Sacramento, Calif.-No delay to file your state taxes. The Franchise Tax Board or FTB, today announced it is now accepting 2012 state tax returns, and announced the following updates on law changes and filing services for California taxpayers.
The newly signed American Taxpayer Relief Act of 2012 will change the way California processes taxes. This federal legislation is delaying the California Schedule CA (540 & 540NR), 540/540A and 540NR Booklets, and other products that reference federal Schedule A as FTB staff analyzes the changes. The California Schedule CA is used by most taxpayers to make adjustments for differences between federal and state tax laws. Taxpayers who file using FTB's CalFile, ReadyReturn, or Form 540 2EZ are not affected. Check FTB's website for updates about when these schedules will be released.
Here are some changes that you should be aware of. The standard deduction for single or filing separately tax statuses increased from $3,769 to $3,841. For joint, surviving spouse, or head of household filers, it increased from $7,538 to $7,682.
The dependent exemption credit increased from $315 to $321 per dependent. The personal exemption amount for single, filing separately, and head of household filers increased from $102 to $104. For joint or surviving spouses, it increased from $204 to $208.
Income tax rates increased by up to 3% for individuals making $250,000 or more.
The income tax changes apply retroactively to all income earned or received since January 1, 2012. The law waives the underpayment of estimated tax penalty that results from a retroactive tax law change that takes place during the year.
