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LLC fees unconstitutional? File a protective claim.


The Superior Court of California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W).  has issued a proposed ruling stating that California's levy on limited liability companies (in Rev. and Tax Code Sec. 17942) is unconstitutional unconstitutional adj. referring to a statute, governmental conduct, court decision or private contract (such as a covenant which purports to limit transfer of real property only to Caucasians) which violate one or more provisions of the U. S. Constitution. .

CalCPA anticipates that the issue will be appealed to the U.S. Supreme Court. However, should taxpayers eventually prevail, there is the opportunity for refunds of fees originally paid.

[ILLUSTRATION OMITTED]

For FTB FTB Franchise Tax Board (California; they collect income and sales tax)
FTB Family Tax Benefit (Australian welfare assistance)
FTB First Time Buyer (housing) 
 guidance on filing a protective claim, visit www.ftb.ca.gov/professionals/taxnews/articlel/lcfee.html.

Download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer.  the Superior Courts decision at www.calcpa.org/members/knowledge/statetax.htm.
COPYRIGHT 2006 California Society of Certified Public Accountants
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Article Details
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Title Annotation:limited liability companies
Publication:California CPA
Article Type:Brief article
Geographic Code:1U9CA
Date:May 1, 2006
Words:89
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