California Conformity with Federal Tax Changes

By Gina Rodriguez and Chris Micheli


Back to the list of tables

TAXPAYER BILL OF RIGHTS 2 (P.L. 104-168)
 
ACT § FEDERAL LAW IRC § CALIFORNIA LAW CRTC §
101 Established the position of Taxpayer Advocate in IRS 7802 and 7811 Does not conform; CA has a taxpayer advocate at the FTB Not applicable
102 Expanded authority to issue taxpayer assistance orders 7811 Does not conform 21001-21022
201 Notification of reasons for termination 6159 Conforms (AB 713); Eff. 1/1/98 19008
202 Administrative review of termination of installment agreements 6159 Conforms (AB 713); Eff. 1/1/98 19008
301 Expanded authority to abate interest for managerial acts 6404 Conforms (AB 713); Eff. 1/1/98 19104
302 Tax court review of IRS failure to abate interest for requests 6404 Does not conform 19431
303 Extended interest-free period to 21 calendar days for any notice and demand 6601 and 6651 Partially conforms (AB 713); CA period is extended to 15 calendar days; Eff. 1/1/98 19049
304 Abatement of interest and penalties for failure to make required deposits of payroll taxes 6656 Does not conform Not applicable
401 Studies to joint return-related issues for Congress N/A Does not conform Not applicable
402 Repeal of joint return contemporaneous payment 6013(b) (2) Conforms (AB 713); Eff. 1/1/98 18525
403 Disclosure of collection activities related to a joint return for written requests 6103(e) Conforms (AB 713); Eff. 1/1/98 21023
501 Modified lien and levy provisions 6323 and 6343 Conforms (AB 713); Eff. 1/1/98 21016 and 21019
502 Modified levy exemption amounts 6334 Does not conform; the CA exemption amounts are higher 21016
503 Increased the threshold for offers-in-compromise that require IRS counsel approval 7122 Does not conform 19441
601 Civil damages for fraudulent filing of information returns 7434 and 7435 Does not conform Not applicable
602 Requirement to conduct reasonable investigations of information returns 6201 Conforms (AB 713); Eff. 1/1/98 21024
701 IRS must establish that its position was substantially justified (burden on IRS) 6404, 6656, 7430 Conforms (AB 713); Eff. 1/1/98 19717 and 21013
702 Increased limit on attorneys' fees recoverable by the prevailing party to $110/hr 7430 Conforms (AB 713); Eff. 1/1/98 19717 and 21013
703 Failure to agree to extension not taken into account 7430 Conforms (AB 713); Eff. 1/1/98 19717 and 21013
704 Award of litigation costs allowed in proceedings 7430 Conforms (AB 713); Eff. 1/1/98 19717 and 21013
801 Increased limit on recovery of civil damages for the unauthorized collection of taxes to $1 million 7433 Does not conform Not applicable
802 Increased court discretion to reduce award for litigation costs for failure to exhaust administrative remedies 7433 Does not conform Not applicable
901 Required preliminary notice for proposed assessments 6672 Does not conform Not applicable
902 Disclosure of taxpayer info 6103(e) (9) Does not conform Not applicable
903 Right of contribution where more than one person liable for penalty for failure to collect and pay over tax 6672 Does not conform Not applicable
904 Certain volunteer board members not liable for penalties 6672 Does not conform Not applicable
1001 Enrolled agents included as third-party recordkeepers 7609 Conforms (AB 713); Eff. 1/1/98 19064
1002 Safeguards relating to designated summonses 6503 Does not conform Not applicable
1101 Relief from retroactive application of IRS regulations 7805 Conforms (AB 713); Eff. 1/1/98 19503 and 23004
1201 Payee statements must include phone numbers 6041, 6042, 6044, 6045, 6050 Conforms (AB 713); CA applies this to all information returns filed on or after 1/1/99 18637-18641, 18645, 18648, 25111
1202 IRS requirement to notify taxpayers of unidentified payments N/A Conforms (AB 713); Eff. 1/1/98 21025
1203 Civil action for damages for unauthorized enticement of information disclosure 7435 and 7436 Conforms (AB 713); Eff. 1/1/98 21022
1204 Annual taxpayer reminders with outstanding delinquent accounts with IRS 7524 Conforms (AB 713); Eff. 1/1/98 21026
1205 Five-year extension of churning authority for undercover operations 7608 Does not conform Not applicable
1206 Permanent extension of IRS authority to disclosure Form 8300 information on cash transactions 6103 and 7213 Does not conform 19542, 19552-19555, 19562
1207 Repealed the written requirement for disclosure of returns and info to designee 6103 Conforms (AB 713); Eff. 1/1/98 19553-19555, 19562
1208 Study of netting of interest on overpayment and liabilities N/A Does not conform Not applicable
1209 Clarified rewards allowed for information on civil violations 7623 Does not conform 19525
1210 Use of private delivery services for timely-filing rule 6103 Conforms (AB 713); Eff. 1/1/98 21027
1211 Reports on misconduct of IRS employees to Congress N/A Does not conform Not applicable
1301 Failure-to-pay and file penalties apply to returns prepared by IRS for return due dates 6651 Does not conform 19132 and 19132.5
1311 Excise taxes for failure by certain charitable groups to meet the qualification requirements for excess benefit transactions 501(c), 4955, 4958, 4963, 6213, 7422, 7454 Does not conform 19041, 19044-19048, 19051, 19332-19334, 23701f
1312 Expanded Form 990 information 6033 Does not conform Not applicable
1313 Public inspection of exempt organization returns 6104 Does not conform 19565
1314 Increased penalties on exempt organizations for failure to file complete and timely information returns 6652 Does not conform 19133.5
Bill number cited above: 
AB 713 (Caldera, Stats. 1997, Ch. 600)
 


 Back to the list of tables