Bill > AB318

This bill, concerning the administration of taxes by the Franchise Tax Board, makes two primary changes: first, it clarifies that for tax purposes, a "legal holiday" includes any federal legal holiday recognized by the Internal Revenue Service, which is the federal tax agency, ensuring consistency in deadlines. Second, it repeals and reenacts a section of law to establish a new penalty of $2,000 per taxable year for certain entities, specifically foreign or domestic corporations and limited liability companies, that are doing business in California but fail to file a required tax return within 60 days of receiving a notice from the Franchise Tax Board, unless they have a reasonable excuse and did not willfully neglect their duty; this penalty is in addition to any other penalties that might apply.