California Payment for Automatic Extension for Corps and Exempt Orgs

Payment for Automatic Extension for Corps and Exempt Orgs
2023 Form 3539 (CORP) Payment for Automatic Extension for Corporations and Exempt Organizations
2023 Instructions for Form FTB 3539

Payment for Automatic Extension for Corporations and Exempt Organizations
What’s New
e-file Form 109 – For taxable years beginning on or after
January 1, 2023, the Franchise Tax Board (FTB) offers e-file for exempt
organizations filing Form 109, California Exempt Organization Business
Income Tax Return. Check with your software provider to see if they
support exempt organization e-file.

General Information
Use form FTB 3539, Payment for Automatic Extension for Corporations
and Exempt Organizations, only if both of the following apply:
• The corporation or exempt organization cannot file its 2023 California
tax return by the original due date.
• The corporation or exempt organization owes tax for the 2023 taxable
year.
If a limited liability company (LLC) elects to be taxed as a corporation
for federal tax purposes, the LLC must file form FTB 3539, and enter the
California corporation number, federal employer identification number
(FEIN), and California Secretary of State (SOS) file number, if applicable,
in the space provided. The Franchise Tax Board (FTB) will (1) assign an
identification number to an LLC that files as a corporation, and (2) notify

the LLC with the identification number upon receipt of the first estimated
tax payment, first tax payment, or the first tax return. The LLC will be
subject to the applicable provisions of the Corporation Tax Law and
should be considered a corporation for the purpose of all instructions
unless otherwise indicated.
Use the Tax Payment Worksheet included in these instructions to
determine if the corporation or exempt organization owes tax.
If the corporation or exempt organization does not owe tax, do not file
form FTB 3539. However, the corporation or exempt organization must
file its return by the extended due date listed below.
If the corporation or exempt organization owes tax, they can pay
electronically using one of the following options:
(See Electronic Funds Transfer section to see if the corporation or exempt
organization is required to pay electronically.)

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Payment of Tax Dates
Form Filed
Calendar Year Filers
Form 100 or 100W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . April 15, 2024 . . . . . . . . . . . . . . . . .
Form 100S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . March 15, 2024 . . . . . . . . . . . . . . . .
Form 100 for farmers’ cooperative. . . . . . . . . . . . . . . . . . . . . September 16, 2024 . . . . . . . . . . . .
Form 109, generally . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . May 15, 2024 . . . . . . . . . . . . . . . . . .
Form 109 for employee’s trust (IRC 401(a)) or IRA . . . . . . . . April 15, 2024 . . . . . . . . . . . . . . . . .

Fiscal Year Filers: 15th day of the
4th month following the close of the taxable year
3rd month following the close of the taxable year
9th month following the close of the taxable year
5th month following the close of the taxable year
4th month following the close of the taxable year

Extended Filing Dates
The extended date for filing the return is as follows:
Form Filed
Calendar Year Filers
Form 100 or 100W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . November 15, 2024 . . . . . . . . . . . . .
Form 100S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . September 16, 2024 . . . . . . . . . . . .
Form 100 for farmers’ cooperative. . . . . . . . . . . . . . . . . . . . . April 15, 2025 . . . . . . . . . . . . . . . . .
Form 109, generally . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . November 15, 2024 . . . . . . . . . . . . .
Form 109 for employee’s trust (IRC 401(a)) or IRA . . . . . . . . October 15, 2024 . . . . . . . . . . . . . . .

Fiscal Year Filers: 15th day of the
11th month following the close of the taxable year
9th month following the close of the taxable year
16th month following the close of the taxable year
11th month following the close of the taxable year
10th month following the close of the taxable year

1. An extension of time to file the California tax return is not an extension of time to pay the tax.
2. When the due date falls on a weekend or holiday, the deadline to file and pay without penalty is extended to the next business day.
DETACH HERE

DETACH HERE

IF NO PAYMENT IS DUE, DO NOT MAIL THIS FORM

Calendar year C corporations — File and Pay by April 15, 2024
Employees’ trust and IRA — File and Pay by April 15, 2024
Calendar year S corporations — File and Pay by March 15, 2024
Fiscal year filers — See instructions
Calendar year exempt organizations — File and Pay by May 15, 2024
TAXABLE YEAR

2023

Payment for Automatic Extension
for Corporations and Exempt Organizations

CALIFORNIA FORM

3539 (C O R P)

For calendar year 2023 or fiscal year beginning (mm/dd/yyyy)______________, and ending (mm/dd/yyyy)______________.
California corporation number

FEIN

California Secretary of State file number

This payment is for Form:

Corporation/exempt organization name

◻ 100, 100W, or 100S ◻ 109

Address (suite, room, or P M B no.)
City
Telephone

State

If no payment is due or paid electronically, do not mail this form.
Caution: You may be required to pay electronically. See instructions.

6141233

ZIP code

Amount of payment

FTB 3539 2023

. 00

• Electronic Funds Transfer (EFT): For payment options, go to
ftb.ca.gov and search for eft. Do not file form FTB 3539.
• Electronic Funds Withdrawal (EFW): Corporations or exempt
organizations can make an extension payment using tax preparation
software. Check with the software provider to determine if they
support EFW for extension payments. Do not file form FTB 3539.
• Web Pay: Make payments online using Web Pay for Businesses.
Corporations or exempt organizations can make an immediate
payment or schedule payments up to a year in advance. Go to
ftb.ca.gov/pay. Do not file form FTB 3539.
• Credit Card: Use Discover, MasterCard, Visa, or American Express
Card to pay your business taxes. Go to officialpayments.com. ACI
Payments, Inc. (formerly Official Payments) charges a convenience
fee for using this service. Do not file form FTB 3539.
If the corporation or exempt organization will not pay the tax due
electronically through EFT, EFW, Web Pay, or credit card, complete form
FTB 3539, make a check or money order, and see Where to File section
for further instructions. The payment must be paid by the original due
date of the return to avoid late payment penalties and interest. For more
information, see Penalties and Interest section.
If a corporation (including real estate investment trusts (R E I Ts), real
estate mortgage investment conduits (R E M I Cs), regulated investment
companies (R I Cs), L L Cs electing to be treated as corporations, or an
exempt organization in good standing) cannot file its C alifornia tax return
by the original due date, a six-month extension to file is granted without
submitting a written request. To qualify for the automatic extension, the
corporation or exempt organization must file its California tax return by
the extended due date and its powers, rights, and privileges must not be
suspended or forfeited by the FTB or the California S O S as of the original
due date.

Electronic Funds Transfer
Corporations or exempt organizations remitting an estimated tax payment
or extension payment in excess of $20,000 or having a total tax liability
in excess of $80,000 must remit all of their payments through EFT.
Once a corporation or an exempt organization meets the threshold, all
subsequent payments regardless of amount, tax type, or taxable year
must be remitted electronically to avoid a 10% non-compliance penalty.
The first payment that would trigger the mandatory EFT requirement does
not have to be made electronically. Corporations or exempt organizations
required to remit payments electronically may use EFW, Web Pay, or
credit card and be considered in compliance with that requirement.
The FTB notifies corporations or exempt organizations that are subject
to this requirement. Those that do not meet these requirements may
participate on a voluntary basis. If the corporation or exempt organization
pays electronically, complete the worksheet for the corporation’s
or exempt organization’s records. Do not mail form FTB 3539. See
General Information section for additional information regarding
electronic payment options. For more information, go to ftb.ca.gov
and search for eft, or call 916.845.4025.

Where to File
If tax is due and the corporation or exempt organization is not paying
electronically through EFT, EFW, Web Pay, or credit card, using black or
blue ink, make the check or money order payable to the “Franchise Tax
Board” for the amount of the tax due. Write the California corporation
number, FEIN, or California SOS file number and “2023 FTB 3539” on the
check or money order. Enclose, but do not staple, the payment with the
form FTB 3539 and mail to:
FRANCHISE TAX BOARD
PO BOX 942857
SACRAMENTO CA 94257-0531
Mail them to the FTB by the original due date of the return to avoid late
payment penalties and interest. For more information, see Penalties and
Interest section.
Make all checks or money orders payable in U.S. dollars and drawn
against a U.S. financial institution.

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FTB 3539 Instructions 2023

Private Mail Box (PMB)
Include the P M B in the address field. Write “P M B” first, then the box
number. Example: 111 Main Street P M B 123.

Penalties and Interest
• If the corporation or exempt organization fails to meet estimate
payment requirements, it may incur an estimate penalty. For more
information, get Form 100-ES, Corporation Estimated Tax.
• If the corporation or exempt organization fails to pay its total
tax liability by the original due date, the corporation or exempt
organization will incur a late payment penalty plus interest. The FTB
may waive the late payment penalty based on reasonable cause.
Reasonable cause is presumed when 90% of the tax shown on the
return, but not less than minimum franchise tax if applicable, is paid
by the original due date of the return. However, the imposition of
interest is mandatory.
• If the corporation or exempt organization does not file its California
tax return by the extended due date, or if the corporation’s powers,
rights, and privileges have been suspended or forfeited by the FTB
or the California S O S, as of the original due date, the automatic
extension will not apply and a delinquency penalty plus interest will be
assessed from the original due date of the C alifornia tax return.
• If the corporation or exempt organization is required to remit all
of its payments electronically and pays by another method, a 10%
non-compliance penalty will be assessed.

Combined Reports
• If members of a combined unitary group have made or intend to
make an election to file a combined unitary group single return, only
the key corporation designated to file the return should submit form
FTB 3539. The key corporation must include payment of at least the
minimum franchise tax for each corporation of the combined unitary
group that is subject to the franchise tax in California.
• If members of a combined unitary group intend to file separate
returns with the FTB, each member must submit its own form
FTB 3539 if there is an amount entered on line 3 of the Tax Payment
Worksheet.
• If any member of a combined unitary group meets the requirements
for mandatory EFT, all members must remit their payments
electronically, regardless of their filing election.

Exempt Organizations
• Form 100 filers – The due dates for corporations also apply to
political action committees and exempt homeowners’ associations
that file Form 100, California Corporation Franchise or Income Tax
Return.
Political action committees and exempt homeowners’ associations
that file Form 100 should not enter the minimum franchise tax on
line 1 of the Tax Payment Worksheet.
• Form 109 Filers – The due dates for filing Form 109, California
Exempt Organization Business Income Tax Return, depend on the
type of organization filing the return. Employees’ pension trusts and
I R As (including education I R As) must file on or before the 15th
day of the 4th month after the close of their taxable year. All other
exempt organizations (except homeowners’ associations and political
organizations) must file on or before the 15th day of the 5th month
after the close of their taxable year.

How to Complete the Tax Payment Worksheet
Line 1
Enter the total tentative tax, including the alternative minimum tax if
applicable, for the taxable year.
• If filing Form 100, 100W, or 100S, and subject to franchise tax, the
tentative tax may not be less than the minimum franchise tax and
Qualified Subchapter S Subsidiary (Q Sub) annual tax (S corporations
only).
• If filing Form 100, 100 W, or 100 S, and subject to income tax, enter
the amount of tax. Corporations subject to the income tax do not pay
the minimum franchise tax.
• If a corporation incorporates or qualifies to do business in California,
the corporation will compute its tax liability for the first taxable year
by multiplying its state net income by the appropriate tax rate and
will not be subject to the minimum franchise tax. The corporation will
become subject to minimum franchise tax beginning in its second
taxable year.
• If filing Form 109, enter the amount of tax. Form 109 filers are not
subject to the minimum franchise tax.

Line 2
Enter the estimated tax payments, including prior year overpayment
applied as a credit. S corporations may include any Q Sub annual tax
payments.
Line 3
Excess payments
If the amount on line 2 is more than the amount on line 1, the payments
and credits are more than the tentative tax. The corporation or
exempt organization has no tax due. Do not mail form FTB 3539. The
corporation or exempt organization will automatically qualify for an
extension if the California tax return is filed by the extended due date and
the corporation or exempt organization is in good standing with the FTB
and California S O S.
Tax due
If the amount on line 1 is more than the amount on line 2, the corporation
or exempt organization’s tentative tax is more than its payments and
credits. The corporation or exempt organization has tax due.
Subtract line 2 from line 1. Enter this amount on line 3 and on
form FTB 3539.

TAX PAYMENT WORKSHEET (Keep for your records.)
1 Total tentative tax. Include alternative minimum tax if applicable. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
2 Estimated tax payments including prior year overpayment applied as a credit. See instructions . . . . . . . . . . . . . . . . . . . . 2
3 Tax due. If line 2 is more than line 1, see instructions. If line 1 is more than line 2, subtract line 2 from line 1. Enter
the result here and on form FTB 3539. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

00
00
00

Save the completed Tax Payment Worksheet as a permanent part of the corporation’s or exempt organization’s tax records, along with a copy of
the California tax return.

FTB 3539 Instructions 2023

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