California Senior Legislature shall be spent pursuant to the purview of the Joint Rules Committee of the California Senior Legislature in a manner consistent with the bylaws of the California Senior Legislature, established through a majority vote of the California Senior Legislature. (d) The California Senior Legislature’s Internet Web site shall report the goals of the organization, the number of and summary of bills proposed by the California Senior Legislature, and all events the California Senior Citizen Advocacy Voluntary Tax Contribution Fund supports each year. (Added by Stats. 2017, Ch. 443, Sec. 1. (AB 519) Effective January 1, 2018. Inoperative on January 1, 2032, as prescribed in Section 18733. Repealed on December 1, 2032, pursuant to Section 18733.)
  97. 18733.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. )

    Verify source ↗

    This article stays in force only until January 1, 2032, and is repealed on December 1, 2032.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3.6. California Senior Citizen Advocacy Voluntary Tax Contribution Fund [18730 - 18733] ( Article 3.6 added by Stats. 2017, Ch. 443, Sec. 1. ) ## 18733. Notwithstanding subdivision (c) of Section 18873 and Section 18874, this article shall remain in effect only until January 1, 2032, and is repealed as of December 1 of that year. (Amended by Stats. 2023, Ch. 89, Sec. 2. (AB 559) Effective January 1, 2024. Repealed on December 1, 2032, by its own provisions. Note: Termination provisions affect Article 3.6, commencing with Section 18730.)
  98. 18741.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. )

    Verify source ↗

    Individuals may make a voluntary tax contribution on their return to support the Endangered and Rare Fish, Wildlife, and Plant Species Conservation and Enhancement Account, subject to the filing and formatting rules in this section.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. ) ## 18741. (a) Any individual may designate on the tax return, under the space labeled “Rare and Endangered Species Preservation Voluntary Tax Contribution Program,” that a contribution in excess of the tax liability, if any, be made to the Endangered and Rare Fish, Wildlife, and Plant Species Conservation and Enhancement Account established in the Fish and Game Preservation Fund pursuant to Section 1770 of the Fish and Game Code. (b) The contribution shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. (d) The Franchise Tax Board shall revise the form of the return to include a space labeled “Rare and Endangered Species Preservation Voluntary Tax Contribution Program” to allow for the designation permitted under subdivision (a). (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2017, Ch. 504, Sec. 2. (AB 1031) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18744. Repealed on or before December 1, 2032, pursuant to Section 18744.)
  99. 18742.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. )

    Verify source ↗

    The Franchise Tax Board must tell the Controller how much designated refund money is involved, the Controller must transfer only up to that amount to the specified account, and the Department of Fish and Wildlife must follow the reporting rules in Section 18873.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. ) ## 18742. (a) The Franchise Tax Board shall notify the Controller of both the amount of moneys paid by taxpayers in excess of their tax liability and the amount of refund moneys that taxpayers have designated pursuant to Section 18741 to be transferred to the Endangered and Rare Fish, Wildlife, and Plant Species Conservation and Enhancement Account. The Controller shall transfer from the Personal Income Tax Fund to that account, an amount not in excess of the sum of the amounts reported to the Controller by the Franchise Tax Board that have been designated by individuals pursuant to Section 18741 for payment into that account. (b) Notwithstanding Section 13340 of the Government Code, all moneys transferred to the account shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for the reimbursement of all actual and direct costs incurred by the Franchise Tax Board and the Controller in connection with the collection and administration of funds under this article. (2) To the Department of Fish and Wildlife for the purposes specified in Section 1771 of the Fish and Game Code. (c) The Department of Fish and Wildlife shall comply with the Internet Web site reporting requirements described in Section 18873. (Amended by Stats. 2017, Ch. 504, Sec. 3. (AB 1031) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18744. Repealed on or before December 1, 2032, pursuant to Section 18744.)
  100. 18743.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. )

    Verify source ↗

    This section says the article is meant to create extra funding for endangered and rare animals and native plant species, and the money must supplement, not replace, other funding sources.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. ) ## 18743. It is the intent of the Legislature that this article create an additional funding source for programs for endangered and rare animals and native plant species and shall be used to supplement, not supplant, other funding sources for these programs. (Added by Stats. 2002, Ch. 594, Sec. 4. Effective January 1, 2003. Inoperative on or before January 1, 2032, as prescribed in Section 18744. Repealed on or before December 1, 2032, pursuant to Section 18744.)
  101. 18744.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. )

    Verify source ↗

    The Franchise Tax Board must annually decide whether expected contributions will meet the minimum amount, and the article sunsets and is repealed on the stated dates unless subdivision (b) applies.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5. Fish and Game Preservation Fund [18741 - 18744] ( Article 5 added by Stats. 2002, Ch. 594, Sec. 4. ) ## 18744. (a) Except as otherwise provided in subdivision (b), this article shall remain operative only until January 1, 2032, and as of December 1 of that year is repealed. (b) (1) By September 1, 2006, and by September 1 of each subsequent calendar year that the Rare and Endangered Species Preservation Voluntary Tax Contribution Program appears on a tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is inoperative with respect to taxable years beginning on or after January 1 of that calendar year, and shall be repealed on December 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Amended by Stats. 2024, Ch. 360, Sec. 4. (AB 1828) Effective January 1, 2025. Repealed on or before December 1, 2032, by its own provisions. Note: Termination provisions affect Article 5, commencing with Section 18741.)
  102. 18745.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. )

    Verify source ↗

    Individuals may make a voluntary tax-return contribution to the California Beach and Coastal Enhancement Account, and the Franchise Tax Board must provide a labeled form space for it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. ) ## 18745. (a) An individual may designate on the tax return, under the space titled “Protect Our Coast and Oceans Voluntary Tax Contribution Fund,” that a contribution in excess of tax liability, if any, be made to the California Beach and Coastal Enhancement Account established by paragraph (1) of subdivision (c) of Section 5067 of the Vehicle Code. That designation is to be used as a voluntary contribution on the tax return. (b) A contribution shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation made under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s tax liability, if any, the return shall be treated as though no designation had been made. (d) The Franchise Tax Board shall revise the form of the return to include a space labeled the “Protect Our Coast and Oceans Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used for grants and programs that preserve, protect, or enhance coastal resources and promote coastal and marine educational activities for underserved communities. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2017, Ch. 519, Sec. 1. (SB 503) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18748. Repealed on or before December 1, 2032, pursuant to Section 18748.)
  103. 18746.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. )

    Verify source ↗

    The Franchise Tax Board must tell the Controller how much excess tax payment and designated refund money applies, and the Controller must transfer matching funds to the California Beach and Coastal Enhancement Account.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. ) ## 18746. The Franchise Tax Board shall notify the Controller of both the amount of money paid by individuals in excess of their tax liability and the amount of refund money that individuals have designated pursuant to Section 18745 to be transferred to the California Beach and Coastal Enhancement Account. The Controller shall transfer from the Personal Income Tax Fund to the California Beach and Coastal Enhancement Account an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18745 for payment into that account. (Amended by Stats. 2017, Ch. 519, Sec. 2. (SB 503) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18748. Repealed on or before December 1, 2032, pursuant to Section 18748.)
  104. 18747.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. )

    Verify source ↗

    The California Coastal Commission must follow the Internet website reporting rules in Section 18873 for this account.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. ) ## 18747. (a) Notwithstanding Section 13340 of the Government Code, all money designated under the Protect Our Coast and Oceans Voluntary Tax Contribution Fund space on a tax return and transferred to the California Beach and Coastal Enhancement Account pursuant to Section 18745 shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) (A) To the California Coastal Commission to support eligible programs awarded grants under the selection criteria established by the California Coastal Commission for the Whale Tail Grants Program, and for direct program-related expenses. (B) All moneys allocated pursuant to subparagraph (A) may be carried over from the year in which they were received. (b) The California Coastal Commission shall comply with the Internet Web site reporting requirements described in Section 18873. (Amended by Stats. 2017, Ch. 519, Sec. 3. (SB 503) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18748. Repealed on or before December 1, 2032, pursuant to Section 18748.)
  105. 18748.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. )

    Verify source ↗

    The Franchise Tax Board must each year check whether estimated contributions meet the minimum contribution amount, and the article sunsets if the amount is not met or by the stated repeal date.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.1. California Beach and Coastal Enhancement Account [18745 - 18748] ( Article 5.1 added by Stats. 2013, Ch. 323, Sec. 1. ) ## 18748. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1, 2032, and is repealed as of December 1 of that year. (b) (1) By September 1 of the 2018 calendar year and each calendar year thereafter that the Protect Our Coast and Oceans Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year pursuant to paragraph (3). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is inoperative with respect to taxable years beginning on or after January 1 of that calendar year, and shall be repealed on December 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred thousand dollars ($200,000). (Amended by Stats. 2024, Ch. 1000, Sec. 4. (AB 178) Effective September 30, 2024. Repealed on or before December 1, 2032, by its own provisions. Note: Termination provisions affect Article 5.1, commencing with Section 18745.)
  106. 18749.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. )

    Verify source ↗

    Individuals may designate a voluntary contribution on the tax return for the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. ) ## 18749. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund, established by Section 18749.1. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year, and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. If no designee is specified, the contribution shall be transferred to the General Fund, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and administration of funds under this article. (d) If an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available for designation is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) When another voluntary contribution designation is removed from the tax return, or as soon as space is available, whichever occurs first, the Franchise Tax Board shall revise the form of the tax return to include a space labeled the “Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund” to allow for the designation provided. The form shall include in the instruction information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to support the rehabilitation of injured, sick, or orphaned native wildlife and for wildlife conservation education. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2024, Ch. 360, Sec. 5. (AB 1828) Effective January 1, 2025. Inoperative on or before January 1, 2031, as prescribed in Section 18749.3. Repealed on or before December 1, 2031, pursuant to Section 18749.3.)
  107. 18749.1.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. )

    Verify source ↗

    Creates a state fund for wildlife rehabilitation tax contributions and requires the Franchise Tax Board and Controller to move designated amounts into it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. ) ## 18749.1. There is in the State Treasury the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18749. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18749 to be transferred to the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18749 for payment into that fund. (Added by Stats. 2017, Ch. 504, Sec. 5. (AB 1031) Effective January 1, 2018. Inoperative on or before January 1, 2031, as prescribed in Section 18749.3. Repealed on or before December 1, 2031, pursuant to Section 18749.3.)
  108. 18749.2.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. )

    Verify source ↗

    Money transferred to the fund is continuously appropriated and allocated first to reimburse the Franchise Tax Board and Controller, then to the Department of Fish and Wildlife. The Department of Fish and Wildlife must also follow the Internet Web site reporting requirements in Section 18873.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. ) ## 18749.2. (a) Notwithstanding Section 13340 of the Government Code, all moneys transferred to the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) The revenues remaining, after allocation pursuant to paragraph (1), to the Department of Fish and Wildlife for the purposes specified in Article 5 (commencing with Section 1773) of Chapter 7.5 of Division 2 of the Fish and Game Code. (b) The Department of Fish and Wildlife shall comply with the Internet Web site reporting requirements described in Section 18873. (Added by Stats. 2017, Ch. 504, Sec. 5. (AB 1031) Effective January 1, 2018. Inoperative on or before January 1, 2031, as prescribed in Section 18749.3. Repealed on or before December 1, 2031, pursuant to Section 18749.3.)
  109. 18749.3.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. )

    Verify source ↗

    This section ends the article on a set schedule and requires the Franchise Tax Board to check annual contribution estimates and compare them to a $250,000 minimum.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 5.2. Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund [18749 - 18749.3] ( Article 5.2 added by Stats. 2017, Ch. 504, Sec. 5. ) ## 18749.3. (a) Except as otherwise provided in subdivision (b), this article shall remain operative only until January 1, 2031, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and by September 1 of each subsequent calendar year that the Native California Wildlife Rehabilitation Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Amended by Stats. 2024, Ch. 360, Sec. 6. (AB 1828) Effective January 1, 2025. Repealed on or before December 1, 2031, by its own provisions. Note: Termination provisions affect Article 5.2, commencing with Section 18749.)
  110. 18761.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    This section states the Legislature’s findings about Alzheimer’s disease and related dementia and says the article’s purpose is to create a research grant program.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18761. The Legislature finds and declares all of the following: (a) Alzheimer’s disease and related dementia disorders are devastating health conditions that cause a loss of intellectual functioning so severe that they interfere with an individual’s daily functioning and eventually result in death. These conditions cause serious financial, social, and emotional hardships on those affected and on their family caregivers. (b) Between 2008 and 2030 the number of Californians living with Alzheimer’s disease will double in both the general population and among the African American population. In this same period, there is expected to be a tripling of that disease among California’s Latino and Asian Pacific Islander populations. (c) Among California’s baby boomers 55 years of age and older, their lifetime risk for developing Alzheimer’s disease is one in eight. (d) Alzheimer’s disease is now the sixth leading cause of death in California. (e) Families provide almost three-quarters of the value of care for individuals living with Alzheimer’s disease in the community and in facilities, amounting to approximately $72.7 billion out of an estimated total cost of $104 billion. These family caregivers are more likely to experience financial hardship, health difficulties, and a negative impact on their ability to work outside the home. (f) The cost to the Medi-Cal program for an individual with Alzheimer’s disease or a related dementia is two and one-half times greater than the cost for an individual without a diagnosis of dementia. (g) While scientists have made great strides in understanding Alzheimer’s disease and other causes of dementia, there is no known prevention or cure at this time. (h) It is the intent of the Legislature, in enacting this article, to establish a systematic program for the conduct of research regarding the cause, prevention, diagnosis, cure, and treatment of Alzheimer’s disease and related disorders. The outcome of this research may have direct effects and consequences on the development of a comprehensive system that will provide diagnoses and treatment to victims of those health problems. This program shall award grants to eligible physicians, hospitals, laboratories, educational institutions, and other organizations and persons for the purpose of enabling those organizations and persons to conduct research. (Amended by Stats. 2009, Ch. 232, Sec. 1. (AB 292) Effective January 1, 2010. Inoperative on date prescribed in Section 18766. Repealed on or before December 1, 2032, pursuant to Section 18766.)
  111. 18762.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    This section defines “research” broadly for this article.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18762. For the purposes of this article, “research” shall include, but not be limited to, expenditures to develop and advance the understanding, techniques, and modalities effective in the care, treatment, and cure of Alzheimer’s victims and their families. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31. Inoperative on date prescribed in Section 18766. Repealed on or before December 1, 2032, pursuant to Section 18766.)
  112. 18763.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    An individual may designate part of an overpayment on the tax return for this voluntary contribution fund, and the tax board must update return forms for that choice.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18763. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund, that is established by Section 18764. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on the joint return. (c) A designation under subdivision (a) shall be made for any taxable year on the individual return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s tax liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the forms of the return to include a space labeled the “Alzheimer’s Disease and Related Dementia Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to conduct research relating to the cure and treatment of Alzheimer’s disease. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2018, Ch. 299, Sec. 2. (AB 2400) Effective January 1, 2019. Inoperative on date prescribed in Section 18766. Repealed on or before December 1, 2032, pursuant to Section 18766.)
  113. 18764.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    The section creates a State Treasury fund for California Alzheimer’s and related dementia research voluntary tax contributions, requires the Franchise Tax Board to notify the Controller about designated amounts, and requires the Controller to transfer limited funds into the account.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18764. There is in the State Treasury the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18763. The Franchise Tax Board shall notify the Controller of both the amount of money paid by individuals in excess of their tax liability and the amount of refund money that individuals have designated pursuant to Section 18763 to be transferred to the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18763 for payment into that fund. (Amended by Stats. 2018, Ch. 299, Sec. 3. (AB 2400) Effective January 1, 2019. Inoperative on date prescribed in Section 18766. Repealed on or before December 1, 2032, pursuant to Section 18766.)
  114. 18765.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    Money transferred to the fund must be continuously appropriated and allocated to specified public agencies and programs; grant money cannot be used outside California, and the State Department of Public Health must follow Section 18873 reporting rules.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18765. (a) (1) Notwithstanding Section 13340 of the Government Code, all money transferred to the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (A) To the Franchise Tax Board, the Controller, and the State Department of Public Health for reimbursement of all administrative costs incurred by the Franchise Tax Board, the Controller, and the State Department of Public Health in connection with their duties under this article. (B) To the State Department of Public Health to support eligible programs awarded grants under the selection criteria established by the State Department of Public Health’s Alzheimer’s Disease Program (Article 4 (commencing with Section 125275) of Chapter 2 of Part 5 of Division 106 of the Health and Safety Code) and for direct program-related expenses. (2) All moneys allocated pursuant to paragraph (1) may be carried over from the year in which they were received. (3) Grant moneys shall not be used for any purpose outside this state. (b) The State Department of Public Health shall comply with the Internet Web site reporting requirements described in Section 18873. (Amended by Stats. 2018, Ch. 299, Sec. 4. (AB 2400) Effective January 1, 2019. Inoperative on date prescribed in Section 18766. Repealed on or before December 1, 2032, pursuant to Section 18766.)
  115. 18766.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. )

    Verify source ↗

    The Franchise Tax Board must annually check whether the fund will raise at least $250,000 and must notify the State Department of Public Health in writing if it is projected to fall short.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 6. California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund [18761 - 18766] ( Heading of Article 6 amended by Stats. 2018, Ch. 299, Sec. 1. ) ## 18766. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only for taxable years beginning before January 1, 2032, and as of December 1 of that year is repealed. (b) (1) By September 1, 2019, and by September 1 of each subsequent calendar year that the California Alzheimer’s Disease and Related Dementia Research Voluntary Tax Contribution Fund appears on a tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contributions amount for the calendar year pursuant to paragraph (3). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. If the Franchise Tax Board determines that the fund is projected to fall below the minimum contribution amount, the Franchise Tax Board shall provide written notification to the State Department of Public Health. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Amended by Stats. 2024, Ch. 112, Sec. 1. (AB 2689) Effective January 1, 2025. Repealed on or before December 1, 2032, by its own provisions. Note: Termination provisions affect Article 6, commencing with Section 18761.)
  116. 18771.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Certain taxpayers may designate part of their return as a contribution to the California Seniors Special Fund, subject to 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18771. (a) Any individual who is allowed the credit under subdivision (c) of Section 17054 may designate on the tax return that a contribution is being made in an amount not to exceed the amount of the credit, without regard to Section 17054.1, which is to be paid to the California Seniors Special Fund. (b) The contribution may be made individually by each eligible signatory on the joint return who is allowed the credit under subdivision (c) of Section 17054. (c) The individual’s return shall be treated as if no designation is made under this article if either of the following apply: (1) The credit allowed by subdivision (c) of Section 17054 reported on the return is insufficient to cover the amount of the contribution. (2) Payments and credits reported on the return, together with any other credits associated with the taxpayer’s return are insufficient to cover the amount of tax owed plus the contribution. (d) A designation under subdivision (a) shall be made for any taxable year on the initial return for that taxable year, and once made shall be irrevocable. (e) The Franchise Tax Board shall revise the forms of the return to allow for the designation permitted under subdivision (a). (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  117. 18772.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A California Seniors Special Fund is established in the State Treasury, and the Franchise Tax Board and Controller must carry out the related notification and transfer steps.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18772. There is hereby established in the State Treasury the California Seniors Special Fund to receive contributions made pursuant to Section 18771. The Franchise Tax Board shall notify the Controller of the amount of the credits designated pursuant to Section 18771 to be transferred into the California Seniors Special Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Seniors Special Fund an amount not in excess of the sum of the credits designated by individuals pursuant to Section 18771 for payment into that fund. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  118. 18773.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Money transferred to the California Seniors Special Fund must be allocated first to reimburse the Franchise Tax Board and Controller, then $80,000 a year to the California Commission on Aging (or less if the fund balance is lower), and the remainder to the California Department of Aging for area agencies on aging.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 7. Designations to the California Seniors Special Fund [18771 - 18773] ( Article 7 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18773. (a) All money transferred to the California Seniors Special Fund pursuant to Section 18771 shall, upon appropriation, be allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the California Commission on Aging, the sum of eighty thousand dollars ($80,000) in each fiscal year, or the balance of the fund if less than that amount remains for the operational support of the Area Agency on Aging Advisory Council of California (TACC) for its advocacy efforts on behalf of the senior citizens of California. (3) The balance, if any, to the California Department of Aging for allocation on a per capita basis of individuals 60 years of age or older to the area agencies on aging for the support of direct services to senior citizens, as those services have been identified in each agency’s area plan. Each area agency on aging which elects to receive moneys from the California Seniors Special Fund shall include in their annual report a narrative describing the amount of moneys so received and the purposes for which the money was expended. (b) All moneys allocated pursuant to paragraph (2) of subdivision (a) may be carried over from the year in which they were received and encumbered in any following year. (c) The amount allocated pursuant to paragraph (2) of subdivision (a) may be adjusted annually, as determined by the Department of Finance, to reflect changes in salary adjustments, price increases, and travel reimbursement adjustments included for all state agencies in the annual Budget Act. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  119. 18791.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section says the Legislature intended to create a breast cancer research program and requires that the program award grants to eligible researchers and institutions.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18791. The Legislature finds and declares all of the following: (a) Breast cancer is a devastating health condition which will affect one out of nine American women during their lifetimes. Every three minutes a woman is diagnosed with breast cancer and every 12 minutes a woman dies of breast cancer. In 1992, 182,000 women in the United States will be diagnosed with breast cancer and 46,300 will die from the disease. In 1992, nearly 19,000 California women will be diagnosed with breast cancer and 7,000 will die from the disease. Periodic mammography screening has reduced breast cancer mortality by almost 50 percent. Nearly 15 percent of early tumors are not detected on mammograms. Thirty percent of all tumors found on mammograms are missed due to poorly performed or misinterpreted tests. The direct and indirect costs concerning a breast cancer diagnosis exact a huge economic toll of eight billion dollars ($8,000,000,000) a year, with the impact on the health system, the loss of worktime, the loss of women employees and lives lost to a disease that bankrupts families emotionally and economically. (b) There is no known cause, cure, or prevention at this time for breast cancer. Women are encouraged to screen themselves and be screened for breast cancer. According to some studies early detection through mammography reduces the rate of death from breast cancer by 30 to 50 percent. The state of breast cancer screening must be continually improved to identify breast tumors. Current techniques for breast cancer screening include mammography, both film screen and xerography, and ultrasound. (c) It is the intent of the Legislature in enacting this article, to establish a systematic program to conduct research regarding the cause, cure, and prevention of breast cancer. The outcome of this research may have direct effects and consequences on the development of a comprehensive system which may identify the cause, cure, and prevention of breast cancer as well as improving the screening, diagnoses and treatment of victims of breast cancer. This program shall award grants to eligible physicians, hospitals, laboratories, educational institutions, and other organizations and persons for the purpose of enabling organizations and persons to conduct research. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31. Inoperative on or before January 1, 2032, as prescribed in Section 18796. Repealed on or before December 1, 2032, pursuant to Section 18796.)
  120. 18792.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    For this article, “research” includes spending to develop and advance understanding, techniques, and methods for preventing, curing, screening, and treating breast cancer.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18792. For the purpose of this article, “research” shall include, but not be limited to, expenditures to develop and advance the understanding, techniques, and modalities effective in the prevention, cure, screening, and treatment of breast cancer. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31. Inoperative on or before January 1, 2032, as prescribed in Section 18796. Repealed on or before December 1, 2032, pursuant to Section 18796.)
  121. 18793.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Individuals may choose to designate part of a tax return overpayment for the California Breast Cancer Research Voluntary Tax Contribution Fund, and the Franchise Tax Board must provide a return form space for that designation.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18793. (a) Any individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Breast Cancer Research Voluntary Tax Contribution Fund, which is established by Section 18794. This designation is to be used as a voluntary contribution on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on the joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the forms of the return to include a space labeled the “California Breast Cancer Research Voluntary Tax Contribution Fund” to allow for the designation permitted. The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to conduct research relating to the cure, screening, and treatment of breast cancer. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2017, Ch. 427, Sec. 1. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18796. Repealed on or before December 1, 2032, pursuant to Section 18796.)
  122. 18794.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section creates a state fund for California Breast Cancer Research voluntary tax contributions and requires the Franchise Tax Board to notify the Controller and the Controller to transfer designated amounts into the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18794. There is in the State Treasury the California Breast Cancer Research Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18793. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money which taxpayers have designated pursuant to Section 18793 to be transferred to the California Breast Cancer Research Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Breast Cancer Research Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18793 for payment into that fund. (Amended by Stats. 2017, Ch. 427, Sec. 2. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18796. Repealed on or before December 1, 2032, pursuant to Section 18796.)
  123. 18795.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Money transferred to the breast cancer research contribution fund is continuously appropriated and split between reimbursement costs and University of California program support; UC may spend up to 5% on administration and promotion.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18795. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the California Breast Cancer Research Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the University of California for the support of the Breast Cancer Research Program (Article 1 (commencing with Section 104145) of Chapter 2 of Part 1 of Division 103 of the Health and Safety Code) for the purposes stated therein that are related solely to breast cancer research. The University of California may use up to 5 percent of the money allocated to it for administering and promoting the program. (b) The Legislature requests the University of California to report on its Internet Web site the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded, including, but not limited to, information regarding recipients of funds. (Amended by Stats. 2017, Ch. 427, Sec. 3. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18796. Repealed on or before December 1, 2032, pursuant to Section 18796.)
  124. 18796.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section sets a $250,000 minimum contribution amount, requires the Franchise Tax Board to make annual determinations and estimates, and provides for repeal/inoperability if the minimum is not met.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 8. Designations to the California Breast Cancer Research Fund [18791 - 18796] ( Article 8 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 18796. (a) Except as provided in subdivision (b), this article shall remain in effect only until January 1, 2032, and is repealed on December 1, 2032. (b) (1) By September 1, 2018, and by September 1 of each subsequent calendar year that the California Breast Cancer Research Voluntary Tax Contribution Fund appears on a tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year pursuant to paragraph (3). The Franchise Tax Board shall estimate the amount of the contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is inoperative with respect to taxable years beginning on or after January 1 of that calendar year and is repealed on December 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article before its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately before that repeal. (Amended by Stats. 2024, Ch. 130, Sec. 1. (SB 1172) Effective January 1, 2025. Repealed on or before December 1, 2032, by its own provisions. Note: Termination provisions affect Article 8, commencing with Section 18791.)
  125. 188.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

    Verify source ↗

    County fund allocations and repayments under this chapter are subject to review and audit by the Controller.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 188. The allocation of funds to and the repayment of funds by counties made pursuant to this chapter shall be subject to review and audit by the Controller. (Amended by Stats. 1986, Ch. 1110, Sec. 5. Effective September 24, 1986.)
  126. 188.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

    Verify source ↗

    The Department of Finance and the Controller must issue guidelines for carrying out this chapter, including a claim-review procedure for eligible counties.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 188.5. The Department of Finance and the Controller shall establish guidelines in carrying out the provisions of this chapter. These guidelines shall include a procedure for the review of claims submitted by an eligible county to the Department of Finance for allocations under this chapter. Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, these standards shall not be subject to the review and approval of the Office of Administrative Law. (Added by Stats. 1986, Ch. 16, Sec. 3. Effective March 11, 1986.)
  127. 18801.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. )

    Verify source ↗

    Individuals may designate a voluntary contribution on their tax return for the California Firefighters’ Memorial fund, and the tax board must update the return forms to include it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. ) ## 18801. (a) Any individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Firefighters’ Memorial Voluntary Tax Contribution Fund, which is established by Section 18802. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on the joint return. (c) A designation shall be made for any taxable year on the initial return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. In the event that no designee is specified, the contribution shall be transferred to the General Fund, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and the administration of funds under this article. (d) In the event a taxpayer designates a contribution to more than one account or fund listed on the tax return, and the amount available for designation is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) The Franchise Tax Board shall revise the forms of the return to include a space labeled the “California Firefighters’ Memorial Voluntary Tax Contribution Fund” to allow for the designation permitted. The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to construct and maintain a memorial to California firefighters on the grounds of the State Capitol. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2020, Ch. 173, Sec. 3. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18804.)
  128. 18802.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. )

    Verify source ↗

    The Franchise Tax Board must notify the Controller about certain contribution-related amounts, and the Controller must transfer limited funds into the California Firefighters’ Memorial Voluntary Tax Contribution Fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. ) ## 18802. There is in the State Treasury the California Firefighters’ Memorial Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18801. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money which taxpayers have designated pursuant to Section 18801 to be transferred to the California Firefighters’ Memorial Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Firefighters’ Memorial Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18801 for payment into that fund. It is the intent of the Legislature that the 1993 tax return include a space for the California Firefighters’ Memorial Voluntary Tax Contribution Fund. (Amended by Stats. 2020, Ch. 173, Sec. 4. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18804.)
  129. 18803.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. )

    Verify source ↗

    Money in the California Firefighters’ Memorial Voluntary Tax Contribution Fund must be allocated to reimbursement costs for the Franchise Tax Board and Controller, and to the California Fire Foundation, after legislative appropriation.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. ) ## 18803. (a) All money transferred to the California Firefighters’ Memorial Voluntary Tax Contribution Fund, upon appropriation by the Legislature, shall be allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the California Fire Foundation. (b) The money transferred to the California Firefighters’ Memorial Voluntary Tax Contribution Fund pursuant to Section 18802, and allocated pursuant to paragraph (2) of subdivision (a), shall be used for the following purposes: (1) Maintenance and repair of the California Firefighters’ Memorial on the grounds of the State Capitol. (2) Ceremonies to honor the memory of fallen firefighters and to assist surviving loved ones, but only from contributions made on tax returns filed on and after January 1, 2004. (3) An information guide detailing survivor benefits to assist the spouses and children of fallen firefighters, but only from contributions made on tax returns filed on and after January 1, 2004. (Amended by Stats. 2020, Ch. 173, Sec. 5. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18804.)
  130. 18804.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. )

    Verify source ↗

    This section sunsets on January 1, 2028 unless extended or deleted earlier, and it requires the Franchise Tax Board and the California Fire Foundation to do annual reporting tasks tied to the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9. Designations to the California Firefighters’ Memorial Voluntary Tax Contribution Fund [18801 - 18804] ( Heading of Article 9 amended by Stats. 2020, Ch. 173, Sec. 2. ) ## 18804. (a) This article shall remain in effect only until January 1, 2028, and as of that date is repealed, unless a later enacted statute, which is enacted before January 1, 2028, deletes or extends that date. (b) (1) If the repeal date specified in subdivision (a) has been deleted and if, thereafter, in any calendar year the Franchise Tax Board estimates by September 1 that contributions described in this article made on returns filed in that calendar year will be less than the minimum contribution amount prescribed by paragraph (2), then this article is inoperative with respect to taxable years beginning on and after January 1 of that calendar year. The Franchise Tax Board shall estimate the annual contribution amount by September 1 of each year using the actual amounts known to be contributed and an estimate of the remaining year’s contributions. (2) For purposes of this section, “minimum contribution amount” means two hundred fifty thousand dollars ($250,000) for any calendar year. (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (d) The California Fire Foundation shall annually post on its internet website information regarding the distribution of the funds in categories consistent with purposes outlined in Section 18803 for the preceding calendar year. (Amended by Stats. 2020, Ch. 173, Sec. 6. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, by its own provisions. Note: Repeal affects Article 9, commencing with Section 18801.)
  131. 18805.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. )

    Verify source ↗

    Taxpayers may designate a voluntary contribution on the return for this fund, and the Franchise Tax Board must update the return forms to add the designation space.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. ) ## 18805. (a) A taxpayer may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund, which is established by Section 18806. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on the joint return. (c) A designation shall be made for any taxable year on the initial return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. In the event that no designee is specified, the contribution shall be transferred to the General Fund, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and the administration of funds under this article. (d) In the event a taxpayer designates a contribution to more than one account or fund listed on the tax return, and the amount available for designation is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) The Franchise Tax Board shall revise the forms of the return to include a space labeled the “California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund” to allow for the designation permitted. The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to build and maintain the California Peace Officers’ Memorial in Sacramento, California, and for activities performed by the California Peace Officers Memorial Foundation, Inc. in support of families of slain peace officers. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2020, Ch. 173, Sec. 8. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18808.)
  132. 18806.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. )

    Verify source ↗

    The section creates a state fund for voluntary tax contributions and requires the Franchise Tax Board to notify the Controller, who must transfer designated amounts into the fund, subject to a cap.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. ) ## 18806. There is in the State Treasury the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18805. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money which taxpayers have designated pursuant to Section 18805 to be transferred to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18805 for payment into that fund. It is the intent of the Legislature that the tax return for the 1999 taxable year include a space for the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund. (Amended by Stats. 2020, Ch. 173, Sec. 9. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18808.)
  133. 18807.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. )

    Verify source ↗

    Money transferred to the fund must be allocated first to reimburse certain agencies and then for memorial-related purposes; the Foundation must also post annual distribution information on its website.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. ) ## 18807. All money transferred to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund, upon appropriation by the Legislature, shall be allocated as follows: (a) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (b) To the Department of the California Highway Patrol for allocation to the California Peace Officers’ Memorial Commission for building and maintaining the California Peace Officers’ Memorial in Sacramento, California, and for activities performed by the California Peace Officers Memorial Foundation, Inc. in support of families of slain peace officers. (c) All money transferred to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund prior to the enactment of the act adding this subdivision is hereby appropriated for allocation as described in subdivisions (a) and (b). (d) The California Peace Officers Memorial Foundation, Inc. shall annually post on its internet website information regarding the distribution of the funds in categories consistent with purposes outlined in this section for the preceding calendar year. (Amended by Stats. 2020, Ch. 173, Sec. 10. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, pursuant to Section 18808.)
  134. 18808.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. )

    Verify source ↗

    The article expires on January 1, 2028 unless the repeal date is deleted earlier. If that happens, the Franchise Tax Board must make and report annual minimum-contribution determinations, and adjust the minimum amount each year.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 9.5. Designations to the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund [18805 - 18808] ( Heading of Article 9.5 amended by Stats. 2020, Ch. 173, Sec. 7. ) ## 18808. (a) This article shall remain in effect only until January 1, 2028, and as of that date is repealed, unless a later enacted statute, which is enacted before January 1, 2028, deletes that date. (b) If the repeal date specified in subdivision (a) has been deleted, all of the following apply: (1) By September 1 of the calendar year beginning after the effective date of the act deleting the repeal date and by September 1 of each subsequent calendar year that the California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund appears on a tax return, the Franchise Tax Board shall do all of the following: (A) Determine the minimum contribution amount required to be received during the next calendar year for the fund to appear on the tax return for the taxable year that includes that next calendar year. (B) Provide written notification to the California Peace Officers’ Memorial Commission of the amount determined in subparagraph (A). (C) Determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount determined by the Franchise Tax Board for the calendar year pursuant to subparagraph (A). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is repealed with respect to taxable years beginning on or after January 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000) for the first calendar year beginning after the effective date of the act that deleted the repeal date specified in subdivision (a), or the minimum contribution amount adjusted pursuant to subdivision (c). (c) For each calendar year, beginning with calendar year 2005, the Franchise Tax Board shall adjust, on or before September 1 of that calendar year, the minimum contribution amount specified in subdivision (b) as follows: (1) The minimum contribution amount for the calendar year shall be an amount equal to the product of the minimum contribution amount for the prior calendar year multiplied by the inflation factor adjustment as specified in paragraph (2) of subdivision (h) of Section 17041, rounded off to the nearest dollar. (2) The inflation factor adjustment used for the calendar year shall be based on the figures for the percentage change in the California Consumer Price Index received on or before August 1 of the calendar year pursuant to paragraph (1) of subdivision (h) of Section 17041. (d) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Amended by Stats. 2020, Ch. 173, Sec. 11. (AB 2068) Effective January 1, 2021. Repealed on January 1, 2028, by its own provisions. Note: Repeal affects Article 9.5, commencing with Section 18805.)
  135. 18851.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. )

    Verify source ↗

    Individuals may choose on their tax return to make a voluntary contribution to the Emergency Food for Families Fund, and the tax board must update the return form to include that option.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. ) ## 18851. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the Emergency Food for Families Voluntary Tax Contribution Fund, which is established by Section 18852. That designation is to be used as a voluntary checkoff on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the form of the return to include a space labeled the “Emergency Food for Families Voluntary Tax Contribution Fund” to allow for the designation permitted. The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used for the Emergency Food Assistance Program. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2017, Ch. 723, Sec. 2. (SB 61) Effective January 1, 2018. Inoperative on or before January 1, 2026, as provided in Section 18855. Repealed on or before December 1, 2026, pursuant to Section 18855.)
  136. 18852.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. )

    Verify source ↗

    This section creates the Emergency Food for Families Voluntary Tax Contribution Fund and requires the Franchise Tax Board to notify the Controller, who must transfer limited amounts into the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. ) ## 18852. There is in the State Treasury the Emergency Food for Families Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18851. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18851 to be transferred to the Emergency Food for Families Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the Emergency Food for Families Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18851 for payment into that fund. (Amended by Stats. 2017, Ch. 723, Sec. 3. (SB 61) Effective January 1, 2018. Inoperative on or before January 1, 2026, as provided in Section 18855. Repealed on or before December 1, 2026, pursuant to Section 18855.)
  137. 18853.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. )

    Verify source ↗

    Money transferred to the fund must be continuously appropriated and allocated to reimburse certain state costs and to support the Emergency Food Assistance Program, and the Social Services Department must report spending and award details on its website.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. ) ## 18853. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the Emergency Food for Families Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the State Department of Social Services for allocation to the Emergency Food Assistance Program. Funds shall be allocated for direct services provided by the Emergency Food Assistance Program and may not be used for the department’s administrative costs. (b) The State Department of Social Services shall report on its Internet Web site the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded, including, but not limited to, information regarding recipients of funds. (Amended by Stats. 2017, Ch. 723, Sec. 4. (SB 61) Effective January 1, 2018. Inoperative on or before January 1, 2026, as provided in Section 18855. Repealed on or before December 1, 2026, pursuant to Section 18855.)
  138. 18854.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. )

    Verify source ↗

    The Legislature states that this article is intended to create an extra funding source for the Emergency Food Assistance Program and to supplement, not replace, other funding sources.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. ) ## 18854. It is the intent of the Legislature that this article create an additional funding source for the Emergency Food Assistance Program and shall be used to supplement, not supplant, other funding sources for this program. (Added by Stats. 1998, Ch. 818, Sec. 2. Effective January 1, 1999. Inoperative on or before January 1, 2026, as provided in Section 18855. Repealed on or before December 1, 2026, pursuant to Section 18855.)
  139. 18855.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. )

    Verify source ↗

    The Franchise Tax Board must annually check whether estimated contributions meet a $250,000 minimum, and the article sunsets on January 1, 2026 unless extended.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14. Emergency Food for Families Voluntary Tax Contribution Fund [18851 - 18855] ( Heading of Article 14 amended by Stats. 2017, Ch. 723, Sec. 1. ) ## 18855. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1, 2026, and as of December 1 of that year is repealed, unless a later enacted statute, that is enacted before January 1, 2026, deletes or extends that date. (b) (1) By September 1, 2006, and by September 1 of each subsequent calendar year that the Emergency Food for Families Voluntary Tax Contribution Fund appears on a tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year as described in paragraph (3). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year, and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Amended by Stats. 2017, Ch. 723, Sec. 5. (SB 61) Effective January 1, 2018. Repealed on or before December 1, 2026, pursuant to its own provisions. Note: Termination provisions affect Article 14, commencing with Section 18851.)
  140. 18857.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. )

    Verify source ↗

    Individuals may designate a voluntary contribution on the tax return for the Mental Health Crisis Prevention Voluntary Tax Contribution Fund, and the Franchise Tax Board must update the return form to support it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. ) ## 18857. (a) An individual may designate on the tax return that a contribution in excess of the personal income tax liability, if any, be made to the Mental Health Crisis Prevention Voluntary Tax Contribution Fund, which is established by Section 18857.1. That designation is to be used as a voluntary contribution on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the form of the return to include a space labeled the “Mental Health Crisis Prevention Voluntary Tax Contribution Fund” to allow for the designation permitted. The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to fund the Crisis Intervention Team program that trains peace officers to assist, and engage safely with, persons living with mental illness. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (f) Notwithstanding any other law, a voluntary contribution designation for the Mental Health Crisis Prevention Voluntary Tax Contribution Fund shall not be added on the return until another voluntary contribution designation is removed or space is available, whichever occurs first. (Added by Stats. 2021, Ch. 61, Sec. 1. (AB 1065) Effective January 1, 2022. Inoperative on date prescribed in Section 18857.3. Repealed, pursuant to Section 18857.3, on December 1 following inoperative date.)
  141. 18857.1.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. )

    Verify source ↗

    This section creates the Mental Health Crisis Prevention Voluntary Tax Contribution Fund and requires the Franchise Tax Board to notify the Controller of certain designated amounts.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. ) ## 18857.1. There is hereby established in the State Treasury the Mental Health Crisis Prevention Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18857. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18857 to be transferred to the Mental Health Crisis Prevention Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the Mental Health Crisis Prevention Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18857 for payment into that fund. (Added by Stats. 2021, Ch. 61, Sec. 1. (AB 1065) Effective January 1, 2022. Inoperative on date prescribed in Section 18857.3. Repealed, pursuant to Section 18857.3, on December 1 following inoperative date.)
  142. 18857.2.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. )

    Verify source ↗

    The Department of the California Highway Patrol must post specified funding and administration information on its website, and the National Alliance on Mental Illness California may not use more than 5% of its received funds for administrative purposes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. ) ## 18857.2. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the Mental Health Crisis Prevention Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board, the Controller, and the Department of the California Highway Patrol for reimbursement of all costs incurred by the Franchise Tax Board, the Controller, and the Department of the California Highway Patrol in connection with their duties under this article. (2) (A) To the Department of the California Highway Patrol for disbursement to the National Alliance on Mental Illness California to fund the Crisis Intervention Team program that trains peace officers to assist, and engage safely with, persons living with mental illness. (B) The National Alliance on Mental Illness California shall not use more than 5 percent of the moneys received pursuant to this article for administrative purposes. (b) The Department of the California Highway Patrol shall report on its internet website information provided by the National Alliance on Mental Illness on the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded. (Added by Stats. 2021, Ch. 61, Sec. 1. (AB 1065) Effective January 1, 2022. Inoperative on date prescribed in Section 18857.3. Repealed, pursuant to Section 18857.3, on December 1 following inoperative date.)
  143. 18857.3.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. )

    Verify source ↗

    This section keeps the article in force only for a limited period and sets a minimum annual contribution amount of $250,000 for the Franchise Tax Board to monitor.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 14.5. Mental Health Crisis Prevention Voluntary Tax Contribution Fund [18857 - 18857.3] ( Article 14.5 added by Stats. 2021, Ch. 61, Sec. 1. ) ## 18857.3. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1 of the seventh taxable year following the first appearance of the Mental Health Crisis Prevention Voluntary Tax Contribution Fund on the personal income tax return, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and each subsequent calendar year that the Mental Health Crisis Prevention Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year, and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Added by Stats. 2021, Ch. 61, Sec. 1. (AB 1065) Effective January 1, 2022. Repealed on December 1 of year prescribed in subd. (a) or subd. (b). Note: Termination provisions affect Article 14.5, commencing with Section 18857.)
  144. 18861.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. )

    Verify source ↗

    Individuals may designate a voluntary contribution on their tax return for the California Cancer Research Voluntary Tax Contribution Fund, and the Franchise Tax Board must provide a return form space for it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. ) ## 18861. (a) Any individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the California Cancer Research Voluntary Tax Contribution Fund, pursuant to Section 18862. This designation is to be used as a voluntary contribution on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s liability, the return shall be treated as though no designation has been made. (d) If an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) The Franchise Tax Board shall revise the forms of the return to include a space labeled the “California Cancer Research Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The forms shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to conduct research relating to the causes, detection, and prevention of cancer, to expand community-based education on cancer, and to provide prevention and awareness activities for communities that are disproportionately at risk or afflicted by cancer. (f) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Amended by Stats. 2017, Ch. 427, Sec. 5. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18864. Repealed on or before December 1, 2032, pursuant to Section 18864.)
  145. 18862.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. )

    Verify source ↗

    This section creates a fund in the State Treasury for California cancer research contributions and requires the Franchise Tax Board to notify the Controller, who must transfer limited amounts into the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. ) ## 18862. There is hereby created in the State Treasury the California Cancer Research Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18861. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18861 to be transferred to the California Cancer Research Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California Cancer Research Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18861 for payment into that fund. (Amended by Stats. 2017, Ch. 427, Sec. 6. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18864. Repealed on or before December 1, 2032, pursuant to Section 18864.)
  146. 18863.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. )

    Verify source ↗

    Money transferred to the California Cancer Research Voluntary Tax Contribution Fund must be continuously appropriated for reimbursement and grant-related uses stated in the section.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. ) ## 18863. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the California Cancer Research Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the Regents of the University of California for distribution of grants for the purposes of conducting research on the causes and treatments for cancer, expanding community-based education on cancer, and providing culturally sensitive and appropriate prevention and awareness activities targeted toward communities that are disproportionately at risk or afflicted by cancer, and for reimbursement of any costs incurred by the regents for administering the grants authorized pursuant to this section. (b) The Legislature requests the Regents of the University of California to report on its Internet Web site the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded, including, but not limited to, information regarding recipients of funds. (Amended by Stats. 2017, Ch. 427, Sec. 7. (SB 440) Effective January 1, 2018. Inoperative on or before January 1, 2032, as prescribed in Section 18864. Repealed on or before December 1, 2032, pursuant to Section 18864.)
  147. 18864.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. )

    Verify source ↗

    The Franchise Tax Board must annually determine and estimate whether contributions to the California Cancer Research Voluntary Tax Contribution Fund will reach at least $250,000, and the article sunsets or may become inoperative if the estimate falls short.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 15. California Cancer Research Fund [18861 - 18864] ( Article 15 added by Stats. 2008, Ch. 330, Sec. 1. ) ## 18864. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1, 2032, and is repealed on December 1, 2032. (b) (1) By September 1 of the second calendar year and each subsequent calendar year that the California Cancer Research Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year pursuant to paragraph (3). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is inoperative with respect to taxable years beginning on or after January 1 of that calendar year and is repealed on December 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Amended by Stats. 2024, Ch. 130, Sec. 2. (SB 1172) Effective January 1, 2025. Repealed on or before December 1, 2032, by its own provisions. Note: Termination provisions affect Article 15, commencing with Section 18861.)
  148. 18871.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. )

    Verify source ↗

    This section sets rules for how voluntary contribution funds and accounts appear on tax return forms, how contributions are handled when a fund is repealed or no designee is listed, and when the Franchise Tax Board may add contingent designations.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. ) ## 18871. In implementing this chapter, all of the following requirements shall apply: (a) Unless otherwise specifically required by law, each voluntary contribution fund or account established by this chapter shall be included on the forms of the return through the taxable year immediately preceding the year of repeal of the article establishing that voluntary contribution fund or account. (b) Notwithstanding the repeal of any article of this chapter, the voluntary contribution fund or account specified in that article shall continue in effect until December 31 of the year of the repeal of that article, and any contribution designated pursuant to that article on a timely filed initial return for the taxable year immediately preceding the date of repeal shall be transferred and disbursed, and all costs incurred by the Franchise Tax Board and Controller in connection with the transfer and disbursement of these contribution amounts shall continue to be paid, in accordance with that article as it read immediately prior to its repeal. (c) Unless otherwise specifically required by law, a contribution made to any voluntary contribution fund or account established by this chapter shall be subject to the following provisions: (1) In the event that no designee is specified, the contribution shall, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and administration of contributions made under this article, be transferred to the General Fund. (2) In the event an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (d) (1) If the number of contingent voluntary contribution designations that are eligible to be added to the tax return for a taxable year is greater than the number of voluntary contribution designations removed, those contingent voluntary contribution designations that are eligible to be added to the tax return shall be added to the tax return in the order of the date of enactment, with the voluntary contribution designation with the earliest date of enactment to be added first. (2) For purposes of this subdivision: (A) A contingent voluntary contribution designation means a voluntary contribution designation authorized under this chapter that may not be added to the tax return until another voluntary contribution designation is removed from the tax form. (B) The date of enactment of a contingent voluntary contribution designation authorized under this chapter shall be the date the act authorizing the contingent voluntary contribution designation was filed with the Secretary of State. In the event that more than one act authorizing a contingent voluntary contribution designation is filed with the Secretary of State on the same date, the act with the lowest chapter number will be conclusively presumed to have been filed with the Secretary of State before any other act authorizing a contingent voluntary contribution designation with a higher number. (e) Notwithstanding subdivision (d), or the contingency language of an act prohibiting the addition of a contingent voluntary contribution designation until another voluntary contribution designation is removed, the Franchise Tax Board may add one or more voluntary contribution designations if the board determines that space is available on the tax return to accommodate the additional voluntary contribution designation. (Amended by Stats. 2003, Ch. 170, Sec. 1. Effective January 1, 2004.)
  149. 18872.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. )

    Verify source ↗

    People who prepare state income tax returns are encouraged to tell clients in writing, before the return is completed, that the client may make a voluntary contribution check-off if they choose.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. ) ## 18872. The Legislature finds and declares that it is important to inform taxpayers that they may make voluntary contributions to certain funds or programs, as provided on the state income tax return. The Legislature further finds and declares that many taxpayers remain unaware of the voluntary contribution check-offs on the state income tax return. Therefore, it is the intent of the Legislature to encourage all persons who prepare state income tax returns to inform their clients in writing, prior to the completion of any tax return, that they may make a contribution to any voluntary contribution check-off on the state income tax return if they so choose. (Amended by Stats. 1998, Ch. 485, Sec. 151. Effective January 1, 1999.)
  150. 18873.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. )

    Verify source ↗

    This section sets rules for new voluntary tax contributions, including how they must be named, what the administering agency must publish online, the minimum contribution needed to keep a fund on the tax return, how the money is appropriated, and when the section applies.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. ) ## 18873. Notwithstanding any other law, all of the following requirements shall apply to any new voluntary tax contributions, including an extension of any existing voluntary tax contribution: (a) The words “voluntary tax contribution” shall be included as part of the name of the fund. (b) (1) The administering agency’s Internet Web site shall report the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded by the agency, including, but not limited to, information regarding recipients of funds. (2) An “administering agency” means the state agency or other governmental entity, other than the Franchise Tax Board and the Controller, to which funds are allocated to accomplish the purposes of the voluntary tax contribution designation. (c) (1) Except as otherwise provided in paragraph (2) or where another inoperative or repeal date is provided, the article establishing the voluntary tax contribution shall remain in effect only until January 1 of the seventh calendar year following the first appearance of the contribution on the personal income tax return, and is repealed as of December 1 of that year. (2) The minimum contribution amount that must be received for the fund to continue appearing on the tax return is two hundred fifty thousand dollars ($250,000) for the second calendar year after the first appearance of the fund on the personal income tax return and each calendar year thereafter. (d) Contributions made pursuant to the voluntary tax contribution shall be continuously appropriated from the fund to the administering agency to be spent as prescribed in the act in which the voluntary tax contribution is enacted. (e) This section shall apply only to new voluntary tax contributions, including an extension of any existing voluntary tax contribution, that take effect on or after January 2, 2017. (Added by Stats. 2016, Ch. 597, Sec. 1. (SB 1476) Effective January 1, 2017.)
  151. 18874.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. )

    Verify source ↗

    For certain voluntary tax contribution funds, the 2017 minimum contribution amount is $0, and the 2018 amount is the greater of $250,000 or the amount previously determined as of September 1, 2016; some funds subject to repeal are excluded.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 16. General Provisions [18871 - 18874] ( Article 16 added by Stats. 1996, Ch. 960, Sec. 2. ) ## 18874. (a) Except as provided in subdivision (b) and notwithstanding any other law, the following shall apply to any voluntary tax contribution fund established by this chapter, appearing on the tax return for the 2016 taxable year, that has a minimum contribution amount requirement for the 2017 calendar year in order to continue to appear on the tax return form for the 2017 taxable year: (1) The minimum contribution amount requirement for the 2017 calendar year is equal to zero dollars ($0). (2) The minimum contribution amount requirement for the 2018 calendar year, in order to appear on the tax return form for the 2018 taxable year, means the greater of either two hundred fifty thousand dollars ($250,000), pursuant to paragraph (2) of subdivision (c) of Section 18873, or the minimum contribution amount previously determined, pursuant to the provisions of the article establishing the fund, as of September 1, 2016, that would have been for the 2017 calendar year for that fund. (b) This section does not apply to a voluntary contribution fund that is otherwise subject to repeal, pursuant to the provisions of the article establishing the fund, without regard to satisfying a minimum contribution amount requirement. (Amended by Stats. 2017, Ch. 252, Sec. 19. (AB 131) Effective September 16, 2017.)
  152. 18881.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. )

    Verify source ↗

    This section states legislative findings about ALS and says the article is intended to create a California program supporting ALS research, care, and prevention efforts.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. ) ## 18881. The Legislature finds and declares all of the following: (a) Amyotrophic lateral sclerosis (ALS), more commonly known as Lou Gehrig’s disease, is a degenerative disease of the motor nerves that causes progressive weakness of all voluntary muscles. People with ALS become unable to move, swallow, speak, and breathe without assistance, usually remaining fully aware of what is happening to them and their families. (b) ALS is a fatal disease. There is no cure and only a few drug therapies, none of which allow for meaningful life extension. Most ALS patients die within two to five years of symptom onset. Every 90 minutes someone is diagnosed with ALS, and every 90 minutes someone dies of the disease. ALS knows no racial, ethnic, or socioeconomic boundaries, often striking people at midlife and at the height of family, career, and financial responsibilities. (c) The devastating physical, emotional, and financial effects caused by the progression of ALS and the 24-hour, seven-day-a-week caregiving required impact not only the patient, but the entire family. ALS is a family disease, and the need for a coordinated effort on the part of the research and clinical care community in California is essential. (d) It is the intent of the Legislature, in enacting this article, to establish a systematic program to bring together California’s academic, clinical, and scientific infrastructure to advance our collective understanding of the causes, cures, and prevention of ALS. The outcome of this collaboration may have direct effects and consequences on the development of a comprehensive system that may identify the causes, cures, and prevention of ALS, as well as improving the screening, diagnosis, and treatment of victims of ALS. This program shall underwrite the costs of bringing together California’s physicians, hospitals, laboratories, educational institutions, and other organizations and persons for the purpose of enabling organizations and persons to advance ideas and activities that will better our understanding of ALS clinical care and explore opportunities that science can play in the diagnosis, treatment, and prevention of ALS. (Added by Stats. 2023, Ch. 265, Sec. 1. (AB 511) Effective January 1, 2024. Inoperative as prescribed in subd. (b) of Section 18885 if its repeal conditions are met. Repealed, pursuant to Section 18885, on December 1, 2031, by subd. (a), or on earlier date prescribed in subd. (b).)
  153. 18882.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. )

    Verify source ↗

    An individual may designate a voluntary contribution on the tax return for the California ALS Research Network Voluntary Tax Contribution Fund, subject to the stated time period and rules.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. ) ## 18882. (a) For taxable years beginning on or after January 1, 2024, and before January 1, 2031, an individual may designate on the tax return that a contribution in excess of the personal income tax liability, if any, be made to the California ALS Research Network Voluntary Tax Contribution Fund established in Section 18883. That designation is to be used as a voluntary contribution on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation shall be made for any taxable year on the original return for that taxable year and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. (d) The Franchise Tax Board shall revise the form of the return to include a space labeled the “California ALS Research Network Voluntary Tax Contribution Fund” to allow for the designation permitted. The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to support the collaboration of clinicians, scientists, and academic and industry research organizations relating to the cure, screening, and treatment of ALS. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Added by Stats. 2023, Ch. 265, Sec. 1. (AB 511) Effective January 1, 2024. Inoperative as prescribed in subd. (b) of Section 18885 if its repeal conditions are met. Repealed, pursuant to Section 18885, on December 1, 2031, by subd. (a), or on earlier date prescribed in subd. (b).)
  154. 18883.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. )

    Verify source ↗

    A state fund is created to receive certain voluntary tax contributions, and the Franchise Tax Board and Controller must handle the related notices and transfers.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. ) ## 18883. There is hereby established in the State Treasury the California ALS Research Network Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18882. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18882 to be transferred to the California ALS Research Network Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the California ALS Research Network Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18882 for payment into that fund. (Added by Stats. 2023, Ch. 265, Sec. 1. (AB 511) Effective January 1, 2024. Inoperative as prescribed in subd. (b) of Section 18885 if its repeal conditions are met. Repealed, pursuant to Section 18885, on December 1, 2031, by subd. (a), or on earlier date prescribed in subd. (b).)
  155. 18884.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. )

    Verify source ↗

    The chapter requires the nonprofit recipient to report how the money was spent and bars it from using the money for administrative purposes.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. ) ## 18884. (a) Notwithstanding Section 13340 of the Government Code, all money transferred to the California ALS Research Network Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board, the Controller, and the State Department of Public Health for reimbursement of all costs incurred by the Franchise Tax Board, the Controller, and the State Department of Public Health in connection with their duties under this article. (2) (A) To the State Department of Public Health, for disbursement to the Amyotrophic Lateral Sclerosis Association Golden West Chapter, a California based nonprofit organization exempt from taxation under Section 501(c)(3) of the Internal Revenue Code, to support the work of their California ALS Research Network in an effort to develop and advance the understanding, techniques, and modalities effective in the prevention, treatment, and cure of ALS. (B) The Amyotrophic Lateral Sclerosis Association Golden West Chapter shall not use moneys received pursuant to this article for administrative purposes. (b) On or before January 1, 2025, and annually thereafter, the Amyotrophic Lateral Sclerosis Association Golden West Chapter shall provide to the State Department of Public Health information on how moneys received pursuant to this article were spent, including an itemization of how program funds were awarded, such as to specific research grants, projects, and events, and the department shall report that information on its internet website. (Added by Stats. 2023, Ch. 265, Sec. 1. (AB 511) Effective January 1, 2024. Inoperative as prescribed in subd. (b) of Section 18885 if its repeal conditions are met. Repealed, pursuant to Section 18885, on December 1, 2031, by subd. (a), or on earlier date prescribed in subd. (b).)
  156. 18885.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. )

    Verify source ↗

    This article ends on December 1, 2031 unless subdivision (b) says otherwise. The Franchise Tax Board must annually determine and notify the Department of Public Health whether estimated contributions meet the minimum amount.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 17. California ALS Research Network Voluntary Tax Contribution Fund [18881 - 18885] ( Article 17 added by Stats. 2023, Ch. 265, Sec. 1. ) ## 18885. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until December 1, 2031, and as of that date is repealed. (b) (1) By September 1 of the second calendar year and each subsequent calendar year that the California ALS Research Network Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year, and shall provide written notification of those estimates to the State Department of Public Health. (2) If the Franchise Tax Board determines that the amount of contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year, and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (Added by Stats. 2023, Ch. 265, Sec. 1. (AB 511) Effective January 1, 2024. Repealed on or before December 1, 2031, as prescribed by its own provisions. Note: Termination provisions affect Article 17, commencing with Section 18881.)
  157. 18895.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. )

    Verify source ↗

    An individual may designate part of a tax return overpayment for a school-supplies fund, and the Franchise Tax Board must provide the return form for that choice.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. ) ## 18895. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the School Supplies for Homeless Children Voluntary Tax Contribution Fund established by Section 18896. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation under subdivision (a) shall be made for a taxable year on the original return for that taxable year, and once made shall be irrevocable. If payments and credits reported on the return, together with any other credits associated with the individual’s account, do not exceed the individual’s tax liability, the return shall be treated as though no designation has been made. (d) If an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designees on a pro rata basis. (e) The Franchise Tax Board shall revise the form of the return to include a space labeled “School Supplies for Homeless Children Voluntary Tax Contribution Fund” to allow for the designation permitted under subdivision (a). The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to provide school supplies for homeless children. (f) Notwithstanding any other law, a voluntary contribution designation for the School Supplies for Homeless Children Voluntary Tax Contribution Fund shall not be added on the tax return until another voluntary contribution designation is removed. (g) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for a contribution made pursuant to subdivision (a). (Amended by Stats. 2021, Ch. 96, Sec. 2. (AB 742) Effective January 1, 2022. Inoperative on or before January 1, 2029, as provided in Section 18898. Repealed on or before December 1, 2029, pursuant to Section 18898.)
  158. 18896.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. )

    Verify source ↗

    This section creates the School Supplies for Homeless Children Voluntary Tax Contribution Fund and requires the Franchise Tax Board to notify the Controller of relevant designated contribution amounts; the Controller must then transfer limited amounts into the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. ) ## 18896. There is hereby established in the State Treasury the School Supplies for Homeless Children Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18895. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18895 to be transferred to the School Supplies for Homeless Children Voluntary Tax Contribution Fund. The Controller shall transfer from the Personal Income Tax Fund to the School Supplies for Homeless Children Voluntary Tax Contribution Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18895 for payment into that fund. (Amended by Stats. 2021, Ch. 96, Sec. 3. (AB 742) Effective January 1, 2022. Inoperative on or before January 1, 2029, as provided in Section 18898. Repealed on or before December 1, 2029, pursuant to Section 18898.)
  159. 18897.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. )

    Verify source ↗

    This section directs how money in the fund must be allocated and used, and sets reporting, matching-fund, and nonprofit designation rules.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. ) ## 18897. (a) All moneys transferred to the School Supplies for Homeless Children Voluntary Tax Contribution Fund, notwithstanding Section 13340 of the Government Code, shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board, the State Department of Social Services, and the Controller for reimbursement of all costs incurred by the Franchise Tax Board, the Controller, and the State Department of Social Services in connection with their duties under this article. (2) To the State Department of Social Services as follows: (A) For the 2014–15 fiscal year, the Controller shall transfer the funds appropriated to the State Department of Education for this purpose from Budget Items 6110-001-8075 and 6110-101-8075 to the State Department of Social Services. Funds transferred may be used for state operations or local assistance expenditures and for distribution to a nonprofit organization exempt from federal income tax as an organization described in Section 501(c)(3) of the Internal Revenue Code for the sole purpose of assisting pupils in California on a statewide basis pursuant to the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.) by providing school supplies and health-related products to partnering local education agencies for distribution to homeless children, as defined by the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11434a). The nonprofit organization shall provide a minimum 100 percent match for all funds received from the School Supplies for Homeless Children Voluntary Tax Contribution Fund. If the nonprofit organization provides in-kind materials towards the 100 percent match, then the value of the in-kind materials contributing to a 100 percent match shall be verified by the donor donating the in-kind materials and cannot exceed the market value of the materials if sold at retail. The State Department of Social Services shall enter into a subvention services or grant agreement with the nonprofit organization. (B) The State Department of Social Services’ first designation of a nonprofit organization shall be valid until January 1, 2017. On that date, and every three calendar years thereafter, while this section is operative and in effect, the State Department of Social Services shall designate the same or a different nonprofit organization pursuant to this section. The State Department of Social Services may revoke the designation if the nonprofit organization fails to comply with the provisions of this article. If a designation is revoked, the State Department of Social Services shall designate a new nonprofit organization within three calendar months or as soon as administratively feasible. (C) Funds shall be distributed by the State Department of Social Services only after evidence is presented to the State Department of Social Services that demonstrates that the local education agencies, domestic violence shelters, or eligible basic living centers and transitional living centers, as specified in subparagraph (C) of paragraph (2), have received the materials described in subparagraph (A). (3) (A) Funds distributed to the nonprofit organization pursuant to this section shall be used only for costs incurred to procure, assemble, and ship school supplies and health-related products. Funds made available pursuant to this section shall not be used for administrative purposes, to reimburse costs associated with administering grants of school supplies and health-related products to local education agencies or domestic violence shelters, or for any purpose relating to the operation of the nonprofit organization. (B) The nonprofit organization may provide school supplies and health-related products to children living in domestic violence shelters. (C) The nonprofit organization may provide school supplies and health-related products to homeless children and homeless youth, as defined in Section 11139.3 of the Government Code, residing in or receiving services from eligible basic living centers and transitional living centers eligible for assistance as specified in the Runaway and Homeless Youth Act (42 U.S.C. 5701 et seq.), as that act read on January 1, 2015. (b) The State Department of Social Services shall verify that the designated nonprofit organization procured school supplies and health-related products and provided matching funds or in-kind materials as described in this section. (c) The State Department of Social Services shall annually report on its internet website information on the process for the distribution of funds, the amount of moneys distributed to the designated nonprofit organization, the matching funds or in-kind materials provided by the designated nonprofit organization, and the amount of money spent on administration. (Amended by Stats. 2022, Ch. 28, Sec. 147. (SB 1380) Effective January 1, 2023. Inoperative on or before January 1, 2029, as provided in Section 18898. Repealed on or before December 1, 2029, pursuant to Section 18898.)
  160. 18898.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. )

    Verify source ↗

    This section gives the Franchise Tax Board yearly duties to calculate, notify, and adjust the minimum contribution amount for the fund, and it sets a sunset and repeal date for the article.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 20. School Supplies for Homeless Children Voluntary Tax Contribution Fund [18895 - 18898] ( Heading of Article 20 amended by Stats. 2021, Ch. 96, Sec. 1. ) ## 18898. (a) Except as otherwise provided in subdivision (b), this article shall remain in effect only until January 1, 2029, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and each subsequent calendar year that the School Supplies for Homeless Children Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall do all of the following: (A) Determine the minimum contribution amount required to be received during the next calendar year for the fund to appear on the tax return for the taxable year that includes that next calendar year. (B) Provide written notification to the State Department of Social Services of the amount determined in subparagraph (A). (C) Determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount determined by the Franchise Tax Board for the calendar year pursuant to subparagraph (A). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000) for the second calendar year after the first appearance of the School Supplies for Homeless Children Voluntary Tax Contribution Fund on the personal income tax return or the adjusted minimum contribution amount adjusted pursuant to subdivision (c). (c) For each calendar year, beginning with the third calendar year after the first appearance of the School Supplies for Homeless Children Voluntary Tax Contribution Fund on the personal income tax return, the Franchise Tax Board shall adjust, on or before September 1 of that calendar year, the minimum contribution amount specified in subdivision (b) as follows: (1) The minimum estimated contribution amount for the calendar year shall be an amount equal to the product of the minimum estimated contribution amount for the calendar year multiplied by the inflation factor adjustment as specified in subparagraph (A) of paragraph (2) of subdivision (h) of Section 17041, rounded off to the nearest dollar. (2) The inflation factor adjustment used for the calendar year shall be based on the figures for the percentage change in the California Consumer Price Index for all items received on or before August 1 of the calendar year pursuant to paragraph (1) of subdivision (h) of Section 17041. (d) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Amended by Stats. 2021, Ch. 96, Sec. 5. (AB 742) Effective January 1, 2022. Repealed on December 1, 2029, by subd. (a), or on earlier date prescribed in subd. (b). Note: Termination provisions affect Article 20, commencing with Section 18895.)
  161. 189.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

    Verify source ↗

    Each eligible county must make every reasonable effort to inform eligible property owners about the benefits of this chapter.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 189. Each eligible county shall make every reasonable effort to inform eligible property owners of the benefits provided by this chapter. (Added by Stats. 1986, Ch. 16, Sec. 3. Effective March 11, 1986.)
  162. 18900.1.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. )

    Verify source ↗

    The Franchise Tax Board must update the tax return form to let individuals designate contributions to the State Parks Protection Fund, and qualifying contributors may receive a state parks day use annual pass.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. ) ## 18900.1. (a) For taxable years beginning on or after January 1, 2012, the Franchise Tax Board shall revise the individual taxpayer return form to allow an individual to designate a contribution in excess of tax liability, if any, be made to the State Parks Protection Fund established by Section 18900.2. (b) A contribution shall be in a full dollar amount and may be made individually by each signatory on a joint return. (c) A designation made under subdivision (a) shall be made for any taxable year on the original return for that taxable year, and once made shall be irrevocable. In the event that payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s tax liability, if any, the return shall be treated as though no designation had been made. In the event that no designee is specified, the contribution shall, after reimbursement of the direct actual costs of the Franchise Tax Board for the collection and administration of funds under the article, be transferred to the General Fund. (d) If an individual designates a contribution to more than one account or fund listed on the tax return, and the amount available is insufficient to satisfy the total amount designated, the contribution shall be allocated among the designated accounts on a pro rata basis. (e) A taxpayer making a designation under subdivision (a) shall be entitled to receive a single state parks day use annual pass from the Department of Parks and Recreation if the price of a single state parks day use annual pass, as determined by the Department of Parks and Recreation, is less than or equal to the amount of the taxpayer’s contribution. (f) The state parks day use annual pass that an individual is entitled to receive pursuant to this section shall provide the passholder with unlimited day use access to the California state parks that are accessible with a vehicle day use annual pass, as those parks are listed on the Department of Parks and Recreation’s Internet Web site, and shall be valid for one year beginning on the date of issuance. (g) The Franchise Tax Board shall revise the form of the return to include a space labeled the “State Parks Protection Fund/Parks Pass Purchase” to allow for the designation permitted under subdivision (a). The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that if the contribution amount is equal to or exceeds the price of a single state parks day use annual pass, as determined by the Department of Parks and Recreation, the taxpayer will be entitled to a single state parks day use annual pass from the Department of Parks and Recreation. The instructions shall also include information indicating that the contribution shall be used by the Department of Parks and Recreation to cover the costs of the issuance of state parks day use annual passes to individual taxpayers who made a designation for that purpose pursuant to this section, and for purposes related to the protection and preservation of state parks. (h) Notwithstanding the provisions of Article 2 (commencing with Section 19542) of Chapter 7, the Franchise Tax Board shall provide necessary information, including the names and addresses of individual taxpayers who contributed to the State Parks Protection Fund, to the Department of Parks and Recreation so that the department may contact the individuals entitled to a state parks day use annual pass under this section and implement a procedure for the distribution of a state parks day use annual pass to those individuals. (i) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a), but only with respect to the amount contributed in excess of the price of the state parks day use annual pass received, if any, pursuant to this section. (Added by Stats. 2012, Ch. 533, Sec. 4. (AB 1589) Effective January 1, 2013. Repealed conditionally, as prescribed in Section 18900.4.)
  163. 18900.2.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. )

    Verify source ↗

    This section creates the State Parks Protection Fund and requires the Franchise Tax Board to notify the Controller of certain taxpayer amounts, and the Controller to transfer designated amounts into the fund.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. ) ## 18900.2. There is hereby established in the State Treasury the State Parks Protection Fund to receive contributions made pursuant to Section 18900.1. The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18900.1 to be transferred to the State Parks Protection Fund. The Controller shall transfer from the Personal Income Tax Fund to the State Parks Protection Fund an amount not in excess of the sum of the amounts designated by individuals pursuant to Section 18900.1 for payment into that fund. (Added by Stats. 2012, Ch. 533, Sec. 4. (AB 1589) Effective January 1, 2013. Repealed conditionally, as prescribed in Section 18900.4.)
  164. 18900.3.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. )

    Verify source ↗

    Money transferred to the State Parks Protection Fund must be allocated by appropriation for specific uses.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. ) ## 18900.3. All moneys transferred to the State Parks Protection Fund, upon appropriation by the Legislature, shall be allocated as follows: (a) To the Franchise Tax Board and the Controller only for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (b) To the Department of Parks and Recreation to cover the costs of the issuance of state parks day use annual passes to individual taxpayers who made a designation for that purpose pursuant to Section 18900.1, and for purposes related to the protection and preservation of state parks. (Added by Stats. 2012, Ch. 533, Sec. 4. (AB 1589) Effective January 1, 2013. Repealed conditionally, as prescribed in Section 18900.4.)
  165. 18900.4.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. )

    Verify source ↗

    The Franchise Tax Board must annually determine and adjust the minimum contribution amount tied to the State Parks Protection Fund, using specified contribution estimates and inflation-based adjustments.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 21. State Parks Protection Fund [18900.1 - 18900.4] ( Article 21 added by Stats. 2012, Ch. 533, Sec. 4. ) ## 18900.4. (a) (1) By September 1 of the second calendar year and each subsequent calendar year that the State Parks Protection Fund appears on the tax return, the Franchise Tax Board shall do all of the following: (A) Determine the minimum contribution amount required to be received during the next calendar year for the fund to appear on the tax return for the taxable year that includes that next calendar year. (B) Determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount determined by the Franchise Tax Board for the calendar year pursuant to subparagraph (A). The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article is repealed with respect to taxable years beginning on or after January 1 of that calendar year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000) for the second calendar year after the first appearance of the State Parks Protection Fund on the personal income tax return or the minimum contribution amount as adjusted pursuant to subdivision (b). (b) For each calendar year, beginning with the third calendar year after the first appearance of the State Parks Protection Fund on the personal income tax return, the Franchise Tax Board shall adjust, on or before September 1 of that calendar year, the minimum contribution amount specified in subdivision (a) as follows: (1) The minimum contribution amount for the calendar year shall be an amount equal to the product of the minimum contribution amount for the prior calendar year multiplied by the inflation factor adjustment as specified in subparagraph (A) of paragraph (2) of subdivision (h) of Section 17041, rounded off to the nearest dollar. (2) The inflation factor adjustment used for the calendar year shall be based on the figures for the percentage change in the California Consumer Price Index for all items received on or before August 1 of the calendar year pursuant to paragraph (1) of subdivision (h) of Section 17041. (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Added by Stats. 2012, Ch. 533, Sec. 4. (AB 1589) Effective January 1, 2013. Repealed conditionally, by its own provisions. Note: Repeal affects Article 21, commencing with Section 18900.1.)
  166. 18901.9.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. )

    Verify source ↗

    Individuals may designate a voluntary tax contribution to the Fund on their return, and the Franchise Tax Board must update the return form and instructions to support that designation.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. ) ## 18901.9. (a) An individual may designate on the tax return that a contribution in excess of the tax liability, if any, be made to the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund established by Section 18901.9.1. That designation is to be used as a voluntary contribution on the tax return. (b) The contributions shall be in full dollar amounts and may be made individually by each signatory on a joint return. (c) A designation under subdivision (a) shall be made for a taxable year on the original return for that taxable year and once made is irrevocable. If payments and credits reported on the return, together with any other credits associated with the taxpayer’s account, do not exceed the taxpayer’s liability, the return shall be treated as though no designation has been made. (d) When another voluntary contribution designation is removed from the tax return, or as soon as space is available, whichever occurs first, the Franchise Tax Board shall revise the form of the return to include a space labeled the “Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund” to allow for the designation permitted. The form shall also include in the instructions information that the contribution may be in the amount of one dollar ($1) or more and that the contribution shall be used to fund programs designed to prevent and eliminate cat and dog homelessness, including spay and neuter programs. (e) A deduction shall be allowed under Article 6 (commencing with Section 17201) of Chapter 3 of Part 10 for any contribution made pursuant to subdivision (a). (Added by Stats. 2024, Ch. 234, Sec. 1. (AB 1983) Effective January 1, 2025. Inoperative on date prescribed in Section 18901.9.3. Repealed on December 1 following inoperative date.)
  167. 18901.9.1.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. )

    Verify source ↗

    This section creates a state treasury fund and requires the Franchise Tax Board and the Controller to move designated tax contribution amounts into it.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. ) ## 18901.9.1. (a) There is hereby established in the State Treasury the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund to receive contributions made pursuant to Section 18901.9. (b) The Franchise Tax Board shall notify the Controller of both the amount of money paid by taxpayers in excess of their tax liability and the amount of refund money that taxpayers have designated pursuant to Section 18901.9 to be transferred to the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund. (c) The Controller shall transfer from the Personal Income Tax Fund to the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund an amount not in excess of the sum of amounts designated by individuals pursuant to Section 18901.9 for payment into that fund. (d) Notwithstanding any law and the repeal of this article, all moneys in the prior Prevention of Animal Homelessness and Cruelty Voluntary Contribution Fund, as established by Chapter 557 of the Statutes of 2015, shall continue to be transferred and disbursed in accordance with prior Article 23 (commencing with Section 18901), as that article read immediately prior to its repeal. (Added by Stats. 2024, Ch. 234, Sec. 1. (AB 1983) Effective January 1, 2025. Inoperative on date prescribed in Section 18901.9.3. Repealed on December 1 following inoperative date.)
  168. 18901.9.2.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. )

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    This section directs how money in the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund must be allocated and requires the Department of Food and Agriculture to post certain grant information on its website.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. ) ## 18901.9.2. (a) Notwithstanding Section 13340 of the Government Code, all moneys transferred to the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund shall be continuously appropriated and allocated as follows: (1) To the Franchise Tax Board and the Controller for reimbursement of all costs incurred by the Franchise Tax Board and the Controller in connection with their duties under this article. (2) To the Department of Food and Agriculture for allocation as follows: (A) Up to 5 percent of the funds allocated to the department shall be used by the department for the development of a mechanism to provide ongoing public awareness through activities that will promote the charitable tax deduction for the fund and seek continued contributions. These activities may include convening a philanthropic roundtable, developing literature for use by the city, county, or city and county animal control agency or shelter that is current on its reporting requirements to the State Department of Public Health, Veterinary Public Health Section, a society for the prevention of cruelty to animals affiliate, or a humane society affiliate for dissemination, and whatever other activities are deemed necessary and appropriate to promote the fund. (B) Up to 5 percent of the funds allocated to the department may be used for administration of the grant program. (C) (i) The remaining funds shall be used to provide grants through the grant program funded by the Pet Lover’s Fund, as described in subdivisions (c) and (e) of Section 5168 of the Vehicle Code. (ii) Funds described in clause (i) shall not be subject to any allocation described in subdivision (d) of Section 5168 of the Vehicle Code. (b) The Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund moneys shall not be used to supplant state General Fund moneys for any purpose. (c) The Department of Food and Agriculture shall report on its internet website information provided by its grantees, if any, regarding the process for awarding money, the amount of money spent on administration, and an itemization of how program funds were awarded. (Added by Stats. 2024, Ch. 234, Sec. 1. (AB 1983) Effective January 1, 2025. Inoperative on date prescribed in Section 18901.9.3. Repealed on December 1 following inoperative date.)
  169. 18901.9.3.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. )

    Verify source ↗

    This section sets a termination date for the article and requires the Franchise Tax Board to check each year whether estimated contributions meet a $250,000 minimum.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 3. Voluntary Contributions [18700 - 18901.9.3] ( Chapter 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 23.5. Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund [18901.9 - 18901.9.3] ( Article 23.5 added by Stats. 2024, Ch. 234, Sec. 1. ) ## 18901.9.3. (a) Except as otherwise provided in subdivision (b), this article shall remain operative only until January 1 of the seventh calendar year following the first appearance of the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund on the tax return, and is repealed as of December 1 of that year. (b) (1) By September 1 of the second calendar year and by September 1 of each subsequent calendar year that the Prevention of Animal Homelessness and Cruelty Voluntary Tax Contribution Fund appears on the tax return, the Franchise Tax Board shall determine whether the amount of contributions estimated to be received during the calendar year will equal or exceed the minimum contribution amount for the calendar year. The Franchise Tax Board shall estimate the amount of contributions to be received by using the actual amounts received and an estimate of the contributions that will be received by the end of that calendar year. (2) If the Franchise Tax Board determines that the amount of the contributions estimated to be received during a calendar year will not at least equal the minimum contribution amount for the calendar year, this article shall be inoperative with respect to taxable years beginning on or after January 1 of that calendar year and shall be repealed on December 1 of that year. (3) For purposes of this section, the minimum contribution amount for a calendar year means two hundred fifty thousand dollars ($250,000). (c) Notwithstanding the repeal of this article, any contribution amounts designated pursuant to this article prior to its repeal shall continue to be transferred and disbursed in accordance with this article as in effect immediately prior to that repeal. (Added by Stats. 2024, Ch. 234, Sec. 1. (AB 1983) Effective January 1, 2025. Repealed on December 1 of year prescribed in subd. (a) or subd. (b). Note: Termination provisions affect Article 23.5, commencing with Section 18901.9.)
  170. 19.

    ## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. )

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    “Person” is defined broadly to include many entity types, and in Division 2 it also includes certain fiduciaries and officeholders.

    ## Revenue and Taxation Code - RTC ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1939, Ch. 154. ) ## 19. “Person” includes any person, firm, partnership, general partner of a partnership, limited liability company, registered limited liability partnership, foreign limited liability partnership, association, corporation, company, syndicate, estate, trust, business trust, or organization of any kind. As used in Division 2 (commencing with Section 6001), “person” shall include, in addition to the items of definition contained in the first sentence, trustee, trustee in bankruptcy, receiver, executor, administrator, or assignee. (Amended by Stats. 1995, Ch. 679, Sec. 10. Effective October 10, 1995.)
  171. 190.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. )

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    This chapter states its intent to provide immediate tax relief for property damaged in the February 1986 storms and floods, while ensuring local governments receive needed property tax revenue for the 1985–86 fiscal year.

    ## Revenue and Taxation Code - RTC ## DIVISION 1. PROPERTY TAXATION [50 - 5911] ( Division 1 enacted by Stats. 1939, Ch. 154. ) ## PART 1. GENERAL PROVISIONS [101 - 198.1] ( Part 1 enacted by Stats. 1939, Ch. 154. ) ## CHAPTER 4. Disaster Relief [181 - 191] ( Chapter 4 added by Stats. 1986, Ch. 16, Sec. 3. ) ## 190. It is the intent of this chapter to provide immediate tax relief where property was damaged during the February 1986 storms and floods and to ensure that local governments receive the property tax revenues necessary to carry out their operations in the 1985–86 fiscal year. (Amended by Stats. 1986, Ch. 1110, Sec. 6. Effective September 24, 1986.)
  172. 19001.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Tax under Part 10 and Part 11 must be paid when the return is due, unless Article 2 provides otherwise.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19001. Except as provided by Article 2 (commencing with Section 19021), the tax imposed under Part 10 (commencing with Section 17001) and Part 11 (commencing with Section 23001) shall be paid at the time and place fixed for filing the return (determined without regard to any extension of time for filing the return). (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  173. 19002.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    This section lets certain taxpayers claim withholding and estimated-tax amounts as credits or treated-as-paid amounts, and it also blocks a refund or credit claim for an overpayment once it is used as next-year estimated tax.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19002. (a) The amount withheld under Article 5 (commencing with Section 18661) of Chapter 2 or Section 13020 of the Unemployment Insurance Code during any calendar year shall be allowed to the recipient of the income as a credit against the tax for the taxable year with respect to which the amount was withheld. (b) In the case of a partnership, limited liability company classified as a partnership for California income tax purposes, or S corporation filing a group return as agent for electing nonresident partners or shareholders in accordance with Section 18535, for purposes of this part, the amount withheld under Article 5 (commencing with Section 18661) of Chapter 2 during any taxable year shall be allowed as a credit attributable to the partnership, limited liability company, or S corporation on the group return for the taxable year with respect to which that amount was withheld. (c) (1) For purposes of Section 19306, any tax actually deducted and withheld during any calendar year under Article 5 (commencing with Section 18661) of Chapter 2 or Section 13020 of the Unemployment Insurance Code shall, in respect of the recipient of the income, be deemed to have been paid on the last day prescribed for filing the return under Article 1 (commencing with Section 18501) or Article 2 (commencing with Section 18601) of Chapter 2 (without regard to any extension of time for filing the return), with respect to which the tax is allowable as a credit under subdivision (a) or (b). (2) For purposes of Sections 19306 and 19340, any amount paid as estimated tax under Section 19025 or 19136 of this code or Section 13043 of the Unemployment Insurance Code for any taxable year shall be deemed to have been paid on the last day prescribed for filing the return under Article 1 (commencing with Section 18501) or Article 2 (commencing with Section 18601) of Chapter 2 (without regard to any extension of time for filing the return). (d) Notwithstanding subdivision (b) or (c), for purposes of Section 19306 with respect to any tax deducted and withheld under Article 5 (commencing with Section 18661) of Chapter 2 or Section 13020 of the Unemployment Insurance Code both of the following shall apply: (1) If a return is filed before the due date for that return, the return shall be considered filed on the due date. (2) If a tax with respect to an amount paid is paid before the due date for that return, the tax shall be considered paid on the due date. (e) If any overpayment of income tax is claimed as a credit against estimated tax for the succeeding taxable year, that amount shall be considered as a payment of estimated tax in accordance with Section 19007, for the succeeding taxable year, and no claim for credit or refund of the overpayment shall be allowed for the taxable year in which the overpayment arises. (f) In the case of a nonresident alien electing to file in a group return pursuant to Section 18537, the amount withheld under Article 5 (commencing with Section 18661) of Chapter 2 or Section 13020 of the Unemployment Insurance Code during any calendar year shall be allowed to the recipient of the income as a credit against the tax for the taxable year with respect to which the amount was withheld. (Amended (as amended by Stats. 2020, Ch. 102, Sec. 5) by Stats. 2025, Ch. 73, Sec. 5. (AB 1518) Effective January 1, 2026.)
  174. 19004.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A taxpayer may choose to pay the tax before the prescribed payment date.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19004. A taxpayer may elect to pay the tax prior to the date prescribed for its payment. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  175. 19005.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Tax, interest, and penalties must be paid to the Franchise Tax Board, with payment methods including check or credit card/payment device unless Section 19011 on electronic funds transfers applies.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19005. The tax, and any interest and penalties, shall be paid to the Franchise Tax Board. Except as provided in Section 19011 with respect to an electronic funds transfer, remittances may be in the form of a check, payable in United States funds to the Franchise Tax Board, at the time and in the manner as the Franchise Tax Board may prescribe or, notwithstanding Title 1.3 (commencing with Section 1747) of Part 4 of Title 3 of the Civil Code, in the form of a credit card or other payment device as defined in Chapter 2.6 (commencing with Section 6160) of the Government Code, at the time and in the manner that the Franchise Tax Board may prescribe. If a check or credit card remittance is not paid by the bank on which it is drawn, the taxpayer tendering the check or credit card remittance remains liable for the payment of the tax, and all interest and penalties, as if the check or credit card remittance had not been tendered. (Amended by Stats. 1999, Ch. 203, Sec. 2. Effective January 1, 2000.)
  176. 19006.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Certain spouses are liable for tax on community income, and joint-return liability may be revised in limited cases.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19006. (a) The spouse who controls the disposition of or who receives or spends community income as well as the spouse who is taxable on the income is liable for the payment of the taxes imposed by Part 10 (commencing with Section 17001) on that income. (b) Whenever a joint return is filed by spouses, the liability for the tax on the aggregate income is joint and several. The liability may be revised by a court in a proceeding for dissolution of the marriage or for termination of the registered domestic partnership of the spouses, provided: (1) The order revising tax liability may not relieve a spouse of tax liability on income earned by or subject to the exclusive management and control of the spouse. The liability of the spouse for the tax, penalties, and interest due for the taxable year shall be in the same ratio to total tax, penalties, and interest due for the taxable year as the income earned by or subject to the management and control of the spouse is to total gross income reportable on the return. (2) The order revising tax liability: (A) Must separately state the income tax liabilities for the taxable years for which revision of tax liability is granted. (B) Shall not revise a tax liability that has been fully paid prior to the effective date of the order; however, any unpaid amount may be revised. (C) Shall become effective when the Franchise Tax Board is served with or acknowledges receipt of the order. (D) Shall not be effective if the gross income reportable on the return exceeds one hundred fifty thousand dollars ($150,000) or the amount of tax liability the spouse is relieved of exceeds seven thousand five hundred dollars ($7,500), unless a tax revision clearance certificate is obtained from the Franchise Tax Board and filed with the court. (c) Notwithstanding subdivisions (a) and (b), whenever a joint return is filed by spouses and the tax liability is not fully paid, that liability, including interest and penalties, may be revised by the Franchise Tax Board as to one spouse. (1) However, the liability shall not be revised: (A) To relieve a spouse of tax liability on income earned by or subject to the exclusive management and control of the spouse. The liability of the spouse for the tax, penalties, and interest due for the taxable year shall be in the same ratio to total tax, penalties, and interest due for the taxable year as the income earned by or subject to the management and control of the spouse is to total gross income reportable on the return. (B) To relieve a spouse of liability below the amount actually paid on the liability prior to the granting of relief, including credit from any other taxable year available for application to the liability. (2) The liability may be revised only if the spouse whose liability is to be revised establishes that he or she did not know of, and had no reason to know of, the nonpayment at the time the return was filed. For purposes of this paragraph, “reason to know” means whether or not a reasonably prudent person would have had reason to know of the nonpayment. (3) For purposes of this section, the determination of the spouse to whom items of gross income are attributable shall be made without regard to community property laws. (4) The determination of the Franchise Tax Board as to whether the liability is to be revised as to one spouse shall be made not less than 30 days after notification of the other spouse and shall be based upon whether, under all of the facts and circumstances surrounding the nonpayment, it would be inequitable to hold the spouse requesting revision liable for the nonpayment. Any action taken under this section shall be treated as though it were action on a protest taken under Section 19044 and shall become final upon the expiration of 30 days from the date that notice of the action is mailed to both spouses, unless, within that 30-day period, one or both spouses appeal the determination to the board as provided in Section 19045. (5) This subdivision shall apply to all taxable years subject to the provisions of this part, but shall not apply to any taxable year which has been closed by a statute of limitations, res judicata, or otherwise. (Amended by Stats. 2016, Ch. 50, Sec. 107. (SB 1005) Effective January 1, 2017.)
  177. 19007.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Estimated tax payments and installments count as payments on account of the taxpayer’s Part 10 or Part 11 taxes for the taxable year.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19007. Payment of the estimated tax, or any installment thereof, shall be considered payment on account of the taxes imposed under Part 10 (commencing with Section 17001) or Part 11 (commencing with Section 23001) for the taxable year. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  178. 19008.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may set up installment payment agreements for taxpayers in financial hardship, and in some cases must do so for qualifying individuals. It can also modify or end agreements, but must give notice in certain cases, and levy is restricted while an agreement or related review is pending.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19008. (a) The Franchise Tax Board may, in cases of financial hardship, enter into installment payment agreements with any taxpayer under which that taxpayer is allowed to make payment of any liability imposed or collected under Part 10 (commencing with Section 17001), Part 11 (commencing with Section 23001), or this part, including any additions to tax, interest, penalties, fees, and any other amounts relating to the imposed liability, in installment payments, pursuant to the agreement, if the Franchise Tax Board determines that the agreement will facilitate full or partial collection of the liability. (b) In the case of a liability of an individual under Part 10 (commencing with Section 17001) or this part, the Franchise Tax Board shall enter into an agreement to accept the full payment of the liability in installments if, as of the date the individual offers to enter into the agreement, all of the following apply: (1) The aggregate amount of the liability (determined without regard to interest, penalties, additions to the tax, and additional amounts) does not exceed twenty-five thousand dollars ($25,000). (2) The taxpayer (and, if the liability relates to a joint return, the taxpayer’s spouse) has not during any of the preceding five taxable years done any of the following: (A) Failed to file any return of liability imposed under Part 10 (commencing with Section 17001) or this part. (B) Failed to satisfy any term of an installment agreement under this section for payment of any liability imposed by Part 10 (commencing with Section 17001) or this part. (3) The Franchise Tax Board determines that the taxpayer is financially unable to pay the liability in full when due, and the taxpayer submits any information as the Franchise Tax Board may require to make this determination. (4) The agreement requires full payment of the liability within five years. (5) The taxpayer agrees to comply with the provisions of this part and Part 10 (commencing with Section 17001) for the period the agreement is in effect. (c) (1) (A) Failure by a taxpayer to comply fully with the terms of the installment payment agreement shall render the agreement null and void, unless the Franchise Tax Board determines that the failure was due to a reasonable cause, and the total amount of tax, interest, and all penalties shall be immediately due and payable. Except in any case where the Franchise Tax Board finds collection of the tax to which an installment payment agreement relates to be in jeopardy, or there is a mutual consent to terminate, alter, or modify the agreement, the agreement shall not be considered null and void, or otherwise terminated, unless both of the following occur: (i) A notice of termination is provided to the taxpayer not later than 30 days before the date of termination. (ii) The notice includes an explanation of why the Franchise Tax Board intends to terminate the agreement. (B) This paragraph shall apply only to agreements entered into before January 1, 2024. (2) (A) (i) The Franchise Tax Board may alter, modify, or terminate an agreement entered into under this section if any of the following apply: (I) Information that the taxpayer provided to the Franchise Tax Board before the date the agreement was entered into was inaccurate or incomplete. (II) The Franchise Tax Board determines that the collection of any liability to which an agreement under this section relates is in jeopardy. (III) The Franchise Tax Board determines that the financial condition of a taxpayer with whom the Franchise Tax Board has entered into an agreement has significantly changed. (IV) The taxpayer fails to make an installment payment at the time the installment payment is due under the agreement. (V) The taxpayer fails to file a required tax return under this part or pay any other liability at the time that the liability is due. (VI) The taxpayer fails to provide a financial condition update upon the Franchise Tax Board’s request. (ii) The Franchise Tax Board may modify or alter an agreement under this section to add a liability that the taxpayer fails to pay at the time that the liability is due. (iii) If a taxpayer is currently in an installment agreement under subdivision (a) or (b), the Franchise Tax Board may require financial hardship to alter or modify the installment agreement. (iv) (I) Except as provided in subclause (II), the Franchise Tax Board shall not alter, modify, or terminate any agreement under this paragraph unless both of the following occur: (ia) A notice of the alteration, modification, or termination is provided to the taxpayer not later than 30 days before the date of that action. (ib) The notice includes an explanation of the rationale of the Franchise Tax Board for altering, modifying, or terminating the agreement. (II) In any case where the Franchise Tax Board finds collection of the liability to which an installment payment agreement relates to be in jeopardy, the Franchise Tax Board may terminate the installment agreement and issue demand for immediate payment of the liability or the deficiency declared to be in jeopardy. (B) This paragraph shall apply only to agreements entered into on or after January 1, 2024. (d) No levy may be issued on the property or rights to property of any person with respect to any unpaid liability: (1) During the period that an offer by the taxpayer for an installment agreement under this section for payment of the unpaid liability is pending with the Franchise Tax Board. (2) If the offer is rejected by the Franchise Tax Board, during the 30 days thereafter and, if a request for review of the rejection is filed within the 30 days, during the period that the review is pending. (3) During the period that the installment agreement for payment of the unpaid liability is in effect. (4) If the agreement is terminated by the Franchise Tax Board, during the 30 days thereafter (and, if a request for review of the termination is filed within the 30 days, during the period that the review is pending). (5) This subdivision shall not apply with respect to any of the following: (A) Any unpaid liability if either of the following occurs: (i) The taxpayer files a written notice with the Franchise Tax Board that waives the restriction imposed by this subdivision on levy with respect to the liability. (ii) The Franchise Tax Board finds that the collection of that liability is in jeopardy. (B) Any levy that was first issued before the date that the applicable proceeding under this subdivision commenced. (C) At the discretion of the Franchise Tax Board, any unpaid liability for which the taxpayer makes an offer of an installment agreement subsequent to a rejection of an offer of an installment agreement with respect to that unpaid liability (or to any review thereof). (D) The period of limitation under Section 19371 shall be suspended for the period during which the Franchise Tax Board is prohibited under this subdivision from making a levy. (e) The Taxpayers’ Rights Advocate shall establish procedures for an independent departmental administrative review for the rejection of the offer of an installment payment and for installment payment agreements that are rendered null and void, or otherwise terminated under this section, for taxpayers that request that review. This administrative review shall not be subject to Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of the Government Code. Unless review is requested by the taxpayer within 30 days of the date of rejection of the offer of an installment agreement or termination of the installment agreement, this administrative review shall not stay collection of the liability to which the installment payment agreement relates. (f) The Franchise Tax Board shall review a representative sample of existing installment agreements entered into under this section at least once every two years to ensure taxpayers are in compliance with the terms of the agreement. (g) (1) The Franchise Tax Board may prescribe regulations as necessary or appropriate to carry out the purposes of this section. (2) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) shall not apply to any standard, criterion, procedure, determination, rule, notice, guideline, or any other guidance established or issued by the Franchise Tax Board pursuant to this section. (Amended by Stats. 2023, Ch. 209, Sec. 1. (AB 1765) Effective January 1, 2024. Note: Subd. (g) was added by Stats. 2005, Ch. 211.)
  179. 19009.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    After notice of a failure, a person or employer that must collect and pay tax must follow special collection, deposit, and trust-account rules; the Franchise Tax Board may cancel the notice if compliance is expected.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19009. (a) Whenever any person or employer who is required to collect, account for, and pay over any tax— (1) At the time and in the manner prescribed by law or regulations (A) fails to collect, truthfully account for, or pay over the tax, or (B) fails to make deposits, payments, or returns of the tax, and (2) Is notified, by notice delivered in hand or by registered mail of the failure, then all the requirements of subdivision (b) shall be complied with. In the case of a corporation, partnership, limited liability company, or trust, notice to an officer, partner, manager, member, or trustee, shall, for purposes of this section, be deemed to be sufficient notice to the corporation, partnership, limited liability company, or trust and to all officers, partners, managers, members, trustees, and employees thereof. (b) Any person or employer who is required to collect, account for, and pay over any tax imposed by Part 10 (commencing with Section 17001) or Part 11 (commencing with Section 23001), if notice has been delivered to that person or employer in accordance with subdivision (a), shall collect the taxes, which become collectible after delivery of the notice, shall (not later than the end of the second banking day after any amount of the taxes is collected) deposit that amount in a separate account in a bank located within the limits of this state, and shall keep the amount of those taxes in that account until payment over to the Franchise Tax Board. The account shall be designated as a special fund in trust for the Franchise Tax Board, payable to the Franchise Tax Board by that person or employer as trustee. (c) Whenever the Franchise Tax Board is satisfied, with respect to any notification made under subdivision (a), that all requirements of law and regulations with respect to the taxes, will henceforth be complied with, it may cancel the notification. The cancellation shall take effect at the time as is specified in the notice of the cancellation. (Amended by Stats. 1997, Ch. 605, Sec. 17. Effective January 1, 1998.)
  180. 19010.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    A provision in this part that relates to assessment and collection of tax also applies to estimated tax, unless the law provides אחרת.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19010. Unless otherwise provided, any provision of this part that relates to the assessment and collection of tax shall also apply to the assessment and collection of estimated tax. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  181. 19011.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain taxpayers must remit required payments to the Franchise Tax Board by electronic funds transfer when the section’s thresholds or approval conditions are met.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19011. (a) All payments required under this part, regardless of the taxable year to which the payments apply shall be remitted to the Franchise Tax Board by electronic funds transfer pursuant to Division 11 (commencing with Section 11101) of the Commercial Code, once any of the following conditions are met: (1) With respect to any corporation, any installment payment of estimated tax made pursuant to Section 19025 or the payment made pursuant to Section 18604 with regard to an extension of time to file exceeds fifty thousand dollars ($50,000) in any taxable year beginning on or after January 1, 1991, or exceeds twenty thousand dollars ($20,000) in any taxable year beginning on or after January 1, 1995. (2) With respect to any corporation, the total tax liability exceeds two hundred thousand dollars ($200,000) in any taxable year beginning on or after January 1, 1991, or exceeds eighty thousand dollars ($80,000) in any taxable year beginning on or after January 1, 1995. For purposes of this section, total tax liability shall be the total tax liability as shown on the original return, after any adjustment made pursuant to Section 19051. (3) A taxpayer submits a request to the Franchise Tax Board and is granted permission to make electronic funds transfers. (b) A taxpayer required to remit payments to the Franchise Tax Board by electronic funds transfer may elect to discontinue making payments where the threshold requirements set forth in paragraphs (1) and (2) of subdivision (a) were not met for the preceding taxable year. The election shall be made in a form and manner prescribed by the Franchise Tax Board. (c) Any taxpayer required to remit payment by electronic funds transfer pursuant to this section who makes payment by other means shall pay a penalty of 10 percent of the amount paid, unless it is shown that the failure to make payment as required was for reasonable cause and was not the result of willful neglect. (d) Any taxpayer required to remit payments by electronic funds transfer pursuant to this section may request a waiver of those requirements from the Franchise Tax Board. The Franchise Tax Board may grant a waiver only if it determines that the particular amounts paid in excess of the threshold amounts established in this section were not representative of the taxpayer’s tax liability. If a taxpayer is granted a waiver, subsequent remittances by electronic funds transfer shall be required only on those terms set forth in the waiver. (e) The Franchise Tax Board shall accept remittances by electronic funds transfer pursuant to this section no later than January 1, 1993. Electronic funds transfer procedures, in addition to those described in subdivision (f), shall be as prescribed by the Franchise Tax Board. 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. (f) For purposes of this section: (1) “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 transfer shall be accomplished by an automated clearinghouse debit, automated clearinghouse credit, a Federal Reserve Wire Transfer (Fedwire), or by an international funds transfer. (2) “Automated clearinghouse” means any federal reserve bank, or an organization established by agreement with the National Automated Clearing House Association, that operates as a clearinghouse for transmitting or receiving entries between banks or bank accounts and that authorizes an electronic transfer of funds between those banks or bank accounts. (3) “Automated clearinghouse debit” means a transaction in which any department of the state, through its designated depository bank, originates an automated clearinghouse transaction debiting the taxpayer’s bank account and crediting the state’s bank account for the amount of tax. Banking costs incurred for the automated clearinghouse debit transaction by the taxpayer shall be paid by the state. (4) “Automated clearinghouse credit” means an automated clearinghouse transaction in which the taxpayer, through its own bank, originates an entry crediting the state’s bank account and debiting its own bank account. Banking costs incurred by the state for the automated clearinghouse credit transaction may be charged to the taxpayer. (5) “Fedwire” means any transaction originated by the taxpayer and utilizing the national electronic payment system to transfer funds through federal reserve banks, pursuant to which the taxpayer debits its own bank account and credits the state’s bank account. Electronic funds transfers may be made by Fedwire only if prior approval is obtained from the Franchise Tax Board and the taxpayer is unable, for reasonable cause, to make payments pursuant to paragraph (3) or (4). Banking costs charged to the taxpayer and to the state may be charged to the taxpayer. (6) “International funds transfer” means any transaction originated by the taxpayer and utilizing the international electronic payment system to transfer funds, pursuant to which the taxpayer debits its own bank account and credits the state’s bank account. (7) In determining whether a payment or total tax liability exceeds the amounts established in subdivision (a), the income of all taxpayers whose income derived from, or attributable to, sources within this state is required to be determined by a combined report shall be aggregated and the total aggregate amount shall be considered to be the income of a single taxpayer for purposes of determining the payment or total tax liability of a single taxpayer. (Amended by Stats. 2000, Ch. 862, Sec. 9. Effective January 1, 2001.)
  182. 19011.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain taxpayers must electronically remit required payments to the Franchise Tax Board once specified dollar thresholds are met.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 1. Payment of Tax by All Persons [19001 - 19011.5] ( Article 1 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19011.5. (a) All payments required by an individual under this part, regardless of the taxable year to which the payments apply, made on or after January 1, 2009, shall be electronically remitted to the Franchise Tax Board in the form and manner prescribed by the Franchise Tax Board, once any of the following conditions are met by an individual: (1) Any installment payment of estimated tax made pursuant to this part in excess of twenty thousand dollars ($20,000), or any payment made pursuant to Section 18567 with regard to an extension of time to file that exceeds twenty thousand dollars ($20,000), for any taxable year beginning on or after January 1, 2009. (2) The total tax liability exceeds eighty thousand dollars ($80,000) in any taxable year beginning on or after January 1, 2009. For purposes of this section, total tax liability shall be the total tax liability as shown on the original return, after any adjustment made pursuant to Section 19051. (b) A taxpayer required to electronically remit payment to the Franchise Tax Board pursuant to this section may elect to discontinue making payments electronically where the threshold requirements set forth in paragraphs (1) and (2) of subdivision (a) were not met for the preceding taxable year. The election shall be made in a form and manner prescribed by the Franchise Tax Board. (c) Any taxpayer required to electronically remit payment pursuant to this section who makes payment by other means shall pay a penalty of 1 percent of the amount paid, unless it is shown that the failure to make payment as required was for reasonable cause and was not the result of willful neglect. (d) Any taxpayer required to electronically remit payments pursuant to this section may request a waiver of those requirements from the Franchise Tax Board. The Franchise Tax Board may grant a waiver only if it determines that the particular amounts paid in excess of the threshold amounts established in this section were not representative of the taxpayer’s tax liability. If the Franchise Tax Board grants a waiver to a taxpayer, the waiver shall be in writing, and subsequent electronic remittances shall be required only on those terms set forth in the written waiver. (e) For purposes of this section, Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code shall not apply to any standard, criterion, procedure, determination, rule, notice, or guideline established or issued by the Franchise Tax Board pursuant to subdivision (a). (f) For purposes of this section, both of the following shall apply: (1) “Electronically remit” means to send payment through use of any of the electronic payment applications provided by the Franchise Tax Board, including, but not limited to, a pay by phone option, when made available by the Franchise Tax Board. (2) “Pay by phone” means a method that allows a taxpayer to authorize a transfer of funds from a financial institution using telephonic technology. (Added by Stats. 2008, Ch. 751, Sec. 67. Effective September 30, 2008.)
  183. 19021.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Certain taxpayers must pay a calculated percentage of net income by the specified deadline, and the payment cannot be less than the minimum tax in Section 23153.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19021. In the case of taxpayers subject to the tax imposed by Article 3 (commencing with Section 23181) of Chapter 2 of Part 11, there shall be due and payable on or before the 15th day of the third month following the close of the preceding year from each taxpayer a percentage of its net income as disclosed by its return which is equal to the rate applicable to corporations subject to the tax imposed by Article 2 (commencing with Section 23151) of Chapter 2 of Part 11 plus the personal property tax rate equivalent included in the bank and financial corporation tax rate determination by the Franchise Tax Board pursuant to Sections 23186 and 23186.1. The payment required by this section shall not be less than the minimum tax specified in Section 23153. (Amended by Stats. 1997, Ch. 605, Sec. 19. Effective January 1, 1998.)
  184. 19023.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

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    For this article, certain corporations and organizations must calculate “estimated tax” using the tax imposed by Part 11 and liability for wholly owned subsidiaries, with a floor for some corporations.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19023. For purposes of this article, in the case of a corporation or an organization described in Section 23731, the term “estimated tax” means the amount which the corporation or organization described in Section 23731 estimates as the amount of the tax imposed by Part 11 (commencing with Section 23001) and the amount of its liability for the tax of each wholly owned subsidiary under Section 23800.5; but in no event shall the estimated tax of a corporation subject to the tax imposed by Article 2 (commencing with Section 23151) of Chapter 2 of Part 11 be less than the minimum tax prescribed in Section 23153. (Amended by Stats. 2003, Ch. 185, Sec. 29. Effective January 1, 2004.)
  185. 19025.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

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    Estimated tax payments are due either in full or in installments, depending on whether the estimated tax is above or below the minimum tax threshold.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19025. (a) If the amount of estimated tax does not exceed the minimum tax specified by Section 23153, the entire amount of the estimated tax shall be due and payable on or before the 15th day of the fourth month of the taxable year. (b) Except as provided in subdivision (c), if the amount of estimated tax exceeds the minimum tax specified by Section 23153, the amount payable shall be paid in installments as follows: If the requirements The following percentages of the estimated tax shall be paid on the 15th day of the— of this subdivision are first met— 4th month 6th month 9th month 12th month Before the 1st day of the 4th month of the taxable year ........................ 30 (but not less than the minimum tax provided in Section 23153 and any tax under Section 23800.5) 40 0 30 After the last day of the 3rd month and before the 1st day of the 6th month of the taxable year ........................ __ 60 0 40 After the last day of the 5th month and before the 1st day of the 9th month of the taxable year ........................ __ __ 70 30 After the last day of the 8th month and before the 1st day of the 12th month of the taxable year ........................ __ __ __ 100 (c) If a wholly owned subsidiary is first subject to tax under Section 23800.5 after the last day of the third month of the taxable year of owner, the amount of the next installment of estimated tax under subdivision (b) after the wholly owned subsidiary is subject to tax under Section 23800.5 shall not be less than the amount of the tax of the wholly owned subsidiary under Section 23800.5 and an amount equal to that amount shall be due and payable on the date the installment is required to be paid. For purposes of determining which installment is the next installment of estimated tax under subdivision (b), subdivision (b) shall be modified by substituting “includes the tax of a wholly owned subsidiary under Section 23800.5” for “exceeds the minimum tax specified by Section 23153.” (d) The amendments made to this section by Section 1 of Chapter 1 of the First Extraordinary Session of the Statutes of 2008 shall apply to installments due for each taxable year beginning on or after January 1, 2009, and before January 1, 2010. (e) The amendments made to this section by the act adding this subdivision shall apply to installments due for each taxable year beginning on or after January 1, 2010. (Amended by Stats. 2009, 4th Ex. Sess., Ch. 15, Sec. 2. (AB 17 4x) Effective October 23, 2009.)
  186. 19026.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a taxpayer makes a new estimate after paying an estimated tax installment, the remaining installment amounts must be recalculated under the section’s formula.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19026. If, after paying any installment of estimated tax required by subdivision (b) of Section 19025, the taxpayer makes a new estimate, the amount of each remaining installment (if any) shall be the amount which would have been payable if the new estimate had been made when the first estimate for the taxable year was made, increased or decreased (as the case may be) by the amount computed by dividing— (a) The difference between— (1) The amount of estimated tax required to be paid before the date on which the new estimate is made, and (2) The amount of estimated tax which would have been required to be paid before that date if the new estimate had been made when the first estimate was made, by (b) The number of installments remaining to be paid on or after the date on which the new estimate is made. (Amended by Stats. 2000, Ch. 862, Sec. 11. Effective January 1, 2001.)
  187. 19027.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    For taxable years shorter than 12 months, this article applies according to regulations set by the Franchise Tax Board.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 2. Banks and Corporations [19021 - 19027] ( Article 2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19027. The application of this article to taxable years of less than 12 months shall be in accordance with regulations prescribed by the Franchise Tax Board. (Amended by Stats. 2000, Ch. 862, Sec. 12. Effective January 1, 2001.)
  188. 19031.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    The Franchise Tax Board may proceed under this article or Article 5, even if a return must be treated as an amended return under Section 18622.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19031. The Franchise Tax Board may proceed under this article or Article 5 (commencing with Section 19081) whether or not it requires a return as an amended return under Section 18622. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  189. 19032.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    After a return is filed, the Franchise Tax Board must examine it and determine the correct amount of tax as soon as practicable.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19032. As soon as practicable after the return is filed, the Franchise Tax Board shall examine it and shall determine the correct amount of the tax. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  190. 19033.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If the Franchise Tax Board finds a return understates tax, it must mail a deficiency notice and review the return data; the determination cannot be arbitrary.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19033. (a) If the Franchise Tax Board determines that the tax disclosed by the taxpayer on an original or amended return, including an amended return reporting federal adjustments pursuant to Section 18622, is less than the tax disclosed by its examination, it shall mail notice to the taxpayer of the deficiency proposed to be assessed. In no case shall the determination of the deficiency be arbitrary or without foundation. (b) (1) Except as provided in paragraph (2), the Franchise Tax Board, in connection with the determination described in subdivision (a), shall examine the original or amended return or related electronically stored return data. (2) If the return or return data described in paragraph (1) has been destroyed or cannot be located after reasonable effort, the Franchise Tax Board shall request the taxpayer to provide a paper or electronic copy of the return. If the taxpayer fails to provide a copy within 30 days, which may be extended an additional 30 days for reasonable cause, from the date of the request, paragraph (1) shall not apply. (c) As used in this section, “electronically stored return data” means an electronic record of line items from an original or amended return and accompanying schedules that is routinely created as a return is processed. (d) The amendments to this section made by Chapter 414 of the Statutes of 2000 shall apply to notices of deficiencies proposed to be assessed issued on or after January 1, 2001. (e) The notice described in subdivision (a) shall be mailed in a manner that includes a postmark. For purposes of this subdivision, postmark means a postal marking made on a letter, package, or postcard indicating the date on which the item is delivered to the United States Postal Service. (f) The amendments made to this section by the act adding this subdivision shall apply to notices of deficiencies proposed to be assessed issued on or after January 1, 2008. (Amended by Stats. 2007, Ch. 281, Sec. 1. Effective January 1, 2008.)
  191. 19034.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A notice must state the reasons and computation for a proposed deficiency assessment, and it must include the Franchise Tax Board’s protest deadline date.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19034. (a) Each notice shall set forth the reasons for the proposed deficiency assessment and the computation thereof. (b) Each notice shall include the date determined by the Franchise Tax Board as the last day on which the taxpayer may file a written protest pursuant to Section 19041. Failure to include this date shall not invalidate a notice that is otherwise valid. (c) The amendments made by the act adding this subdivision shall apply to any notice mailed after December 31, 1999. (Amended by Stats. 1999, Ch. 931, Sec. 10. Effective October 10, 1999.)
  192. 19035.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    For a joint spouse return, the proposed deficiency notice may be sent as one joint notice, unless the Franchise Tax Board is told that the spouses have separate residences; then it must mail duplicate originals to each spouse.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19035. In the case of a joint return filed by spouses, the notice of proposed deficiency assessment may be a single joint notice, except that if the Franchise Tax Board is notified by either spouse that separate residences have been established, it shall mail to each spouse, in lieu of the single joint notice, duplicate originals of the joint notice. (Amended by Stats. 2016, Ch. 50, Sec. 108. (SB 1005) Effective January 1, 2017.)
  193. 19036.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    Interest, penalties, or additions to tax imposed under specified parts may be assessed and collected as if they were deficiencies.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19036. Notwithstanding any provision to the contrary, any interest, penalty or addition to tax, imposed under Part 10 (commencing with Section 17001), Part 11 (commencing with Section 23001), or this part may be assessed and collected in the same manner as if it were a deficiency. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  194. 19041.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A taxpayer may file a written protest with the Franchise Tax Board within 60 days after a notice of proposed deficiency assessment is mailed, and the protest must state the grounds for the protest.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19041. (a) Within 60 days after the mailing of each notice of proposed deficiency assessment the taxpayer may file with the Franchise Tax Board a written protest against the proposed deficiency assessment, specifying in the protest the grounds upon which it is based. (b) Any protest filed with the Franchise Tax Board on or before the last date specified for filing that protest by the Franchise Tax Board in the notice of proposed deficiency assessment (according to Section 19034) shall be treated as timely filed. (c) The amendments made by the act adding this subdivision shall apply to any notice mailed after December 31, 1999. (Amended by Stats. 1999, Ch. 931, Sec. 11. Effective October 10, 1999.)
  195. 19041.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    A tax deposit is not treated as a tax payment until the taxpayer gives the Franchise Tax Board a written statement or the deposit is used to pay a final tax liability.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19041.5. (a) Notwithstanding any other provision of this part, Part 10 (commencing with Section 17001), or Part 11 (commencing with Section 23001), the provisions of Section 6603 of the Internal Revenue Code, relating to deposits made to suspend the running of interest on potential underpayments, shall apply, except as otherwise provided. A deposit shall not be considered a payment of tax for purposes of filing a claim for refund pursuant to Section 19306, converting an administrative action to an action on a claim pursuant to Section 19335, or filing an action pursuant to Section 19384, until either of the following occurs: (1) The taxpayer provides a written statement to the Franchise Tax Board specifying that the deposit shall be a payment of tax for purposes of Section 19306, 19335, or 19384. (2) The deposit is used to pay a final tax liability. (b) Section 6603(d) of the Internal Revenue Code is modified to substitute the phrase “notice of proposed deficiency assessment under Article 3 of Chapter 4 of this part” for “30-day letter” in each place that the phrase “30-day letter” appears. (c) In the case of any amount held by the Franchise Tax Board as a deposit in the nature of a cash bond pursuant to the provisions of this section prior to the amendments made by the act adding this subdivision, the date that the taxpayer identifies that amount as a deposit made pursuant to this section, as amended by the act adding this subdivision, shall be treated as the date that the amount is deposited for purposes of this section, as amended by the act adding this subdivision. (Amended by Stats. 2005, Ch. 691, Sec. 45. Effective October 7, 2005.)
  196. 19042.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If no protest is filed, the proposed deficiency assessment becomes final after 60 days.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19042. If no protest is filed, the amount of the proposed deficiency assessment becomes final upon the expiration of the 60-day period provided in Section 19041. (Added by Stats. 1993, Ch. 31, Sec. 26. Effective June 16, 1993. Operative January 1, 1994, by Sec. 83 of Ch. 31.)
  197. 19043.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    This section defines “deficiency” and “rebate” for the tax rules 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 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19043. (a) For purposes of this part, “deficiency” means the amount by which the tax imposed by Part 10 (commencing with Section 17001) or Part 11 (commencing with Section 23001) exceeds the excess of— (1) The sum of— (A) The amount shown as the tax by the taxpayer on an original or amended return, if an original or amended return was filed, plus (B) The amounts previously assessed (or collected without assessment) as a deficiency, over— (2) The amount of rebates, as defined in paragraph (2) of subdivision (b), made. (b) For purposes of this section: (1) The tax imposed by Part 10 (commencing with Section 17001) and Part 11 (commencing with Section 23001) and the tax shown on an original or amended return shall both be determined without regard to payments on account of estimated tax, and without regard to the credit under Section 19002. (2) “Rebate” means so much of an abatement, credit, refund, or other repayment, as was made on the ground that the tax imposed by Part 10 (commencing with Section 17001) or Part 11 (commencing with Section 23001) was less than the excess of the amount specified in paragraph (1) of subdivision (a) over the rebates previously made. (Amended by Stats. 2001, Ch. 191, Sec. 2. Effective January 1, 2002.)
  198. 19043.5.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If the Franchise Tax Board finds a carryover was overstated, it may notify the taxpayer. A final adjusted carryover amount must be reported on later returns, and a failure to do so can be treated as a mathematical error.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19043.5. (a) (1) If the Franchise Tax Board determines that the amount of a carryover disclosed by the taxpayer on an original or amended return, including an amended return reporting federal adjustments pursuant to Section 18622, is more than the amount of the carryover disclosed by its own examination, it may mail a notice or notices to the taxpayer of the proposed carryover adjustment and the proposed adjusted carryover amount. (2) For purposes of this section, “carryover” means the amount of a credit, loss, deduction, or other item that is shown on an original or amended return for carry forward to a subsequent taxable year. (b) Except as otherwise provided in this section, the provisions of this article applicable to a proposed deficiency assessment shall be applicable to a proposed adjusted carryover amount, including protest and appeal rights as if that proposed adjusted carryover amount were a proposed deficiency assessment. (c) (1) A proposed adjusted carryover amount shall become a final adjusted carryover amount under this section following a determination of the board regarding that proposed adjusted carryover amount that becomes final pursuant to the provisions of Section 19048. (2) A final adjusted carryover amount shall be binding and conclusive with respect to the amount of that carryover for purposes of Part 10 (commencing with Section 17001), this part, and Part 11 (commencing with Section 23001), except in the following circumstances: (A) In the event of fraud, malfeasance, or misrepresentation of a material fact. (B) Subject to any provision of the Revenue and Taxation Code that expressly provides that effect be given to that provision notwithstanding any other law or rule of law. (C) Subject to any law that is, or becomes, operative with respect to a taxable year affected by the final adjusted carryover amount. (D) Subject to any final federal adjustment that is made with respect to the taxpayer’s federal income tax liability for a taxable year affected by the final adjusted carryover amount. (E) In an action brought pursuant to provisions of Section 19382. (d) (1) In any case where there is a final adjusted carryover amount with respect to a carryover, the taxpayer shall report that final adjusted carryover amount on an original or amended return for any subsequent year. (2) If a taxpayer fails to comply with paragraph (1), then any adjustment required to make the amount of the carryover shown on the return for any year consistent with the final adjusted carryover amount shall be treated as arising out of a mathematical error and assessed and collected under Section 19051. (e) Except as provided in subdivision (c), this section shall not affect the determination, issuance, assessment, collection, or validity of a deficiency assessment under this part. (Added by Stats. 2001, Ch. 191, Sec. 3. Effective January 1, 2002.)
  199. 19044.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

    Verify source ↗

    If a protest is filed, the Franchise Tax Board must reconsider the deficiency assessment and must grant an oral hearing if the taxpayer requested one in the protest.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19044. (a) If a protest is filed, the Franchise Tax Board shall reconsider the assessment of the deficiency and, if the taxpayer has so requested in his or her protest, shall grant the taxpayer or his or her authorized representatives an oral hearing. Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code does not apply to a hearing under this subdivision. (b) The Franchise Tax Board may act on the protest in whole or in part. In the event the Franchise Tax Board acts on the protest in part only, the remaining part of the protest shall continue to be under protest until the Franchise Tax Board acts on that part. (Amended by Stats. 1995, Ch. 938, Sec. 87. Effective January 1, 1996. Operative July 1, 1997, by Sec. 98 of Ch. 938.)
  200. 19045.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. )

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    The Franchise Tax Board’s action on a protest becomes final after 30 days unless the taxpayer appeals in writing. The notice must tell the taxpayer the last day to appeal, and an appeal filed on or before that date is timely.

    ## Revenue and Taxation Code - RTC ## DIVISION 2. OTHER TAXES [6001 - 61050] ( Heading of Division 2 amended by Stats. 1968, Ch. 279. ) ## PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS [18401 - 19802] ( Part 10.2 added by Stats. 1993, Ch. 31, Sec. 26. ) ## CHAPTER 4. Payments and Assessments [19001 - 19195] ( Chapter 4 added by Stats. 1993, Ch. 31, Sec. 26. ) ## ARTICLE 3. Deficiency Assessments [19031 - 19067] ( Article 3 added by Stats. 1993, Ch. 31, Sec. 26. ) ## 19045. (a) The Franchise Tax Board’s action upon the protest, whether in whole or in part, is final upon the expiration of 30 days from the date when it mails notice of its action to the taxpayer, unless within that 30-day period the taxpayer appeals in writing from the action of the Franchise Tax Board to the board. (b) (1) The Franchise Tax Board’s notice of action upon protest shall include the date determined by the Franchise Tax Board as the last day on which the taxpayer may file an appeal with the board. (2) Any appeal to the board filed by the taxpayer on or before the date for filing an appeal specified in the notice (pursuant to paragraph (1)) shall be treated as timely filed. (c) This section shall apply to any notice mailed after December 31, 1999. (Amended by Stats. 1999, Ch. 931, Sec. 12. Effective October 10, 1999.)

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