Tax News
May 2006

Tax clearance: how to deal with the 15-day rule and avoid an additional $800 in minimum tax.

Statutory language and administrative differences between the Secretary of State and Franchise Tax Board in determining document “filed” date could be costly for your corporation, Limited Liability Company (LLC), and Limited Liability Partnership (LLP) clients. Read our guidelines for avoiding entering another tax period when the 15th day falls on a weekend or holiday, or when your clients are forced to close their businesses due to a Presidentially-declared disaster. / more+

When is the "due date" not the deadline?

More often than you might realize, April 15 falls on a Saturday or Sunday. For simplicity, we often refer to the next business day as the "due date" of the return or payment. But that is not technically correct. The actual due date of returns and payments is set by statute, and it remains the 15th of the month, even when the deadline is extended to the next business day following the weekend or holiday. / more+

Check casher businesses must file information returns

New information reporting requirements for check casher businesses operating in California went into effect on January 1, 2006. If you have clients who are check cashers, we have established a new Webpage to assist them in meeting these requirements. Find out how to comply with the new law and instructions. / more+

FTB guidance on tax deposits, interest netting, and informal claims

FTB staff is developing forms and procedures to implement the tax deposit process, and to clarify how these various provisions interrelate. / more+

e-file News

Find out about IRS’ free phone forums and earning Continuous Education credit. Check out our e-payment alternatives for your clients who have not yet paid, and consider e-filing your clients’ California individual tax returns during the automatic extension period between April 17 and October 16, 2006. / more+

FTB follows federal extension periods, postpones deadlines for victims hardest hit by Hurricane Katrina

The hardest hit taxpayers have until August 28, 2006, to file returns and make tax payments that had a due date or extended due date on or after August 29, 2005, through August 28, 2006. / more+

Will Bush Appointed Undersecretary of State and Consumer Services Agency

The appointment by Governor Schwarzenegger caps an impressive 30-year career at FTB for Chief Deputy Will Bush. / more+

Interest rate will change in July

The adjusted interest rate increases by a percentage point for the six-month period beginning July 1, 2006. / more+

Correction: Tax News online article

We correct a typographical error in a R&TC section number cited in the March/April Tax News article LLC Fee Constitutionality Comes Into Question. / more+

Criminal Corner

Closing the tax gap by bringing tax scofflaws to justice / more+