(a) The Franchise Tax Board may, in cases of financial hardship, enter into installment payment agreements with any taxpayer under which that taxpayer is allowed to make payment of any liability imposed or collected under Part 10 (commencing with Section 17001), Part 11 (commencing with Section 23001), or this part, including any additions to tax, interest, penalties, fees, and any other amounts relating to the imposed liability, in installment payments, pursuant to the agreement, if the Franchise Tax Board determines that the agreement will facilitate full or partial collection of the liability. (b) In the case of a liability of an individual under Part 10 (commencing with Section 17001) or this part, the Franchise Tax Board shall enter into an agreement to accept the full payment of the liability in installments if, as of the date the individual offers to enter into the agreement, all of the following apply: (1) The aggregate amount of the liability (determined without regard to interest, penalties, additions to the tax, and additional amounts) does not exceed twenty-five thousand dollars ($25,000). (2) The taxpayer (and, if the liability relates to a joint return, the taxpayerâs spouse) has not during any of the preceding five taxable years done any of the following: (A) Failed to file any return of liability imposed under Part 10 (commencing with Section 17001) or this part. (B) Failed to satisfy any term of an installment agreement under this section for payment of any liability imposed by Part 10 (commencing with Section 17001) or this part. (3) The Franchise Tax Board determines that the taxpayer is financially unable to pay the liability in full when due, and the taxpayer submits any information as the Franchise Tax Board may require to make this determination. (4) The agreement requires full payment of the liability within five years. (5) The taxpayer agrees to comply with the provisions of this part and Part 10 (commencing with Section 17001) for the period the agreement is in effect. (c) (1) (A) Failure by a taxpayer to comply fully with the terms of the installment payment agreement shall render the agreement null and void, unless the Franchise Tax Board determines that the failure was due to a reasonable cause, and the total amount of tax, interest, and all penalties shall be immediately due and payable. Except in any case where the Franchise Tax Board finds collection of the tax to which an installment payment agreement relates to be in jeopardy, or there is a mutual consent to terminate, alter, or modify the agreement, the agreement shall not be considered null and void, or otherwise terminated, unless both of the following occur: (i) A notice of termination is provided to the taxpayer not later than 30 days before the date of termination. (ii) The notice includes an explanation of why the Franchise Tax Board intends to terminate the agreement. (B) This paragraph shall apply only to agreements entered into before January 1, 2024. (2) (A) (i) The Franchise Tax Board may alter, modify, or terminate an agreement entered into under this section if any of the following apply: (I) Information that the taxpayer provided to the Franchise Tax Board before the date the agreement was entered into was inaccurate or incomplete. (II) The Franchise Tax Board determines that the collection of any liability to which an agreement under this section relates is in jeopardy. (III) The Franchise Tax Board determines that the financial condition of a taxpayer with whom the Franchise Tax Board has entered into an agreement has significantly changed. (IV) The taxpayer fails to make an installment payment at the time the installment payment is due under the agreement. (V) The taxpayer fails to file a required tax return under this part or pay any other liability at the time that the liability is due. (VI) The taxpayer fails to provide a financial condition update upon the Franchise Tax Boardâs request. (ii) The Franchise Tax Board ma
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