FTB, POA Updates: 2018 California Power of Attorney and MyFTB Changes.

• Author: Bluth, Kelly
• Position: California taxation

january marks MyFTB's second anniversary. During the last two years, the FTB has worked to improve the MyFTB customer experience for taxpayers and tax professionals. As of Jan. 2, the FTB will be making major changes.

New Power of Attorney Forms

The FTB will replace its current version of Form 3520, Power of Attorney Declaration, with two new POA forms and adding a new POA revocation form:

* FTB 3520 PIT: Individual or Fiduciary Power of Attorney Declaration (new);

* FTB 3520 BE: Business Entity or Group Nonresident Power of Attorney Declaration (new); and

* FTB 3520 RVK: Power of Attorney Declaration Revocation (new).

The new forms are available online and can be uploaded in MyFTB on or after Jan. 2. If you upload the new forms in MyFTB prior to Jan. 2, they will be rejected.

All new POAs approved in 2018 and after will expire in six years from the signature date. Prior to this change, POAs generally remained in effect until they were revoked, or in the case of an "Authorization for All Tax Years or Income Periods for a Limited Duration" POA, it expired four years from the signature date.

In addition, the FTB will no longer automatically revoke POAs with overlapping periods. Prior to 2018, when you submitted a new POA that covered the same time period as an older POA, the new POA revoked the old.

Also, all forms, including prior FTB 3520 and non-FTB forms, received prior to Jan. 1, 2018, will be accepted and processed. Additionally, all active POA declarations will continue to be valid until revoked or expired.

Non-FTB POA Forms

Beginning Jan. 2. the FTB will no longer process federal Form 2848; prior versions of FTB 3520; and non-FTB POAs, such as CDTFA 392 (formerly BOE 392) joint agency power of attorney form.

Exceptions, however, include General/Durable POA when submitted with a completed FTB 3520 attached, and military Durable POA. which can be submitted without a completed FTB 3520. The FFB does highly recommend that a completed FTB 3520 is attached to ensure faster processing.

POA Checklist

According to the FTB, 50 percent of POA declarations submitted are rejected. Use the following checklist to avoid common errors:

* If submitting via MyFTB, compare the information entered online to the information on the uploaded POA declaration. The information must match exactly. Common errors:

** The declaration is incomplete.

** The primary representative entered online does not match what is on the declaration. This error mainly occurs when...