California – Offer in Compromise Repeal Date Extended

SALT Report 1706 – The California State Legislature approved a bill that extends, from January 1, 2013 to January 1, 2018, the sunset date for the provisions that allow the State Board of Equalization to accept an offer in compromise from businesses that are open and active.

Under the terms of SB 1548, the BOE would continue to compromise, for an additional five years, the tax liabilities of:

  • Businesses that are not discontinued or transferred if the final tax liability arises from transactions in which the taxpayer did not fail to remit received sales tax reimbursement or use tax,
  • Persons liable as successors, and
  • Consumers who incurred a use tax liability

Additional taxes and fees covered by the extended provisions include the fuel use tax, the cigarette and tobacco products taxes, the alcoholic beverage tax, the emergency telephone users surcharge, the oil spill response fee, the diesel fuel tax, and the fee collection procedures law.

For Further Information:

California State Legislature – SB 1548