Accept

We use cookies in order to save your preferences so we can provide a feature-rich, personalized website experience. We also use functionality from third-party vendors who may add additional cookies of their own (e.g. Analytics, Maps, Chat, etc). Read more about cookies in our Privacy Policy and Terms of Service. If you do not accept our use of Cookies, please do not use the website.

  • 415.596.9362

Clients are Saying

She did an amazing job in making sure the transaction was smooth and stress free.

I worked with Lorraine to purchase a home for my daughter while attending law school in S.F. Working with her was an enjoyable experience. She is incredibly knowledgeable about the market and the process. I’ve bought many homes in my life and she took the stress out of the transaction. I live in L.A. and she did an amazing job in making sure the transaction was smooth and stress free.

—S.H.
Buyer
Lorraine's Blog
 
When did withholding start for California residents?
The withholding law applies to dispositions of California real estate by both residents and non-residents which close on and after January 1, 2003. Previously, withholding was only required of non-resident sellers.


Why was this withholding law enacted?
As part of attempting to balance the state budget, this withholding provision was added to legislation on the last day of the Legislative session in 2002. It was estimated to accelerate collection of $285 million in additional state revenue.


Who is responsible for withholding?
The law requires the buyer (called the transferee) to withhold from what would otherwise be paid to the seller.


What unit at the Franchise Tax Board handles the withholding?
The Withholding Services and Compliance Section handles the withholding. Phone number is (888) 792-4900 and information can be found on their website at: https://www.ftb.ca.gov/forms/2012/12 1016.pdf

You may check the ...