Blank California Ftb 626 Form

1. What is the purpose of the California FTB 626 form?

   The California FTB 626 form is used to request relief from specific penalties imposed under certain sections of the Revenue and Taxation Code. These penalties can include those related to reportable transactions, failure to maintain advisee lists, and frivolous returns, among others. The Chief Counsel of the Franchise Tax Board has the discretion to relieve all or part of these penalties upon review of the request.

2. Who needs to complete the FTB 626 form?

   Any taxpayer or entity that has received a penalty notice from the Franchise Tax Board may complete the FTB 626 form. This includes individuals filing joint returns, as both spouses or registered domestic partners (RDPs) must sign the request if both are seeking relief. Business entities, such as corporations or partnerships, must have an authorized individual sign the form, along with their title.

3. How many FTB 626 forms do I need to submit?

   You must submit a separate FTB 626 form for each penalty from which you are seeking relief. This means if you have multiple penalties, you will need to complete and submit multiple forms, each accompanied by a statement supporting your request for relief.

4. What information do I need to provide on the form?

   When filling out the FTB 626 form, you will need to provide your name, Social Security Number or Entity ID Number, address, and the tax year related to the penalty. You must also indicate the specific penalty from which you are requesting relief and attach a statement detailing the facts and reasons supporting your request.

5. Where should I send the completed FTB 626 form?

   Once you have completed the FTB 626 form and attached your supporting statement, you should mail it to:

   • CHIEF COUNSEL LEGAL DIVISION
   • MS A 260 FRANCHISE TAX BOARD
   • PO BOX 1720
   • RANCHO CORDOVA CA 95741-1720

6. What if I need assistance with the FTB 626 form?

   If you require assistance while completing the FTB 626 form, you can visit the Franchise Tax Board's website at ftb.ca.gov or call their customer service at 800.852.5711. They are available weekdays from 7 a.m. to 5 p.m., excluding state holidays. If you are outside the United States, you can reach them at 916.845.6500.

Filling out the California FTB 626 form can be straightforward, but many make critical mistakes that can delay their requests for penalty relief. One common error is failing to complete a separate FTB 626 for each penalty. The form clearly states that a distinct request is necessary for every penalty. Neglecting this requirement can result in the denial of relief for all penalties involved.

Another frequent mistake involves the omission of required signatures. If the taxpayer filed a joint return, both spouses or registered domestic partners must sign the request. Failure to secure both signatures can lead to automatic rejection of the application. It is essential to double-check that all necessary parties have signed before submitting the form.

Inaccurate or incomplete personal information is also a significant pitfall. Taxpayers must ensure that their names, Social Security numbers, and addresses are correct. Any discrepancies can cause confusion and delay in processing. It is advisable to verify all entries against official documents before submission.

Moreover, many individuals forget to attach the required supporting statement. This statement should outline the facts and reasons for requesting relief. Without this documentation, the request lacks context, making it harder for the Chief Counsel to evaluate the case. Always include a thorough explanation to bolster your claim.

Another common oversight is failing to select the correct penalty for relief. The form lists several specific penalties, and applicants must check only one box. Selecting multiple penalties on a single form can complicate the review process. It is crucial to read the instructions carefully and ensure that the right penalty is indicated.

Lastly, some taxpayers neglect to mail their completed requests to the correct address. The form provides a specific mailing address for the Chief Counsel. Sending the request to the wrong location can lead to significant delays. Always confirm that you have the correct address before sending your submission.

The California FTB 626 form is a request for relief from penalties imposed by the Franchise Tax Board. When submitting this form, several other documents may be required to support the request. Below is a list of forms and documents commonly used alongside the FTB 626.

• FTB 1131: Franchise Tax Board Privacy Notice - This document provides information on how the FTB handles personal information. It ensures taxpayers understand their rights regarding privacy.
• Power of Attorney (Form FTB 3520) - If an authorized representative is filing the FTB 626 on behalf of the taxpayer, this form grants them the authority to act. It must be attached to the FTB 626.
• Notice of Proposed Assessment - This notice outlines the penalties imposed and is essential for demonstrating the basis of the relief request. A copy must accompany the FTB 626.
• Supporting Statement - A detailed statement must be attached, explaining the facts and reasons for requesting penalty relief. This document is crucial for the Chief Counsel's review.
• Tax Returns - Copies of relevant tax returns may be required to provide context and support for the penalty relief request.
• Payment Receipts - If any penalties have already been paid, receipts or proof of payment should be included to clarify the taxpayer's position.
• Correspondence with the FTB - Any previous communications regarding the penalties can help establish a timeline and context for the request.
• Documentation of Reasonable Cause - Evidence supporting claims of reasonable cause for not meeting tax obligations can strengthen the request for relief.
• Form 540 or 540NR - For individuals, these forms are the California Resident Income Tax Return and may be required to substantiate income and tax liability.
• Form 1065 or 1120 - For business entities, these forms represent partnership or corporate tax returns and may be necessary to clarify the entity's financial situation.

Gathering the appropriate documents can significantly enhance the chances of a successful request for penalty relief. Each piece of information helps the Chief Counsel make an informed decision. Ensure that all required forms and supporting documents are complete and accurate before submission.

The California FTB 626 form is used to request relief from certain penalties imposed by the Franchise Tax Board. There are several other documents that serve similar purposes in different contexts. Here is a list of eight such documents:

• IRS Form 843 - This form is used to request a refund or abatement of certain taxes, interest, penalties, or additions to tax. Like the FTB 626, it allows taxpayers to seek relief from penalties imposed by the tax authority.
• IRS Form 8821 - This form authorizes an individual or organization to represent a taxpayer before the IRS. While it does not directly request penalty relief, it facilitates communication with the IRS, similar to how the FTB 626 works with the Franchise Tax Board.
• IRS Form 911 - This form is used to request assistance from the Taxpayer Advocate Service. It helps taxpayers who are experiencing financial difficulties, paralleling the relief sought through the FTB 626.
• California FTB 3500 - This form is for requesting tax-exempt status for nonprofit organizations. It involves a review process similar to the penalty relief process in the FTB 626.
• California FTB 100 - This is the California Corporation Franchise or Income Tax Return. It includes sections where taxpayers can explain circumstances that may warrant penalty relief, akin to the FTB 626.
• California FTB 3519 - This form is for requesting a payment plan for unpaid taxes. It offers a way to address tax obligations, similar to how the FTB 626 addresses penalties.
• IRS Form 1040X - This is the Amended U.S. Individual Income Tax Return. It allows taxpayers to correct errors and may indirectly relate to penalty relief if the original return led to penalties.
• California FTB 540 - This is the California Resident Income Tax Return. It includes options for reporting and possibly contesting penalties, similar to the relief process in the FTB 626.

When filling out the California FTB 626 form, it’s important to follow certain guidelines to ensure your request is processed smoothly. Here’s a list of things you should and shouldn’t do:

• Do complete a separate FTB 626 for each penalty from which you seek relief.
• Do include all required information, such as your name, Social Security Number, and the amount of the penalty.
• Do attach a statement that clearly outlines the facts and reasons for your request.
• Do ensure that both spouses or registered domestic partners sign the form if it relates to a joint return.
• Don’t forget to include a copy of the notice that imposed the penalty.
• Don’t submit the form without checking for accuracy and completeness.

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

• Only one penalty can be addressed per form. Many believe they can request relief for multiple penalties on a single FTB 626. In reality, you must complete a separate form for each penalty.
• The Chief Counsel must grant relief. Some people think that submitting the FTB 626 guarantees relief from penalties. However, the Chief Counsel has discretion and may deny the request based on the circumstances.
• All penalties are eligible for relief. It is a common misconception that any penalty can be challenged using this form. The FTB 626 is only for specific penalties listed on the form.
• You don’t need to provide supporting statements. Some individuals assume that just filling out the form is enough. In fact, you must attach a statement detailing the facts and reasons for your request.
• Only individuals can file this form. Many think the FTB 626 is solely for individual taxpayers. In truth, business entities can also submit this form, provided they follow the proper procedures.
• Filing the form is the only step needed. There is a belief that submitting the FTB 626 is the end of the process. You must also include a copy of the notice that imposed the penalty.
• Anyone can sign the form for a business entity. Some assume any employee can sign the form on behalf of a business. However, an authorized individual must sign, and their title must be included.

Understanding these misconceptions can help ensure that your request for penalty relief is handled properly and efficiently.

• Purpose of the FTB 626: This form allows you to request relief from specific penalties imposed by the Franchise Tax Board (FTB).
• Separate Forms: You must complete a separate FTB 626 for each penalty from which you seek relief.
• List of Applicable Penalties: The form covers penalties under specific sections of the Revenue and Taxation Code, including frivolous return penalties and failure to disclose reportable transactions.
• Supporting Statement: A statement detailing the facts and reasons for your request must accompany the form.
• Signature Requirements: If you filed a joint return, both you and your spouse or registered domestic partner (RDP) need to sign the form.
• Authorized Signatures for Businesses: Business entities must have an authorized individual sign the request, including their title.
• Mailing Instructions: Send your completed form and supporting documents to the specified address for the Chief Counsel.
• Contact Information: For further assistance, you can reach the FTB via phone or their website.
• Privacy Notice: Be aware of the FTB’s privacy notice, which can be found on their website or by calling their office.