1095D Tax Practitioner Guidelines for Computer-Prepared Returns Introduction The Franchise Tax Board 2025

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Filing a late tax return is one of the most common reasons that a large number of taxpayers owe money to the FTB. Specifically, a taxpayer can incur late fees on an unfiled return the day after not filing their tax return.
As an employee, self-employed individual, independent contractor, or part of the gig economy, you may have a requirement to file federal and state income tax returns. The federal return is filed with the Internal Revenue Service (IRS), and the state return is filed with the Franchise Tax Board (FTB).
Our mission is to help taxpayers file tax returns timely, accurately, and pay the correct amount to fund services important to Californians.
The Internal Revenue Service (IRS) administers and enforces U.S. federal tax laws.
You received this form because both of the following happened: You claimed state income tax payments as an itemized deduction on Schedule A of your Federal Income Tax Return for the tax year listed in Box 3. You received a refund, credit, or offset of $10 or more.
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The FTB wants to verify the dependents you claimed on your tax return. You need to send them the information they requested with a copy of the letter.
Franchise taxes do not replace federal and state income taxes, so its not an income tax. These are levies that are paid in addition to income taxes. They are usually paid annually at the same time other taxes are due. The amount of franchise tax can differ greatly depending on the tax rules within each state.

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