SB 375

  • California Senate Bill
  • 2023-2024 Regular Session
  • Introduced in Senate Feb 09, 2023
  • Senate
  • Assembly
  • Governor

Employment: employer contributions: employee withholdings: COVID-19 regulatory compliance credit.

Abstract

The Personal Income Tax Law imposes taxes on taxable income, as provided. Under existing law, every employer who pays wages to a resident employee for services performed either within or without this state, or to a nonresident employee for services performed in this state, is required to deduct and withhold from those wages, except as provided, for each payroll, a tax computed in an amount substantially equivalent to the amount reasonably estimated to be due under the Personal Income Tax Law. Under existing law, every employer required to withhold those taxes is required to, for each calendar quarter, file a withholding report, a quarterly return, and a report of wages in a form prescribed by the Employment Development Department, and pay over the taxes required to be withheld. This bill would authorize an employer to claim, for the 2023 and 2024 calendar years, a COVID-19 regulatory compliance credit in a specified amount. The bill would require the credit to be claimed on the employer's last quarterly return, as described, for the relevant calendar year. The bill would require any amount claimed by an employer to be credited against employee personal income tax withholding amounts required to be remitted to the department for the last quarter of the relevant calendar year. This bill would provide that its provisions do not change the amount of personal income taxes required to be withheld from employees and required to be reported to the employee, the department, the Franchise Tax Board, and the Internal Revenue Service. The bill would specify that its provisions do not require additional taxes to be paid by the employee or otherwise alter the employee's tax liability under the Personal Income Tax Law. The bill would state that it is the intent of the Legislature that the operation of the bill's provisions not require an appropriation of moneys by reducing moneys remitted by the employer to the department that would otherwise be deposited in the General Fund. This bill would authorize the department to adopt rules and regulations that are necessary or appropriate to implement the bill. The bill would repeal its provisions on December 1, 2025.

Bill Sponsors (5)

Votes


Actions


Feb 01, 2024

Senate

Returned to Secretary of Senate pursuant to Joint Rule 56.

May 18, 2023

Senate

May 18 hearing: Held in committee and under submission.

May 12, 2023

Senate

Set for hearing May 18.

May 08, 2023

Senate

May 8 hearing: Placed on APPR suspense file.

May 01, 2023

Senate

Set for hearing May 8.

Apr 26, 2023

Senate

From committee: Do pass and re-refer to Com. on APPR. (Ayes 3. Noes 1. Page 897.) (April 26). Re-referred to Com. on APPR.

  • Committee-Passage
  • Committee-Passage-Favorable
  • Referral-Committee
Com. on APPR.

Apr 13, 2023

Senate

Set for hearing April 26.

Feb 22, 2023

Senate

Referred to Com. on L., P.E. & R.

  • Referral-Committee
Com. on L., P.E. & R.

Feb 10, 2023

Senate

From printer. May be acted upon on or after March 12.

Feb 09, 2023

Senate

Introduced. Read first time. To Com. on RLS. for assignment. To print.

Bill Text

Bill Text Versions Format
SB375 HTML
02/09/23 - Introduced PDF

Related Documents

Document Format
04/25/23- Senate Committee on Labor, Public Employment and Retirement PDF
05/05/23- Senate Appropriations PDF

Sources

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