Getting Started with Lead-Acid Battery Fees

If you are a dealer, manufacturer, or importer of lead-acid batteries sold in California or you purchase replacement lead-acid batteries in California, you will be affected by one or both lead-acid battery fees. For the purposes of this guide, a dealer of lead-acid batteries is referred to as a retailer.

Depending on your business operations, you may be required to register for both types of lead-acid battery fee accounts.

Retailers that sell new replacement lead-acid batteries at retail in California are required to register for, collect, file, and pay the California battery fee to the California Department of Tax and Fee Administration (CDTFA). Retailers may retain 1.5 percent of the California battery fee collected from consumers as reimbursement for their costs of collection. Amounts collected from consumers for this fee are not subject to sales or use tax. Retailers that import batteries into California, purchased from manufacturers that are not subject to the jurisdiction of California, are required to register for, file, and pay the manufacturer battery fee.

Manufacturers or Importers that sell lead-acid batteries to a dealer, wholesaler, distributor or other person for retail sale in California or sell directly to consumers, are required to register for, file, and pay the manufacturer battery fee to CDTFA. Manufacturers that make retail sales of lead-acid batteries in California are also required to register for, collect, file, and pay the California battery fee to CDTFA.

Manufacturers without jurisdiction in California who agree in writing with the importers to pay the manufacturer battery fee on behalf of the importers must register, file, and pay the fee to CDTFA. Importers are still required to register and file with CDTFA even when there is an agreement in writing for a manufacturer to pay the fee on their behalf.

If you make retail sales of lead-acid batteries in California, you will also need a seller's permit or certificate of registration – use tax account with CDTFA.

Registration

Register online with us for a lead-acid battery fee account(s), a seller's permit, or any other permit, license, or account with CDTFA, visit our Online Services webpage for a list of information you may need to complete your registration.

Filing Returns

Retailers and manufacturers (or importers) that sell lead-acid batteries in California are required to electronically file a separate return for the California battery fee and/or manufacturer battery fee, as appropriate, on a quarterly basis with CDTFA. The lead-acid battery fee returns are separate from the sales and use tax return or other returns or reports you may have with CDTFA. Lead-acid battery fee returns are due on the last day of the month following the reporting period. You must file a return even if no amount is owed.

File a Return Online – File your return through our online services homepage. Log in using your username and password and select the account for which you wish to file a return. Then select the File a Return link for the filing period you wish to file and follow the prompts.

Note: If you do not have a username and password, select the Sign Up Now link under the Create a Username heading from the online services homepage.

Visit our Tutorials page for how to file your Lead Acid Battery returns through our online services.

Returns must be received by the due date to be considered timely, even if no amount is owed. If the due date falls on a Saturday, Sunday, or state holiday, returns received by the next business day will be considered timely.

Changes to your 2022 returns

Your California battery fee and manufacturer battery fee returns are now updated to reflect the new rates as follows:

Yearly filers – Your online return will be split into two reporting periods for calendar year 2022. One section is for the $1.00 rate (January 1, 2022, to March 31, 2022), and the other is for the $2.00 rate (April 1, 2022, to December 31, 2022). This is a one-time change.

Quarterly filers – File your quarterly return as usual.  Any adjustments for returned merchandise or fee-paid purchases resold prior to April 1, 2022, must be made by filing an amended return or filing a claim for refund for the applicable period. You may not make these adjustments for periods prior to April 1, 2022, on your returns after April 1, 2022.

Amended Returns

Retailers and manufacturers may file an amended return online by using the following steps:

  • Login on CDTFA's secure website with your Username and Password.
  • Select the account for which you want to submit an amended return for under the "Accounts" tab.
  • Under the "Recent Periods" tab select the period for which you want to submit an amended return.
  • Under the "I Want To" column select "File, Amend, or Print a Return".
  • Under the "I Want To" column select "Amend Return".
  • Complete the online tax return with your amended figures.
  • Select "Next".
  • Follow the screen prompts to complete the submission process.

If you are unable to amend your return electronically, use the following steps:

  • Write "AMENDED RETURN" at the top of the return.
  • Write in the correct information that should have been reported on the original return. Use a different color ink to distinguish from the original information if you are using a copy of a previously filed return.
  • Attach a cover letter explaining the changes made to the original return.
  • Make a copy of the amended return for your records.
  • Mail all documents, including any additional payment owed, to:
    California Department of Tax and Fee Administration
    PO Box 942879
    Sacramento, CA 94279-7072

If the amended return results in an overpayment, the amended return will be treated as a claim for refund.

Payments

Make a Payment – Make payments through our online services homepage. Log in using your username and password and select the account for which you wish to make a payment. Select the More link under the I Want To section. Then select the Make a Payment link and follow the prompts.

Additional Payment Options – Visit our website for additional convenient payment methods.

Electronic Funds Transfer (EFT) - Taxpayers with an estimated average monthly fee liability of $20,000 or more are required to pay amounts due by electronic funds transfer (EFT). We will notify you in writing if you are required to pay your fees electronically. Please visit our Electronic Funds Transfer (EFT) - Frequently Asked Questions (FAQ's) for payment methods and payment deadline information.

Payments must be received or postmarked by the due date to be considered timely. If the due date falls on a Saturday, Sunday or state holiday, payments postmarked or received by the next business day will be considered timely.

Fee Rates

Please visit our Tax and Fee Rates page to view the fee rates.

Recordkeeping

Records must be retained for at least four years from the time the fee is due unless CDTFA gives you written authorization to destroy them sooner. For additional information regarding record retention, please view Regulation 4901.

Manufacturers & Importers -Recordkeeping requirements for manufacturers without jurisdiction in California who agree in writing with the importer to pay the manufacturer battery fee on the importer's behalf can be found on the Manufacturers Section.

Updating Your Business Information with CDTFA

Update Business Information Online – Update your business information through our online services homepage. Log in using your username and password and select the account for which you want to update. Select the More link under the I Want To section. Then select the option you are requesting to update under Account Maintenance.

Additional Business Update Options – You may also notify us of any changes by:

  • Using form CDTFA-345-SP, Notice of Business Change, Special Taxes and Fees Accounts, or
  • Contacting our Customer Service Center at 1-800-400-7115 (CRS: 711) and selecting the option for "Special Taxes and Fees," or
  • Sending a message through our website at Email Your Tax Questions.