Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2017

Revenue and Taxation Code

Other Taxes

Part 6. Private Railroad Car Tax

Chapter 4. Collection of Tax

Article 6. Payment on Termination of Business and
Successor's Liability

Section 11522

11522. Failure to withhold sufficient amount from purchase price. If the purchaser of a business fails to withhold a sufficient amount of the purchase price as required, the purchaser becomes personally liable for the payment of the amount required to be withheld by him or her to the extent of the purchase price, valued in money. Within 60 days after receiving a written request from the purchaser for a certificate, or within 60 days from the date the former owner's records are made available for audit, whichever period expires later, but in any event not later than 90 days after receiving the request, or 90 days from the date of the sale of the business, whichever period expires later, the board shall either issue the certificate or mail notice to the purchaser, at his or her address as it appears on the records of the board, of the amount that must be paid as a condition of issuing the certificate. Failure of the board to mail the notice will release the purchaser from any further obligation to withhold from the purchase price as provided in this article. The last date upon which the obligation of the successor may be enforced shall be not later than three years after the date the board is notified of the purchase of the business.

History.—Added by Stats. 1987, Ch. 498, in effect January 1, 1988. Stats. 1991, Ch. 236, in effect July 29, 1991, added "from the" after "withhold" in the third sentence, substituted "last date upon" for "time within" after "the", and substituted "be not later . . . the business" for start to run at the time the person sells out his or her business or at the time that the determination against the person becomes final, whichever event occurs later" after "enforced shall" in the fourth sentence.