Centralized Revenue Opportunity System (CROS)

What is CROS?

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The Centralized Revenue Opportunity System (CROS) replaces the California Department of Tax and Fee Administration (CDTFA) legacy computer systems with an innovative customer-centered solution.

We anticipate this new solution will maximize the effectiveness of staff operations, generate additional revenue, and provide efficiencies that will benefit California businesses with:

  • Expanded online services for customers
  • Providing better access to customer-centric records
  • Improving program processes
  • Developing a more effective case-management system
  • Creating a system that is more intuitive and user-friendly
  • Establishing a data warehouse
  • Creating business intelligence capability

Project Lifecycle

As we continue progress on the CROS solution, this section provides regular status updates with a brief description of the current phase, our most recent achievements, and the next anticipated milestone.

Project Status: Implementation – Release 2 User Acceptance Testing

The CDTFA is working to configure CROS to meet California business taxpayer's needs. The solution will increase transparency by enabling taxpayers to access their account information online.

Tax and fee programs administered by CDTFA will be incorporated into the new solution using a phased in approach. The first tax and fee programs went live in May 2018.

Release 1 – May 7, 2018:

  • Sales & Use Tax
  • Cigarette Retailer License Fee
  • Covered Electronic Waste Recycling Fee
  • Lumber Products Assessment
  • California Tire Fee
  • Prepaid MTS Surcharge
  • Cigarette & Tobacco Internet Purchases

Release 2 – August 2019:

  • Alcoholic Beverage Tax
  • Cigarette and Tobacco Products Tax
  • Cigarette and Tobacco Products Licensing (Distributors, Importers, Manufacturers, Wholesalers)
  • Fuel Taxes (Aircraft Jet Fuel, Diesel Fuel, including Interstate User Diesel Fuel Tax, International Fuel Tax Agreement (IFTA), Motor Vehicle Fuel, and Alternative Use Fuel)
  • Oil Spill Response, Prevention & Administration Fees
  • Timber Yield Tax
  • Underground Storage Tank Maintenance Fee

Additional tax and fee programs will be incorporated into our new system in 2020. During the transition, our online services website directs you to the correct login page based on the account type.

What's New:

  • The project is conducting usability studies to obtain feedback from tax and feepayers. If you are interested in participating, email CROS.
  • In mid-January 2019, staff from the CDTFA will begin testing release 2 of the system to ensure it is functioning as designed.

If you would like to know more about the project, please visit our resources page or contact us

CROS: A Customer-Centered Solution

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California Businesses will benefit with:

  • A single registration for multiple tax and fee programs
  • Access to more information that can be used to improve business operations
  • Return filing assistance which helps reduce errors
  • Expanded online services with increased account maintenance capabilities, including: access to real-time account information and the ability to track and obtain correspondence with the CDTFA.

CDTFA will benefit with:

  • Faster and easier implementation of new legislation or program changes
  • Greater efficiencies through streamlined business processes
  • Automation of manual program processes with real-time access to customer information

External Partners (Federal, State and Local) will benefit with:

  • Improved access to internal CDTFA data
  • Improved tools and methods for analyzing and reporting data

Benefits-Based Contracting

While IT modernization can improve compliance and collections for state revenue agencies, recent budget constraints have made it increasingly difficult to fund new IT projects. Fortunately, we are able to finance the CROS project using revenue generated by and attributed to the new system.

This compensation strategy, called Benefits-Based Contracting, has been successfully employed by the Franchise Tax Board (FTB), Employment Development Department (EDD), and multiple state revenue agencies throughout the country, including:

  • Hawaii
  • Missouri
  • Kansas
  • South Carolina
  • Virginia
  • Texas
  • New Jersey
  • New York

CROS Project Resources

Here you can access project documents, such as the Request for Proposal (RFP), the Special Project Report (SPR), the Feasibility Study Report (FSR), and previous Board Meeting reports from the CROS Project Director.

Request for Proposal (RFP)

The Request for Proposal contains the preliminary requirements of the CROS system and reflects our general strategy and short/long term goals for the project. The RFP serves as the CDTFA's official solicitation of bids from Technology Contractors to build the CROS system.

Approved by the Department of General Services on July 1, 2013.

Special Project Report (SPR)

A Special Project Report (SPR) was developed to realign the project schedule with the (Procurement) Key Action dates stated in the CROS RFP, Section I. The SPR established a new schedule, resource, and cost baseline for the project. The SPR was approved by the Department of Technology on February 28, 2014.

Feasibility Study Report (FSR)

The Feasibility Study Report details our initial project objectives and proposed solution to replace our antiquated legacy computer systems, the Integrated Revenue Information System (IRIS) and the Automated Compliance Management System (ACMS).

Submitted to the California Technology Agency on May 23, 2011

CROS – Frequently Asked Questions (FAQs)

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Accounts registered for any of the following tax and fee programs were transitioned into the new system in May 2018:

  • Sales & Use Tax
  • Cigarette and Tobacco Retailer's License Fee
  • Lumber Products Assessment
  • Prepaid Mobile Telephony Services (MTS) Surcharge
  • Covered Electronic Waste Recycling (eWaste) Fee
  • California Tire Fee
  • Cigarette & Tobacco Internet Purchases

These accounts are eligible to file all current returns and associated schedules online.

The tax and fee programs listed below will be transitioned into the new online system in August 2019:

  • Alcoholic Beverage Tax
  • Cigarette and Tobacco Products Tax
  • Cigarette and Tobacco Products Licensing (Distributors, Manufacturers, Importers, and Wholesalers)
  • Fuel Taxes (Aircraft Jet Fuel, Diesel Fuel, including Interstate User Diesel Fuel Tax, International Fuel Tax Agreement (IFTA), Motor Vehicle Fuel, and Alternative Use Fuel)
  • Oil Spill Response, Prevention and Administration Fees
  • Timber Yield Tax
  • Underground Storage Tank Maintenance Fee

Additional CDTFA administered tax and fee programs will be incorporated into our new system in 2020.

No. Your prior online services profile (User ID and Password) will not transition into the new system. You will need to Sign Up for a Username and Password.

No. Your filing basis will remain the same.

  • File returns, schedules, and reports
  • Make a payment
  • Print a permit or license
  • View account balance
  • Maintain your contact information
  • Request relief of penalty and interest
  • File an appeal or claim for refund
  • And more!

Yes, all tax and fee programs will have full access to all online services including filing returns and we will no longer mail paper returns.