Publication 87, Guide to the California Timber Yield Tax
Keeping Records
This page gives general information on the recordkeeping requirements of the Timber Yield Tax Law. For more detailed information, refer to Regulation 1031, Records.
Maintaining adequate records
You must maintain adequate and complete records that will back up your timber yield tax returns and make them available to CDTFA upon request. Your records need to show all of the following:
- The contractual or financial agreements related to the ownership and logging of your trees
- The locations of the trees cut
- Wood product volumes
- The basis for computing harvest values
The timber industry customarily uses a variety of items to record this information. Your records may include the following:
- Financial books (ledgers and journals)
- Income tax returns
- Complete harvest plans
- Timber sale contracts
- Bills, receipts, invoices, statements, worksheets, and summaries
- Check stubs
- Scale tickets
- Appraisal notes
- Property maps
- Any other document used in preparing your timber tax return or that can substantiate your return
Records on microfilm or in electronic format
You may maintain your records on microfilm or in an electronic format, provided they meet certain requirements. For more information, refer to Regulation 1031, Records,or contact CDTFA’s Timber Tax Program.
Record retention period
You must generally maintain records for a period of four years from the due date of your quarterly tax return, or the date the return was filed, whichever is later.
If you do not maintain records
If you do not keep and maintain complete and accurate records, CDTFA may consider that as evidence of negligence or intent to evade the timber tax. As previously mentioned, you may be subject to penalties and prosecution.
Revision August 2026