FTB mistakenly charging S Corp initial year minimum tax - how to resolve?

Yep, you're right. The initial year minimum tax is usually waived for S Corps in CA. Sounds like FTB messed up. I'd def reach out to them and explain the situation. Be prepared with your docs showing it's your first year.

I found a way to actually get someone on the phone at FTB. I used this site's (claimyr.com) calling tool that dials the phone menu, stays on hold, waits for a live agent to pick up, then sends the call to my phone. It does cost $20, but it works. Here's a video about it: https://youtu.be/0KwvDlViV6Q

Here's what you need to know about the S Corp initial year tax waiver in CA: • The $800 minimum franchise tax is typically waived for the first taxable year • This applies to corporations that incorporate or qualify to do business in California on or after January 1, 2021 and before January 1, 2024 • You still need to file a tax return even if you don't owe the tax • Make sure your S Corp election was properly filed and accepted • Double-check that FTB has the correct start date for your corporation If all of this checks out, it's likely an error on FTB's part. Call them and explain the situation. Be polite but firm, and have all your documentation ready. Good luck!

lol welcome to the wonderful world of dealing with the FTB. grab a seat, you'll be here a while 😂

Have you tried checking your account on the FTB website? Sometimes they have more info there about why they're asking for payment. Might save you a phone call.

OP, make sure you keep detailed records of all your communications with FTB. Write down dates, times, and names of who you talk to. It'll help if this drags on (which it probably will, let's be real).

Am I the only one who thinks its ridiculous that we have to jump through all these hoops just to get the government to follow their own rules? The system is broken af 🤮

Hey OP, just curious - when did you incorporate? The waiver only applies to corps formed after Jan 1, 2021. If you incorporated before that, you might actually owe the tax.

pro tip: if you cant get through on the phone, try reaching out to them on Twitter. Sometimes their social media team can help or at least escalate your issue.