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CALIFORNIA FRANCHISE TAX BOARD STATUTE OF LIMITATIONS ON ISSUING AN ASSESSMENT - How long do they have to get you?

The law provides final deadlines for the Franchise Tax Board (FTB) to assess additional taxes, or to propose assessments. This time limit is known as the statute of limitations.

Returns Filed on or Before the Original Due Date of the Return

The law generally requires FTB to mail a proposed deficiency assessment to the taxpayer within four years after the filing date of the taxpayer's return. Returns filed before the original due date of a personal income tax return (April 15 of the year after the tax year) are considered as filed on the original due date (Revenue and Taxation Code Section 19066.)

Returns Filed After the Original Due Date of the Return or on Extension, or Delinquent Returns

Depending on the tax year involved, the deadline may be computed from either the tax return's April 15 due date, October 15 extended due date, or the date a late tax return was filed.

Taxpayer Did Not File a Return or Taxpayer Files a False or Fraudulent Return

If the taxpayer did not file a tax return, or files a false or fraudulent tax return, there is no time limit for FTB to assess tax.

For more click on this link:

https://www.ftb.ca.gov/Law/summaries/SOL_Assessment.pdf

Note: 

For Statute of Limitations when there has been a federal adjustment click this link:

https://www.ftb.ca.gov/forms/misc/1008.pdf

For Statute of Limitations for Abusive Tax Avoidance Transaction click this link:

https://www.ftb.ca.gov/law/tax_shelter/sol.shtml

steve@stevesimsea.com

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