California Franchise Tax Board
The California Franchise Tax Board administers and collects state personal income tax and corporate franchise and income tax of California. It is part of the California Government Operations Agency.
The board is composed of the California State Controller, the director of the California Department of Finance, and the chair of the California State Board of Equalization. The chief administrative official is the executive officer of the Franchise Tax Board.
History
In 1879, California adopted its state constitution which among many other programs created the State Board of Equalization and the State Controller, which administered all tax programs.In 1929, the state legislature created the office of the Franchise Tax Commissioner to administer California's Bank and Corporation Franchise Tax Act.
In 1950, California abolished the office of the Franchise Tax Commissioner and created the Franchise Tax Board as it exists today.
The Executive Officers of the Franchise Tax Board have been:
- John J. Campbell
- Martin Huff
- Gerald H. Goldberg
- Selvi Stanislaus, the first woman to hold the post
Members
The three members of the Franchise Tax Board are the California State Controller, the Chair of the California State Board of Equalization, and the Director of the California Department of Finance. The State Controller and the Chair of the Board of Equalization are elected officials, while the Director of the Department of Finance is appointed by the Governor of California. The State Controller is elected to a four-year term, and the Director of the Department of Finance serves at the pleasure of the Governor, who is elected to a four-year term. The four members of the State Board of Equalization typically take a one-year turn acting as Chair during their four-year elected term.| Year | Controller | Chair | Director of Finance |
| 1950 | Thomas Kuchel | George R. Reilly | James S. Dean |
| 1951 | James H. Quinn | - | James S. Dean |
| 1952 | Jerrold L. Seawell | - | James S. Dean |
| 1953 | Robert C. Kirkwood | William G. Bonelli | James S. Dean |
| 1954 | George R. Reilly | John M. Pierce | - |
| 1955 | James H. Quinn | John M. Pierce | - |
| 1956 | Paul R. Leake | John M. Pierce | - |
| 1957 | Robert E. McDavid | John M. Pierce | - |
| 1958 | George R. Reilly | John M. Peirce | - |
| 1958 | T.H. Mugford | - | - |
| 1959 | Alan Cranston | Paul R. Leake | Bert W. Levitt |
| 1960 | John W. Lynch | John E. Carr | - |
| 1961 | Hale Champion | - | - |
| 1962 | Hale Champion | George R. Reilly | - |
| 1963 | Hale Champion | John W. Lynch | - |
| 1964 | Hale Champion | Paul R. Leake | - |
| 1965 | Hale Champion | John W. Lynch | - |
| 1966 | Hale Champion | George R. Reilly | - |
| 1967 | Houston I. Flournoy | Paul R. Leake | Gordon P. Smith |
| 1968 | Richard Nevins | Caspar W. Weinberger | - |
| 1969 | John W. Lynch | Caspar W. Weinberger | - |
| 1970 | George R. Reilly | Verne Orr | - |
| 1971 | Richard Nevins | Verne Orr | - |
| 1972 | John W. Lynch | Verne Orr | - |
| 1973 | William M. Bennett | Verne Orr | - |
| 1974 | - | Verne Orr | - |
| 1975 | Ken Cory | John W. Lynch | Roy M. Bell |
| 1976 | William M. Bennett | - | Roy M. Bell |
| 1977 | - | - | Roy M. Bell |
| 1978 | George R. Reilly | - | Roy M. Bell |
| 1979 | William M. Bennett | Richard Silberman | - |
| 1980 | Richard Nevins | Mary Ann Graves | - |
| 1981 | Ernest J. Dronenburg, Jr. | Mary Ann Graves | - |
| 1982 | William M. Bennett | Mary Ann Graves | - |
| 1983 | Michael Franchetti | - | - |
| 1984 | Richard Nevins | Jesse Huff | - |
| 1985 | Ernest J. Dronenburg, Jr. | Jesse Huff | - |
| 1986 | Richard Nevins | Jesse Huff | - |
| 1987 | Gray Davis | Jesse Huff | Conway H. Collis |
| 1988 | Ernest J. Dronenburg, Jr. | Jesse Huff | - |
| 1989 | Paul B. Carpenter | Jesse Huff | - |
| 1990 | Conway Collis | Jesse Huff | - |
| 1991 | Brad Sherman | Thomas W. Hayes | - |
| 1992 | - | Thomas W. Hayes | - |
| 1993 | - | Thomas W. Hayes | - |
| 1994 | Russell Gould | - | - |
| 1995 | Russell Gould | Kathleen Connell | - |
| 1996 | Johan Klehs | Craig L. Brown | - |
| 1997 | Ernest Dronenburg, Jr. | Craig L. Brown | - |
| 1998 | Dean Andal | Craig L. Brown | - |
| 1999 | Johann Klehs | B. Timothy Gage | - |
| 2000 | Dean Andal | B. Timothy Gage | - |
| 2001 | Claude Parrish | B. Timothy Gage | - |
| 2002 | John Chiang | B. Timothy Gage | - |
| 2003 | Steve Westly | Carole Migden | Steve Peace |
| 2003 | Donna Arduin | - | - |
| 2004 | Donna Arduin | - | - |
| 2005 | John Chiang | Tom Campbell | - |
| 2006 | Michael C. Genest | - | - |
| 2007 | Michael C. Genest | John Chiang | Betty Yee |
| 2008 | Michael C. Genest | Judy Chu | - |
| 2009 | Michael C. Genest | Betty Yee | - |
| 2010 | Ana J. Matosantos Cynthia Bryant | - | - |
| 2011 | Jerome Horton | Ana J. Matosantos | - |
| 2012 | - | Ana J. Matosantos | - |
| 2013 | - | Ana J. Matosantos | - |
| 2014 | Michael Cohen | - | - |
| 2015 | Michael Cohen | Betty Yee | - |
| 2016 | Michael Cohen | Fiona Ma | - |
| 2017 | Michael Cohen | Diane Harkey | - |
| 2018 | Michael Cohen | George Runner | - |
| 2019 | Malia Cohen | Keely Bosler | - |
| 2020 | Tony Vazquez | Keely Bosler | - |
| 2021 | - | Keely Bosler | - |
| 2022 | Malia Cohen | Keely Bosler | - |
| 2023 | Malia Cohen | Tony Vazquez | Joe Stephenshaw |
| 2024 | Malia Cohen | Sally Lieber | Joe Stephenshaw |
Tax programs
Personal income tax
The FTB collects personal state income taxes. The FTB collects income taxes from California residents on their income from all sources. Meanwhile, non-residents are taxed on their California-based income. In recent years, the FTB collects more than $50 billion each year in personal income taxes.Corporate income tax
The FTB levies a franchise tax on businesses for doing business in California. The FTB's name reflects the fact that it was originally created to collect this tax. The agency's name was left unchanged even after the state created a personal income tax and added it to the FTB's responsibilities.The corporate tax is imposed on businesses that do business in California and derive income from within California. Over the past decade, the FTB has collected an average of $9.5 billion per year in corporate income taxes.