The California FTB 626 form is a request submitted to the Franchise Tax Board's Chief Counsel, seeking relief from specific penalties imposed under California's Revenue and Taxation Code. Taxpayers can utilize this form to address various penalties, including those related to reportable transactions and frivolous returns. For those facing such penalties, filling out the FTB 626 can be a vital step in seeking relief; click the button below to get started.
The California FTB 626 form serves as a crucial tool for taxpayers seeking relief from specific penalties imposed by the Franchise Tax Board. This form allows individuals and entities to formally request that the Chief Counsel exercise discretion in relieving penalties under various sections of the Revenue and Taxation Code. Taxpayers must fill out a separate FTB 626 for each penalty they wish to contest, ensuring that all relevant details are included. Information required on the form includes the taxpayer's name, Social Security number or Entity ID, and the specific penalty being challenged. The penalties eligible for relief cover a range of issues, from reportable transaction accuracy-related penalties to frivolous return penalties. To support their request, taxpayers must attach a statement outlining the facts and reasons for seeking relief. Importantly, the form must be signed under penalties of perjury, affirming that the information provided is accurate and complete. Proper submission of the FTB 626 is essential for taxpayers looking to address penalties effectively.
Request for Chief Counsel to Relieve Penalties
Please see the reverse side of this form for general instructions and mailing information.
Use this form to request relief from a penalty imposed under Revenue and Taxation Code Sections 19164.5, 19173, 19179, 19182, 19772, 19773, or 19774. You must complete a separate FTB 626 for each penalty from which you want relief.
Name of Taxpayer/Entity
Social Security Number/Entity ID Number
Spouse/RDP
Spouse’s/RDP’s Social Security Number
Address (number, street, and room, or suite number)
City, State, and ZIP Code
Tax Year (if applicable)
Amount of Penalty
I request that Franchise Tax Board’s Chief Counsel relieve the following penalty: (Check only one. You must submit a separate claim for each penalty from which you want relief. )
Section 19164.5 - Reportable transaction accuracy-related penalty
Section 19173 - Failure to maintain advisee lists penalty
Section 19179 - Frivolous return penalty
Section 19179(d) - Frivolous submission penalty
Section 19182 - Failure to furnish information regarding reportable transactions
Section 19772 - Failure to disclose reportable transaction penalty
Section 19773 - Reportable transaction understatement penalty
Section 19774 - Noneconomic substance transaction understatement penalty
I attached a statement specifying the facts and reasons supporting my request for relief from the selected penalty.
Under penalties of perjury, I declare that I have examined this request, including any accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete.
Signature (and title if applicable)
Date
Signature
Get FTB 1131, Franchise Tax Board Privacy Notice, at ftb.ca.gov or call us at 800.338.0505 and select form code 948 when prompted. If outside the United States, call us at 916.845.6500.
FTB 626 C2 (REV 06-2016) SIDE 1
Instructions for FTB 626
Purpose of FTB 626
You can use FTB 626 to request that Franchise Tax Board’s Chief Counsel relieve certain penalties. The law provides the Chief Counsel with discretion to relieve all or part of these penalties. You can only request relief from penalties listed on the front of FTB 626.
You must complete an FTB 626 for each penalty from which you are seeking relief and attach a copy of the notice on which we imposed the penalty. We impose penalties on Notices of Proposed Assessment or billing notices.
Speciic Instructions
Social Security Number – Individuals: If your request for penalty relief is related to a joint return, enter social security numbers for both you and your spouse/RDP.
Entity Identiication Number: If your request for penalty relief is for a corporation, partnership, estate, trust,
LLC or other business entity, enter the entity identiication number.
Signature – Individuals: If you iled a joint return, and you and your spouse/RDP are both requesting relief, both spouses/RDPs should sign the request.
Signature – Business Entities: An authorized individual must sign requests iled by business entities, and the signature must be accompanied by the individual’s title.
Your authorized representative may ile FTB 626 for you. A copy of the original Power of Attorney must be attached to FTB 626.
Statement: You must attach a statement specifying the facts and reasons supporting your request for relief from the penalty.
Mail your completed request and supporting statement to:
CHIEF COUNSEL LEGAL DIVISION MS A 260
FRANCHISE TAX BOARD
PO BOX 1720
RANCHO CORDOVA CA 95741-1720
For additional penalty information, go to ftb.ca.gov and search for penalty. You can also contact us at 800.852.5711.
Connect With Us
Web: ftb.ca.gov
Phone:
800.852.5711
7 a.m. to 5 p.m. weekdays, except state holidays
916.845.6500
from outside the United States
TTY/TDD:
800.822.6268
for persons with hearing or speech impairments
FTB 626 C2 (REV 06-2016) SIDE 2
Completing the California FTB 626 form is an important step in requesting relief from certain penalties imposed by the Franchise Tax Board. Ensure that all required information is accurate and complete before submission to facilitate the review process.
The California FTB 626 form is used to request relief from certain penalties imposed by the Franchise Tax Board (FTB). These penalties are outlined in specific sections of the Revenue and Taxation Code. By submitting this form, you are asking the Chief Counsel of the FTB to consider relieving all or part of the penalties you may have incurred.
You can request relief from the following penalties:
Yes, you must complete a separate FTB 626 form for each penalty from which you are seeking relief. Each form should be accompanied by a statement that outlines the facts and reasons for your request.
The form requires several key pieces of information, including:
Yes, an authorized representative can file the FTB 626 form for you. However, they must include a copy of the original Power of Attorney with the submission to ensure that they have the authority to act on your behalf.
Your attached statement should clearly specify the facts and reasons supporting your request for relief from the penalty. This is a crucial part of your application, as it provides the Chief Counsel with the context needed to make a decision.
Once you have completed the form and attached the necessary statement, mail it to the following address:
CHIEF COUNSEL LEGAL DIVISION MS A 260 FRANCHISE TAX BOARD PO BOX 1720 RANCHO CORDOVA CA 95741-1720
Not Completing a Separate Form for Each Penalty: Many individuals mistakenly believe they can list multiple penalties on one FTB 626 form. Each penalty requires its own form to ensure clarity and proper processing.
Failing to Attach Supporting Documentation: It is essential to include a statement that outlines the facts and reasons for requesting relief. Without this documentation, the request may be denied or delayed.
Incorrectly Filling Out Social Security Numbers: Individuals often forget to include both their own and their spouse's or registered domestic partner's Social Security numbers when filing a joint return. This oversight can lead to processing issues.
Neglecting Signatures: Both spouses or registered domestic partners must sign the form if they are both requesting relief. Business entities must also ensure that an authorized individual signs the request, along with their title.
Ignoring Mailing Instructions: Some people overlook the specific mailing address provided for submitting the FTB 626 form. Ensuring the form is sent to the correct location is crucial for timely processing.
The California FTB 626 form is used to request relief from certain penalties imposed by the Franchise Tax Board. When submitting this form, several other documents may also be necessary to support your request. Below is a list of these documents along with brief descriptions of their purposes.
Gathering these documents will help ensure that your request for penalty relief is complete and well-supported. It is advisable to review all requirements carefully before submission to avoid delays in processing.
The California FTB 3500 form is similar to the FTB 626 in that both forms are used to request relief from penalties imposed by the Franchise Tax Board. The FTB 3500 specifically focuses on penalty relief for late filings or payments related to corporate taxes. Just like the FTB 626, it requires the taxpayer to provide details about the specific penalty and to include a statement explaining the circumstances that led to the request. Both forms emphasize the need for accurate information and signatures from the taxpayer or authorized representatives.
Another document that shares similarities with the FTB 626 is the California FTB 3539 form. This form is used to request a penalty waiver for underpayment of estimated tax. Like the FTB 626, the FTB 3539 requires taxpayers to identify the specific penalty and provide supporting documentation. Both forms allow taxpayers to explain their situation and seek relief based on reasonable cause. They also require a declaration under penalty of perjury, ensuring that the information provided is truthful and complete.
The California FTB 540 form also bears resemblance to the FTB 626, as both are related to tax filings and penalties. The FTB 540 is an individual income tax return form, where taxpayers report their income and calculate their tax liability. If penalties arise from errors or omissions on the FTB 540, taxpayers can use the FTB 626 to request relief. Both forms focus on the taxpayer's responsibility to provide accurate information and the potential for penalties if that responsibility is not met.
Similarly, the California FTB 100 form is used by corporations to report income and calculate taxes owed. If a corporation faces penalties due to late filings or inaccuracies, it can utilize the FTB 626 to seek relief. Both forms require the taxpayer to detail the penalties in question and provide explanations for the circumstances surrounding the request. This highlights the importance of transparency and accountability in tax matters.
Lastly, the California FTB 581 form is comparable to the FTB 626 as it pertains to penalties related to the failure to file information returns. Taxpayers who fail to submit required forms may face penalties and can use the FTB 626 to request relief. Both forms necessitate a clear statement of facts and reasons supporting the request for relief, reinforcing the principle that taxpayers must be proactive in addressing penalties and seeking fair treatment from the Franchise Tax Board.
When filling out the California FTB 626 form, it’s important to ensure that you follow the correct steps to avoid delays or complications. Here are five things you should and shouldn’t do:
Many people have misunderstandings about the California FTB 626 form, which is used to request relief from certain penalties imposed by the Franchise Tax Board. Here are seven common misconceptions:
Understanding these misconceptions can help taxpayers navigate the process more effectively and ensure they provide the necessary information for their requests.
Key Takeaways for Filling Out and Using the California FTB 626 Form: