California Income Tax 2014

2014 California 540  Tax Forms – Personal Income Tax

On this page you will find:

-  Forms 540  (California Resident Income Tax Return) and instructions how to fill this forms.

- California Nonresident or Part-Year Resident Income Tax Return

- Amended Individual Income Tax Return

-Estimated Tax for Individuals

California State Individual Income Tax Forms 2014

2014 California Tax Calulator

2014 Tax Rates and Exemptions

 

Individual tax rates

  • The maximum rate for individuals is 12.3%
  • The AMT rate for individuals is 7%
  • The Mental Health Services Tax Rate is 1% for taxable income in excess of $1,000,000.

California State and Federal Income Tax Forms

California State Income Tax Forms

2014 California 540 Tax Forms – Personal Income Tax

540 Form – 2014 California Residents
540-2EZ Form– 2014 California Resident
540-NR Form (Long) – CA part-year or nonresident
540-ES Form– 2014 estimated tax

More California State  tax forms and publications

Federal Forms

Form W-4 – 2015 Employee’s Withholding Allowance Certificate
Form W-9 – Request for Taxpayer Identification Number and Certification
Form 1040-ES –  Estimated Tax for Individuals
Form 1040 – U.S. Individual Income Tax Return
Form 941 – 2014 Employer’s QUARTERLY Federal Tax Return

More Federal forms and publications

Check for latest forms

2014 California Tax Rates and Exemptions

The rate of inflation in California, for the period from July 1, 2013, through June 30, 2014, was 2.2%. The 2014 personal income tax brackets are indexed by this amount.

Corporate tax rates

Entity type Tax rate
Corporations other than banks and financials 8.84%
Banks and financials 10.84%
Alternative Minimum Tax (AMT) rate 6.65%
S corporation rate 1.5%
S corporation bank and financial rate 3.5%

Individual tax rates

  • The maximum rate for individuals is 12.3%
  • The AMT rate for individuals is 7%
  • The Mental Health Services Tax Rate is 1% for taxable income in excess of $1,000,000.

Exemption credits

Filing Status/Qualification Exemption amount
Married/Registered Domestic Partner (RDP) filing jointly or qualifying widow(er) $216
Single, married/RDP filing separately, or head of household $108
Dependent $333
Blind $108
Age 65 or older $108

Phaseout of exemption credits

Higher-income taxpayers’ exemption credits are reduced as follows:

Filing status Reduce each credit by: For each: Federal AGI exceeds:
Single $6 $2,500 $176,413
Married/RDP filing separately $6 $1,250 $176,413
Head of household $6 $2,500 $264,623
Married/RDP filing jointly $12 $2,500 $352,830
Qualifying widow(er) $12 $2,500 $352,830

When applying the phaseout amount, apply the $6/$12 amount to each exemption credit, but do not reduce the credit below zero. If a personal exemption credit is less than the phaseout amount, do not apply the excess against a dependent exemption credit.

Standard deductions

The standard deduction amounts for:

Filing status Deduction amount
Single or married/RDP filing separately $3,992
Married/RDP filing jointly, head of household, or qualifying widow(er) $7,984
The minimum standard deduction for dependents $1,000

Reduction in itemized deductions

Itemized deductions must be reduced by the lesser of 6% of the excess of the taxpayer’s federal AGI over the threshold amount or 80% of the amount of itemized deductions otherwise allowed for the taxable year.

Filing status AGI threshold
Single or married/RDP filing separately $176,413
Head of household $264,623
Married/RDP filing jointly or qualifying widow(er) $352,830

Nonrefundable Renter’s credit

This nonrefundable, non-carryover credit for renters is available for:

  • Single or married/RDP filing separately with a California AGI of $37,768 or less.
    • The credit is $60.
  • Married/RDP filing jointly, head of household, or qualifying widow(er) with a California AGI of $75,536 or less.
    • The credit is $120.

Miscellaneous credits

  • Qualified senior head of household credit
    • 2% of California taxable income
    • Maximum California AGI of $69,005
    • Maximum credit of $1,300
  • Joint custody head of household credit/dependent parent credit
    • 30% of net tax
    • Maximum credit of $425

AMT exemption

Filing status Amount
Married/RDP filing jointly or qualifying widow(er) $86,502
Single or head of household $64,878
Married/RDP filing separately, estates, or trusts $43,250

AMT exemption phaseout

Filing status Amount
Married/RDP filing jointly or qualifying widow(er) $324,384
Single or head of household $243,288
Married/RDP filing separately, estates, or trusts $162,191

FTB cost recovery fees

Fee type Fee
Bank and corporation filing enforcement fee $96
Bank and corporation collection fee $310
Personal income tax filing enforcement fee $76
Personal income tax collection fee $194

The personal income tax fees apply to individuals and partnerships, as well as limited liability companies that are classified as partnerships. The bank and corporation fees apply to banks and corporations, as well as limited liability companies that are classified as corporations. Interest does not accrue on these cost recovery fees.

2014 California Tax Rate Schedules

Schedule X — Single or married/RDP filing separately

If the taxable income is
Over But not over Tax is Of amount over
$0 $7,749 $0.00 plus 1.00% $0
$7,749 $18,371 $77.49 plus 2.00% $7,749
$18,371 $28,995 $289.93 plus 4.00% $18,371
$28,995 $40,250 $714.89 plus 6.00% $28,995
$40,250 $50,869 $1,390.19 plus 8.00% $40,250
$50,869 $259,844 $2,239.71 plus 9.30% $50,869
$259,844 $311,812 $21,674.39 plus 10.30% $259,844
$311,812 $519,687 $27,027.09 plus 11.30% $311,812
$519,687 AND OVER $50,516.97 plus 12.30% $519,687

Schedule Y — Married/RDP filing jointly, or qualifying widow(er) with dependent child

If the taxable income is
Over But not over Tax is Of amount over
$0 $15,498 $0.00 plus 1.00% $0
$15,498 $36,742 $154.98 plus 2.00% $15,498
$36,742 $57,990 $579.86 plus 4.00% $36,742
$57,990 $80,500 $1,429.78 plus 6.00% $57,990
$80,500 $101,738 $2,780.38 plus 8.00% $80,500
$101,738 $519,688 $4,479.42 plus 9.30% $101,738
$519,688 $623,624 $43,348.77 plus 10.30% $519,688
$623,624 $1,039,374 $54,054.18 plus 11.30% $623,624
$1,039,374 AND OVER $101,033.93 plus 12.30% $1,039,374

Schedule Z — Head of household

If the taxable income is
Over But not over Tax is Of amount over
$0 $15,508 $0.00 plus 1.00% $0
$15,508 $36,743 $155.08 plus 2.00% $15,508
$36,743 $47,366 $579.78 plus 4.00% $36,743
$47,366 $58,621 $1,004.70 plus 6.00% $47,366
$58,621 $69,242 $1,680.00 plus 8.00% $58,621
$69,242 $353,387 $2,529.68 plus 9.30% $69,242
$353,387 $424,065 $28,955.17 plus 10.30% $353,387
$424,065 $706,774 $36,235.00 plus 11.30% $424,065
$706,774 AND OVER $68,181.12 plus 12.30% $706,774

Individual Filing Requirements

If your gross income or adjusted gross income is more than the amount shown in the chart below for your filing status, age, and number of dependents, then you have a filing requirement.

Filing Status Age as of December 31, 2014* California Gross Income California Adjusted Gross Income
Dependents Dependents
0 1 2 or more 0 1 2 or more
Single or head of household Under 65 $16,047 $27,147 $35,472 $12,838 $23,938 $32,263
65 or older $21,447 $29,772 $36,432 $18,238 $26,563 $33,223
Married/RDP filing jointly or separately Under 65 (both spouses/RDPs) $32,097 $43,197 $51,522 $25,678 $36,778 $45,103
65 or older (one spouse) $37,497 $45,822 $52,482 $31,078 $39,403 $46,063
65 or older
(both spouses/RDPs)
$42,897 $51,222 $57,882 $36,478 $44,803 $51,463
Qualifying widow(er) Under 65 N/A $27,147 $35,472 N/A $23,938 $32,263
65 or older N/A $29,772 $36,432 N/A $26,563 $33,223
Dependent of another person (Any filing status) Under 65 More than your standard deduction
65 or older More than your standard deduction

* If you turn 65 on January 1, 2015, you are considered to be age 65 at the end of 2014.

Source

2014 California 540 Tax Forms – Personal Income Tax

540 Form 2014 California Resident Income Tax Return (Fill-in & Save)
540 Instructions 2014 Instructions for 540 Form, California Resident Income Tax Returns
540 Tax Table 2014 Tax Table for 540 Tax Return
540-2EZ Form 2014 California Resident Income Tax Return (Fill-in with math features & save)
540-2EZ Instructions 2014 Instructions for 540-2EZ Form, California Resident Income Tax Return
540-2EZ Tax Table 2014 Tax Table for 540-2EZ Tax Return
540-2EZ Formulario 2014 Declaración de Impuesto Sobre el Ingreso de Residente de California (Fill-in)
540-2EZ Instrucciones 2014 Instrucciones para el Formulario 540-2EZ, Declaración de Impuesto Sobre el Ingreso de Residente de California
540-ES Form 2014 Estimated Tax for Individuals (Fill-in & Save)
540-ES Instructions 2014 Instructions for 540-ES Form, Estimated Tax for Individuals
540-NR Form (Long) 2014 California Nonresident or Part-Year Resident Income Tax Return (Long) (Fill-in & Save)
540-NR Instructions (Long) 2014 Instructions for 540-NR Long Form, California Nonresident or Part-Year Resident Income Tax Return (Long)
540-NR Form (Short) 2014 California Nonresident or Part-Year Resident Income Tax Return (Short) (Fill-in & Save)
540-NR Instructions (Short) 2014 Instructions for 540-NR Short Form, California Nonresident or Part-Year Resident Income Tax Return (Short)
540-NR Tax Table 2014 Tax Table for 540-NR Tax Return

San Francisco 2013 Payroll Expense Tax Statement

Link to 2013 Payroll Expense Tax Statement eFiling

As required by our Payroll Expense Tax and Business Registration Ordinance all businesses with a taxable San Francisco payroll expense greater than $150,000 must file a Payroll Expense Tax Statement for their business annually by the last day of February for the prior calendar year (Jan. 1st – Dec. 31st). The Payroll Expense tax rate is 1.5% or .015. You calculate the Payroll Expense Tax by multiplying the business’ annual San Francisco payroll expense by 1.5% or .015, the Payroll Expense Tax rate.

Businesses must also renew their Business Registration for the next fiscal year (July 1st – June 30th) if they plan to conduct business during the new fiscal year. The 2014 – 2015 business registration renewal is due on May, 31, 2014.

A business is required to file if its San Francisco payroll expense was over $150,000 and it was operating for any portion of time in 2013.

  • Statements must be filed online and transmitted before midnight 02/28/2014
  • Payments must be received or postmarked on or before 02/28/2014
  • Penalties, interest, and fees will be imposed after 02/28/2014
  • The Power of Attorney Declaration as referenced in the Certification tab can be viewed at www.sftreasurer.org/businessforms
Please have the following data ready:
  • Amount of 2013 payroll expense (both globally and for San Francisco)
  • Number of taxable employees for each San Francisco location in 2013
  • Your seven (7) digit Business Account Number. Note that your Business Account Number is your Business Certificate Number with a leading zero
  • Last four (4) digits of your Federal Taxpayer Identification Number

2013 California Tax Table

2013 California Tax Table

Find Your Tax:

Read down the column labeled “If Your Taxable Income Is …” to find the range that includes your taxable income from Form 540, line 19.
Read across the columns labeled “The Tax For Filing Status” until you find the tax that applies for your taxable income and filing status.

2013 California Tax Rates and Exemptions

The rate of inflation in California, for the period from July 1, 2012, through June 30, 2013, was 1.7%. The 2013 personal income tax brackets are indexed by this amount.

Corporate tax rates

Entity type Tax rate
Corporations other than banks and financials 8.84%
Banks and financials 10.84%
Alternative Minimum Tax (AMT) rate 6.65%
S corporation rate 1.5%
S corporation bank and financial rate 3.5%

Individual tax rates

  • The maximum rate for individuals is 12.3%
  • The AMT rate for individuals is 7%
  • The Mental Health Services Tax Rate is 1% for taxable income in excess of $1,000,000.

Exemption credits

Filing Status/Qualification Exemption amount
Married/Registered Domestic Partner (RDP) filing jointly or qualifying widow(er) $212
Single, married/RDP filing separately, or head of household $106
Dependent $326
Blind $106
Age 65 or older $106

Phaseout of exemption credits

Higher-income taxpayers’ exemption credits are reduced as follows:

Filing status Reduce each credit by: For each: Federal AGI exceeds:
Single $6 $2,500 $172,615
Married/RDP filing separately $6 $1,250 $172,615
Head of household $6 $2,500 $258,927
Married/RDP filing jointly $12 $2,500 $345,235
Qualifying widow(er) $12 $2,500 $345,235

When applying the phaseout amount, apply the $6/$12 amount to each exemption credit, but do not reduce the credit below zero. If a personal exemption credit is less than the phaseout amount, do not apply the excess against a dependent exemption credit.

Standard deductions

The standard deduction amounts for:

Filing status Deduction amount
Single or married/RDP filing separately $3,906
Married/RDP filing jointly, head of household, or qualifying widow(er) $7,812
The minimum standard deduction for dependents $1,000

Reduction in itemized deductions

Itemized deductions must be reduced by the lesser of 6% of the excess of the taxpayer’s federal AGI over the threshold amount or 80% of the amount of itemized deductions otherwise allowed for the taxable year.

Filing status AGI threshold
Single or married/RDP filing separately $172,615
Head of household $258,927
Married/RDP filing jointly or qualifying widow(er) $345,235

Nonrefundable Renter’s credit

This nonrefundable, non-carryover credit for renters is available for:

  • Single or married/RDP filing separately with a California AGI of $36,955 or less.
    • The credit is $60.
  • Married/RDP filing jointly, head of household, or qualifying widow(er) with a California AGI of $73,910 or less.
    • The credit is $120.

Miscellaneous credits

  • Qualified senior head of household credit
    • 2% of California taxable income
    • Maximum California AGI of $67,520
    • Maximum credit of $1,272
  • Joint custody head of household credit/dependent parent credit
    • 30% of net tax
    • Maximum credit of $416

AMT exemption

Filing status Amount
Married/RDP filing jointly or qualifying widow(er) $84,640
Single or head of household $63,481
Married/RDP filing separately, estates, or trusts $42,319

AMT exemption phaseout

Filing status Amount
Married/RDP filing jointly or qualifying widow(er) $317,401
Single or head of household $238,051
Married/RDP filing separately, estates, or trusts $158,700

FTB cost recovery fees

Fee type Fee
Bank and corporation filing enforcement fee $96
Bank and corporation collection fee $287
Personal income tax filing enforcement fee $78
Personal income tax collection fee $170

The personal income tax fees apply to individuals and partnerships, as well as limited liability companies that are classified as partnerships. The bank and corporation fees apply to banks and corporations, as well as limited liability companies that are classified as corporations. Interest does not accrue on these cost recovery fees.

2013 California Tax Rate Schedules

Schedule X — Single or married/RDP filing separately

If the taxable income is
Over But not over Tax is Of amount over
$0 $7,582 $0.00 plus 1.00% $0
$7,582 $17,976 $75.82 plus 2.00% $7,582
$17,976 $28,371 $283.70 plus 4.00% $17,976
$28,371 $39,384 $699.50 plus 6.00% $28,371
$39,384 $49,774 $1,360.28 plus 8.00% $39,384
$49,774 $254,250 $2,191.48 plus 9.30% $49,774
$254,250 $305,100 $21,207.75 plus 10.30% $254,250
$305,100 $508,500 $26,445.30 plus 11.30% $305,100
$508,500 AND OVER $49,429.50 plus 12.30% $508,500

Schedule Y — Married/RDP filing jointly, or qualifying widow(er) with dependent child

If the taxable income is
Over But not over Tax is Of amount over
$0 $15,164 $0.00 plus 1.00% $0
$15,164 $35,952 $151.64 plus 2.00% $15,164
$35,952 $56,742 $567.40 plus 4.00% $35,952
$56,742 $78,768 $1,399.00 plus 6.00% $56,742
$78,768 $99,548 $2,720.56 plus 8.00% $78,768
$99,548 $508,500 $4,382.96 plus 9.30% $99,548
$508,500 $610,200 $42,415.50 plus 10.30% $508,500
$610,200 $1,017,000 $52,890.60 plus 11.30% $610,200
$1,017,000 AND OVER $98,859.00 plus 12.30% $1,017,000

Schedule Z — Head of household

If the taxable income is
Over But not over Tax is Of amount over
$0 $15,174 $0.00 plus 1.00% $0
$15,174 $35,952 $151.74 plus 2.00% $15,174
$35,952 $46,346 $567.30 plus 4.00% $35,952
$46,346 $57,359 $983.06 plus 6.00% $46,346
$57,359 $67,751 $1,643.84 plus 8.00% $57,359
$67,751 $345,780 $2,475.20 plus 9.30% $67,751
$345,780 $414,936 $28,331.90 plus 10.30% $345,780
$414,936 $691,560 $35,454.97 plus 11.30% $414,936
$691,560 AND OVER $66,713.48 plus 12.30% $691,560

Individual Filing Requirements

If your gross income or adjusted gross income is more than the amount shown in the chart below for your filing status, age, and number of dependents, then you have a filing requirement.

Filing Status Age as of December 31, 2013* California Gross Income California Adjusted Gross Income
Dependents Dependents
0 1 2 or more 0 1 2 or more
Single or head of household Under 65 $15,702 $26,569 $34,719 $12,562 $23,429 $31,579
65 or older $21,002 $29,152 $35,672 $17,862 $26,012 $32,532
Married/RDP filing jointly or separately Under 65 (both spouses/RDPs) $31,406 $42,273 $50,423 $25,125 $35,992 $44,142
65 or older (one spouse) $36,706 $44,856 $51,376 $30,425 $38,575 $45,095
65 or older
(both spouses/RDPs)
$42,006 $50,156 $56,676 $35,725 $43,875 $50,395
Qualifying widow(er) Under 65 N/A $26,569 $34,719 N/A $23,429 $31,579
65 or older N/A $29,152 $35,672 N/A $26,012 $32,532
Dependent of another person (Any filing status) Under 65 More than your standard deduction
65 or older More than your standard deduction

* If you turn 65 on January 1, 2014, you are considered to be age 65 at the end of 2013.

Source

2013 California 540 Tax Forms – Personal Income Tax

Individual Income Tax Forms

540 Form 2013 California Resident Income Tax Return (Fill-in & Save)
540 Instructions 2013 Instructions for 540 Form, California Resident Income Tax Returns
540 Tax Table 2013 Tax Table for 540 Tax Return
540-2EZ Form (Math) 2013 California Resident Income Tax Return (Fill-in & Save)
540-2EZ Form 2013 California Resident Income Tax Return (Fill-in & Save)
540-2EZ Instructions 2013 Instructions for 540-2EZ Form, California Resident Income Tax Return
540-2EZ Tax Table 2013 Tax Table for 540-2EZ Tax Return

California Sales Tax Audit Procedure

GENERAL 0416.05
Some retailers, when accounting for total sales, record only the sales price of the merchandise
in the sales account and credit sales tax reimbursement to a reserve account. This procedure
contemplates a separation of the sales price from the sales tax on either sales tickets or cash
register readings. In any event, sales tax collected is not included in reported gross sales.
Other retail establishments such as markets, taverns, and restaurants often find that separation
of the sales price from tax reimbursement is not practical, and the entire amount charged the
customer is credited to sales. In the latter cases, the taxpayer is entitled to a deduction for sales
tax included in total sales provided it can be proved to the satisfaction of the board that they have
not absorbed the tax but have actually taken it into consideration in determining the total sales
price of the merchandise.

AUDITING PROCEDURE 0416.10
In cases where a sales tax accrual account is maintained, the clerical accuracy and propriety of the
amounts posted to that account should be verified. A sales tax accrual account showing credits
only slightly in excess of taxes paid, or payments in excess of collections, does not necessarily
indicate errors in reporting.
In reconciling the accrual account, the auditor should adjust for tax on the measure of cash
discounts, bad debts claimed, refunds of tax to customers who were charged in error and for
any other instances where the taxpayer did not debit the accrual account where such a charge
was in order. In addition, the auditor should adjust for such items as reported self-consumed
merchandise and any other sales reported on which the taxpayer did not accrue tax. If any excess
debit or credit of tax still exists, after making the above adjustments, it should be the taxpayer’s
responsibility to explain such excesses.
In cases where a deduction is claimed for sales tax included in reported gross sales, the auditor
should determine:
(a) That total amounts of sales tickets are entered in the sales journal.
(b) If sales tickets are not prepared, that sales tax is rung up on the cash register if it is added
to selling prices.
(c) That where sales tax is not added to sales prices, effect was given to the tax by the retailer
in determining the total sales prices.
Regulation 1700 establishes the presumption that the selling price includes tax
reimbursement if the taxpayer posts or provides the notices contained in Regulation
1700(a)(2)(C) 1 and 2. Failure by the taxpayer to satisfy these presumptions does not
preclude acceptance of other evidence to support the tax included deduction. Claimed
“tax included” deductions should be allowed unless there is sufficient evidence to rebut
the taxpayer’s claim. The mere failure to comply with the presumptions of Regulation
1700 is in itself insufficient proof that the retailer has not included the tax in the selling
price.
This deduction is computed after the balance of the audit is completed and is based on audited
sales (purchases subject to use tax not included) minus deductions. In order to avoid the allowance
of sales tax included on disallowed deductions on which sales tax was not charged, the audited
taxable sales (tax included) should be decreased by the amounts of such disallowed sales. Sales
tax included in taxable sales may then be computed by multiplying taxable sales (tax included)
by a factor

 

Factors for other current tax rates are:
Tax RateFactor
6.50% .061033
7.00% .065421
7.125% .066511
7.25% .067599
7.375% .068685
7.50% .069767
7.625% .070848
7.75% .071926
7.85% .072786
7.875% .073001
7.925% .073431
8.00% .074074
8.25% .076212
8.50% .078341
8.75% .080460
Sales tax included should be allowed in all audits where sales have been estimated if the basic
factors in the estimate include sales tax. For example, where prices which include sales tax are
used to develop a mark-up of purchases, the sales estimated by the mark-up method will have
the tax included.

California Employee Tips

 

No employer shall collect, take, or receive any gratuity or part thereof, paid, given to, or left for
an employee by a patron, or deduct any amount from wages due an employee on account of such
gratuity, or require an employee to credit the amount, or any part thereof, of such gratuity against
and as a part of the wages due the employee from the employer. (Labor Code section 351.) If this
prohibition is violated, any amount of such gratuities received by the employer will be considered
a part of the gross receipts of the employer and subject to tax.
Optional tips are not included in gross receipts and are not subject to tax.
Mandatory tips, such as those applied by a restaurant when a party exceeds a specific number of
patrons, are considered part of gross receipts and subject to tax. Each restaurant may have its
own policy with respect to the specific number of patrons necessary before a charge for tipping is
mandatory. Ex: “A 17% gratuity will be added to parties of 8 or more.”
The auditor should discuss tipping with the taxpayer and if necessary examine the taxpayer’s
payroll records as verification of the taxpayer’s policies.