State Postpones Deadlines for Filing Tax Protests, Appeals, and Refund Claims Due to COVID-19

For Immediate Release

03/30/2020

Sacramento – State Controller and Franchise Tax Board (FTB) Chair Betty T. Yee today announced an extension of time until July 15, 2020, for California taxpayers to complete certain time sensitive acts pertaining to state taxes due to the COVID-19 pandemic.

FTB Issued Notice- 2020-02, detailing the new deadlines to file:

• Claims for refunds with FTB
• Protests of proposed tax assessments with FTB
• Appeals to the Office of Tax Appeals of Notices of Action denying claims for refund or affirming tax assessments

On March 4, 2020, Governor Newson proclaimed a State of Emergency in California as a result of the threat of the spread of COVID-19. He followed this proclamation with Executive Order N-25-20 on March 12, 2020, where he ordered that FTB use its administrative powers, where appropriate, to provide extensions of time to individuals and businesses affected by complying with state and local public health officials’ imposition or recommendation of social distancing measures related to COVID-19. These extensions apply to filing, payment, audits, billing, notices, assessments, and claims for refund, as well as relief from subsequent penalties and interest.

California Revenue and Taxation Code (RTC) section 18572, which incorporates Internal Revenue Code (IRC) section 7508A, gives FTB the authority to postpone these deadlines in accordance with the governor’s orders. Notice 2020-02 also gives FTB until July 15, 2020, to issue a proposed tax assessment for years where the statute of limitations expires during the March 12 to July 15, 2020, postponement period.

For more details regarding FTB COVID-19 tax relief, please see our website at ftb.ca.gov and search COVID-19.

If possible, taxpayers should continue to file tax returns on time to get their refunds timely, including claiming the Earned Income Tax Credit and Young Child Tax Credit. During this public health emergency, FTB continues to process tax returns, issue refunds, and provide phone and live chat service to taxpayers needing assistance.

FTB administers two of California’s major tax programs: Personal Income Tax and the Corporation Tax. FTB also administers other non tax programs and delinquent debt collection functions, including delinquent vehicle registration debt collections on behalf of the Department of Motor Vehicles, and court–ordered debt. Annually, FTB’s tax programs collect more than 70 percent of the state’s general fund. For more information on other taxes and fees in California, visit: taxes.ca.gov.