Tax Tips for 2014
Update your client’s address
Each year, the U.S. Post Office returns millions of dollars in refund checks to us as undeliverable. This returned mail generally occurs because taxpayers moved after they filed their taxes. The Post Office does not forward refund checks.
Notify us immediately of a change of address:
Mail a completed FTB 3533, Change of Address, to:
FRANCHISE TAX BOARD
PO BOX 942840
SACRAMENTO, CA 94240-0002
Your client cannot file by April 15
No problem. All taxpayers get an automatic six-month filing extension to October 15. The extension is only for filing tax returns and not for payment of any taxes that may be due. Be sure to pay the total tax due by April 15 to avoid penalties and interest.
Your client owes and cannot pay
First, taxpayers should always file on time and pay as much as they can with their tax return. This saves them money in penalties and interest. We realize that unforeseen events occur that prevent taxpayers from paying their taxes on time.
We generally approve monthly installment agreement requests if the balance owed is $25,000 or less and can be paid within 60 months. We generally do not file liens on these taxpayer’s accounts.
Taxpayers can set up an installment agreement online at ftb.ca.gov and search for installment agreement.
Call our automated phone line at 800.689.4776 to set up an installment agreement. Payment plan information is available in both English and Spanish.
Taxpayers may pay taxes by credit card: Visa, Master Card, Discover, and American Express.
Web: Official Payments Corporation: officialpayments.com.
Phone: 888.2PAY.TAX or 888.272.9829.
You made an error on your client’s tax return, forgot to claim a deduction, or received a late W-2
Taxpayers can correct their California tax return by filing Form 540X, Amended Individual Income Tax Return. Amended tax returns take longer to process than original tax returns.
For simple math errors or missing documents, taxpayers generally do not need to file amended tax returns, as we typically correct math errors when we process tax returns. We will contact taxpayers about missing documents.
Your Client’s Concerns after Filing Their Tax Returns
As the end of filing season approaches, taxpayers contact us with their questions or concerns after they filed their tax return. Use the following resources for information:
When can my client expect their refund?
e-file – Refunds from e-file tax returns are usually issued within seven to ten business days from the date the tax return is accepted. Your client can also request to have the refund directly deposited into a bank account usually within five to seven business days.
Paper tax returns - Direct deposit refunds for paper tax returns are deposited in six to eight weeks.
Check your client’s refund status
Your client may check the status of their current year refunds online or call 800.852.5711, available in English and Spanish.
My client sent the check without the payment voucher
We will cross reference and accept the check, but if the taxpayer is a first-time filer, we might need to contact the taxpayer.
My client cannot pay what is owed on the tax return
If your client is unable to pay the tax owed in full, they can request for monthly installment payments.
However, interest accrues and an underpayment penalty may be charged on the tax not paid by April 15, 2013, even if the request for monthly payments is approved. To make monthly payments, complete form FTB 3567, Installment Agreement Request, online or mail it to the address on the form.
My client is due a refund for this year, but has a balance due from a prior year or a nontax debt being collected by us. Will my client get the refund?
No. All refunds are subject to offset or intercept. Refunds from joint tax returns may be applied to the debts of either taxpayer.