Bill Monning
- Democratic
Author
The Personal Income Tax Law allows various credits against the taxes imposed by that law, including certain credits that are allowed in modified conformity to credits allowed by federal income tax laws. Federal income tax laws allow a refundable earned income tax credit for certain low-income individuals who have earned income from specified sources and who meet certain other requirements. The Personal Income Tax Law, for taxable years beginning on or after January 1, 2015, in modified conformity with federal income tax laws, allows an earned income credit against personal income tax, and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability, to an eligible individual in an amount determined in accordance with federal law as applicable for federal income tax purposes for the taxable year, multiplied by the earned income tax credit adjustment factor, as specified. Existing law creates the Tax Relief and Refund Account, which is continuously appropriated, and provides that required payments to be made to taxpayers or other persons from the Personal Income Tax Fund are to be paid from that account, including amounts allowable as an earned income credit in excess of any tax liability. The Personal Income Tax Law provides that the amount of the credit is calculated as a percentage of the eligible individual's earned income and is phased out above a specified amount as income increases. Under existing law, the credit percentage and the phaseout percentage is based on the number of qualifying children of the eligible individual. Existing law provides, in modified conformity with federal income tax law, in the case of an eligible individual with 3 or more qualifying children, for taxable years beginning before January 1, 2016, the credit percentage and phaseout percentage is 45%, and for taxable years beginning on or after January 1, 2016, the credit percentage and phaseout percentage is the same as for an eligible individual with 2 or more children, which is 40%. This bill, for taxable years beginning on and after January 1, 2016, would instead provide that, in the case of an eligible individual with 3 or more qualifying children, the credit percentage and phaseout percentage is 45%, thereby increasing the credit percentage and the phaseout percentage for those eligible individuals for taxable years beginning on and after January 1, 2016. By increasing the allowable credit amount, this bill would authorize new payments from the Tax Relief and Refund Account for additional amounts in excess of personal income tax liabilities, thereby making an appropriation.
Chaptered by Secretary of State. Chapter 722, Statutes of 2016.
Approved by the Governor.
Enrolled and presented to the Governor at 5 p.m.
Assembly amendments concurred in. (Ayes 39. Noes 0. Page 5531.) Ordered to engrossing and enrolling.
From committee: That the Assembly amendments be concurred in. (Ayes 7. Noes 0. Page 5500.)
Set for hearing August 29.
From committee: Be re-referred to Com. on GOV. & F. pursuant to Senate Rule 29.10(d). (Ayes 5. Noes 0. Page 5448.) Re-referred to Com. on GOV. & F.
Re-referred to Com. on RLS. pursuant to Senate Rule 29.10(d).
In Senate. Concurrence in Assembly amendments pending.
Read third time. Passed. (Ayes 78. Noes 0. Page 6275.) Ordered to the Senate.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 9. Noes 0.) (August 23).
Read third time and amended. (Ayes 73. Noes 0. Page 5969.)
Re-referred to Com. on REV. & TAX. pursuant to Assembly Rule 77.2.
Ordered to third reading.
Read second time. Ordered to third reading.
Read second time and amended. Ordered to second reading.
From committee: Do pass as amended. (Ayes 11. Noes 0.) (August 11).
August 3 set for first hearing. Placed on APPR. suspense file.
From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (June 28). Re-referred to Com. on APPR.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on E.S. & T.M.
In Assembly. Read first time. Held at Desk.
Read third time. Passed. (Ayes 33. Noes 2. Page 4103.) Ordered to the Assembly.
Read second time and amended. Ordered to third reading.
From committee: Do pass as amended. (Ayes 5. Noes 0. Page 4002.) (May 27).
Set for hearing May 27.
May 23 hearing: Placed on APPR. suspense file.
Set for hearing May 23.
May 16 hearing postponed by committee.
Set for hearing May 16.
Read second time and amended. Re-referred to Com. on APPR.
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0. Page 3642.) (April 20).
From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.
From printer. May be acted upon on or after March 18.
Introduced. Read first time. To Com. on RLS. for assignment. To print.
| Bill Text Versions | Format |
|---|---|
| SB1073 | HTML |
| 02/16/16 - Introduced | |
| 03/28/16 - Amended Senate | |
| 04/26/16 - Amended Senate | |
| 05/31/16 - Amended Senate | |
| 06/21/16 - Amended Assembly | |
| 08/15/16 - Amended Assembly | |
| 08/19/16 - Amended Assembly | |
| 09/02/16 - Enrolled | |
| 09/27/16 - Chaptered |
| Document | Format |
|---|---|
| No related documents. |
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