Where is California Tax Form 568 in Turbo Tax Home & Business (TTHB)

[CindyS1]

When we filed our taxes last year, we received a notice telling us our tax returns were incomplete and therefore rejected because CA Form 568 was required. However, TTHB did not generate this form, nor were we alerted that this form was required. This year, knowing that CA Form 568 is needed, when we complete our returns, we confirmed that this form once again was not generated. Astonishingly, TTHB did not alert us to this missing form or the fact that it is required to be filed with our 2023 Tax Returns. Therefore, my questions are noted below:

1. Is this a glitch in TTHB?  

2. What must I do to make TTHB generate and complete this form?

3. I downloaded CA Form 568, but how do I file my tax returns digitally?

4. Why doesn't TTHB have this form available...are we using the wrong BUSINESS edition of TT?

[CindyS1]

I neglected to include the fact that our 2023 Federal and State tax returns are complete. Once the issue with the missing CA Form 568 is resolved, we will file them...that is if this issue its resolved.

I hope someone from TT reviews this post and responds before the tax filing deadline.

[MonikaK1]

California Form 568, Limited Liability Company Return of Income, is included in TurboTax Desktop Deluxe and Home and Business. 

Depending on how you answer questions in the Schedule C section, it may generate automatically. If not, you can bring up the form by going to Forms mode by clicking the Forms button at the top right (left for Mac), then clicking the Forms menu at the top, then Open a Form and entering "568".

 The TurboTax Forms Availability Tool indicates that it is supported for e-filing.

Form 568 must be filed by every LLC that is not taxable as a corporation if any of the following apply:

• The LLC is doing business in California.
• The LLC is organized in California.
• The LLC is organized in another state or foreign country, but registered with the California SOS.
• The LLC has income from California sources.

Form 568 can either be e-filed or mailed to:

Franchise Tax Board

PO Box 942857

Sacramento, CA 94257-0501

SMLLCs

• For SMLLCs owned by pass-through entities (S corporations, partnerships, and LLCs classified as partnerships), the original due date of the return is the 15th day of the 3rd month following the close of the taxable year.
• For all other SMLLCs, the original due date of the return is the 15th day of the 4th month following the close of the taxable year of the owner.

[CindyS1]

Hello MonikaK1,

Thank you for responding to my post/question. 

Before I posted my question, I tried searching for this form using the search terms  "Form 568" and "568," but the searches yielded no results. If it were possible to include a screen shot of the searches I conducted, I would happily post them here.  This is the reason why I searched for and downloaded am "paper" copy of Form 568 from the CA Franchise Tax Board.

Can you provide me with the question that generates this form in Turbo Tax Home and Business edition?  As I said, using TT's search function for this form fails to bring it up.  Additionally, our tax returns were rejected last year because this form was missing, which leads me to suspect a "glitch" in TTH&B.

Your continued help is appreciated.

Thanks again,

John

[MonikaK1]

California Form 568, Limited Liability Company Return of Income, is included in TurboTax Desktop Deluxe and Home and Business.

Depending on how you answer questions in the Schedule C section, it may generate automatically. If not, you can bring up the form by going to Forms mode by clicking the button at the top right (top left in Mac), then clicking Open Form and entering "568".

[kervin66]

Hello,

I, too, am having difficulty getting my form 568 to generate.  Can you specify the question you are referring to in the schedule C section of the interview and how it should be answered?  I was able to get the form loaded but it would be easiest if TTHB populated it based on the Schedule C information already entered.

My thanks,

K. E.

[tpopoli]

I think there is an error this year in TTHB. I'm pretty sure it DID NOT prompt me if my wife's LLC is a "Single Member LLC", which when you click that box, will generate CA Form 568 and CA Form 3533 (LLC Payment Voucher). I had to go to CA Schedule C, Line J and check the box manually. Once I did this, it generated the forms you need for LLC.

Hope that helps!

[PatriciaV]

Yes, TurboTax will complete Form 568 under the California State section. Follow these steps:

1. Open your return and click on State Taxes.
2. On the California Taxes page, click Edit beside Income and adjustments.
3. Under Business, click Start/Revisit beside Business Profit or Loss Adjustment.
4. Click Edit beside the business you need to report on Form 568.
5. Click "yes" that this business is owned by a Single Member LLC.
   (See screenshot below; click to enlarge.)
6. Continue after reading the Form 568 information.
7. A sub-form will appear. You need to complete any boxes highlighted in red.
8. If this is the first year to file Form 568 for your SMLLC, be sure to check the box on Line H for "Initial Return" and the box under Line 2 for "First Year Exemption Smart Worksheet." These answers will exempt you from the franchise tax this year.
9. Note the checkbox at the bottom of the form if you are not eligible to e-file Form 568.
10. In most cases, you will not need to complete sides 4-5 or 7. 
11. When you reach Side 7, you can print Form 568 if you need to mail it.
12. Follow the instructions for the Payment Voucher.
13. Continue on to the Business Summary page.
     

@kervin66 

@tpopoli 

[Jolene911]

Thank you so much for such detailed instructions!

I completed the form, but I don’t see it in my tax return or in my documents. Should it be in either of these places? Is there any confirmation that the form was actually sent?

[MonikaK1]

Form 568 is a California-only form. Be sure you are looking in your State return documents.

If you are using a Desktop version, you can find it in Forms mode. Click Open Form at the top of the Forms list if you don't see it in the California list, and enter "568".

In TurboTax Online, view all forms and worksheets for California.

Form 568 can either be e-filed or mailed to:

Franchise Tax Board

PO Box 942857

Sacramento, CA 94257-0501

@Jolene911 

[Jolene911]

"In TurboTax Online, view all forms and worksheets for California."

Thank you! I managed to get to all the forms and worksheets for California, but I don't see Form 568 there. Does that mean it wasn't filed?

[hazelv]

Thank you, I now have the form 568.

How can I e-file Form 568 through TurboTax? Since this is my first year filing, I am unable to register for an FTB account. Does TurboTax support e-filing for first-year LLCs, and if so, what steps should I follow to submit Form 568 electronically?

[MonikaK1]

California Form 568 is supported for e-filing in TurboTax and is created when you answer the questions about a single-member LLC in the California section. 

If your Form 568 was included in a PDF you generated of "Tax Return Only" forms, then it was included when you e-mailed your return. The TurboTax Forms Availability Tool indicates that it is supported for e-filing.

Form 568 must be filed by every LLC that is not taxable as a corporation if any of the following apply:

• The LLC is doing business in California.
• The LLC is organized in California.
• The LLC is organized in another state or foreign country, but registered with the California SOS.
• The LLC has income from California sources.

Form 568 can either be e-filed or mailed to:

Franchise Tax Board

PO Box 942857

Sacramento, CA 94257-0501

@hazelv 

@Jolene911 

[Lcat25mil]

Thank you for that detailed response. 

However, I have always had the form 568 come up when I file to be mailed in so I didn't realize the system didn't create my 568 before I emailed.

When I went to forms it was not created and when I searched I only find a blank one  

I want Turbo tax to fill it in so my information matches prior years.

Do I need to file an amended return since California has accepted my original return in Turbo Tax, then follow your instructions above to create the form and then mail it in? 

[MonikaK1]

You could opt to amend just your state return. See this help article for instructions.

California can take months to review a state return. You could also prepare a separate Form 568 and mail it in. 

1. Mail Form 568 with payment to: Mail Franchise Tax Board. PO Box 942857. Sacramento, CA 94257-0501.
2. E-Filed returns: Pay electronically using Web Pay, credit card, EFW, or mail form FTB 3588, Payment Voucher for LLC e-filed Returns, with payment to: Mail Franchise Tax Board. PO Box 942857. Sacramento, CA 94257-0531.

@Lcat25mil