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Blank California 3803 PDF Form

The California 3803 form, officially known as the Parents’ Election to Report Child’s Interest and Dividends, allows parents to report their child's income on their own tax return. This form can simplify tax filing for families with children under 19 or full-time students under 24, enabling them to avoid having their child file a separate return. For those interested in taking advantage of this option, fill out the form by clicking the button below.

Article Guide

The California Form 3803, known as the Parents’ Election to Report Child’s Interest and Dividends, is an essential tool for parents managing their child's income from investments. This form allows parents to report their child's interest and dividend income on their own California income tax return, thereby sparing the child from the necessity of filing a separate return. To qualify for this election, the child must be under 19 years old or under 24 and a full-time student, with specific income limitations. The form requires detailed reporting of the child’s taxable interest, tax-exempt interest, ordinary dividends, and capital gain distributions. If the total income reported is $1,900 or less, the parents can bypass additional tax calculations. However, if the income exceeds $9,500, the child must file their own return. Parents must also meet certain criteria, including filing a joint return or being the custodial parent, to elect this option. Completing Form 3803 accurately and timely is crucial for compliance and to optimize tax benefits for both the parent and child.

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TAXABLE YEAR	Parents’ Election to Report		CALIFORNIA FORM

2012	Child’s Interest and Dividends	3803

Attach to Parents’ Form 540 or Long Form 540NR

Name(s) as shown on return

Child’s name (ﬁrst, initial, and last)

Your SSN or ITIN

- -

Child’s SSN or ITIN

- -

If more than one form FTB 3803 is attached, check here . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 

Part I — Child’s interest and dividend income to report on your return (the child must be under age 19 or under age 24 and a full time student, see instructions).

1 a Enter your child’s taxable interest income

|00

bEnter your child’s tax-exempt interest income. Do not include this amount

on line 1a

|00

2Enter your child’s ordinary dividends. If none, enter -0-. If your child received any dividends as a nominee,

see instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2

3Enter your child’s capital gain distributions. If your child received any capital gain distributions as a nominee,

see instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

4Add line 1a, line 2, and line 3. If the total is $1,900 or less, skip line 5 and line 6 and go to line 7.

If the total is $9,500 or more, do not ﬁle this form. Your child must ﬁle his or her own return to report the income. . . . . . .4

5 Base amount. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5

6 Subtract line 5 from line 4. See instructions for where to report this amount . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

Go to line 7 below

|00

$1,900 |00 |00

Part II — Tax on the ﬁrst $1,900 of child’s interest and dividend income.

7	Amount not taxed		7	$ 950 \|00
8	Subtract line 7 from line 4. If zero or less, enter -0-		8	\|00
9	Tax. Is the amount on line 8 less than $950?
	No.	Enter $10.00 here and see the Note below.		\|00
	Yes.	Multiply line 8 by 1% (.01). Enter the result here and see the Note below	9	\|00

Note: Add the amount of tax from each form FTB 3803, line 9 to any tax you enter on Form 540 or Long Form 540NR, line 31 and check the box labeled “FTB 3803.”

Instructions for Form FTB 3803

Parents’ Election to Report Child’s Interest and Dividends

References in these instructions are to the Internal Revenue Code (IRC) as of January 1, 2009, and to the California Revenue and Taxation Code (R&TC).

General Information

In general, for taxable years beginning on or after January 1, 2010, California law conforms to the Internal Revenue Code (IRC) as of January 1, 2009. However, there are continuing differences between California and federal law. When California conforms to federal tax law changes, we do not always adopt all of the changes made at the federal level. For more information, go to ftb.ca.gov and search for conformity. Additional information can be found in FTB Pub. 1001, Supplemental Guidelines to California Adjustments, the instructions for California Schedule CA (540 or 540NR), and the Business Entity tax booklets.

The instructions provided with California tax forms are a summary of California tax law and are only intended to aid taxpayers in preparing their state income tax returns. We include information that is most useful to the greatest number of taxpayers in the limited space available. It is not possible to include all requirements of the California Revenue and Taxation Code (R&TC) in the tax booklets. Taxpayers should not consider the tax booklets as authoritative law.

For taxable years beginning on or after January 1, 2010, California conforms to the provision of the Small Business and Work Opportunity Tax Act of 2007 which increased the age of children to under age 19 or a student under age 24 for elections made by parents reporting their child’s interest and dividends.

For Privacy Notice, get form FTB 1131.

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FTB 3803 2012

Registered Domestic Partners (RDP)

For purposes of California income tax, references to a spouse, husband, or wife also refer to a California RDP, unless otherwise speciﬁed.

When we use the initials RDP they refer to both a California registered domestic “partner” and a California registered domestic “partnership,” as applicable. For more information on RDPs, get FTB Pub. 737, Tax Information for Registered Domestic Partners.

A Purpose

Parents may elect to report their child’s income on their California income tax return by completing form FTB 3803, Parents’ Election to Report Child’s Interest and Dividends. If you make this election, the child will not have to ﬁle a return. You may report your child’s income on your California income tax return even if you do not do so on your federal income tax return. You may make this election if your child meets all of the following conditions:

•Was under age 19 or a student under age 24 at the end of 2012. A child born on January 1, 1994, is considered to be age 19 at the end of 2012. A child born on January 1, 1989, is considered to be age 24 at the end of 2012.

•Is required to ﬁle a 2012 income tax return.

•Had income only from interest and dividends.

•Had gross income for 2012 that was less than $9,500.

•Made no estimated tax payments for 2012.

•Did not have any overpayment of tax shown on his or her 2011 return applied to the 2012 estimated taxes.

•Had no state income tax withheld from his or her income (backup withholding).

As a parent, you must also qualify as explained in Section B.

B Parents Who Qualify to Make the Election

You qualify to make this election if you ﬁle Form 540, California Resident Income Tax Return, or Long Form 540NR, California Nonresident or Part- Year Resident Income Tax Return, and if any of the following applies to you:

•You and the child’s other parent were married to each other or in a registered domestic partnership and you ﬁle a joint return for 2012.

•You and the child’s other parent were married to each other or in a registered domestic partnership but you ﬁle separate returns for 2012 AND you had the higher taxable income. If you do not know if you had the higher taxable income, get federal Publication 929, Tax Rules for Children and Dependents.

•You were unmarried, treated as unmarried for state income tax purposes, or separated from the child’s other parent by a divorce, separate maintenance decree, or termination of a domestic partnership and you had custody of your child for most of the year (you were the custodial parent). If you were the custodial parent and you remarried or entered into another registered domestic partnership, you may make the election on a joint return with your new spouse/RDP (your child’s stepparent). But if you and your new spouse/RDP do not ﬁle a joint return, you qualify to make the election only if you had higher taxable income than your new spouse/RDP.

If you and the child’s other parent were not married or in a registered domestic partnership but you lived together during the year with the child, you qualify to make the election only if you are the parent with the higher taxable income.

If you elect to report your child’s income on your return, you may not reduce that income by any deductions that your child would be entitled to claim on his or her own return, such as the penalty on early withdrawal of child’s savings or any itemized deductions. For more information, get the instructions for federal Form 8814, Parents’ Election to Report Child’s Interest and Dividends.

C How to Make the Election

To make the election, complete and attach form FTB 3803 to your Form 540 or Long Form 540NR and ﬁle your return by the due date (including extensions).

File a separate form FTB 3803 for each child whose income you choose to report.

Speciﬁc Line Instructions

Use Part I to ﬁgure the amount of the child’s income to report on your return. Use Part II to ﬁgure any additional tax that must be added to your tax.

Name and Social Security Number (SSN) or Individual Taxpayer Identiﬁcation Number (ITIN). Enter your name as shown on your tax return. If ﬁling a joint return, include your spouse’s/RDP’s name but enter the SSN or ITIN of the person whose name is shown ﬁrst on the return.

For more information about interest, dividends, and capital gain distributions taxable by California, get the instructions for Schedule CA (540), California Adjustments — Residents, or Schedule CA (540NR), California Adjustments — Nonresidents or Part-Year Residents.

Part I Child’s Interest and Dividend Income to Report on Your Return

Line 1a

Enter all interest income taxable by California and received by your child in 2012. If, as a nominee, your child received interest that actually belongs to another person, write the amount and the initials “ND” (for “nominee distribution”) on the dotted line to the left of line 1a. Do not include amounts received by your child as a nominee in the total entered on line 1a.

If your child received Form 1099-INT, Interest Income, showing California tax-exempt interest or Form 1099-OID, Original Issue Discount, get the instructions for federal Form 8814.

Line 1b

If your child received any interest income exempt from California tax, such as interest on United States savings bonds or California municipal bonds, enter the total tax-exempt interest on line 1b. Also include any exempt- interest dividends your child received as a shareholder in a mutual fund or other regulated investment company. Do not include this interest on line 1a. Get the instructions for Schedule CA (540 or 540NR), line 8, for more information.

Line 2

Enter ordinary dividends received by your child in 2012. Ordinary dividends should be shown on Form 1099-DIV, Dividends and Distributions, box 1. Also, include ordinary dividends your child received through a partnership, an S corporation, an estate, or trust.

If your child received, as a nominee, ordinary dividends that actually belong to another person, enter the amount and the initials “ND” on the dotted line to the left of line 2. Do not include amounts received as a nominee in the total for line 2.

Line 3

Enter the capital gain distributions taxable by California and received by your child in 2012. Capital gain distributions should be shown on Form 1099-DIV, box 2a. Also, see the instructions for line 6. If your child received, as a nominee, capital gain distributions that actually belong to another person, enter the amount and the initials “ND” on the dotted line to the left of line 3. Do not include amounts received as a nominee in the total for line 3.

Line 6

If the total amount on line 6 of all form(s) FTB 3803 is less than the total amount on line 6 of all your federal Form(s) 8814, enter the difference on Schedule CA (540 or 540NR), line 21f, column B and write “FTB 3803” on line 21f.

If the total amount on line 6 of all form(s) FTB 3803 is more than the total amount on line 6 of all your federal Form(s) 8814, enter the difference on Schedule CA (540 or 540NR), line 21f, column C and write “FTB 3803” on line 21f.

If you did not ﬁle federal Form 8814, enter the amount from form

FTB 3803, line 6, on Schedule CA (540 or 540NR), line 21f, column C and write “FTB 3803” on line 21f.

If your child received capital gain distributions (shown on Form 1099-DIV, box 2a and box 2b) and you have other gains or losses to report on your Schedule D, California Capital Gain or Loss Adjustment, you must report part or all of your child’s capital gain distributions on your Schedule D instead of on form FTB 3803, line 6. Get federal Publication 929 for more information on how to ﬁgure the amount to report on your Schedule D.

Part II Tax on the First $1,900 of Child’s Interest and Dividend Income

Line 9

Add the amount of tax from each form FTB 3803, line 9 to any tax you enter on Form 540 or Long Form 540NR, line 31 and check the box labeled “FTB 3803.”

Page 2 FTB 3803 2012

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Form Specifications

Fact Name	Details
Purpose	The California Form 3803 allows parents to report their child's interest and dividends on their tax return.
Eligibility	To qualify, the child must be under age 19 or a full-time student under age 24.
Income Limits	The child's gross income must be less than $9,500 for the year.
Tax Reporting	Parents can report their child's income even if it differs from their federal return.
Filing Requirement	If the child's income exceeds $1,900, the child must file their own tax return.
Form Attachment	Form 3803 must be attached to either Form 540 or Long Form 540NR.
Tax Calculation	The first $1,900 of the child's income is not taxed. Any amount over this is taxed at 1%.
Governing Law	California Revenue and Taxation Code governs the use of Form 3803.
Privacy Notice	For privacy concerns, refer to Form FTB 1131.

California 3803: Usage Guidelines

Completing the California Form 3803 is an essential step for parents wishing to report their child's interest and dividend income on their tax return. The process requires careful attention to detail to ensure accurate reporting. Below are the steps to guide you through filling out the form.

Begin by entering the taxable year at the top of the form.
Provide your name(s) as shown on your tax return.
Enter your child’s name (first, initial, and last).
Input your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
Enter your child’s SSN or ITIN.
If you are submitting more than one Form FTB 3803, check the box provided.
In Part I, report your child’s interest and dividend income:

Line 1a: Enter your child’s taxable interest income.
Line 1b: Enter your child’s tax-exempt interest income (do not include this amount on line 1a).
Line 2: Enter your child’s ordinary dividends. If none, enter -0-.
Line 3: Enter your child’s capital gain distributions.
Line 4: Add lines 1a, 2, and 3. If the total is $1,900 or less, skip lines 5 and 6 and proceed to line 7. If the total is $9,500 or more, your child must file their own return.
Line 5: Enter the base amount ($1,900).
Line 6: Subtract line 5 from line 4 and report this amount as instructed.

Proceed to Part II to calculate any tax owed:

Line 7: Enter the amount not taxed ($950).
Line 8: Subtract line 7 from line 4. If zero or less, enter -0-.
Line 9: If the amount on line 8 is less than $950, multiply by 1% and enter the result. If it is not, enter $10.00.

Finally, ensure to attach Form FTB 3803 to your Form 540 or Long Form 540NR before filing your tax return by the due date.

Your Questions, Answered

What is the purpose of California Form 3803?

California Form 3803, also known as the Parents’ Election to Report Child’s Interest and Dividends, allows parents to report their child's interest and dividend income on their own tax return. This can simplify the tax process for families, as it means that the child does not need to file a separate tax return if certain conditions are met. The form is particularly useful for children under age 19 or under age 24 who are full-time students, and whose income is solely from interest and dividends.

Who qualifies to use Form 3803?

To qualify for using Form 3803, parents must file either Form 540 or Long Form 540NR. Additionally, the child must be under age 19 or a full-time student under age 24 at the end of the tax year. The child should have gross income less than $9,500 and must not have made any estimated tax payments or had state income tax withheld. Parents must also meet specific criteria, such as being the custodial parent or having higher taxable income if filing separately.

What income can be reported on Form 3803?

Form 3803 is designed to report a child’s interest and dividend income. This includes taxable interest income, tax-exempt interest income, ordinary dividends, and capital gain distributions. However, if the total income exceeds $9,500, the child must file their own return. It's essential to ensure that only the relevant income is reported to avoid complications.

How do I complete Form 3803?

To complete Form 3803, parents should first gather all necessary information about the child’s interest and dividend income. The form consists of two parts: Part I is for reporting the child’s income, while Part II calculates any additional tax owed. Parents must fill out each line accurately and attach the completed form to their Form 540 or Long Form 540NR when filing their tax return. If reporting for multiple children, a separate Form 3803 must be filled out for each child.

What happens if I don’t file Form 3803?

If Form 3803 is not filed when it is applicable, the child may be required to file their own tax return if their income exceeds the thresholds. This could lead to additional paperwork and potential tax liabilities. Furthermore, failing to report the child’s income correctly could result in penalties or interest on unpaid taxes. It's always best to ensure compliance with tax regulations to avoid any issues down the line.

Common mistakes

Failing to include the correct Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) for both the parent and child. This can lead to delays or rejections.
Not checking the box if more than one form FTB 3803 is attached. Omitting this step can create confusion for tax authorities.
Incorrectly reporting the child’s income. Parents often mix up taxable and tax-exempt interest, leading to inaccurate totals.
Forgetting to add up the child’s interest and dividend income correctly. This can result in skipped lines or incorrect calculations.
Not understanding the income limits. If the total is $9,500 or more, parents must file a separate return for the child, which many overlook.
Ignoring the specific instructions for nominees. If the child received income as a nominee, it must be clearly indicated, or it will be included incorrectly.
Leaving out the necessary forms. Parents sometimes forget to attach the FTB 3803 to their Form 540 or Long Form 540NR, which is crucial for processing.
Misunderstanding the tax calculation on the first $1,900 of income. Parents often miscalculate the tax owed, especially when determining if it’s less than $950.
Not filing on time. Late submissions can result in penalties, so it’s important to be aware of deadlines.
Failing to keep copies of all submitted forms. Parents should always retain copies for their records, in case of future inquiries or audits.

Documents used along the form

The California 3803 form is used by parents to elect to report their child's interest and dividend income on their own tax return. This can simplify the tax process for families where the child meets specific criteria. In addition to the California 3803 form, there are several other forms and documents that are commonly used in conjunction with it. Below is a brief description of each of these documents.

Form 540: This is the California Resident Income Tax Return. Parents use this form to report their income, deductions, and tax liability for the year. It is essential for filing the California 3803 form, as it must be attached to the Form 540 when submitted.
Form 540NR: This is the California Nonresident or Part-Year Resident Income Tax Return. Similar to Form 540, this form is used by individuals who do not qualify as full-time residents of California. Parents who are nonresidents or part-year residents may use this form to report their income and attach the California 3803.
Form 8814: This is the Parents’ Election to Report Child’s Interest and Dividends for federal tax purposes. While the California 3803 is for state taxes, Form 8814 allows parents to report their child's income on their federal tax return. Parents may choose to file this form if they also want to report their child's income federally.
Schedule CA (540 or 540NR): This is used to make adjustments to income for California tax purposes. Parents will use this schedule to report any differences between federal and California income, including amounts reported on the California 3803 form.
Form FTB 1131: This is the Privacy Notice for California tax forms. It provides information about how the California Franchise Tax Board collects, uses, and protects taxpayer information. While not directly related to the 3803, it is important for understanding privacy rights when submitting tax forms.

Each of these documents plays a role in ensuring that parents can accurately report their child's income while complying with both state and federal tax regulations. Understanding these forms and how they interconnect can help streamline the tax filing process for families.

Similar forms

The California Form 3803 is specifically designed for parents who want to report their child's interest and dividend income on their tax return. Here are nine other documents that share similarities with the California 3803 form:

Federal Form 8814: This form allows parents to report their child's interest and dividends on their federal tax return. Like the 3803, it simplifies the tax process for parents by consolidating their child's income into their own return.
California Form 540: This is the standard resident income tax return form for California. It serves as the primary document where parents report their income, including any amounts from Form 3803.
California Form 540NR: Similar to Form 540, this form is for non-residents or part-year residents of California. It also allows parents to report their child's income through Form 3803.
Federal Form 1040: This is the main federal income tax form. Parents may report their child's income on this form using Form 8814, akin to how they use Form 3803 for California taxes.
Form 1099-INT: This form reports interest income. Parents may use it to determine the amounts they need to report on Form 3803, just as they would for Form 8814.
Form 1099-DIV: This form reports dividends received. It is essential for parents when calculating their child’s income for Form 3803, similar to its role in federal reporting.
California Schedule CA (540): This form is used to make adjustments to income for California tax purposes. It works in conjunction with Form 3803 for reporting child income.
California Schedule D: This schedule is for reporting capital gains and losses. If a child has capital gains, parents must consider how these are reported, similar to the instructions on Form 3803.
California Form FTB 1131: This form provides a privacy notice for taxpayers. While not directly related to income reporting, it is important for understanding the privacy implications of filing Form 3803.

Dos and Don'ts

When filling out the California 3803 form, there are several important dos and don'ts to keep in mind. Following these guidelines will help ensure that you complete the form correctly and avoid potential issues.

Do enter your child’s name and Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) accurately.
Do ensure that your child qualifies under the age and income requirements specified in the form instructions.
Do report all interest and dividend income received by your child, including tax-exempt amounts separately.
Don't include any amounts received by your child as a nominee in the totals reported on the form.
Don't forget to file a separate form for each child whose income you are reporting.
Don't neglect to check the box if you are attaching more than one form FTB 3803.

Misconceptions

Here are five common misconceptions about the California 3803 form:

Only children under 18 can be reported. Many believe that only children under 18 qualify for the California 3803 form. In reality, children under 19 or under 24 and full-time students can also be reported.
Parents must report all income from the child. Some think that parents must report all types of income from their child. However, the form is specifically for reporting interest and dividend income only.
Filing the 3803 form means the child doesn’t need to file a return. It’s a misconception that filing this form completely exempts the child from filing their own tax return. If the child's income exceeds certain limits, they will still need to file their own return.
The 3803 form can be filed regardless of the child's income. Some believe they can file the form no matter how much income the child has. In fact, the child’s total income must be less than $9,500 for the form to be applicable.
Only married parents can use the 3803 form. Many think that only married couples can report their child's income using this form. However, single parents who have custody can also qualify to file the form.

Key takeaways

Filling out and using the California Form 3803 is essential for parents wishing to report their child's interest and dividend income on their tax return. Here are key takeaways regarding the process:

Eligibility Criteria: The child must be under age 19 or under age 24 and a full-time student to qualify for the election.
Income Reporting: Parents can report their child's income if it consists solely of interest and dividends and does not exceed $9,500.
Form Attachment: Form 3803 must be attached to the parent's Form 540 or Long Form 540NR when filing the tax return.
Multiple Forms: If reporting for more than one child, a separate Form 3803 must be completed for each child.
Tax Calculation: The tax on the first $1,900 of the child's income is calculated in Part II of the form, with specific lines for determining the tax amount.
Nominee Income: If the child receives income as a nominee, it should not be included in the total reported on Form 3803.
Joint Filers: Parents filing jointly can report their child's income, while those filing separately must have the higher taxable income to qualify.
Custodial Parent Requirement: The custodial parent has the right to make the election if they meet the necessary criteria, including custody arrangements.
Tax Deductions: Parents cannot claim any deductions that the child would be entitled to if filing independently.