Legal Question in Tax Law in California

The franchise tax board put a hold on my checking account for taxes they say I owe from 12 & 13 years ago. I have no records that I did or did not pay, is this legal?


Asked on 4/18/11, 9:51 am

1 Answer from Attorneys

Donald Field Donald L. Field, Jr., Attorney at Law

The California tax authorities are able to do this as there is no statute of limitations for collection of taxes in California. There still remains the question as to whether or not the taxes were in fact owed, but at this point this would normally require payment in full before a refund claim (and potential refund action in superior court) could be initiated.

This is a good example of why I tell all clients to keep income tax returns and supporting documents indefinitely. You should retain a qualified CPA or tax attorney to determine whether or not have any recourse (and to represent you as collection actions continue). Contact my office if I can be of assistance.

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Answered on 4/18/11, 10:02 am


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