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I filed a CA 541 (estate) for a client last year that was for a fiscal year 10/1/06 to 9/30/07...so it was a 2006 541. The client received a 2007 CA Real Estate Withholding Tax Statement 593-B showing $20K in withholding that he was going to be refunded since it was a final 541 and everything being distributed in 2007 through K-1s.

He just received a letter from FTB saying there was no 2006 593-B received, so no refund. The 593-B was actually a 2007 form, but since this was for a fiscal year, did FTB simply make a mistake? or did I do something wrong?

The client is already not in a good mood because he mailed his 706 return 2 days late in January and is now being billed $15K for late filing penalty.

Thank you for any help!

Dan

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