540: California Resident Income Tax Return (2025)
California · FTB · Used for tax years 2025
Form 540 is the California Resident Income Tax Return for 2025. It reports income, California adjustments, deductions, credits, taxes, withholding, and other payments to calculate overpaid tax or tax due.
What you'll need
Have these forms and details available, as applicable:
- Federal Form W-2: Line 12 asks for state wages from box 16.
- Federal Form 1040 or 1040-SR: Line 13 asks for federal adjusted gross income from line 11b.
- Schedule CA (540): Used for California income adjustments and California itemized deductions.
- Forms 592-B and/or 593: Used for withholding reported on line 73.
- 2025 California estimated tax and other payment amounts: Reported on line 72.
- Personal and dependent details: Names, Social Security numbers or ITINs where requested, dates of birth for you and your spouse/RDP, addresses, and dependents’ relationships to you.
- Bank account details for direct deposit: Routing number, account number, account type, and deposit amount.
The form directs you to attach Schedule P (540) for alternative minimum tax and when claiming more than two credits. It also says to check the instructions to find out whether to attach a complete copy of your federal tax return.
How to file
Complete your identifying information, filing status, income, deductions, tax, credits, and payments. Sign the return on Side 6. If filing jointly, both spouses/RDPs must sign.
If you owe an amount, mail to:
FRANCHISE TAX BOARD
PO BOX 942867
SACRAMENTO CA 94267-0001
Enclose any payment, but do not staple it. Do not send cash. For online payment information, visit ftb.ca.gov/pay.
If you have a refund or no amount due, mail to:
FRANCHISE TAX BOARD
PO BOX 942840
SACRAMENTO CA 94240-0001
Common mistakes
- Leaving use tax blank: Line 91 says not to leave it blank. If it is zero, check the applicable box for no use tax owed or use tax paid directly to CDTFA.
- Including yourself or your spouse/RDP as a dependent: Line 10 specifically says not to do this.
- Overlooking the deduction warning: For line 18, stop and see the instructions if you are married/RDP filing separately or checked the dependent box on line 6.
- Entering incorrect direct deposit details: Verify the routing and account numbers, and use whole dollars only. Do not attach a voided check or deposit slip.
- Sending cash or stapling a payment: The form prohibits both.
- Missing signatures: Sign on Side 6. Both spouses/RDPs must sign a joint return. The form warns that forging a spouse’s/RDP’s signature is unlawful.
- Overlooking the federal return attachment reminder: Check the instructions to determine whether a complete federal return must be attached.
Questions people ask
Can I split my refund between two bank accounts?
Yes. The form allows direct deposit into one or two checking or savings accounts. Enter the routing number, account number, account type, and deposit amount for each account used.
Can I apply my overpaid tax to next year’s estimated tax?
Yes. On the 2025 return, line 98 lets you enter the amount from line 97 that you want applied to your 2026 estimated tax.
Does Medicare count as qualifying health care coverage?
The form states that Medicare Part A or C is qualifying health care coverage. Check the line 92 box if you and your household had full-year health care coverage. If you do not check it, the form directs you to the instructions.
Can I let another person discuss my return with the Franchise Tax Board?
Yes. Side 6 asks whether you want to allow another person to discuss the return and provides spaces for the third-party designee’s name and telephone number. It directs you to the instructions for details.