Form Ftb 3563 Draft - Automatic Extension For Fiduciaries

Instructions for Form FTB 3563

Automatic Extension for Fiduciaries

General Information

Note: Nonexempt charitable trusts as described in Internal Revenue Code

Section 4947(a)(1), exempt pension trusts, and simple trusts (that have

California does not require the filing of written extensions. If the estate or

a letter from the Franchise Tax Board authorizing the exempt status) use

trust cannot file Form 541, California Fiduciary Income Tax Return, by the

form FTB 3539, Automatic Extension for Corps and Exempt Orgs.

due date, the estate or trust is granted an automatic six-month extension.

If the tax return is filed by the 15th day of the 10th month following the

Penalties and Interest

close of the taxable year (fiscal year) or by October 15, 2007 (calendar

If the estate or trust fails to pay its total tax liability by the original due

year), the extension will apply.

date of the tax return, a late payment penalty and interest will be added

Only use form FTB 3563 if:

to the tax due. To avoid late payment penalties and interest, the estate’s

• The estate or trust cannot file Form 541 by the original due date; and

or trust’s tax liability must be paid by the 15th day of the 4th month,

• Tax is owed for 2006.

following the close of the taxable year. This late payment may be waived

Use the worksheet below to determine if tax is owed.

where 90% of the tax shown on the return is paid by the original due

• If tax is not owed, there is nothing to file at this time. Do not complete

date of the return. If after the tax return’s due date has passed, the

or mail this voucher.

estate or trust finds that its estimate of tax due was too low, the estate or

• If tax is owed, complete the voucher below. Mail in the voucher along

trust should pay the additional tax as soon as possible to avoid further

with your check or money order to the Franchise Tax Board by the

accumulation of penalties and interest. Pay the estimated additional tax

15th day of the 4th month (fiscal year) or April 16, 2007 (calendar

with another form FTB 3563 voucher.

year), to avoid late payment penalties and interest.

If the estate’s or trust’s fiduciary tax return is not filed by the 15th day

Note: Make all checks or money orders payable in U.S. dollars and drawn

of the 10th month following the close of the taxable year, the automatic

against a U.S. financial institution.

extension will not apply and a late filing penalty and interest will be

assessed from the original due date of the tax return.

TAX PAYMENT WORKSHEET FOR YOUR RECORDS

1 Total tax the estate or trust expects to owe. This is the amount you expect to enter

on Form 541, line 28 or Form 541-QFT, line 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

2 Payments and credits:

a California income tax withheld . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2a

b California estimated tax payments and amount applied from the 2005

Form 541 or Form 541-QFT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2b

c Other payments and credits, including any tax payments made with any previous

form FTB 3563 voucher . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2c

3 Total tax payments and credits. Add line 2a, line 2b, and line 2c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

4 Tax due. Subtract line 3 from line 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

•

If the amount on line 3 is more than the amount on line 1, the estate or trust has no tax due. DO NOT MAIL THE PAYMENT VOUCHER.

•

If the amount on line 1 is more than the amount on line 3, subtract line 3 from line 1. This is the estate’s or trust’s tax due.

Enter the result on line 4 and on the “Amount of payment” line on the form FTB 3563 voucher below. Fill in the estate’s or trust’s name, address, and

federal employer identification number (FEIN). Separate the voucher from this page where it says “DETACH HERE.” Make a check or money

order payable to “Franchise Tax Board,” and write the FEIN and “2006 FTB 3563” on it. Enclose, but do not staple the payment with the voucher and mail

to: FRANCHISE TAX BOARD, PO BOX 942867, SACRAMENTO CA 94267-0051

•

If the tax return is filed by the 15th day of the 10th month following the close of the taxable year (fiscal year) or by October 15, 2007

(calendar year), the extension will apply.

Save the completed worksheet as a permanent part of the estate’s or trust’s tax records along with the copy of the tax return.

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if no PaYmEnT iS DUE, Do noT mail THiS form

DETacH HErE

(Calendar year – File and pay by April 16, 2007)

Automatic Extension

TaXaBlE YEar