Real estate withholding and interest rates decrease.

• Position: FTB NEWS

The FTB announced (www.calcpa.org/RErates) that, as of Jan. 1, 2011, the California real estate withholding rates changed. The optional gain on sale withholding rates decreased for individuals and non-California partnerships to 9.3 percent, S corporations to 10.8 percent and financial S corporations to 12.8 percent. Assembly Bill ABX3 3--applicable to taxable years beginning on or after Jan. 1, 2009, and before Jan. 1, 2011--resulted in an increase to the optional gain on sale withholding tax rate for individuals, non-California partnerships, S corps and financial S corps. This tax rate increase...