Frequently Asked Questions (FAQ)

 

Q?

What to report?

A:

Check cashers who cash checks in the course of their trade or business are required to file an information return with the Franchise Tax Board for either:

·       Checks totaling more than ten thousand dollars ($10,000) in one transaction.

  ·       Checks totaling more than ten thousand dollars ($10,000) in two

  or more transactions for the same person within the calendar year.

Q?

Are there any exceptions?

A:
  • The law does not apply to state and federally chartered banks, savings associations, credit unions, and industrial loan companies.
  • "Check casher" also does not include a retail seller engaged primarily in the business of selling consumer goods, including consumables, to retail buyers who cashes checks or issues money orders for a minimum flat fee not exceeding two dollars ($2) as a service to its customers that is incidental to its main purpose or business.

 

Do not report transactions involving personal checks when the check presenter is also the check drawer. In other words, when check presenters are drawing funds from their own bank account. Here are some examples of transactions involving personal checks that you would not report:

·       Customer writes out a personal check for the exact amount, to pay for goods or services.

·       Customer writes a personal check for the purpose of paying for consumer goods or services and receiving cash in the same transaction.

        ·       Customers write personal checks for the purpose of withdrawing

          cash from their own accounts.

Q?

How to document the CD?

A:

Clearly identify all CD-ROMS, however, do not place large gummed labels for they will prevent us from reading the data.  Include the submission date, your business' name and sequence of each volume submitted; e.g., 1 of 2, 2 of 2, etc. If only one volume is submitted, label it 1 of 1.

     Be sure to download a Check Casher Program Transmittal Form from the http://www.ftb.ca.gov/businesses/ck_cash.html Website and include it

     with your file. Do not mail it separately.

Q?

Where to mail the CD and the Submittal Form?

Mail your CD-ROM and the Submittal Form to:

U.S. Mail

Data Exchange MS A10

Franchise Tax Board

PO Box 1468

Sacramento CA 95812-1468

Or ship it to:

Shipping

Data Exchange MS A10

Franchise Tax Board

9646 Butterfield Way

Sacramento CA 95827

Q?

When to file information returns?

Annual filing is on a calendar year basis. The law requires check cashers to provide the information no later than 90 days after the end of the calendar year.

Q?

How to get help?

Visit check casher webpage regularly for the most current news and information about check casher information reporting. You can also call our Information Reporting Helpdesk at (916) 845-6304. We are available Monday through Friday except for official State holidays. You receive prompt response to your correspondence by sending us an email at IRPhelp@ftb.ca.gov

Send all other written correspondence to:

Check Casher Information Reporting MS A181

Franchise Tax Board

PO Box 1468

Sacramento CA 95812-1468

Website:  http://www.ftb.ca.gov/businesses/ck_cash.html