1040-CA: Preparing the extension payment

Alerts and notices

Summary

Use Screen CAExt in the Payments folder to generate the Form 3519 extension payment voucher. California Franchise Tax Board does not have an extension request form. Instead, FTB provides Form 3519 solely to be used as a voucher to accompany an extension payment. If the taxpayer meets the necessary criteria, the California Franchise Tax Board (FTB) waives certain penalties.

Details on Form 3519 payment, filing the return, and late penalty.

  • The California Franchise Tax Board waives certain penalties if the taxpayer has met the payments criteria outlined below by the original due date of the return. If the criteria are met, the extension is "automatic." Therefore, FTB does not have an extension "request" form.
  • Form 3519 is a payment voucher only. The FTB does not accept or process Form 3519 if there is no accompanying payment. Per FTB request, the application does not generate Form 3519 unless there is a payment amount.
  • As criteria to waive certain penalties require certain payments to be made by the original due date but do not require an extension request, filing federal Form 4868 solely for California purposes is unnecessary and has no effect on determination of penalties.
  • The California FTB supports electronic funds withdrawal of the extension payment. See 1040-CA: Extension Payment - Electronic Funds Withdrawal for submitting the extension payment electronically via the application.
  • The California FTB also provides a means for taxpayers to make payments online or via telephone.

Payments and filing criteria

Taxpayers who do not pay all of their income tax by the original return due date are typically subject to a late penalty. However, the California FTB waives certain late penalties on the unpaid balance of tax due as of April 15, 2019 if the taxpayer meets all of the following criteria.

  • Taxpayer pays at least 90 percent of the tax by the original due date, April 15, 2019. (This may be accomplished via withholding, estimates, Form 3519 payment, etc.)
  • Taxpayer files Form 540 or Form 540NR by the extended due date, October 15, 2019.
  • Taxpayer pays remainder of tax due by the extended due date, October 15, 2019.

Preparing the extension

Use the information below to prepare the Form 3519 extension payment voucher. 

Entering extension data

Use Screen CAExt to complete Form 3519 for the purposes of making an extension payment. You can either have the application calculate the extension payment amount or manually force that amount.

  • To have the application calculate the extension payment amount based on current data entered: Enter X in the Calculate Extension field on Screen CAExt. Choose Setup > 1040 Individual > Federal tab > Extensions to select the method for calculating the extension payment amount. Note that selecting multiple clients for electronic filing via File > Print Extensions causes the application to mark the Calculate Extension field if the Create an extension without total tax liability amounts checkbox is not marked in Setup > 1040 Individual > Federal tab > Extensions.
  • To force the extension payment amount: Enter an amount in the Balance due on extension (Force) field on Screen CAExt.
  • If there is no balance due or if there is no calculated amount: Per request of the California FTB, the application does not produce Form 3519 if there is no payment amount as the form is intended solely as a voucher that accompanies a payment. FTB does not accept or process Form 3519 unless there is an accompanying payment. Handwritten amounts are not acceptable on the scannable version of Form 3519.

Printing the extension

When data entry is complete on Screen CAExt, choose File > Print Extensions to print Form 3519.

Additional information

Certain taxpayers may be subject to the electronic payment (e-pay) mandate. Such taxpayers are subject to additional penalties if payments are not remitted via electronic means. See 1040-CA: Mandatory e-pay overview for details.

Preparing the return after filing an extension payment

When preparing an extended return, ensure you have addressed the following:

  • Amount actually paid with extension: The amount paid with extension is reported in the Payments section of Form 540 or Form 540NR. Enter the amount on Screen CAExt in the Extension payment actually made; reportable on main return field. Note that the application populates this field when the extension was created if the application calculated the extension payment amount or if the extension payment amount was forced. Change the data entered for this amount if the taxpayer paid some other amount.

    Note: If an extension was filed via some means other than the application, enter the actual amount paid with extension in the Force field. By doing so, this will automatically complete data entry in other fields, including fields for extended due date and amount actually paid with extension.

  • Date return filed: Enter the Date return filed on Screen CAPen. If the date exceeds the extended due date, the application calculates late penalty on the unpaid balance due.
  • Extension not required to be attached to return: Since the filing of an extension request is not required, the California FTB does not require a copy of the federal or state extension when paper filing the return.