California State Board of Equalization BOE-420-R Letter, Notice to Appear
In 2008, the California State Board of Equalization initiated a program to increase prosecution of violations California Revenue and Tax Code section 6071 (engaging in a sales business without a valid California seller’s permit). If you received BOE-420-R Letter, Notice to Appear, then the State Board of Equalization has determined that you are conducting sales in California without a valid California seller’s permit. You are in the early stages of a compliance program that may ultimately result in a criminal prosecution.
The penalty for violating R&T Code Section 6071 is a fine up to $5,000 and/or a sentence of up to one year in jail for each offense. Each officer in a corporation that conducts sales in California without a valid seller’s permit may be prosecuted under this provision and may be fined up to $5,000 and/or with one year in jail for each violation.
Before prosecution for a suspended or revoked California Seller’s Permit, it is the State Board of Equalization policy to issue notices in the following order:
- Delinquency Notice
- BOE-420-R Letter, Notice to Appear
- Notice of Pre-prosecution Hearing
- Final Notice Before Prosecution
- Notice of Request for Citation/Prosecution
- Pamphet “Criminal Prosecution for Failure to Possess a Valid California Seller’s Permit“
David C. Holtz, J.D., LL.M., Former IRS Attorney
Form more information read, California State Board of Equalization is Increasing Criminal Prosecutions. What You Need to Know If You Received a BOE-1246-B Letter, FINAL NOTICE BEFORE PROSECTION.
Author: David C. Holtz, J.D., LL.M., Former IRS Attorney
If you have any questions, please call (310) 550-6200.
Copyright © David C. Holtz 2009. Unauthorized use and/or duplication of this material without express and written permission from this blog’s author and/or owner is strictly prohibited. Excerpts of text and links may be used, provided that full and clear credit is given to David C. Holtz with appropriate and specific direction to the original content at http://www.hsdtaxlaw.com/.