PURPOSE OF BULLETIN
To advise staff that the Accounts Receivable Management Compliance And Resolution Services Bureau (CARES) Collection Contact Center is revising the Installment Agreement requirements and manual tax lien rules for individual taxpayers.
The ARM CARES Collection Contact Center conducted a 16-month pilot project that expanded the time and dollar criteria for installment agreements. At the end of the pilot it was decided that it would be significantly advantageous to both taxpayers and the FTB to continue with this effort.
INSTALLMENT AGREEMENT CRITERIA
|Old policy||New policy|
|Case balance is $10,000 or less||Case balance is $25,000 or less|
|Account would be paid in full in 36 months or less||Account will be paid in full in 60 months or less|
|All required personal income tax returns were filed||All required personal income tax returns are filed|
|Set payment amount is established, based on ability to pay|
NOTE: FTB reserves the right to file a lien as a condition of the installment agreement depending on the taxpayer’s compliance history. A lien may be issued if the taxpayer defaults on the installment agreement.