Fill Your California Ftb 626 Form

Fill Your California Ftb 626 Form

The California FTB 626 form is a request for relief from specific penalties imposed by the Franchise Tax Board. Taxpayers can use this form to ask the Chief Counsel to waive penalties related to various tax issues, such as failure to maintain records or frivolous returns. Each penalty requires a separate submission, along with a statement explaining the reasons for the request.

Prepare Form Here

The California FTB 626 form serves as a crucial tool for taxpayers seeking relief from specific penalties imposed by the Franchise Tax Board (FTB). This form allows individuals and entities to formally request that the Chief Counsel exercise discretion in relieving penalties outlined in various sections of the Revenue and Taxation Code. Taxpayers must fill out a separate FTB 626 for each penalty they wish to contest, ensuring that all relevant information is accurately provided. Key details required on the form include the taxpayer's name, Social Security or Entity ID number, address, and the specific tax year associated with the penalty. The form lists several penalties eligible for relief, such as the reportable transaction accuracy-related penalty and the frivolous return penalty, among others. To strengthen their case, taxpayers are also required to attach a statement detailing the facts and reasons behind their request. Proper completion and submission of the FTB 626 can lead to a favorable resolution of penalties, making it an essential step for those navigating the complexities of California tax law.

Documents used along the form

When dealing with penalties imposed by the California Franchise Tax Board (FTB), several other forms and documents may accompany the FTB 626 form. Understanding these documents can help streamline the process of requesting penalty relief.

  • FTB 1131 - Franchise Tax Board Privacy Notice: This document outlines how the FTB collects, uses, and protects personal information. It is essential for taxpayers to understand their rights regarding privacy when submitting forms.
  • Power of Attorney (POA): If someone is filing the FTB 626 on behalf of a taxpayer, a POA form must be included. This document authorizes the representative to act on behalf of the taxpayer in tax matters.
  • Notice of Proposed Assessment: This is the official notice from the FTB indicating that a penalty has been imposed. A copy of this notice must be attached to the FTB 626 to support the request for relief.
  • Supporting Statement: Taxpayers must attach a statement detailing the facts and reasons for requesting penalty relief. This statement provides context and justification for the request.
  • FTB 540 or 540NR - California Resident or Nonresident Income Tax Return: If applicable, taxpayers may need to submit their income tax return for the year in question to provide a complete picture of their tax situation.

Being aware of these additional forms and documents can significantly enhance the effectiveness of your request for penalty relief. Proper preparation ensures that the FTB has all the necessary information to consider your case thoroughly.

⇩ California Ftb 626 PDF

Misconceptions

Here are ten common misconceptions about the California FTB 626 form, along with clarifications for each:

  1. Only one penalty can be addressed per form. Many believe they can request relief for multiple penalties on a single FTB 626. In fact, a separate form is required for each penalty.
  2. Filing the FTB 626 guarantees penalty relief. Some assume that submitting the form will automatically result in the removal of penalties. The Chief Counsel has discretion and may deny the request.
  3. Anyone can sign the form. It is a common misconception that any individual can sign the form. Only authorized individuals, such as business representatives or both spouses on a joint return, can sign.
  4. Supporting statements are optional. Many think they can skip the supporting statement. However, a detailed explanation of the facts and reasons for relief is mandatory.
  5. Relief can be requested for any penalty. Some believe they can seek relief for any tax-related penalty. Relief is only available for specific penalties listed on the form.
  6. There is no deadline for filing the FTB 626. Many assume they can file the form at any time. However, there are deadlines associated with the penalties that must be adhered to.
  7. Filing the form will stop collection actions. Some think that submitting the FTB 626 halts all collection activities. This is not true; collection actions may continue until a decision is made.
  8. The FTB will provide a response immediately. Many expect a quick response after filing. In reality, it may take time for the Chief Counsel to review and respond to the request.
  9. Only individuals can file the FTB 626. Some believe only individuals are eligible to use this form. In fact, businesses and entities can also file it for penalty relief.
  10. The FTB 626 can be filed online. Many think they can submit the form electronically. Currently, the form must be mailed in; online submissions are not accepted.

Additional PDF Templates

File a Motion for Custody - It lists the types of motions that can be requested, like child custody and support modifications.

Suspended - Ftb - Corporations must provide their name, number, and federal employer identification number.

How to Use California Ftb 626

After completing the California FTB 626 form, you will need to submit it along with any required documentation to the Franchise Tax Board. This process is essential for those seeking relief from specific penalties imposed under California tax law.

  1. Obtain the FTB 626 form from the California Franchise Tax Board website or other authorized sources.
  2. Fill in the Name of Taxpayer/Entity section with your full name or the name of the business entity.
  3. Enter your Social Security Number or Entity ID Number in the designated field.
  4. If applicable, include your Spouse/RDP’s name and their Social Security Number.
  5. Provide your complete Address, including street number, city, state, and ZIP code.
  6. Indicate the Tax Year relevant to the penalty, if applicable.
  7. Specify the Amount of Penalty you are seeking relief from.
  8. Check the box next to the specific penalty from which you are requesting relief. Remember, you can only select one penalty per form.
  9. Attach a statement detailing the facts and reasons that support your request for relief.
  10. Sign and date the form. If you filed a joint return, both you and your spouse/RDP must sign.
  11. If submitting on behalf of a business entity, ensure that an authorized individual signs and includes their title.
  12. Mail the completed form and attached statement to the address provided: CHIEF COUNSEL LEGAL DIVISION MS A 260 FRANCHISE TAX BOARD PO BOX 1720 RANCHO CORDOVA CA 95741-1720.