BILL NUMBER: AB 764 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 27, 2011
AMENDED IN ASSEMBLY APRIL 12, 2011
INTRODUCED BY Assembly Member Swanson
(Coauthor: Assembly Member Donnelly)
FEBRUARY 17, 2011
An act to add and repeal Article 10 (commencing with Section
18809) of Chapter 3 of Part 10.2 of Division 2 of the Revenue and
Taxation Code, relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
AB 764, as amended, Swanson. Personal income taxes: voluntary
contributions: Victim-Witness Assistance Fund
Child Victims of Human Trafficking Fund .
Existing law relating to the administration of personal income
taxes authorizes individual taxpayers to contribute amounts in excess
of their tax liability for the support of specified funds or
accounts.
This bill would allow an individual taxpayer to designate on the
tax return, that a specified amount in excess of the tax liability be
transferred to the Victim-Witness Assistance Fund
Child Victims of Human Trafficking Fund established
in the State Treasury .
This bill would provide that all moneys contributed to the fund,
upon appropriation by the Legislature, be allocated to the Franchise
Tax Board and the Controller for reimbursement of costs, as provided,
and to the California Emergency Management Agency, which would
administer the funds granted to community-based organizations that
serve minor victims of human trafficking, as provided.
This bill would provide that these voluntary contribution
provisions are repealed on either January 1 of the 5th taxable year
following the taxable year the fund first appears on the personal
income tax return or on January 1 of an earlier calendar year, if the
Franchise Tax Board estimates that the annual contribution amount
will be less than $250,000, or an adjusted amount, as specified, for
subsequent taxable years.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Article 10 (commencing with Section 18809) is added to
Chapter 3 of Part 10.2 of Division 2 of the Revenue and Taxation
Code, to read:
Article 10. Victim-Witness Assistance Fund
Child Victims of Human Trafficking Fund
18809. (a) Any individual may designate on the tax return that a
contribution in excess of the tax liability, if any, be made to the
Victim-Witness Assistance Fund established by Section
13835.7 of the Penal Code. Child Victims of Human
Trafficking Fund established by Section 18809.1. That designation is
to be used as a voluntary contribution on the tax return.
(b) The contributions shall be in full dollar amounts and may be
made individually by each signatory on a joint return.
(c) A designation under subdivision (a) shall be made for any
taxable year on the original return for that taxable year, and once
made, shall be irrevocable. In the event that payments and credits
reported on the return, together with any other credits associated
with the individual's account, do not exceed the individual's tax
liability, the return shall be treated as though no designation has
been made.
(d) If an individual designates a contribution to more than one
account or fund listed on the tax return, and the amount available is
insufficient to satisfy the total amount designated, the
contribution shall be allocated among the designees on a pro rata
basis.
(e) When another voluntary contribution designation is removed
from the tax return, the Franchise Tax Board shall revise the form of
the return to include a space labeled "Victim-Witness
Assistance Fund" "Child Victims of Human Trafficking
Fund" to allow for the designation permitted under subdivision
(a). The form shall also include in the instructions information that
the contribution may be in the amount of one dollar ($1) or more and
that the contribution shall be used to fund community-based
organizations that serve minor victims of human trafficking,
in accordance with the selection process provided in subdivision (b)
of Section 13837 of the Penal Code. trafficking that
meet the standards described in Section 13837 of the Penal Code and
that agree to use the funds to provide services to minors,
who are victims of human trafficking.
(f) A deduction shall be allowed under Article 6 (commencing with
Section 17201) of Chapter 3 of Part 10 for any contribution made
pursuant to subdivision (a).
18809.1. There is in the State Treasury the Child Victims of
Human Trafficking Fund to receive contributions made pursuant to
Section 18809. The Franchise Tax Board shall notify the
Controller of both the amount of money paid by taxpayers in excess of
their tax liability and the amount of refund money that taxpayers
have designated pursuant to Section 18809 to be transferred to the
Victim-Witness Assistance Fund Child Victims
of Human Traffickin g Fund . The Controller shall
transfer from the Personal Income Tax Fund to the Victim-Witness
Assistance Fund an amount not in excess of the sum of the amounts
designated by individuals pursuant to Section 18809 for payment into
that fund.
18809.2. All money transferred to the Victim-Witness
Assistance Fund Child Victims of Human Trafficking
Fund , upon appropriation by the Legislature, shall be
allocated as follows:
(a) To the Franchise Tax Board and the Controller only for
reimbursement of all costs incurred by the Franchise Tax Board and
the Controller in connection with their duties under this article.
(b) To community-based organizations that serve minor victims of
human trafficking. The money in the Victim-Witness Assistance Fund
shall be allocated to community-based organizations in accordance
with the selection process provided in subdivision (b) of Section
13837 of the Penal Code.
(b) To the California Emergency Management Agency, which will
administer the funds granted to the community-based organizations
that meet the standards described in Section 13837 of the Penal Code
and that agree to use the funds to provide services to minors, who
are victims of human trafficking.
18809.3. (a) Except as otherwise provided in subdivision (b),
this article shall remain in effect only until January 1 of the fifth
taxable year following the first appearance of the
Victim-Witness Assistance Fund Child Victims of Human
Trafficking Fund on the personal income tax return, and as of
that date is repealed, unless a later enacted statute, that is
enacted before the applicable date, deletes or extends that date.
(b) (1) By September 1 of the second calendar year and each
subsequent calendar year that the Victim-Witness Assistance
Fund Child Victims of Human Trafficking Fund
appears on the tax return, the Franchise Tax Board shall do
all both of the following:
(A) Determine the minimum contribution amount required to be
received during the next calendar year for the fund to appear on the
tax return for the taxable year that includes that next calendar
year.
(B) Provide written notification to the State Department of Social
Services of the amount determined in subparagraph (A).
(C)
(B) Determine whether the amount of contributions
estimated to be received during the calendar year will equal or
exceed the minimum contribution amount determined by the Franchise
Tax Board for the calendar year pursuant to subparagraph (A). The
Franchise Tax Board shall estimate the amount of contributions to be
received by using the actual amounts received and an estimate of the
contributions that will be received by the end of that calendar year.
(2) If the Franchise Tax Board determines that the amount of the
contributions estimated to be received during a calendar year will
not at least equal the minimum contribution amount for the calendar
year, this article is repealed with respect to taxable years
beginning on or after January 1 of that calendar year.
(3) For purposes of this section, the minimum contribution amount
for a calendar year means two hundred fifty thousand dollars
($250,000) for the second calendar year after the first appearance of
the Victim-Witness Assistance Fund Child
Victims of Human Trafficking Fund on the personal income tax
return or the adjusted minimum contribution amount adjusted pursuant
to subdivision (c).
(c) For each calendar year, beginning with the third calendar year
after the first appearance of the Victim-Witness Assistance
Fund Child Victims of Human Trafficking
Fund on the personal income tax return, the Franchise Tax Board
shall adjust, on or before September 1 of that calendar year, the
minimum contribution amount specified in subdivision (b) as follows:
(1) The minimum estimated contribution amount for the calendar
year shall be an amount equal to the product of the minimum estimated
contribution amount for the calendar year multiplied by the
inflation factor adjustment as specified in subparagraph (A) of
paragraph (2) of subdivision (h) of Section 17041, rounded off to the
nearest dollar.
(2) The inflation factor adjustment used for the calendar year
shall be based on the figures for the percentage change in the
California Consumer Price Index for all items received on or before
August 1 of the calendar year pursuant to paragraph (1) of
subdivision (h) of Section 17041.
(d) Notwithstanding the repeal of this article, any contribution
amounts designated pursuant to this article prior to its repeal shall
continue to be transferred and disbursed in accordance with this
article as in effect immediately prior to that repeal.