CA Tax & Accounting Services
Kurt Simmons CPA provides comprehensive tax and financial services to individuals and businesses throughout California (CA). With its tech innovation hub with complex state tax requirements, we understand the unique financial landscape that comes with doing business in California.
Under the CPA Mobility Act, our CPA — licensed in Maryland, Delaware, and Florida — is authorized to provide the full range of attestation, tax, and advisory services to California clients without the need for an additional state license. This means California individuals and businesses receive the same comprehensive service as our home-state clients: financial statement audits, tax strategy, IRS representation, virtual CFO services, and every other service we offer — delivered through our technology-forward, virtual-first practice model.
CPA Services Available in California (CA)
CA Individual Tax Preparation
Comprehensive federal and California state tax return preparation, including complex returns with investments, rental properties, and self-employment income.
Learn More →CA Business Tax Services
Tax preparation and planning for California-based businesses including S-Corps, C-Corps, partnerships, LLCs, and sole proprietorships.
Learn More →CA Cryptocurrency Tax
Specialized crypto tax services for California investors and traders. DeFi, NFTs, staking rewards, and exchange reporting handled with expertise.
Learn More →CA Trader Tax Services
Mark-to-market elections, wash sale tracking, and tax optimization strategies for active traders in California.
Learn More →CA IRS Resolution
Professional representation before the IRS for California taxpayers facing audits, collections, liens, levies, or offers in compromise.
Learn More →CA 83(b) Elections
Equity compensation planning and 83(b) election filing for California startup employees and founders receiving restricted stock.
Learn More →CA Financial Statement Audits
Full-scope GAAS-compliant financial statement audits for businesses, nonprofits, and organizations requiring independent assurance.
Learn More →CA Review Engagements
Limited assurance engagements providing meaningful confidence in financial statements for lender requirements and stakeholder reporting.
Learn More →CA Compilations
Professionally prepared financial statements from management-provided data for internal reporting, small business needs, and bank presentations.
Learn More →CA Agreed-Upon Procedures
Targeted, customized engagements designed to address specific areas of concern with flexible scope tailored to stakeholder needs.
Learn More →CA Employee Benefit Plan Audits
DOL-compliant audits for 401(k), pension, and employee benefit plans meeting ERISA filing requirements and fiduciary obligations.
Learn More →CA Tax Strategy & Advisory
Proactive, year-round tax planning that identifies savings opportunities. Entity structure optimization, multi-state planning, and strategic initiatives.
Learn More →CA Cost Segregation Studies
Engineering-based analysis to accelerate depreciation deductions on commercial and residential rental properties, maximizing cash flow.
Learn More →CA Virtual CFO Services
Fractional CFO capabilities including financial modeling, cash flow management, KPI dashboards, and strategic financial leadership.
Learn More →CA Business Consulting
Operational assessments, process improvement, internal control design, and strategic planning to drive efficiency and profitability.
Learn More →CA Estate & Succession Planning
Comprehensive estate planning, business succession strategies, and wealth transfer optimization for business owners and high-net-worth individuals.
Learn More →CA Capital Markets Advisory
Securities compliance, FINRA regulatory guidance, and capital markets advisory for businesses navigating public offerings, private placements, and broker-dealer requirements.
Learn More →California Audit Services in Detail
California businesses, nonprofits, and benefit plan sponsors typically need an independent audit when state law, federal rules, lenders, grantmakers, or boards require external assurance. We perform GAAS-compliant attest engagements scoped to the specific assurance need — most commonly:
California Nonprofit Audits (Nonprofit Integrity Act)
Under California Government Code §12586(e) — the Nonprofit Integrity Act — charities registered with the California Attorney General's Registry of Charitable Trusts are required to obtain audited financial statements when gross revenue equals or exceeds $2,000,000 (excluding government grants). The audit accompanies the annual RRF-1 filing. Audited statements are also routinely expected by the California Endowment, the California Wellness Foundation, the Conrad N. Hilton Foundation, and major institutional grantmakers across the state.
California 401(k) & Employee Benefit Plan Audits
California plan sponsors filing Form 5500 generally require an ERISA-compliant audit when the plan has 100 or more participants with account balances at the start of the plan year — the participant-counting rule effective post-SECURE 2.0. We perform full-scope and §103(a)(3)(C) limited-scope benefit plan audits for 401(k), 403(b), and defined-benefit plans across California, including plans sponsored by Bay Area technology companies, Los Angeles entertainment firms, San Diego biotech, and statewide healthcare systems.
California Single Audits (Uniform Guidance)
California nonprofits, municipalities, and pass-through subrecipients that expend $1,000,000 or more in federal awards in a fiscal year (the OMB threshold for fiscal years beginning on or after October 1, 2024) are subject to the Single Audit requirements of 2 CFR Part 200. We perform Uniform Guidance Single Audits, including major-program testing, internal control work, and preparation of the Schedule of Expenditures of Federal Awards (SEFA).
California Lender, Bonding & Investor Audits
California banks, surety companies, and venture capital and private equity investors frequently require audited financial statements as a condition of credit facilities, surety capacity, or capital raises. We deliver audited financials on the timeline lenders, bonding agents, and institutional investors need.
California Reviews & Compilations
Where a full audit is not required, we deliver review engagements (limited assurance) and compilations (no assurance) — both routinely accepted by California lenders for smaller credit facilities, by acquirers in CA M&A diligence, and by stakeholders requiring CPA-prepared financial statements.
California (CA) Tax & Business Landscape
Key California Tax Numbers. Personal income tax: graduated, with a top marginal rate of 12.3%, plus an additional 1% Mental Health Services Tax on taxable income above $1,000,000 — for an effective top rate of 13.3%, the highest state income tax in the United States. Corporate income tax: 8.84% (regular C-corps); 1.5% on S-corp net income (in addition to federal flow-through). Minimum franchise tax: $800 per year for virtually every California LLC, S-corp, partnership, and C-corp — including formed-but-inactive entities. Sales and use tax: 7.25% state minimum, with local add-ons commonly bringing the total to 8.5%–10.75%. Estate tax: California has no state estate tax. Pass-through entity (PTE) elective tax: 9.3% under AB 150, available since tax year 2021 with corresponding owner-level credit on Form 540 — a critical SALT-cap workaround.
Filing Mechanics. Individuals file Form 540 (residents) or 540NR (nonresidents and part-year residents). C-corporations file Form 100; S-corps file Form 100S. LLCs file Form 568 (with the $800 LLC tax plus any LLC fee on California-source income). Partnerships file Form 565. The PTE election is made on Form 3804 with payments via Form 3893. Returns are administered by the California Franchise Tax Board (FTB).
Residency & Exit Planning. California uses a multi-factor residency analysis (the "Bragg factors") plus a domicile test. The FTB conducts aggressive residency audits — particularly around major liquidity events. Income from CA sources (wages earned in CA, real estate, S-corp/LLC interests, deferred compensation, certain intangibles tied to CA business) generally remains taxable to nonresidents. We routinely advise on California exit planning — pre-departure RSU/options strategy, sale-of-business timing, and trust structuring.
California Economy & Who We Serve. California is the world's fifth-largest economy, anchored by technology and venture capital (Silicon Valley/Bay Area), entertainment and media (Hollywood/LA), biotechnology and life sciences (San Diego, San Francisco), aerospace and defense (LA, Mojave, Edwards AFB), agriculture (Central Valley), and a massive real estate sector. Our typical CA clients include tech founders and executives with equity compensation, VC professionals, crypto investors and active traders, real estate syndicators, healthcare professionals, and clients planning a California exit.
CPA Mobility in California. California has adopted CPA mobility provisions under the Uniform Accountancy Act, allowing CPAs in active good standing in another U.S. jurisdiction to provide tax, advisory, and (subject to applicable firm-level requirements) attest services to California clients without obtaining a separate California individual license. Kurt Simmons holds active CPA licenses in Maryland, Delaware, and Florida, and we confirm all applicable California Board of Accountancy mobility and firm registration requirements before commencing any engagement.
Cities and Communities We Serve. Our virtual-first practice serves clients across all of California, including Los Angeles (entertainment, media, real estate, aerospace), San Francisco (technology, venture capital, financial services), San Diego (biotech, defense, life sciences), San Jose and the broader Bay Area (technology), Sacramento (state government, healthcare), Oakland and the East Bay, Long Beach, Fresno (agriculture), Bakersfield (energy), Anaheim, the Inland Empire (Riverside-San Bernardino), Orange County, the Central Coast, and every California county.
Why California Clients Choose Us
- GAAS-compliant audit, review, and compilation experience for nonprofits, benefit plans, and privately held businesses
- Deep expertise in CA-specific issues: AB 150 PTE elections, $800 minimum franchise tax planning, AB 5 contractor classification, and California exit/residency planning
- Capital markets background — Kurt Simmons has passed the Series 65 examination (Passed; not currently held as an active license) in addition to holding the CPA
- Specialized practices in cryptocurrency taxation, active trader tax (mark-to-market, wash sales), and 83(b) elections for CA startup employees
- Technology-forward, virtual-first delivery — secure client portal, e-signature, and video consultations
- Transparent, fixed-fee engagements where possible — no surprise hourly invoices
California CPA — Frequently Asked Questions
Do I need a California-licensed CPA, or can an out-of-state CPA handle my CA tax and audit work?
California has adopted CPA mobility provisions under the Uniform Accountancy Act, which means a CPA in active good standing in another U.S. jurisdiction is generally authorized to provide tax, advisory, and attest services to California clients without holding a separate California individual license. Kurt Simmons holds active CPA licenses in Maryland, Delaware, and Florida, and we confirm any applicable firm-level California Board of Accountancy registration before commencing attest engagements.
What is California's income tax rate, and when is the CA return due?
California has a graduated personal income tax with a top marginal rate of 12.3%, plus an additional 1% Mental Health Services Tax on taxable income above $1,000,000, for an effective top rate of 13.3% — the highest state income tax in the United States. Form 540 (residents) or 540NR (nonresidents and part-year residents) is due April 15, with a six-month automatic extension.
Does my California LLC really owe the $800 franchise tax even if it had no income?
Yes. The $800 minimum annual franchise tax applies to virtually every California LLC, S-corporation, limited partnership, and C-corporation registered to do business in California — regardless of income or activity, including newly formed and inactive entities. LLCs with California-source income above certain thresholds also owe an additional graduated LLC fee.
Does California have a SALT-cap workaround for partnerships and S-corps?
Yes. AB 150 created an elective Pass-Through Entity Tax (PTE) effective for tax year 2021. Eligible S-corps and partnerships pay 9.3% at the entity level on qualified net income, and owners receive a corresponding credit on Form 540. The election is made on Form 3804 with payments via Form 3893.
I'm trying to move out of California. What do I need to know about residency?
California uses a multi-factor residency analysis (the "Bragg factors") and the Franchise Tax Board conducts aggressive residency audits, particularly around major liquidity events. Key issues: timing the move ahead of any sale/exit, establishing genuine non-CA domicile (driver's license, voter registration, days in new state), and understanding that CA-source income (wages, real estate, S-corp/LLC interests, deferred compensation) typically remains taxable to nonresidents. We provide pre-departure California residency planning.
When does my California nonprofit need an audit?
Under California's Nonprofit Integrity Act (Government Code §12586(e)), charities registered with the California Attorney General are required to obtain audited financial statements when gross revenue equals or exceeds $2,000,000 (excluding government grants). The audit accompanies the RRF-1 annual filing. Federal Single Audit requirements under 2 CFR Part 200 apply separately when federal award expenditures exceed $1,000,000.
Do you serve California clients outside Los Angeles, San Francisco, and San Diego?
Yes. Our practice is virtual-first, so we serve clients in every California county and community — including San Jose, Sacramento, Oakland, Long Beach, Fresno, Bakersfield, Anaheim, the Inland Empire, Orange County, the Central Coast, and Northern California — with the same level of access and service.