AI Franchise Tax Correspondence Agent

How Cassidy automates using AI

Step 1: Trigger on new correspondence

The Workflow activates when a franchise tax notice arrives—whether scanned from mail, forwarded as a PDF, pulled from a state portal, or received via registered agent. Cassidy normalizes the document and prepares it for processing.

Step 2: Classify jurisdiction and notice type

Cassidy identifies the issuing authority (Texas Comptroller, California FTB, Delaware Division of Corporations) and categorizes the notice—PIR/OIR deficiency, demand for return, penalty assessment, or annual report reminder—then assigns a confidence score and routes to the appropriate playbook.

Step 3: Extract critical data and compute deadlines

The Workflow pulls key fields: taxpayer number, entity identifiers, tax period, response due date, and required submission channel. Cassidy calculates working-day deadlines with holiday adjustments and creates calendar entries with escalation triggers.

Step 4: Verify authorization and POA status

Cassidy checks whether a valid Power of Attorney is on file for the jurisdiction. If missing, the Workflow prepares and queues the appropriate authorization form (e.g., Texas Form 01-137, CA FTB 3520-BE) before proceeding.

Step 5: Draft and assemble response package

Using jurisdiction-specific templates, Cassidy drafts the required filing—PIR or OIR corrections, franchise tax report amendments, reasonable-cause abatement requests, or protest letters—and merges entity metadata, officer lists, and statutory citations.

Step 6: Submit through the correct channel

The Workflow files responses via the appropriate method: portal upload to TX Webfile or MyFTB, certified mail with tracking, or fax where required. Cassidy attaches supporting documents and captures confirmation numbers.

Step 7: Track status and escalate as needed

Cassidy monitors for agency acknowledgments, follow-up letters, and status changes (forfeiture lifted, suspension revoked, good standing restored). If no response arrives within the expected window, the Workflow triggers follow-up actions and logs all contact attempts.

Step 8: Close out and update compliance calendar

Once resolved, Cassidy generates a complete audit trail—notice copies, filed forms, confirmations, and agency determinations—delivers a client summary memo, and updates the compliance calendar with future filing reminders to prevent recurrence.