California Revenue and Taxation Code § 12636.5

Revenue and Taxation Code
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(a) Every payment on an insurer’s or surplus line broker’s delinquent annual tax shall be applied as follows: (1) First, to any interest due on the tax. (2) Second, to any penalty imposed by this part. (3) The balance, if any, to the tax itself. (b) This section shall become operative on July 1, 2013.

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