California FTB Announces Income Tax Interest, Estimate Penalty Rates

The California Franchise Tax Board July 28 announced interest and estimate penalty rates for individual income and corporate income tax purposes. The announcement includes: 1) the current interest rates for personal income tax underpayments and overpayments as well as corporation underpayments increased to 7 percent from 5 percent; 2) the current estimate penalty rate increased to 7 percent from 5 percent; and 3) the current rate for corporation overpayments increased to 5 percent from 2 percent. [Cal. Franchise Tax Bd., Interest & Estimate Penalty Rates, 07/28/23]

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