BILL NUMBER: AB 2085	CHAPTERED  09/29/06

	CHAPTER  607
	FILED WITH SECRETARY OF STATE  SEPTEMBER 29, 2006
	APPROVED BY GOVERNOR  SEPTEMBER 29, 2006
	PASSED THE ASSEMBLY  AUGUST 21, 2006
	PASSED THE SENATE  AUGUST 16, 2006
	AMENDED IN SENATE  AUGUST 7, 2006
	AMENDED IN ASSEMBLY  APRIL 4, 2006

INTRODUCED BY   Assembly Member Parra

                        FEBRUARY 17, 2006

   An act to amend Section 18707 of the Revenue and Taxation Code,
relating to taxation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2085, Parra  Income taxes: designations: California Military
Family Relief Fund.
   Under existing Personal Income Tax Law, taxpayers are allowed to
designate on their tax returns that a specified amount in excess of
their tax liability be transferred to the California Military Family
Relief Fund. Upon appropriation by the Legislature, the moneys in
this fund are to be allocated to the Military Department to provide
financial aid grants to eligible members of the California National
Guard who are California residents, who have been called to active
duty for at least 100 consecutive days, and whose military salary has
decreased by 30% or more from the member's civilian salary.
   This bill would instead require a member to have been called to
active duty for at least 60 consecutive days, and would require
either that the member's salary, combined with any ongoing partial
receipt of civilian salary, to have decreased by 10% or more from the
member's civilian salary, or the household income of the member's
family to have decreased by 10% or more from the member's household
income prior to deployment, in order for the member to be eligible to
receive a grant.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 18707 of the Revenue and Taxation Code is
amended to read:
   18707.  All money transferred to the California Military Family
Relief Fund, upon appropriation by the Legislature, shall be
allocated as follows:
   (a) To the Franchise Tax Board and the Controller for
reimbursement of all costs incurred by the Franchise Tax Board and
the Controller in connection with their duties under this article.
   (b) (1) To the Military Department for the establishment of
financial aid grants to members of the California National Guard who
are California residents, who have been called to active duty. The
Military Department shall establish eligibility criteria for the
grants.
   (2) In addition to criteria established by the Military Department
pursuant to paragraph (1), members of the California National Guard
who are California residents shall show proof of all of the following
to be eligible to receive a grant:
   (A) Membership in the California National Guard.
   (B) Residency in California.
   (C) Deployment to active duty for at least 60 consecutive days.
   (D) The military salary of the member, combined with any ongoing
partial receipt of civilian salary, has decreased by 10 percent or
more from the member's civilian salary, or the household income of
the member's family has decreased by 10 percent or more from the
member's household income prior to deployment.
   (3) Grants awarded pursuant to this article may only be used for
any of the following: food, housing, child care, utilities, medical
services, medical prescriptions, insurance, and vehicle related
payments.
   (4) Members of the California National Guard who are California
residents may not be eligible to receive a grant if the member
receives a punitive discharge or an administrative discharge with
service characterized as under other than honorable conditions.