5 Signs You Need a CPA (Not Just a Tax Preparer) for FTB Issues

Introduction: Not All Tax Professionals Are Created Equal

If you're dealing with a serious tax issue — especially with the California Franchise Tax Board (FTB) — your first instinct might be to call the person who prepares your taxes each year.

But here’s the truth:

When the FTB is involved, a tax preparer often isn't enough.

In this guide, we’ll walk through 5 clear signs that your situation requires the expertise of a licensed CPA, not just a tax preparer or enrolled agent.

If you live in Orange County and have FTB notices piling up, this post is your signal to stop waiting — and hire a CPA to resolve California FTB tax issues before collections begin.

✅ Sign #1: You’ve Received a Notice of Proposed Assessment or Lien

If the FTB has issued:

• A Notice of Proposed Assessment (NPA)
• A Demand for Tax Return
• A Franchise Tax Lien or bank levy notice

You’re already in enforcement territory. A CPA can:

• Review your full account transcript
• File a protest or appeal
• Submit missing or corrected returns
• Negotiate a resolution before collections escalate

👉 What Happens If You Ignore FTB Notices

A seasonal preparer or part-time tax pro likely lacks the authority, strategy, or systems to handle this — and may not understand how the FTB collects tax debt or how to stop it before it gets worse.

✅ Sign #2: You Owe More Than $10,000 in California Tax Debt

Once your FTB balance exceeds $10,000:

• A lien may be filed
• The debt becomes enforceable by levy
• You lose access to certain licenses or financing options

At this point, your strategy matters. A CPA:

• Knows how to build a Reasonable Collection Potential (RCP) profile
• Can prepare a complete Offer in Compromise or Installment Agreement
• Communicates directly with FTB analysts and collection officers

👉FTB Offer in Compromise: How the State Evaluates Your Ability to Pay

Tax preparers may know how to file forms — but they don't negotiate settlements that can reduce penalties with professional representation and improve your chances of a favorable outcome.

✅ Sign #3: You’re Facing Garnishment, Levy, or Suspension

The FTB can:

• Garnish your wages
• Levy your bank accounts
• Suspend your business or LLC
• Refer your case to the Secretary of State for forfeiture

A CPA can:

• Request a levy release or hold
• Submit hardship documentation
• File the right reinstatement forms
• Communicate with FTB legal and collections departments directly

👉 How to Stop an FTB Bank Levy Before It Starts

Without the right help, you could avoid triggering aggressive enforcement actions simply by addressing the issue early with proper representation.

✅ Sign #4: You Haven’t Filed in Several Years

If you haven’t filed California taxes for 3+ years, or have received a Demand for Tax Return, the FTB may:

• Assess taxes based on Substitute Returns
• Add penalties and interest
• Refer the balance to collections

A CPA will:

• Reconstruct your tax years using FTB and IRS transcripts
• File corrected returns to reduce or reverse balances
• Create a compliance strategy for resolution

👉 How to Get Back Into Compliance with the FTB (Non-Filers Guide)

This goes far beyond H&R Block or TurboTax and requires you to choose the right local representation for your case to ensure the FTB works with you instead of against you.

✅ Sign #5: You’re a Business Owner or Independent Contractor

If you operate a:

• Sole proprietorship
• LLC
• S corporation
• Or earn 1099 income

You’re subject to:

• Franchise tax minimums
• Quarterly estimated payments
• EDD or CDTFA enforcement
• Potential business suspension

A CPA understands the complex rules around:

• Business expenses
• State apportionment
• Multi-state tax compliance
• Corporate tax filings (Form 100, 568)

👉 What to Do If the FTB Is Targeting Your Business

Your cousin who “does taxes on the side” is not equipped for this.

💼 Why CPAs Offer More Than Tax Preparers

✅ CPAs can represent you at every level — from audit to appeal.

🧭 How Boulanger CPA Helps Orange County Taxpayers

We work with clients across Irvine, Santa Ana, Anaheim, Fullerton, and surrounding areas:

• Resolve FTB notices and collections
• File late or amended returns
• Submit Offers in Compromise
• Stop garnishments and levies
• Defend against FTB audits and business suspensions

📞 Call 657-218-5700
🌐 www.orangecounty.cpa

📣 About the Author

Marc Boulanger, CPA is the founder of Boulanger CPA and Consulting PC, a boutique tax resolution firm based in Orange County, California and trusted by high-income individuals and business owners across Southern California.

He is the author of Defend What’s Yours: A California Taxpayer’s Guide to Beating the IRS and FTB at Their Own Game, available now on Amazon. The book offers a step-by-step plan for resolving IRS and FTB tax debt without losing your business, your home, or your peace of mind.

With over a decade of experience resolving high-stakes IRS and State tax matters, Marc brings strategic insight to complex cases involving wage garnishments, bank levies, unfiled returns, and six-figure tax debts. He is known for helping clients reduce or eliminate tax liabilities through expertly negotiated settlements and compliance plans.

Marc is a Certified Public Accountant licensed in California and Oklahoma and holds the designation of Certified Tax Representation Consultant. He is a member of the American Society of Tax Problem Solvers (ASTPS) — the national organization founded by the educators and practitioners who have trained thousands of CPAs, EAs, and tax attorneys in IRS representation strategy.

Every case is handled with discretion, proven methodology, and direct CPA-led representation — not call center scripts.

📍 Learn more at www.orangecounty.cpa or call (657) 218-5700.