California Middle Class Tax Refund 1099-MISC

 The California Franchise Tax Board has provided us with the below statement:

The FTB determined that the Middle Class Tax Refund (MCTR) payments may be considered federal income, and thus determined FTB had a requirement to issue forms 1099-MISC for MCTR payments of $600 or more pursuant to the controlling federal regulations. The 1099-MISC for MCTR can be identified as a form 1099 received from payer Franchise Tax Board – MCTR. MCTR payment amount will be reported in box 3/other income.

California – Reject Code CA reject F565-060 for Business Returns

Update - April 7 2022:

The California Tax Service Center updated their schema on 3/22. The TaxWise team is working on a module update to allow users to enter a LLC Temp Number, if the partnership does not have a SOS number. We will continue to provide updates until the module is available.

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March 29, 2022

The TaxWise team has been made aware of an issue affecting California Business Returns.

Customers filing a State Return without a California Secretary of State(SOS) File Number will experience a rejection notice: CA reject F565-060.

The TaxWise team is working with the California Tax Service Center to resolve the issue.

In the meantime, please hold filing these California State business returns until the issue has been resolved.