3807: Local Agency Military Base Recovery Area Deduction and Credit Summary (2025)
California · FTB · Used for tax years 2025
California Form 3807 summarizes Local Agency Military Base Recovery Area (LAMBRA) hiring and sales or use tax credit carryovers, along with net operating loss carryovers and deductions. It also reports the portion of a business attributable to a former LAMBRA and calculates credi
What you'll need
The 2025 form asks for these details and amounts:
- Your name as shown on your California tax return, identifying number, and entity type.
- The LAMBRA business name, actual business address, and name of the LAMBRA where the business or investment activity is located.
- The business's six-digit Principal Business Activity Code, employee count in the LAMBRA, gross annual receipts, and total asset value.
- Worksheet I figures for apportionment and, for individuals, trade or business income.
- Worksheet II figures for the LAMBRA net operating loss (NOL) carryover and deduction.
- Prior-year hiring and sales or use tax credit carryover amounts, and tax amounts from your California return.
- Credit assignment amounts from Form FTB 3544, Part A, column (g), where applicable in Schedule Z.
How to file
Attach Form FTB 3807 to your California tax return.
Complete Schedule Z on Side 2 before completing Part I. Use the referenced Worksheet I figures for Part II and Worksheet II figures for Part III.
The supplied form does not provide a mailing address or e-file directions.
Common mistakes
- Do not complete Part I before Schedule Z. The form specifically says to complete Schedule Z first.
- For individuals completing Schedule Z, enter the amount from Worksheet I, Section B, line 14, column (c), on both line 1 and line 3, and skip line 2.
- In Schedule Z, Part II, the credit carryover used on Schedule P in column (f) cannot exceed either column (d) or column (e).
- Do not omit the attachment: Form FTB 3807 says to attach it to your California tax return.
Questions people ask
What does LAMBRA stand for?
LAMBRA stands for Local Agency Military Base Recovery Area.
Which credit carryovers appear on this form?
Part I reports hiring credit carryover and sales or use tax credit carryover claimed on the current-year tax return. Schedule Z computes the credit carryover limitations.
What percentage do I enter if my operation is entirely within the former LAMBRA?
Part II says the average apportionment percentage is 100% (1.00) if your operation is wholly within the former LAMBRA.
Where do I report the LAMBRA NOL deduction used this year?
Enter it on Form FTB 3807, Part III, line 3b, using Worksheet II, line 9, column (c). The form also directs you to enter it on the applicable return or schedule: Schedule CA (540), Part I, Section B, line 9b3, column B; Schedule CA (540NR), Part II, Section B, line 9b3, column B; Form 100 or 100W, line 20; Form 100S, line 18; or Form 109, line 6.