Thursday, January 3, 2008

California offers tax help

Article from the Sacramento Bee:

http://www.sacbee.com/103/story/605577.html

Welcome back to reality! The Franchise Tax Board is hoping to whip California's 14 million taxpayers into shape in time for the April 15 tax filing deadline.

The agency gave notice Wednesday that the holidays are over with an announcement from FTB Chairman and state Controller John Chiang that taxpayers can expect expanded customer service this year. So, put away those new toys, toss out those trees and take a look at the goodies being promised by the FTB:

ReadyReturn
If you are single and have no dependents, there's a good chance you can have the FTB complete your tax return for you. The agency is introducing a program that it is calling ReadyReturn, which the agency bills as the first of its kind for states.

• To be eligible, singles must have earned all income from only one employer and take the standard deduction. Visit www.ftb.ca.gov or call (800) 338-0305 to determine whether you qualify.

Changes are coming

The FTB wants to draw your attention to several legal and regulatory changes:

• In the 2007 tax year, registered domestic partners must file state tax returns either as married filing jointly or married filing separately.

• This won't affect your IRS filing status. Need details? Check FTB Publication 737 for domestic partners.

• The state's standard deductions are rising. Single? Married filing separately? You can take a deductions of $3,516, compared with 3,410 in 2006.

• Joint filers, surviving spouses and heads of household can deduct $7,032, up from $6,820.

CalFile

Want to file electronically? If you file forms 5402EZ, 540A or 540, you're among the more than 6 million taxpayers who are eligible.

• The look of the online service has changed a bit. You won't see the application labeled View Payments and Balance Due. Instead, you'll click My FTB account. In addition to balances and payments, you can now view forms 1099-G and 1099-INT, plus California wage and withholding information.

• To access all this data, enter your name and Social Security number. This year, for the first time, the program is available in Spanish. Want to learn more? Go to www.ftb.ca.gov.

FAST FACTS

Who files?

You must if you are single or a head of household with total income equal to or greater than $14,138, or if you are married and your joint income is equal to or greater than $28,276.

Do you owe use tax?

Yes, you will likely have to pay taxes on all that online shopping over the holidays. Go to www.taxes.ca.gov and use the calculator to assess the damage. You can pay online - charge it. Taxpayers can OK payments from their bank account to FTB's Web Pay, or for a fee, you can pay with Discover/NOVUS, MasterCard, American Express and Visa.

Can't pay?

Go online and request a payment plan. You'll generally qualify if you owe less than $25,000 and can repay within five years.

Need FTB assistance?

Call (800) 338-0505 for a 24-hour automated line. Call (800) 852- 5711 from 7 a.m. to 6 p.m. on business days to speak to a representative. If you're in The Bee's circulation area, your closest walk-in locations will be 3321 Power Inn Road, Suite 250, in Sacramento; 1515 Clay St., Suite 305, in Oakland; and 121 Spear St., Suite 400, in San Francisco.

Want volunteer assistance?

Go to www.vitavolunteers. org, the Web site for the Volunteer Income Tax Association. If you are 60 or older, try Tax Counseling for the Elderly. Get further details on TCE at (800) 829- 1040, or call (888) 227-7669 to find the nearest AARP Tax-Aide site.

Source: Franchise Tax Board