California New Employment Credit Booklet

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3554 Booklet is obsolete, and is no longer supported by the California Department of Revenue.

New Employment Credit Booklet
2019 Form 3554 - New Employment CreditCALIFORNIA FORM

TAXABLE YEAR

2019

3554

New Employment Credit

Attach to your California tax return.

 SSN or ITIN    CA Corporation no.   FEIN

Name(s) as shown on your California tax return

California Secretary of State (SOS) file number

 SSN or ITIN    CA Corporation no.   FEIN

Name of taxpayer generating the credit. See instructions.

California Secretary of State (SOS) file number

A. Did the business receive a tentative reservation for all claimed employees?
	  Yes	  	 If no, stop. See instructions.
B. Principal Business Activity Code of the business
C. Previous taxable year’s gross receipts
Part I

Net Increase in Full-Time Employees

Section A – Enter your base year     . See Part I instructions for base year rules.
Complete Section A to calculate the total number of annual full-time equivalents working in California during the base year. See Part I, instructions for
base year rules.
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1
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Number of full-time hourly and salaried employees that were employed for the entire taxable year. . . . . . . . . . . . . . . . . . . . .
Number of full-time hourly employees that were employed for less than 52 weeks during the taxable year. . . . . . . . . . . . . . .
Total number of hours worked by employees in line 2 (not to exceed 2,000 hours per employee). . . . . . . . . . . . . . . . . . . . . .
Divide line 3 by 2000. See instructions  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 
Number of full-time salaried employees that were employed for less than 52 weeks during the taxable year. . . . . . . . . . . . . .
Total number of weeks worked by employees in line 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Divide line 6 by 52. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Base year annual full-time equivalents. Add lines 1, 4 and 7. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Section B – Taxable year 2019.
Complete Section B to calculate the total number of annual full-time equivalents in California during the current taxable year.
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Number of full-time hourly and salaried employees that were employed for the entire taxable year. . . . . . . . . . . . . . . . . . . . .
Number of full-time hourly employees that were employed for less than 52 weeks during the taxable year. . . . . . . . . . . . . . .
Total number of hours worked by employees in line 10 (not to exceed 2,000 hours per employee). . . . . . . . . . . . . . . . . . . . .
Divide line 11 by 2000. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Number of full-time salaried employees that were employed for less than 52 weeks during the taxable year. . . . . . . . . . . . . .
Total number of weeks worked by employees in line 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Divide line 14 by 52. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Current year annual full-time equivalents. Add lines 9, 12 and 15. See instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Part II  Available Credit
17 Net increase in full-time employees. Subtract line 8 from line 16. If the amount on line 17 is zero
	
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or less, stop, you do not qualify. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18 Total qualified full-time employees. See instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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19 Applicable percentage. Divide line 17 by line 18 (not to exceed 1.0000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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20 Tentative credit. See instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 	
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21 Credit generated. Multiply line 20 by line 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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22 Pass-through new employment credit(s) from Schedule K-1 (100S, 541, 565, or 568). See instructions. . . . . . . . . . . . . . . . 	 22
23 Credit carryover from prior year. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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24 Total available new employment credit. Add line 21, line 22, and line 23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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25a Credit claimed. Enter the amount of the credit claimed on the current year tax return. See instructions.
	
	(Do not include any assigned credit claimed on form FTB 3544, Part B.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  25a
b	Total credit assigned. Enter the total amount from form FTB 3544, Part A, column (g).
If you are not a corporation, enter -0-. See instructions.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  25b
26 Credit carryover available for future years. Add line 25a and line 25b, subtract the result from line 24. . . . . . . . . . . . . . . . . 
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Part III  Credit Recapture
27 Credit recapture. See instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

For Privacy Notice, get FTB 1131 ENG/SP.

8431193

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FTB 3554  2019  Side 1

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Extracted from PDF file 2019-california-3554-booklet.pdf, last modified November 2019

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More about the California 3554 Booklet Corporate Income Tax

We last updated the New Employment Credit Booklet in May 2021, and the latest form we have available is for tax year 2019. This means that we don't yet have the updated form for the current tax year. Please check this page regularly, as we will post the updated form as soon as it is released by the California Franchise Tax Board. You can print other California tax forms here.

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Other California Corporate Income Tax Forms:

TaxFormFinder has an additional 174 California income tax forms that you may need, plus all federal income tax forms.

Form Code	Form Name
3805-Z Booklet	Enterprise Zone Business Booklet
Form 3539 (Corp)	Payment for Automatic Extension for Corps and Exempt Orgs Voucher
Form 541 Schedule K-1	Beneficiary's Share of Income, Deductions, Credits, etc.
Form 100-ES	Corporation Estimated Tax Estimated
Form 3537 (LLC)	Payment for Automatic Extension for LLCs Voucher

Download all CA tax forms View all 175 California Income Tax Forms

Form Sources:

California usually releases forms for the current tax year between January and April. We last updated California 3554 Booklet from the Franchise Tax Board in May 2021.

Show Sources >

About the Corporate Income Tax

The IRS and most states require corporations to file an income tax return, with the exact filing requirements depending on the type of company.

Sole proprietorships or disregarded entities like LLCs are filed on Schedule C (or the state equivalent) of the owner's personal income tax return, flow-through entities like S Corporations or Partnerships are generally required to file an informational return equivilent to the IRS Form 1120S or Form 1065, and full corporations must file the equivalent of federal Form 1120 (and, unlike flow-through corporations, are often subject to a corporate tax liability).

Additional forms are available for a wide variety of specific entities and transactions including fiduciaries, nonprofits, and companies involved in other specific types of business.

Historical Past-Year Versions of California 3554 Booklet

We have a total of three past-year versions of 3554 Booklet in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:

2019 3554 Booklet

2019 Form 3554 - New Employment Credit

2018 3554 Booklet

2018 Form 3554 - New Employment Credit Booklet

2017 3554 Booklet

2017 3554 Booklet - New Employment Credit Booklet

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While we do our best to keep our list of California Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.