Failure to file penalty for change in ownership statements
Beginning January 1, 2010 any partnership, LLC, and corporation return that has a change in ownership MUST file a Form BOE-100-B with the State Board of Equalization with 45 days of the event date for change in ownership or control. If you do not, you will be subject to penalty.
Filing your tax return.
The Franchise Tax Board (FTB) uses a variety of sources to look for non-filer. They will look at income reported on the W-2, federal tax returns with California addresses, mortgage interest statements on California properties, and DMV information. The latest in the FTB "nonfiler program" is a pilot program in which the FTB gets information from the DMV on any vehicle valued at more than $40,000 when the vehicle was acquired. If that person has failed to file a return, the FTB will contact the car owner requesting a tax return.
Prepayment of LLC Fee
LLC must prepay by June 15 their LLC fee. You can penalty proof yourself by paying in last year’s fee by June 15.
Example: A calendar year LLC must for estimate its 2009 gross
receipts by June 15, 2009 and pay the LLC based on this estimate or pay
in the 2008 LLC fee to avoid any penalty. The penalty is 10% of the
amount of any underpayment.
Mandatory Electronic Submission of Individual Extensions & Estimated Tax Payments
Taxpayers with California estimated tax payments of $20,000 or more or
a projected 2009 tax liability of $80,000 or more are now required to
submit their payments to the Franchise Tax Board electronically. This
is for tax years beginning after 1/1/09 and so the 4th quarter estimate
of 2008 and extension payments for 2008 are exempt. Once you meet this
threshold, all payments current and future must be submitted
electronically even if you do not meet these minimum thresholds in the
current year. Failure to submit electronically will subject you to a 1%
penalty of the amount.
Payments can be made electronically using the web pay option on the
ftb website at www.ftb.ca.gov under the individuals tab pay tax .
You can also pay by credit card however, this will result in an additional charge of 2.5% of the amount
This is effective for all payments made after December 31, 2008.
For all California taxpayers, the % of estimated taxes has changed
Prior law indicated that you could pay in 4 equal installments (e.g. 25% )
New Law says that you must pay in the following percentages:
30% 1st & 2nd quarter
20% 3rd & 4th quarters
