Business Provisional Payment Plan terms and conditions

Provisional payment plan (PPP) terms and conditions

You do not qualify for a formal Payment Plan Agreement because not all required returns have been filed. The PPP will allow you to make payments while preparing missing required valid returns. Once all your missing return(s) have been filed and processed, FTB will reevaluate your eligibility for a formal Payment Plan Agreement.

During this PPP you agree to the following:

  • Make timely monthly payments on your tax liability.
  • File all required valid return(s) within 30 days of the date of notice of your approved PPP.
  • Pay all future tax liabilities and file all valid tax returns timely.
  • Pay a $50 payment plan fee, which we will add to your tax liability. The fee amount is subject to change without further notice.
  • If the Provisional Payment Plan payment period exceeds 12 months, you have certified that you have a financial hardship.
  • Make any required estimated/annual or minimum tax payments. We approve or reject your request based on your ability to pay and your compliance history. We may file a lien and/or request a financial statement as a condition for approval. If you fail to prove or if you misrepresent your financial condition, we may reject your Provisional Payment Plan request.
  • Electronic Fund Transfer (EFT) recurring payments are required if you choose to submit your payment plan request online.
    • Alternatively, you can call and speak with a customer service agent at 888-635-0494.

    • If EFT recurring payments are authorized, you are required to maintain adequate funds in your financial institution account to pay the electronic funds withdrawals. If your financial institution cannot honor the electronic funds withdrawal, in addition to sending you FTB 4021B ENS, Business Entity Intent to Terminate Installment Agreement, or FTB 4029D ENS, Business Entity Provisional Payment Plan Default Notice, we may charge a dishonored payment penalty and a collection fee. You will be responsible for any overdraft fees charged by your financial institution.

  • We may file a state tax lien to protect the state’s interest until you pay off your tax liability (Government Code Sections 7170-7173).

*Payment in full on a Provisional Payment Plan or Payment Plan Agreement may not reinstate the entity status if it is currently not in good standing prior to your payment plan request. Additional action may be required.

*Failure to meet any of these conditions may result in collection actions.