Have you had the California Franchise Tax Board take your Social Security check or money from your bank without notification or explanation?  Did you move out of State without notifying the Board and they continue to take money from your banks accounts, though no longer a California resident—oh, you have no obligation to tell the State you moved.

“Just victimized last week. I live in Oregon. Moved from Ca late May, 2000. Never received anything from them. Never had notice of a lien. They told me that because I held a Real Estate License in the year 2000 and didn’t file a CA return in 2000 that they assessed me a tax based upon the average income of a real estate professional in CA in 2000. That average income was $45,000! They took my SS, my little savings account, and part of the support from my husband. I am frantic! to say the least.”

moneyburning2

The California Franchise  Tax

Adrian Vance,  8/18/13

The following is a piece now running on The Two Minute Conservative at http://adrianvance.blogspot.com.   We seek the widest possible publicity and will appreciate your help in exposing a massive corruption in California.

 In 2007 I filed Federal and California income taxes as I had for 47 years. With my check I included a note explaining their instructions were wrong regarding deductions.  It could cost them millions, but did not affect my return.  Apparently I offended somebody when I expected a gold star.

In 2009 I got a bill for my 2007 state taxes, with added interest and penalties.  I checked my records and the Franchise Tax Board, FTB, had not cashed my check!  I called, got a young man on line and he agreed it was not my problem if they did not cash my check.  My return had passed the “Check Included” point.  They lost or trashed it. He settled for the original amount.  I paid it.

In 2011 I received an FTB bill for 2007, for $700. The FTB claimed I reported $10,500 more income to the IRS than them.  I asked for a copy of what they had received from the IRS and they said it would be illegal.  I doubted that and a call to my state Assemblyman’s office confirmed it was not true.

I called back, asking for the document, but was told I could not see it as it was “magnetic.”  “How do you see it?”  “On a computer screen.”  “OK, touch the ‘Print Screen’ key and send me what comes out.”  The line died and she would not answer my calls.

There were several more rounds of calls and correspondence, but the matter was not resolved.  The IRS said not only was my return unchanged, but unchallenged and they had no record of sending anything to the FTB, but they would not put that in writing.  They would sell me a copy of my return for $57.  I passed.

After a few more rounds the FTB took $800 from my Social Security deposit account, which is illegal.  After filing a $25 complaint with the California State Victim’s Review Board the money was returned, but I have not received requested documents saying the matter is closed.  

My friend Stephen Frank, publisher of the “California Political News and Views” ran my piece on this case and got the following responses:

“Anonymous:

Something needs to be done about the fraud and corruption being done by the California FTB….they have stolen money from my bank account twice not without notifying me or due process of law…..class action lawsuit??? anyone who had been victimized by the FTB, please post so we can get this ball rolling

Guest· 5 weeks ago

Just victimized last week. I live in Oregon. Moved from Ca late May, 2000. Never received anything from them. Never had notice of a lien. They told me that because I held a Real Estate License in the year 2000 and didn’t file a CA return in 2000 that they assessed me a tax based upon the average income of a real estate professional in CA in 2000. That average income was $45,000 ! They took my SS, my little savings account, and part of the support from my husband. I am frantic ! to say the least.

Marilyn· 2 weeks ago

Me too! Last week They took $1,570.00 without notification. Nothing .Just Poof and all of my money is gone. I need to pay Rent. I need to Buy Medication. etc. I never worked in California. I am in shock.

Gerry· 1 week ago

Me too! Last week the CA FTB stole almost $2000.00 from my bank account here in Colorado. They took every last penny. I moved out of Southern California in 2006 and did not notify them so according to them they can charge me with not filing a return for 2007 and take my money. I have faxed them proof I didn’t live there but they don’t respond and you can’t reach them by phone unless you have two hours or more to be put on hold. If someone told me this happened to them before it hit me I would have doubted this is legal. My only hope is the California Taxpayer Ombudsman office. Wish me luck!”
————–

That Stephen Frank’s publications turned up these four victims means there are many more, probably thousands.  I have not heard from any, but my blog, with less than 5,000 readers per day, is 90% United States, 10% foreign and would thus have less than 500 California readers.
The California Franchise Tax Board has become a rogue bureau and a criminal enterprise, taking money from citizens at will, without regard or legal imperative.   In these cases they have chased people who escaped the Peoples Democratic Republic of California. Few know how to deal with government ripoffs are afraid to deal with lawyers
I am sending copies of this to all the leading newspaper Editors, but have little hope of seeing any real action as they are all afraid of government now. They have thrown away what our founders gave them in the Constitution What does it say of American journalism that the likes of a blogger has to break a story of corruption in the California Franchise Tax Board?  I expect to obtain more help from the Internet blogging community and perhaps we can embarrass the Governor’s office into the action they are required of in the law.  The power to tax is the power to destroy.

 

The FTB is evil.
Adrian Vance

 

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Adam

They keep liquidating my bank account. No money to support my wife and kid. I was not a resident nor ever rented or owned property there. My parents did and 14 years of this is unreal. They will not answer straight and cannot keep taking all of my money. How can they put families in this position

May 31, 2014 at 3:25 am

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Brave Dave

Is anyone looking onto a class-action lawsuit against the FTB? Any attorneys involved? Email me at oedtrex at yahoo dot com

May 27, 2014 at 12:39 pm

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Tannerlove

I just got a wage garnishment for a ticket they say I didn't pay in 1997 for expired registration that is now $1797.00!!!! They say there is nothing I can do, when I asked the person at the "FTB" why it took them 17 years!!!!! she said, "our company" just got this in 2013!!!!! They never suspended my license, I certainly can't come up with a receipt from 1997…….this is CRAZY!!!

May 22, 2014 at 10:44 am

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Kathie

May 22, 2014 at 10:43 am

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Texas Tee

Just happened to me too! I left CA in 2008 after living there my entire life – went to Texas to escape all the liberal bull crap and idiotic government decisions. I went online to check my bank balance and there was a hold on my checking and savings accounts (with significant cash in both). I called my bank immediately and they told me it was a CA FTB levy and gave me their phone number. I contacted them and no one could tell me why the levy had been placed! Seriously? They faxed the release over to my bank and it took 24 hours to release and my bank charged me $100. I am sending them a letter asking for reimbursement, but I really want to ask for money for my time and a fraudulent levy put on my personal assets. Has anyone consulted an attorney with regards to this fraud yet??? Thanks y'all – from the wonderful State of Texas!!!

May 20, 2014 at 11:28 am

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adrianvance

I have decided to do a book on this that will be widely published and I will personally distribute it to the people who can and should do something about it. It is too bad I do not have contact information for all these people as their testimony makes a powerful case.

May 19, 2014 at 11:15 am

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Ismael Luis Perez

Put me right in there. Even after describing my hardships, they still wiped my accounts clean. They are behaving as if one has not paid taxes at all.

May 15, 2014 at 5:34 am

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Adrian Vance

If you are in any kind of business where the paychecks are separated by years of nothing, as in movie production, oil drilling, oenology (wine growing and production) they cannot understand it as their checks come every month and are always the same. That is the mind of the government official; as regular as bowels movements and made of the same stuff.

May 3, 2014 at 1:21 pm

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tzeigler

me to levied over 55000 yes thousand because of a old high interest I lost several dollars trying to keep paying and ultimately lost property because of. they assumed that I was makink almost a million dollars when actually ive had zero income for the past five years. you think they would go after the corroupt mortgage company that got rich of illegal misled loans

May 3, 2014 at 7:24 am

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ranchingmama

Got me too. They took my entire savings of 25k (yes $25,000.00) and over half of my checking.

May 1, 2014 at 11:13 am

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Butch Hurtin

Yes, Nineteen years after I moved from Ca. they seized my bank account for my last partial year there and they have added in penalties and interest ten amounting to ten times the few hundred dollars they said I owed for that tax year. These bastards are using all ex- citizens as pawns and violating federal law. They need to be exposed in a television commercial which will cost them more in tourism and respect. I will donate to the production. I have already written to the AARP and Readers Digest to do a story on the Ca. con. They will not even settle for half of what is owed when it is all interest and penalties.

April 20, 2014 at 5:11 am

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anonymous

CA is broke and will use any means necessary to plunder private citizens savings and retirement to cover the costs of decades of failed government policies. CA has nearly quadrupled the number of traffic tickets it issues annually from just a few years ago; coincidence!? I think not! The real war is between government workers and private citizens. They will do anything to keep their government paychecks and bloated pension funds. Anyone in the private sector going to get a pension from their employer!? hmm.

May 3, 2014 at 1:34 am

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FTBRetaliation

I can trump most of these, unfortunately. I was forced to file BK in late 2013; it was approved in March 2014. 9 Days later the FTB Criminal Investigation Division showed up in my office unannounced (I wasn't there) scared my staff, and then later that day (when I had a lawyer contact them), refused to tell my lawyer what is was regarding: "Oh, He Knows!" – that's a direct quote. That was Tuesday. Friday night at 5:00 p.m. I was Arrested.
They filed Felony Tax Evasion charges under R&TC 19706.
When contacted the DA said "They don't think he intended to pay" WHICH IS NOT A CLAIM UNDER 19706.
Under 19701(c) they must show Willful (defined as e.g., "evil") Intent; because we don't throw people with debt in jail.
The DA IMMEDIATELY offered a plea of misdemeanor "late filing" if I agreed to pay.

HOW IS NOT A SHAKEDOWN?

April 15, 2014 at 5:22 am

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Adrian Vance

I again thank you all for continuing to post your stories here. I have apparently beaten them back, in my case, but it took a lot of time in document searching, calling the FTB, IRS and Bank of America. It appears that you have to make so much noise and generate so much trouble that your case becomes a negative value to them and they are paying more in bureau time than they could get to shut them up, but they never give you a final document of closure of any kind. They just leave it hanging and that is the worst part as we can only imagine they will be attacking our estates after we are gone . These people are truly evil and now we find the IRS is doing it.

April 12, 2014 at 7:16 am

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woz

The FTB must not levy or garnish any money in any account designated to receive SS benefits, as it is protected under Social Security Act §207.

Social Security Act Section 207 clearly prohibits and restricts all debtors including a State against the use of any levy or garnishments to reach social security benefits.

FTB is in violation of the U.S. Supreme Court 1/10/73 ruling, "Doris Philpott and Wm. Wilkes v. Essex County Welfare Board, 409 U.S," and that these paid benefits do not lose their exempt status, even when you cash the checks or have been "paid" in a lump sum into a bank account.

Look up the facts and arguments yourself and then decide.

I might suggest that you ask your state representatives, your state senators, your US Representatives, your US Senators, a well-qualified individual to champion the cause to correct a wrong, to push for legislation that will positively change the existing unfair and unethical collection practices of the FTB and other overly aggressive debt collectors.

In short, let us mobilize and push for positive changes. Let us all work within the legislative process to bring about positive changes.

Good day and good luck to all.

April 8, 2014 at 11:03 am

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Christine

I was on active duty and was stationed in CA for approximately two years. I was never a legal resident of CA. Therefore, I was not required to pay taxes. I filed taxes normally with an accountant from the Navy. Ten years later, I receive a notice from the state indicating that I did not pay taxes to them. I was never a resident, legally! How is this just? I was serving this great country and now this stat that I have no affiliation with is threatening to take my hard earned money.
I am contacting a lawyer!

March 31, 2014 at 2:26 pm

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Gerry

Christine:

Contact the California Taxpayer's Advocate Office and they'll straighten this out for you. They stepped in and made the FTB give me back all the money they had stolen from by bank accounts. They are truly the "good guys."

April 4, 2014 at 10:03 am

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Richard Anderson

On January 13, 2012 FTB issued an Order to Withhold because of a Tax Debt for the year 2008. The Fi )Bank of Stockton) froze my entire account so I had absolutely no money to live on.

On 5/1/2011 Financial Institutions wereare required to perform an account audit to determine if there are Protected Federal Benefits. My income consists of VA Benefits/SSDI/Disability CIV Serv. All of these agencies under 31 CFR 212 are deemed protected federal benefits.

42 USC 407 has protected Social Security for a very long time ane 31 CFR 212 clarifies and requires that Financial Institutions perform the account audit within 2 business days and set a protected amount as determined by a 60 day look-back period to a) give me reasonable and customary access to my protected accounts. Instead the Bank of Stockton froze my account ane at that point I would have done just about anything because we were hungry.

The FI ahould have filled out part and not satisfieed the order. 31 CFR 212.5/6 offers safe haven to FI's that perform the account audit and states that the FI is in violation of Federal Laws if they do not comply with the terms of 31 CFR 212..

FTB then told me or coerced me to sitgn a contract for the tax debt and basically said I would have no access to my account until I signed the thing. I felt at the time this was the only alternative.

I have been disputing this issue with the FI because had it not been for them I would not have been in this position today. The FTB knows the law and also preys on the folks that are rendered destitute because of their actions.

FTB is smart though because they know they are off the hood and in this case since I was not entirely aware of the law I will lose about 15 thousand by the time it is paid off.

The financial institution insists they have no obligation to protect because the Order to Withhold is not a garnishment order per se.

31 CFR 212 is supposed to stop the illegal practice of freezing accounts of the aged/disabled leaving them penniless and willing to do just about anything to access their funds. And I signed a pact with the devil. 31 CFR 212 prohibits banks from charging what is called an impermissable fee. It is against the law to charge a against an account which contains protected federal benefits. If more than one person is involved I see conspiricy to commit federal crimes.

The law is the law and the FI is playing dumb. I could use some advise. I know I am right but need to jerk this banks chain.

The attorney for the FI is just toying with me and I think they feel that they will prevail because I will give up.

Social Security can only be garnished for back child support from a state child support agency or the federal government. IRS can levy 15 per cent of income only. State tax agencies have no authority to freeze accounts with federal protected benefits. Even the IRS frowns on the practice of freezing accounts with Social Security and VA Bernefits. VA Benefits have been protected since 1935 and SSI since 1940.

42 USC 407 protects SSI from garnishment at the source and 42 USC 207 protects the income where it is deposited.

Under 31 CFR 212 the account holder does not have to exert anythint to proteft because ACH indicates that your benefits are protected by placing XX in the name of the depositing entity. it looks like this on your statement: XXSOCSEC or XXVABENE or SSCIVSERV. That means that the agency is telling the bank to lay off. XX means exempt.

I do not have the funds to get a 1000 an hour attorney so I am stuck frustrated fighting this guy and not gaining or losing but a simple phone call from a real lawyer would help me so much but so far I am still alone in my fight.

The Bank of Stiockton ordered the closing of my account but that would have caused even more financial hardship and I plead with them to keep it open because I was disabled. They retaliated instead of admitted their wrong.

Protected Government Benefits are considered property and therefore protected under the 14th amendment. The Supremacy Claus was broken when the did not extend due process instead they went in and froze my account with no warrant. The 4th amendment I believe states that they can take what is mentioned in the warrarnt or in this case the Order to Withhold. FTB is specific and asks for ALL but then describes the account types. There is no mention of Federal Protected VBenefits because it is against the law to levy them.

Further the State of California further protects you against creditors by granting an automatic in my case at the time of 2875 a month plus the protected amount that should be determined when the account audit was done. –

The Bank failed miserably and sticks to its position that the FTB told them to freeze my account. I maintain that since the agency has deeme3ed my money protected and the bank has the ability either automatically or mamually to see the XX that they are liable to me. I would have loved to get the FTB but they are way to slippery and has a very short statute of limitations.

March 26, 2014 at 3:49 pm

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citizen

any government worker that hides behind their job as justification for what they do is a domestic terrorist by any definition. The media will call you a terrorist, but Americans and your children will call you a patriot! You can do something or just whine about it.

May 3, 2014 at 1:22 am

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Kelly

Just happened to me. I signed onto my banking app to deposit a check and found $1000 missing from my savings.I got the documents for the fund hold from my bank stating it’s for taxes owed from 2007. I was in trade school for the first three and a half months of 2007 then moved directly to Utah for work. I earned exactly ZERO dollars while I was in California. I tried calling the number my bank gave me and was on hold for a full hour before I had to hangup because I needed to get back to work. IMO this is typical California government thievery. When I left California it was to find work in my field and with every intention to move back in a couple years but after comparing the laws and practices of California against another state I don’t think I’ll ever go back. Which is sad because most of my family and many friends still live there.

March 25, 2014 at 4:58 pm

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Anonymous

The CA FTB has it coming. It only takes a handful of martyrs to make an example out of a corrupt government. I'm letting them steam roll over me, but I'll have the last laugh. For every dollar they take from me, it will one day cost them a million. We empower our government to wage war for liberty and freedom, now and again we have to wage war against our government to keep those liberties and freedom. They know where we live, but we know where they work!!! You can continue to kick the can down the road and let your children endure the same tyranny, or you can lay down your life and make an example out of a corrupt government. If they take away your ability to survive, then take away theirs too!

May 3, 2014 at 1:19 am

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