Steve Bradford
- Democratic
- Senator
- District 35
Author
The Personal Income Tax Law and the Corporation Tax Law authorize various credits against the taxes imposed by those laws. The Sales and Use Tax Law, in lieu of specified credits allowed under the Personal Income Tax Law and the Corporation Tax Law, allows a qualified taxpayer or affiliate to make an irrevocable election to apply that income tax credit amount against qualified sales and use taxes imposed on the qualified taxpayer in the reporting periods in the 5 years following the reporting period for which the claimant was required to file its most recent sales and use tax return, as specified. Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives the tax expenditure will achieve, detailed performance indicators, and data collection requirements. This bill would allow a credit against the personal income and corporate income taxes for each taxable year beginning on or after January 1, 2020, and before January 1, 2021, to a qualified small business employer that receives a tentative credit reservation, in an amount equal to $1,000 for each net increase in qualified employees, not to exceed one $100,000 for any qualified small business employer. The bill would authorize a qualified small business employer that received a tentative credit reservation to irrevocably elect to apply the credit against qualified sales and use taxes imposed on the qualified small business employer in reporting periods commencing on January 1, 2021, and until April 30, 2026, as specified. The bill would require a qualified small business employer to submit an application to the California Department of Tax and Fee Administration for a tentative credit reservation under these provisions that includes, among other things, whether the qualified small business employer is making the irrevocable election, and would require the department to allocate the credit reservations on a first-come, first-served basis, not to cumulatively exceed $100,000,000. This bill would create the Small Business Hiring Credit Fund in the State Treasury for the sole purpose of applying the credits allowed by the bill against qualified sales and use taxes and would require any unused money remaining in the fund to be transferred to the General Fund by June 1, 2026. This bill would also include additional information required for any bill authorizing a new tax expenditure. This bill would take effect immediately as a tax levy.
Chaptered by Secretary of State. Chapter 41, Statutes of 2020.
Approved by the Governor.
Enrolled and presented to the Governor at 2 p.m.
Assembly amendments concurred in. (Ayes 36. Noes 0.) Ordered to engrossing and enrolling.
Assembly Rule 63 suspended.
In Senate. Concurrence in Assembly amendments pending.
Read third time. Passed. (Ayes 76. Noes 0. Page 5465.) Ordered to the Senate.
Read second time. Ordered to third reading.
Re-referred to Com. on REV. & TAX. pursuant to Assembly Rule 77.2.
From committee: Do pass. (Ayes 10. Noes 1.) (August 30).
Joint Rule 62(a) suspended.
(Corrected August 29).
Read third time and amended.
Ordered to third reading.
Joint Rule 61(b)(17) suspended. (Ayes 62. Noes 0. Page 5255.)
Ordered to third reading.
From consent calendar on motion of Assembly Member Limón.
(Corrected August 19).
Read second time. Ordered to consent calendar.
From committee: Do pass. Ordered to consent calendar. (Ayes 11. Noes 0.) (August 12).
Coauthors revised.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on JUD.
July 30 hearing postponed by committee.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on JUD.
July 22 hearing postponed by committee.
In Assembly. Read first time. Held at Desk.
Read third time. Passed. (Ayes 39. Noes 0. Page 3687.) Ordered to the Assembly.
Ordered to special consent calendar.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 7. Noes 0. Page 3559.) (May 19).
Set for hearing May 19.
Withdrawn from committee.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on E., U. & C.
From printer. May be acted upon on or after March 25.
Read first time.
Introduced. To Com. on RLS. for assignment. To print.
| Bill Text Versions | Format |
|---|---|
| SB1447 | HTML |
| 02/21/20 - Introduced | |
| 05/05/20 - Amended Senate | |
| 07/27/20 - Amended Assembly | |
| 08/06/20 - Amended Assembly | |
| 08/27/20 - Amended Assembly | |
| 09/04/20 - Enrolled | |
| 09/09/20 - Chaptered |
| Document | Format |
|---|---|
| No related documents. |
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