Business & Real Estate

Didn’t file a tax return in 2013? Expect a letter from FTB

More than 1 million people who earned money in 2013 but did not file a California income tax return can expect to hear from the state Franchise Tax Board.

The FTB said Monday that it started sending letters last month to non-filers “to ensure everyone pays their fair share.”

Those who didn’t file a 2013 tax return are determined based on matching state returns with more than 500 million income records from banks, employers, state government, the IRS and other third parties. Last year, FTB said it collected more than $715 million through the notification effort, an annual undertaking that started in the 1950s.

Those who receive an FTB letter have 30 days to file a state tax return or show why one is not required. For those who do not respond, FTB will estimate a tax assessment based on income records, plus interest, fees and penalties that can total as much as 50 percent of the tax due.

FTB noted that some non-filers might not have earned the minimum income that is subject to taxation, but FTB recommends that these taxpayers file a return, since they may be eligible for a tax refund. State law allows taxpayers four years to claim a refund, such as for too much withheld from their wages or for overpayment of estimated taxes. There is no penalty for filing a late return that qualifies for a refund.

For more information, go to Request/Demand for a Tax Return at, or call (866) 204-7902.

Call The Bee’s Mark Glover, (916) 321-1184.