California
Primary-source verified Elect
Entity-level tax
$46,500
9.30% flat
Federal deduction
$17,205
State credit captured
$39,525
Net benefit
+$13,764
- Election deadline
- Election made on a timely-filed original return (including extensions) by filing Form FTB 3804 with the entity return. Required initial prepayment due June 15 of the taxable year; for the 2026 election, that prepayment must be the greater of 50% of prior-year PTE tax or $1,000.
- Election form
- Form FTB 3804 (Pass-Through Entity Elective Tax Calculation); Form FTB 3893 (PTE Elective Tax Payment Voucher)
- Owner credit
- non-refundable — Nonrefundable credit equal to qualified taxpayer's pro rata share of tax paid; unused credit carries forward up to 5 years. If the June 15 prepayment is missed or short, the taxpayer's PTE credit is reduced by 12.5% of their pro rata share of the unpaid amount.
- Composite interaction
- stacks
- §199A QBI base reduction
- Yes — estimated offset $3,441