- Electronic Form 589 Nonresident Reduced Withholding Request
- Small Business Withholding Tool | PDF version
- Summary of FTB's nonresident withholding process
Withholding on domestic nonresidents with California source income
We administer withholding laws pertaining to domestic nonresident payees when any of the following is true:
- Payee provides services in California. Compensation is considered earned where the payee performs the services.
- Payee receives California source income that includes, but is not limited to:
Nonresident payees are subject to withholding on California source income regardless of where they live, enter into a contract, or receive payment.
Withholding tools and resources
Below are tools and resources for those who withhold on payments of California source income to nonresidents:
- Webinars - Our webinars cover a variety of withholding topics – some general and some specific to certain industry types or stakeholders.
- Withholding forms
- FTB Pub. 1017, Resident and Nonresident Withholding Guidelines - Provides information about resident and nonresident withholding in a question and answer format.
- FTB 1076, Withholding on Nonresidents with California Source Income - Withholding agents use this document to inform nonresident payees of California's nonresident withholding requirements.
- FTB 761 RNR - Most common errors that delay document processing and payment allocation for Form 592.
- Subscription services - Sign up in one place for email updates on nonresident withholding and other withholding topics.
- Informational charts:
- Electronic filing information for nonresident withholding agents.
- New - Electronic Form 589 Nonresident Reduced Withholding Request - Submission information for nonresidents who request reduced withholding.
Backup withholding - Payers who perform federal backup withholding must also withhold and remit 7 percent of a reportable payment to us.