Steve Sims EA llc

News

Announcements and Updates

“Check your mail” then “Open your mail”...Franchise Tax Board sent out over 4000 notice to Nonprofit Organizations to start the dissolution process. 

A message from FTB....

Beginning on January 1, 2016, California nonprofit public benefit, mutual benefit, religious, and registered foreign nonprofit corporations are subject to our administrative dissolution (California nonprofit corporations) or administrative surrender (registered foreign nonprofit corporations) process if the entity’s corporate powers have been suspended or forfeited by us for at least 48 continuous months.

Once this process is initiated by us, the nonprofit corporation has 60 calendar days to act before the corporation is administratively dissolved/surrendered permanently.

More than 4,000 proposed dissolution notices were sent in mid-September to entities meeting this criteria. These notices were mailed to the entity’s last known mailing address.

The Secretary of State website has additional information available, including an entity’s options for avoiding dissolution/surrender. Additionally, the list of suspended entities will be posted to the Secretary of State website. This may help you identify whether one of your clients is in the process of being permanently dissolved or surrendered.

To read article click here:

https://www.ftb.ca.gov/professionals/taxnews/Editions/2018/October.shtml#Article03

steve@stevesimsea.com