2007 California Revenue and Taxation Code Article 2. Disclosure Of Information

CA Codes (rtc:19542-19570)

19542.  Except as otherwise provided in this article and as required
to administer subdivision (b) of Section 19005, it is a misdemeanor
for the Franchise Tax Board or any member thereof, or any deputy,
agent, clerk, or other officer or employee of the state (including
its political subdivisions), or any former officer or employee or
other individual, who in the course of his or her employment or duty
has or had access to returns, reports, or documents required to be
filed under this part, to disclose or make known in any manner
information as to the amount of income or any particulars (including
the business affairs of a corporation) set forth or disclosed
therein.



19542.1.  (a) Except as otherwise provided by this article, it shall
be unlawful for any person described in Section 19542 to willfully
inspect any confidential information furnished or secured pursuant to
this part, Part 10 (commencing with Section 17001), or Part 11
(commencing with Section 23001). For purposes of this section,
"inspection" means any examination of confidential information.  Any
willful unauthorized inspection or unwarranted disclosure or use of
confidential information by the persons described in Section 19542 is
a misdemeanor.
   (b) The Franchise Tax Board shall notify a taxpayer of any known
incidents of willful unauthorized inspection or unwarranted
disclosure or use of his or her confidential tax records, but only if
criminal charges have been filed for the willful unauthorized
inspection or unwarranted disclosure.



19542.3.  Any person who willfully divulges or makes known software,
as defined in paragraph (1) of subdivision (d) of Section 19504.5,
to any person in violation of Section 19504.5 is punishable by
imprisonment in a county jail for not more than one year, or in the
state prison, at the discretion of the court, by a fine of not more
than five thousand dollars (,000), or by both that fine and
imprisonment, at the discretion of the court, together with the costs
of investigation and prosecution.



19543.  (a) "Business affairs," as used in this article means the
details relative to the business activities of the entity as
disclosed by the return but shall exclude extraneous matters, such as
the exact corporate title, corporate number, the date of
commencement of business in this state, taxable year adopted, filing
date of return, name, date and title of individuals signing affidavit
to the return, due date of taxes, taxes unpaid, entity's address,
private address of officers and directors.
   (b) Extraneous matters shall not be disclosed unless the request
for the information states the names of the entities as to which
information is desired and only if there is no reason to believe that
the information will be used for commercial list purposes.



19544.  Nothing in Section 19542, or in any other provision of law,
shall be construed to require the disclosure of standards used or to
be used for the selection of returns for examination, or data used or
to be used for determining those standards, if the Franchise Tax
Board determines that the disclosure will seriously impair
assessment, collection, or enforcement under this part.



19545.  A return or return information may be disclosed in a
judicial or administrative proceeding pertaining to tax
administration, if any of the following apply:
   (a) The taxpayer is a party to the proceeding, or the proceeding
arose out of, or in connection with, determining the taxpayer's civil
or criminal liability, or the collection of the taxpayer's civil
liability with respect to any tax imposed under this part.
   (b) The treatment of an item reflected on the return is directly
related to the resolution of an issue in the proceeding.
   (c) The return or return information directly relates to a
transactional relationship between a person who is a party to the
proceeding and the taxpayer which directly affects the resolution of
an issue in the proceeding.


19546.  Upon request of a committee appointed by either the Assembly
or the Senate, or both, any information may be furnished to the
committee, but it is a misdemeanor for the committee or any member,
clerk, or other officer or employee thereof to disclose in any manner
any particulars of the information so furnished except to law
enforcement officers for the purpose of aiding the detection or
prosecution of crimes committed in violation of this part.



19546.5.  Any person who otherwise has or had access to any return
or return information may disclose the return or return information
to a committee appointed by the Assembly or Senate, or both, or any
member, clerk, or other officer or employee thereof, if the person
believes the return or return information may relate to possible
board misconduct, maladministration, or taxpayer abuse.



19547.  In a matter involving tax administration under this part, a
return or return information shall be open to inspection by the
Attorney General or other legal representatives of the state, if any
of the following apply:
   (a) The taxpayer is or may be a party to the proceeding, or the
proceeding arose out of, or in connection with, determining the
taxpayer's civil or criminal liability, or the collection of the
taxpayer's civil liability with respect to any tax imposed under Part
10 (commencing with Section 17001) or Part 11 (commencing with
Section 23001).
   (b) The treatment of an item reflected on the return is or may be
related to the resolution of an issue in the proceeding or
investigation.
   (c) The return or return information relates or may relate to a
transactional relationship between a person who is a party to the
proceeding and the taxpayer, which affects or may affect, the
resolution of an issue in the proceeding or investigation.
   In addition, the Attorney General may inspect any report or return
required under this part when required in the enforcement of any
public or charitable trust or in compelling adherence to any
charitable purposes for which any nonprofit corporation is formed.



19548.  (a) The Franchise Tax Board, upon request by the California
Parent Locator Service, may disclose to the California Parent Locator
Service, pursuant to Section 17505 or 17506 of the Family Code, any
taxpayer return information that may be of assistance in locating
alleged abducting or absent parents, spouses, or former spouses, in
enforcing their liability for child support or the liability for
spousal support, in establishing a parent and child relationship, and
in locating and returning abducted children to their parents.
   (b) Information disclosed to the California Parent Locator Service
pursuant to subdivision (a) shall be disseminated by the California
Parent Locator Service only as provided for by, and only for the
purposes specified in, Section 17505 or 17506 of the Family Code.




19549.  For purposes of this article:
   (a) "Return" means any tax or information return, or claim for
refund required by, or provided for or permitted under, the
provisions of Part 10 (commencing with Section 17001), Part 11
(commencing with Section 23001), or this part which is filed with the
Franchise Tax Board by, on behalf of, or with respect to any person,
estate, or trust, and any amendment or supplement thereto, including
supporting schedules, attachments, or lists which are supplemental
to, or part of, the return so filed.
   (b) "Return information" means a taxpayer's identity, the nature,
source, or amount of his, her, or its income, payments, receipts,
deductions, exemptions, credits, assets, liabilities, net worth, tax
liability, tax withheld, deficiencies, overassessments, or tax
payments, whether the taxpayer's return was, is being, or will be
examined or subject to other investigation or processing, or any
other data, received by, recorded by, prepared by, furnished to, or
collected by the Franchise Tax Board with respect to a return or with
respect to the determination of the existence, or possible
existence, of liability, or the amount thereof, of any person under
Part 10 (commencing with Section 17001), Part 11 (commencing with
Section 23001), or this part for any tax, addition to tax, penalty,
interest, fine, forfeiture, or other imposition, or offense.
   (c) "Taxpayer return information" means return information as
defined in subdivision (b) which is filed with, or furnished to, the
Franchise Tax Board by or on behalf of the taxpayer to whom the
return information relates.
   (d) "Tax administration" means the administration, management,
conduct, direction, and supervision of the execution and application
of Part 10 (commencing with Section 17001), Part 10.7 (commencing
with Section 21001), Part 11 (commencing with Section 23001), and
this part.


19550.  (a) Pursuant to Section 817.5 of the Penal Code, the
Franchise Tax Board, upon request from the Department of Justice, a
court, or any California law enforcement agency and in a form and
manner prescribed by the Franchise Tax Board, shall provide to the
Department of Justice, the court, or the law enforcement agency the
address of any person represented to be a person for whom there is an
outstanding arrest warrant.
   (b) (1) Pursuant to Section 290.9 of the Penal Code, the Franchise
Tax Board shall, upon request from the Department of Justice,
provide to the Department of Justice the address of any person
represented to be a person who is in violation of his or her duty to
register under Section 290 of the Penal Code.
   (2) This subdivision shall be operative with respect to requests
made on or after January 1, 2005, pursuant to Section 290.9 of the
Penal Code, as added by Section 1 of Chapter 127 of the Statutes of
2004.


19551.  (a) The Franchise Tax Board may permit the Commissioner of
Internal Revenue of the United States, other tax officials of this
state, the Multistate Tax Commission, the proper officer of any state
imposing an income tax or a tax measured by income or the authorized
representative of that officer, or the tax officials of Mexico, if a
reciprocal agreement exists, to inspect the income tax returns of
any taxpayer, or may furnish to the commission, or the officer or the
authorized representative thereof an abstract of the return or
supply thereto information concerning any item of income contained in
any return or disclosed by the report of any investigation of the
income or return.  The information shall be furnished to the
Multistate Tax Commission, the federal or state officer or his or her
representative, or the officials of Mexico for tax purposes only.
Except when furnished pursuant to a written agreement, information
furnished pursuant to this section shall be furnished only if the
request is in the form of an affidavit under penalty of perjury
stating that the purpose for the request relates to an investigation
of the tax specified in the request and that the information will be
used in the ordinary performance of the applicant's official duties.

   (b) Notwithstanding subdivision (a), tax officials of political
subdivisions of this state shall request information from the
Franchise Tax Board by affidavit  only.  At the time a tax official
makes the request, he or she shall provide the affected person with a
copy of the affidavit and, upon request, make the information
obtained available to that person.
   (c) For purposes of this section, "reciprocal agreement" means a
formal agreement to exchange information between national taxing
officials of Mexico and taxing authorities of the State Board of
Equalization, the Franchise Tax Board, and the Employment Development
Department.  Furthermore, the reciprocal agreement shall be limited
to the exchange of information which is essential for tax
administration purposes only.  Taxing authorities of the State of
California shall be granted tax information only on California
residents.  Taxing authorities of Mexico shall be granted tax
information only on Mexican nationals.



19551.1.  (a) The Franchise Tax Board may permit the tax officials
of any city to obtain tax information pursuant to subdivision (a) of
Section 19551.
   (b) The information furnished to tax officials of a city under
this section shall be limited as follows:
   (1) When requested pursuant to a written agreement, the taxing
authority of a city may be granted tax information only with respect
to taxpayers with an address as reflected on the Franchise Tax Board'
s records within the jurisdictional boundaries of the city who report
income from a trade or business to the Franchise Tax Board.
   (2) The tax information that may be provided by the Franchise Tax
Board to a city is limited to a taxpayer's name, address, social
security or taxpayer identification number, and business activity
code.
   (3) Tax information provided to the taxing authority of a city may
not be furnished to, or used by, any person other than an employee
of that taxing authority.
   (4) Section 19542 applies to this section.
   (5) Section 19542.1 applies to this section.
   (c) The Franchise Tax Board may not provide any information
pursuant to this section until all of the following have occurred:
   (1) An agreement has been executed between a city and the
Franchise Tax Board, that provides that an amount equal to all first
year costs necessary to furnish the city information pursuant to this
section shall be received by the Franchise Tax Board before the
Franchise Tax Board incurs any costs associated with the activity
permitted by this section. For purposes of this section, first year
costs include costs associated with, but not limited to, the
purchasing of equipment, the development of processes, and labor.
   (2) An agreement has been executed between a city and the
Franchise Tax Board, that provides that the annual costs incurred by
the Franchise Tax Board, as a result of the activity permitted by
this section, shall be reimbursed by the city to the board.
   (3) Pursuant to the agreement described in paragraph (1), the
Franchise Tax Board has received an amount equal to the first year
costs.
   (d) This section does not invalidate any other law. This section
does not preclude any city or city and county from obtaining
information about individual taxpayers, including those taxpayers
exempt from this section, by any other means permitted by state or
federal law.
   (e) This section shall remain in effect only until December 31,
2011, and as of that date is repealed.
   (f) Nothing in this section shall be construed to affect any
obligations, rights, or remedies regarding personal information
provided under state or federal law.



19552.  Except as otherwise provided by this article, the
information furnished or secured pursuant to either this article or
the express provisions of law, shall be used solely for the purpose
of administering the tax laws or other laws administered by the
person or agency obtaining it.  Any unwarranted disclosure or use of
the information by the person or agency, or the employees and
officers thereof, is a misdemeanor.



19553.  (a) Subject to the limitations of subdivision (b) of this
section and federal law, the Franchise Tax Board may permit the
Director of Social Services or deputy directors to inspect the income
tax returns of applicants for aid, recipients of aid, or responsible
relatives, or in lieu of the inspection, the State Franchise Tax
Board may provide the director or deputy directors an abstract of the
income tax return requested, or supply information concerning any
item of income contained in the return or disclosed by the report of
any investigation  of the income or return of the applicant for aid,
recipient of aid or responsible relative.
   (b) The right of the director or deputy directors to inspect
income tax records or obtain the other information as provided in
this section shall be limited to the records for the current year and
the year preceding inspection of applicants or recipients of
assistance under Division 9 (commencing with Section 10000) of the
Welfare and Institutions Code, and the responsible relatives of the
applicants or recipients.  The information obtained pursuant to this
section shall be used or disclosed only for the purpose of enabling
the Director of Social Services or his or her deputy directors to
verify or determine the eligibility or entitlement of an applicant
for, or recipient of, public social services or the obligation of a
responsible relative.
   (c) The counties are authorized to request the information as
provided in this section from the Director of Social Services or
deputy directors.  The director may release the information to the
director of a county from which the applicant or recipient receives
aid and the information shall be used or disclosed by the director of
the county only for the purpose specified in subdivision (b).
   (d) The applicant or recipient or responsible relative whose
income tax records have been requested of the Franchise Tax Board
shall be notified by mail that the request has been made at the time
of the request.



19554.  (a) Subject to the limitations of this section and federal
law, the Franchise Tax Board may provide the Controller with the
address or other identification or location information from income
tax returns or other records which is necessary for the Controller to
locate owners of unclaimed property pursuant to Title 10 (commencing
with Section 1300) of Part 3 of the Code of Civil Procedure.
   (b) Subject to the limitations of this section and Section 6103(d)
of the Internal Revenue Code, the Franchise Tax Board may provide
the Controller, on an annual basis, with the following information
from business entity income tax returns or other business entity
records maintained by the Franchise Tax Board:
   (1) The taxpayer's name.
   (2) The taxpayer's identification number.
   (3) The taxpayer's address.
   (4) The taxpayer's principal business activity code.
   (c) (1) The information provided to the Controller under this
section is subject to Section 19542.
   (2) Neither the Controller nor any officer, employee, or agent, or
former officer, employee, or agent of the Controller may disclose or
use any information obtained from the Franchise Tax Board pursuant
to this section except for the purpose of locating owners of
unclaimed property as provided in subdivision (a), or for the purpose
of determining compliance with the Unclaimed Property Law (Title 10
(commencing with Section 1300) of Part 3 of the Code of Civil
Procedure), as provided in subdivision (b).



19555.  (a) Notwithstanding any other provision of law, the State
Department of Social Services and the State Department of Health
Services shall inform the Franchise Tax Board of the names and social
security numbers of applicants for or recipients of public social
services programs under Division 9 (commencing with Section 10000) of
the Welfare and Institutions Code.
   (b) The Franchise Tax Board, upon receipt of this information, may
inform the departments of any such applicant or recipient who
received unearned income within the most recent available tax year,
as reflected on magnetic tape information returns supplied to the
Franchise Tax Board by payers, or on the magnetic tape prepared by
the Franchise Tax Board which reflects paper information returns
supplied to the Franchise Tax Board by payers.  In addition, the
Franchise Tax Board may provide, from those sources, the departments
with the payee's name, social security number, and address; the payer'
s name and federal employer identification number, including branch
code numbers, if applicable, and address; the dollar amount and type
of unearned income; and any identifying account numbers.
   (c) The Franchise Tax Board shall return all information received
from the departments after completing the exchange of information.
   (d) This section shall be implemented only to the extent it is
funded in the annual Budget Act.



19556.  (a) The Franchise Tax Board may disclose to persons
described in paragraphs (1) to (4), inclusive, tax return and return
information solely for use in an action or proceeding affecting the
personnel rights of an employee or former employee, or in preparation
of the action or proceeding, but only to the extent the Franchise
Tax Board determines that the return or return information is, or may
be, relevant and material to the action or proceeding.  Tax return
and return information may be disclosed pursuant to this section to
any of the following persons:
   (1) An employee or former employee of the Franchise Tax Board who
is, or may be, a party to an administrative action or proceeding
affecting the personnel rights of that employee or former employee.
   (2) Upon written request by the employee or former employee, to
the employee's or former employee's duly authorized legal
representative.
   (3) Officers and employees of the Franchise Tax Board for use in
any action or proceeding affecting the rights of an employee or
former employee, to the extent necessary to advance or protect the
interests of the State of California.
   (4) An administrative law judge, administrative board member,
judge, or justice, or authorized officer or employee thereof, in
connection with an administrative hearing, adjudication, or appeal
thereof, related to an action or proceeding affecting the personnel
rights of an employee or former employee.
   (b) For purposes of this section, an action or proceeding
affecting the personnel rights of an employee or former employee of
the Franchise Tax Board means an action proceeding arising under
either of the following:
   (1) The State Civil Service Act (Part 2 (commencing with Section
18500) of Division 5 of the Government Code).
   (2) The Ralph C. Dills Act (Chapter 10.3 (commencing with Section
3512) of Division 4 of Title 1 of the Government Code).
   (c) Any unauthorized disclosure by a person described in
paragraphs (1) to (4), inclusive, of subdivision (a) of any tax
return or return information disclosed to that person pursuant to
this section shall be subject to criminal penalty and civil liability
under this part for that unauthorized disclosure.



19557.  (a) Notwithstanding any other provision of law, the
California Student Aid Commission may annually inform the Franchise
Tax Board of the names and social security numbers of the following
persons who have, as part of the Student Aid Application for
California, signed an authorization in a form and manner mutually
agreeable to the Franchise Tax Board and the California Student Aid
Commission for the release by the Franchise Tax Board of tax
information to the California Student Aid Commission:
   (1) All applicants for, or recipients of, student financial aid.
   (2) Parents of dependent applicants for, or recipients of, student
financial aid.
   (3) Spouses of applicants for, or recipients of, student financial
aid.
   (b) The California Student Aid Commission shall submit the names
and social security numbers as authorized in subdivision (a) in the
form and manner prescribed by the Franchise Tax Board.
   (c) Upon receipt of this information, the Franchise Tax Board may
provide the California Student Aid Commission, from state tax returns
of individuals described in subdivision (a), their California
adjusted gross income and the California income adjustments as are
necessary to calculate their federal adjusted gross income, or any
other information from their state tax return, that can be provided
by the Franchise Tax Board through its automated process, that the
California Student Aid Commission needs to administer the program for
which the authorization was given.
   (d) All versions of the Student Aid Application for California
shall include the authorization described in subdivision (a).  The
Franchise Tax Board may from time to time audit these authorizations.
  All processors of the Student Aid Application for California shall
provide the Franchise Tax Board with access to any records necessary
for completing these audits.  The Franchise Tax Board shall report
all audit findings to the California Student Aid Commission.
   (e) Any unwarranted disclosure or use of the tax information
described in subdivision (c) by the California Student Aid
Commission, or its employees and officers thereof, is a misdemeanor
as provided in Section 19552.



19558.  (a) Subject to the limitations of this section and federal
law, the Franchise Tax Board may provide the Public Employees'
Retirement System with the names and addresses or other
identification or location information from income tax returns or
other records required under Part 10 (commencing with Section 17001)
or this part, solely for the purposes of disbursing unclaimed
benefits pursuant to Chapter 9 (commencing with Section 21200) of
Part 3 of Division 5 of Title 2 of the Government Code and
distributing member statements on an annual basis.
   (b) Neither the Public Employees' Retirement System, nor its
agents, nor any of its current or former officers or employees, shall
disclose or use any information obtained pursuant to this section
except as provided in this section.  Any disclosure not authorized by
this section is a misdemeanor.
   (c) The Franchise Tax Board may from time to time review the use
of information provided to the Public Employees' Retirement System
pursuant to this section and the Public Employees' Retirement System
shall provide the Franchise Tax Board with access for that purpose.
The reviews shall be limited to ensuring that the Public Employees'
Retirement System uses the information provided by the Franchise Tax
Board only in the manner specified in subdivision (a).  The Franchise
Tax Board shall report all findings to the Public Employees'
Retirement System.


19559.  (a) (1) The Franchise Tax Board may disclose returns and
return information to federal agencies on the same terms and to the
same extent as returns and return information may be disclosed by the
Secretary of the Treasury under paragraph (3)(C) or paragraph (7) of
Section 6103(i) of the Internal Revenue Code.
   (2) Notwithstanding paragraph (1), the Franchise Tax Board may not
disclose any return or return information under this section if the
Franchise Tax Board determines, in the manner specified by the
Franchise Tax Board, that this disclosure would identify a
confidential informant or seriously impair a civil or criminal tax
investigation.
   (b) This section shall apply to disclosures made on or after
January 23, 2002, except that no disclosures may be made under this
section after December 31, 2005.



19560.  (a) The Franchise Tax Board shall provide the Wildlife
Conservation Board, within a reasonable time, information on the
amount of the tax credit claimed under Chapter 7 (commencing with
Section 37030) of Division 28 of the Public Resources Code, with
respect to each qualified contribution, as described in Section
17053.30 or 23630, that is claimed during that year, and any other
information the Wildlife Conservation Board requires to correctly
allocate the credit to the appropriate bond fund section,
appropriation, department, and, if applicable, the related local
government.
   (b) The Franchise Tax Board shall not provide the Wildlife
Conservation Board information pursuant to subdivision (a) if
providing that information would disclose tax return information of a
taxpayer, unless the taxpayer has consented to that disclosure
pursuant to paragraph (3) of subdivision (a) of Section 37034 of the
Public Resources Code.


19561.  (a) Notwithstanding any other section of law, the Franchise
Tax Board may charge a fee for providing persons with copies of their
tax returns.  The fee shall include the costs of handling requests,
copying documents, and postage.
   (b) Fees received under this section shall be handled in
accordance with Section 19605.



19562.  Whenever under this part or any act heretofore or hereafter
enacted, the Franchise Tax Board is required or permitted to disclose
information, to furnish abstracts, or to permit access to its
records, to or by any official, department, bureau, or agency of this
state (including its political subdivisions), or any other state, or
the United States, it may charge the official, department, bureau,
or agency for the reasonable cost of its services.



19563.  This article does not prohibit the publication of
statistics, so classified as to prevent the identification of
particular reports or returns and the items thereof, or the
publication of the percentage of dividends paid by any corporation
that is deductible by the recipient under Part 11 (commencing with
Section 23001).



19564.  The Franchise Tax Board shall publish on or before December
31, 1978, and each December 31 thereafter, information on the amount
of tax paid by individual taxpayers with high total incomes.  Total
income for this purpose is to be calculated and set forth by adding
to adjusted gross income any items of tax  preference excluded from,
or deducted in arriving at, adjusted gross income, and  by
subtracting any investment expenses incurred in the production of
that income to the extent of the investment income.
   These data are to include the number of those individuals with
total income over two hundred thousand dollars (0,000) who owe no
state income tax (after credits) and the deductions, exclusions, or
credits used by them to avoid tax.



19565.  (a) If an organization is exempt from taxation under Section
23701 for any  taxable year, the application filed by the
organization with respect to which the Franchise Tax Board made its
determination that the organization was entitled to exemption under
Section 23701, together with any papers submitted in support of the
application, and any letter or other document issued by the Franchise
Tax Board, with respect to the application, shall be open to public
inspection.  Any inspection under this subdivision may be made at the
times, and in the manner, as the Franchise Tax Board shall by
regulations prescribe.  After the application of any organization has
been opened to public inspection under this subdivision, the
Franchise Tax Board shall, on the request of any person with respect
to the organization, furnish a statement indicating the section
which it has been determined describes the organization.
   (b) Upon request of the organization submitting any supporting
papers described in subdivision (a), the Franchise Tax Board shall
withhold from public inspection any information contained therein
which it determines relates to any trade secret, patent, process,
style of work, or apparatus, of the organization, if it determines
that public disclosure of the information would adversely affect the
organization.  The Franchise Tax Board shall withhold from public
inspection any information contained in supporting papers described
in subdivision (a) the public disclosure of which it determines would
adversely affect the national defense.
   (c) The Franchise Tax Board may impose a reasonable charge for
supplying any information the disclosure of which is permitted under
this section.



19566.  Any information provided to or secured by the Franchise Tax
Board for purposes of administering Part 10 (commencing with Section
17001) or Part 11 (commencing with Section 23001) may be used by
Franchise Tax Board for purposes of administering Section 10878 or
Article 6 (commencing with Section 19280) of Chapter 5.




19570.  The provisions of Sections 1798.35, 1798.36, 1798.37, and
Article 9 (commencing with Section 1798.45) of Chapter 1 of Title 1.8
of the Civil Code shall not be applied, directly or indirectly, to
the determination of the existence or possible existence of liability
(or the amount thereof) of any person for any tax, penalty,
interest, fine, forfeiture, or other imposition or offense to which
the provisions of Part 10 (commencing with Section 17001), Part 11
(commencing with Section 23001), or this part apply.