We e-file CA SMLLC Form 568 from Lacerte individual module. We have a new LLC registered in CA on 12/1/2018. It was input correctly in Lacerte and paper Form 568 printed TYB 12/1/2018 and TYE 12/31/2018, but Lacerte e-file transmit TYB 1/1/2018. It triggered late $800 payment penalty notice. The CA business start date however was transmitted correctly, but the FTB said they go by the TYB and want us to write a letter saying we filed the 568 with a wrong TYB. Is there an easier way to handle this with the FTB since it appears to be a Lacerte global issue?
Spoke to Lacerte, it’s their program defect but as of now they are not intending to fix it. They said the initial SMLLC Form 568 should be e-filed from the partnership module or paper-file from the individual module. I guess it’s a known problem for years.
The FTB practitioner hotline wants a letter signed by the client to state that the tax year period was filed incorrectly.