California Appeals Office Finds Taxpayer Not Entitled to Relief from Individual Income Tax Assessment, Interest

The California Office of Tax Appeals (OTA) Sept. 22 found Taxpayer wasn’t entitled to relief from an individual income tax assessment or to an interest abatement. Taxpayer protested the Franchise Tax Board’s (FTB) assessment of additional tax, claiming that the federal tax was already paid. Taxpayer also sought an abatement of interest, arguing argued financial hardship due to the COVID-19 pandemic. The OTA noted: 1) only the FTB has authority to waive interest based on inability to pay due solely to extreme financial hardship caused by significant disability or other catastrophic circumstance; and 2) Taxpayer appeared to confuse the FTB ...