| That Franchise Tax Board (FTB) has begun mailing | | | | - Pay online with Web Pay. |
| notices (FTB 4106 MEO) to taxpayers who meet the | | | | - Request an Electronic Funds Withdrawal (EFW) on |
| mandatory e-pay threshold. The new mandatory | | | | your e-file return. [From GROCO: This needs to be |
| e-pay law requires taxpayers to remit their payments | | | | set-up with your tax return preparer..] |
| electronically if their tax liability exceeds $80,000, or | | | | - Pay by credit card. |
| they made estimated tax or extension payment | | | | A pay-by-phone option will be available in July 2009. |
| exceeding $20,000. The first payment that would | | | | You may only send tax payments due to the |
| trigger the mandatory e-pay requirement is the 2009 | | | | Franchise Tax Board electronically using one of the |
| taxable year first quarter estimate that was due April | | | | methods above. If you owe tax to other agencies |
| 15, 2009. This first payment did not have to be made | | | | that require an electronic payment, you must make |
| electronically, but all future payments should be made | | | | those payments directly to them. |
| electronically. For the 2009 calendar year the FTB will | | | | NOTE: Making a payment using your bank’s |
| not impose the mandatory e-pay penalty (1% of the | | | | online bill payment system is not an electronic |
| amount paid) to allow taxpayers and practitioners | | | | payment. Your bank mails a paper check to FTB |
| additional time to implement practices and procedures | | | | which does not meet the requirement to pay |
| to comply with the requirement. (FTB e-file News, 05 | | | | electronically. |
| 05/2009) | | | | For the complete story of e-pay, please see the |
| Electronic Payment Methods | | | | FTB’s website at the link below. |
| Make your tax payment using one of the following | | | | I am always available for questions or comments at |
| methods: | | | | (510) 797-8661 x237. |