Section 18628 Of Article 3. General Provisions Applicable To All Persons From California Revenue And Taxation Code >> Division 2. >> Part 10.2. >> Chapter 2. >> Article 3.
18628
. (a) Section 6111 of the Internal Revenue Code, relating to
disclosure of reportable transactions, applies, except as otherwise
provided.
(b) (1) Except as provided in subdivision (e), a material advisor
is required to send a duplicate of the federal return, if applicable,
or the same information required to be provided on the federal
reportable transactions return for California reportable transactions
to the Franchise Tax Board not later than the date specified by the
Franchise Tax Board or the Secretary of the Treasury.
(2) (A) The information provided to the Franchise Tax Board
pursuant to paragraph (1) shall also include any other information
required by a Franchise Tax Board Notice.
(B) Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code does not apply to any
additional information requested under this section.
(c) Section 6111 of the Internal Revenue Code is modified by
substituting the phrase "Secretary or the Franchise Tax Board" for
the word "Secretary" in each place it appears.
(d) The reportable transactions return requirements of this
section shall apply to any material advisor with respect to any
reportable transaction, as defined in Section 6707A(c) of the
Internal Revenue Code with respect to a material advisor that
satisfies any of the following conditions:
(1) Is organized in this state.
(2) Is doing business in this state.
(3) Derives income from sources in this state.
(4) Provides any material aid, assistance, or advice with respect
to organizing, managing, promoting, selling, implementing, insuring,
or carrying out any reportable transaction with respect to a taxpayer
that meets any of the following requirements:
(A) Is organized in this state.
(B) Does business in this state.
(C) Derives income from sources in this state.
(e) In addition to the requirements set forth in subdivision (a),
for any transactions entered into on or after February 28, 2000, that
become listed transactions (as defined under Section 6707A(c)(2) of
the Internal Revenue Code) at any time, a return for those
transactions shall be required to be filed with the Franchise Tax
Board by the later of:
(1) Sixty days after entering into the transaction.
(2) Sixty days after the transaction becomes a listed transaction.
(3) Sixty days after the effective date of the act amending this
section.
(f) In addition to the requirements set forth in subdivisions (a)
and (e), for any transactions entered into on or after September 2,
2003, that are specifically identified by the Franchise Tax Board for
California income or franchise tax purposes (under the authority of
paragraph (4) of subdivision (a) of Section 18407) as a "listed
transaction" at any time, a return for those transactions shall be
required to be filed with the Franchise Tax Board by the later of:
(1) Sixty days after entering into the transaction.
(2) Sixty days after the transaction becomes a listed transaction.
(3) Sixty days after the effective date of the act amending this
section.