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Form Instruction 56 California San Bernardino: What You Should Know
You must read all instructions in order to complete the application. You must sign and return the application to CAC before filing. It does not take more than three to five business days to process your application. If we receive your completed form we will either mail your form back to you or you may drop off it with your local tax collector. Determining Who Is Eligible. The State Dept. of Revenue & Tax Administration (DMV) maintains the list of persons and entities entitled to receive tax exemption and/or a reduced tax liability by the California Commission on Taxation. It is also updated annually. Note: The list of persons will change without notice based on current and emerging legislation. There are two main parts to this list: a. Those persons or entities who have made a specific charitable contribution to a qualified organization or a qualified non-profit organization and are in receipt of the payment, if any and any tax benefit is provided to them. Such persons include, for example: the recipient of a scholarship or a prize awarded by the scholarship or prize organization, or a recipient of scholarship or prize money or other monetary consideration that is a component of the scholarship or prize; b. Other persons and entities may qualify for exemption from state, local or county taxes with the same application, if they can establish that each item on the list below applies to the applicant. All other entities (corporations, joint ventures, partnership interests, limited liability companies, labor unions) who participate directly or indirectly in the collection, payment, or distribution of any tax, whether within the state, outside California, or on the basis of an existing contract or agreement with CAC will not be exempt from tax. In order for the list to be valid, you must provide an exact description of any item the donor of the scholarship or prize is eligible to receive. If you are making a contribution to a charitable purpose, the description is restricted to the value of the contribution. Donors are allowed to designate themselves as “charitable representatives” who are eligible to receive a benefit from the tax exemption. Donors are also allowed to apply to the California Commission on Taxation for an exemption from California tax if they are eligible. Note: The list of persons and entities is not a complete list of all legal entities that may qualify for a tax exemption. We advise you to look at the list of business entities. Charitable contribution: The following qualify as donation of funds or property: a.
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