California Administrative Code

For the purposes of this article: (a) “Appeal” means an appeal, under Section 19288 of the Revenue and Taxation Code, of the imposition of a Penalty. (b) “CalSavers Retirement Savings Program” has the same meaning as defined in Section 19285 of the Revenue and Taxation Code. (c) …

A Penalty may only be referred by the CalSavers Retirement Savings Board to the Franchise Tax Board for collection if both of the following occur: (a) The CalSavers Retirement Savings Board has imposed a Penalty in the amount of two hundred fifty dollars ($250) or more on the Eli…

(a) Applicability of Regulation. This regulation applies to hearings provided by the Franchise Tax Board in connection with an Appeal of the imposition of a Penalty. (b) Right to Request Hearing, Notification of Right, and Limitation on Scope and Effect of Hearing. (1) An Eligibl…

(a) General Rule. If the estimated tax required to be paid by Section 19025 for a taxable year is in excess of the tax due for that taxable year, any overpayment shall be credited or refunded as provided in Section 19301 to 19364, and the regulations issued thereunder. (b) Date o…

(a) In addition to the meaning ascribed to them in the Revenue and Taxation Code, the words “full value”, “full cash value”, “cash value”, “actual value”, and “fair market value” mean the price at which a property, if exposed for sale in the open market with a reasonable time for…

(a) General. Movable property is all property which is intended to be, and is, moved from time to time from one location to another. Such property may be in-transit, consigned, or leased, and under such circumstances its situs is to be determined by reference to Section 203 or 20…

For purposes of Revenue and Taxation Code section 20509, subdivision (a), the term “substantially equivalent to property taxes” means payments made in lieu of property taxes, as specified in Revenue and Taxation Code section 20509, subdivision (a), must be at least 80 percent of …

A spouse or registered domestic partner claiming relief from liability for the oil spill response, prevention, and administration fees, interest, penalties, and other amounts shall be relieved from such liability where all the requirements set forth in California Code of Regulati…

(a) General. A feepayer shall maintain and make available for examination on request by the board or its authorized representatives, records in the manner set forth at California Code of Regulations, Title 18, Section 4901. (b) Specific Applications. In addition to the record kee…

Payments by electronic funds transfer shall be made in accordance with California Code of Regulations, Title 18, Section 4905.

(a) General. A taxpayer shall maintain and make available for examination on request by the board or its authorized representatives, records in the manner set forth at California Code of Regulations, Title 18, Section 4901. (b) Specific Applications. In addition to the record kee…

(a) Any corporation that was suspended under the provisions of Section 23775 may be relieved therefrom upon the filing of: (1) A new application for exemption and payment of the ten-dollar ($10) application fee; and (2) An application for revivor; and (3) Any information returns,…

(a) The exemption granted to any organization or trust under Section 23701 may be revoked if the organization fails to: (1) File an annual return (Form 199) required under Section 23772 on or before the close of the last day of the 12th month following the close of the income yea…

(a) An organization whose exemption was revoked under Section 23777 may reestablish itself as an exempt organization upon the filing of: (1) A new application for exemption and payment of the twenty-five dollar ($25) filing fee required under Section 23701; and (2) Any informatio…

(a) Election to Consider as Income. A taxpayer which receives noncash patronage allocations (as defined in paragraph (f)) may elect to include such allocations in gross income for the income year received. If a taxpayer elects to include such noncash patronage allocations in gros…

This chapter applies to the Emergency Telephone Users Surcharge Act (Rev. & Tax. Code, § 41001 et seq.).

(a) In General. Any change in the method of computing the depreciation allowances with respect to a particular account is a change in method of accounting, and such a change will be permitted only with the consent of the Franchise Tax Board, except that certain changes to the str…

(a) Definitions. For purposes of this chapter (Emergency Telephone Users Surcharge Regulations, commencing with Regulation 2435), the following terms shall have the following meanings: (1) An “access line” shall mean any of the following: (A) A wireline communication service line…

(a) In General. (1) Section 24368.1 provides that a taxpayer may elect to treat any trademark or trade name expenditure (defined in Section 24368.1(b) and subsection (b) of this regulation) paid or incurred during an income year beginning after December 31, 1960, as a deferred ex…

The 911 and 988 surcharges do not apply to: (a) Access lines supplying lifeline service. (b) Access lines connected to public telephones as defined by Revenue and Taxation Code section 41012. (c) Access lines for which no charges are billed by a service supplier to a service user…

(a) On or before the last day of the second month following each month in which 911 and 988 surcharges are collected, every service supplier shall file a return with the Department through the Department's website for that month. The return shall separately report the amounts of …

(a) In General. (1) Section 24407 provides that a bank or corporation may elect for any income year beginning after December 31, 1960, to treat its organizational expenditures, as defined in Section 24408 and in subsection (b) of this regulation, as deferred expenses. A bank or c…

(a) Each seller required to collect the 911 and 988 surcharges from a prepaid consumer must give a receipt, invoice, or similar document to the prepaid consumer at the time of the retail transaction. Except as provided in subdivision (b), the receipt must separately state the 911…

(a) Allowance of deduction. Revenue and Taxation Code section 24411, allows taxpayers that have elected to compute their income derived from or attributable to sources within California pursuant to Article 1.5 of Chapter 17 of the Corporation Tax Law a deduction with respect to q…

(a) Penalty for failure to furnish information. (1) In general. If a corporation making a water's-edge election under Revenue and Taxation Code section 25110 fails to furnish any information described in Revenue and Taxation Code section 25112, subdivision (b), within 60 days of …

(a) Examinations. (1) In general. The Franchise Tax Board shall examine the tax returns of all taxpayers that have made an election pursuant to Revenue and Taxation Code section 25110. In those cases in which such review or inspection reveals that there may be potential noncompli…

There shall be no unaccounted for losses of beer other than those, if any, permitted under Federal law.

(a) In General. An amount equal to the state alcoholic beverage taxes included in the sales price of beverages to the licensee shall be refunded by the Board if: (1) The beverages are lost, rendered unmarketable, or condemned by a duly authorized official by reason of fire, flood…

All beer consumed on a brewery's premises shall be accounted for. (a) Except as provided in Subdivision (b), tax shall be paid on all beer consumed by brewery employees, visitors and others in a brewery tavern. Beer manufactured by the brewery for consumption in a brewery tavern,…

(a) “Age 18” means an individual who attains the age of 18 on the anniversary of the date when the individual was born. (b) “Annual premium” means the amount an applicable individual would pay during the calendar year for minimum essential coverage. (c) “Annualized required contr…

(a) (1) The Franchise Tax Board's civil authority and procedures for purposes of compliance with notice and other due process requirements imposed by law to collect income taxes shall be applicable to the collection of the penalty imposed pursuant to subdivision (j) of section 61…

(a)(1) In any calendar year after 2019, the applicable dollar amount is $695 as increased or decreased by the product of $695 and the cost-of-living adjustment determined under paragraph (2) of subdivision (d) of section 61015 of the Revenue and Taxation Code for the calendar yea…

(a) A responsible individual shall not be liable for a penalty for any applicable household member for a month that includes a day on which the applicable household member is an exempt individual. (b) A penalty will not be imposed on an applicable individual who lacks affordable …

(a) Except in the case of a false or fraudulent return and except as otherwise expressly provided in Part 10.2, no penalty shall be assessed or collected with respect to the year for which the return was filed unless the notice of tax return change or statement of tax due is mail…

(a) A penalty imposed under Sections 463, 503 or 504 of the Revenue and Taxation Code shall be entered on the local roll in any one of the following forms: (1) By adding 10 percent or 25 percent or the percentage or maximum allowable dollar amount prescribed by statute, as the ca…

(a) Notwithstanding any other provision of the law, any error or omission in the determination of a base year value pursuant to paragraph (2) of subdivision (a) of Section 110.1 of the Revenue and Taxation Code, including the failure to establish that base year value or the deter…

(a) Scope The provisions contained herein shall apply to the collection of the generator fee imposed pursuant to Health and Safety Code 25205.5. Regulations concerning the manifesting of hazardous waste, enforcement of hazardous waste management requirements and standards, and ot…

(a) A person shall not perform the duties of an appraiser, as defined in Rule 281, unless the person has been issued a temporary or permanent certificate by the Board, nor shall the person continue to perform such duties for more than a year (excluding any break in service as an …

(a) Definitions. For purposes of this rule: (1) “Assessed value” is defined in subdivision (a) of section 135 of the Revenue and Taxation Code. (2) “Improvements” are defined in rule 122. (3) “Land” is defined in rule 121. (4) A “lease for agricultural purposes” is a lease for th…

In estimating value as defined in section 2, the assessor shall consider one or more of the following, as may be appropriate for the property being appraised: (a) The price or prices at which the property and comparable properties have recently sold (the comparative sales approac…

The regulations contained in division 2.1 of title 18 of the California Code of Regulations are inapplicable to all appeals, petitions for rehearing, and related claims for reimbursement submitted to, or subject to the jurisdiction of, OTA. Instead, OTA's Rules for Tax Appeals su…

(a) Appeal from an action of FTB. In general, OTA has jurisdiction to hear and decide an appeal that has been timely submitted to OTA pursuant to OTA's Rules for Tax Appeals, if any of the following circumstances apply: (1) FTB mails a notice of action on a proposed deficiency as…

OTA's jurisdiction is set forth in statute. Areas where OTA does not have jurisdiction include, but are not limited to, the following: (a) Whether a California statute is invalid or unenforceable under the United States or California Constitutions, unless a federal or California …

(a) Consolidation. On the motion of a party or upon its own initiative, OTA may consolidate appeals if the facts and issues are similar and no substantial right of any party will be prejudiced. OTA will promptly notify the parties if an appeal is consolidated. Unless otherwise pr…

(a) Bifurcating. On the motion of a party or upon its own initiative, OTA may bifurcate an issue or issues in an appeal if OTA determines there is good cause and no adverse effect on a substantial right of any party. If an oral hearing is requested, OTA may hold separate hearings…

(a) Requesting precedential status. Any person may propose that an Opinion be given precedential effect, in whole or in part. Such a proposal may be communicated to an email address listed on OTA's website. (b) Nonprecedential Opinions. A published Opinion of OTA is not precedent…

OTA will provide written notification to the parties if an appeal is postponed or deferred.

Upon dismissal, OTA will notify the parties that the appeal has been dismissed. Any dismissal notice will state the reason for the dismissal (e.g., Agency concession or withdrawal). OTA will dismiss an appeal under any of the following circumstances: (a) The appellant or the appe…

(a) Requests for reconsideration. The parties shall notify OTA in writing if CDTFA accepts a request for reconsideration of an Appeals Bureau decision or supplemental decision, or if the Appeals Bureau elects to issue a revised or supplemental decision on its own discretion and, …

(a) Oral hearings before a Panel are open to the public, unless otherwise ordered in accordance with this article. The submission of an appeal constitutes a waiver of the right to confidentiality regarding all the briefing, exhibits, communications, and other information provided…