New Withholding Tool
Generally, you must withhold if you pay California source income to a California nonresident on all payments that exceed $1,500 in a calendar year. Also, if you backup withhold for the Internal Revenue Service (IRS), you must also backup withhold for us on California source income. We created a small business withholding tool for your quick reference. The publication gives you information on the steps to take to withhold payments.To view or print small business withholding tool, go to ftb.ca.gov and search for FTB 1018.