Hello,
I know there are a couple of threads on this but I was hoping to get a bit of clarity based on my situation.
I filed my state and federal tax returns for 2021 on Turbotax and ended up with a payment owed to the federal gov't and a refund from the state of California.
Shortly after filing, I received a letter from the State of California franchise tax board around the "Mandatory Electronics Payments Notice" which states that I must use one of their e-pay options to remit all future payments. The "why you received this notice section" states that I received this letter because I had either "recently made an estimated tax or extension payment for more than $20,000 or filed a tax return with a total tax liability of over $80,000 and now meet the mandatory electronic (e-pay) requirements." They also provided this link:
https://www.ftb.ca.gov/pay/mandatory-e-pay.html
I have not made any estimated tax payments or extension payments, and I actually received a refund from the state of California for this tax year based on my company's state withholdings.
My questions are:
1. Do I need to do anything for this year, or register with the State of California's e-pay options?
2. Does this requirement preclude my ability to use Turbotax next tax year to remit any payments owed to the State of California because of the e-pay requirement?
Thank you for any insight in advance!
You'll need to sign in or create an account to connect with an expert.
Just spoke to someone at the California Franchise Tax Board.
Notification was sent out given my overall tax liability for the State of CA was over $80,000 (irrespective of the amount of withholdings or amounts owed/refunded). Notice was simply to state that any payments I may need to make in the future need to be done electronically (not through cash, check, or money order).
Turbotax and my company's withholdings are considered to be electronic and viable for tax payments without any potential for penalties. No need for any estimated tax payments or the like.
Hopefully this helps anyone else in my particular bind.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
Leftey
New Member
PapaJimPritchard
New Member
Sarsour
New Member
doctor4
New Member
John19422
New Member