BILL NUMBER: AB 895 AMENDED
AMENDED IN ASSEMBLY MAY 9, 2011
INTRODUCED BY Assembly Members Halderman and Portantino
FEBRUARY 17, 2011
An act to add and repeal Section 17053.90 of the Revenue and
Taxation Code, relating to taxation, to take effect immediately, tax
LEGISLATIVE COUNSEL'S DIGEST
AB 895, as amended, Halderman. Personal income tax: credit:
The Personal Income Tax Law authorizes various credits against the
taxes imposed by that law.
This bill would authorize a credit against those taxes for each
taxable year beginning on or after January 1, 2012, and before
January 1, 2017, in an amount equal to 25% of the value of
qualified emergency medical services, as
defined, personally provided by a qualified taxpayer
physician and surgeon, as specified, during the
This bill would take effect immediately as a tax levy.
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. Section 17053.90 is added to the Revenue and Taxation
Code, to read:
17053.90. (a) For each taxable year beginning on or after January
1, 2012, and before January 1, 2017, there shall be allowed as a
credit against the "net tax," as defined in Section 17039, an amount
equal to 25 percent of the value of qualified
emergency medical services personally provided by a
qualified taxpayer during physician and surgeon who is
licensed by the Medical Board of California or the Osteopathic
Medical Board of California, and who is eligible to
receive reimbursement for those emergency medical services under
Article 2.5 (commencing with Section 1797.98a) of the Health and
Safety Code, but has not received reimbursement for those services
for the taxable year.
(b) For purposes of this section:
(1) "Emergency medical services" has the same meaning as
"emergency services and care" as that term is defined in subdivision
(a) of Section 1317.1 of the Health and Safety Code.
(2) "Local community clinic" means a community clinic or free
clinic as defined in subparagraphs (A) and (B) of paragraph (1) of
subdivision (a) of Section 1204 of the Health and Safety Code.
(3) "Qualified medical services" means medical services provided
by a qualified taxpayer free of charge or at a reduced rate at a
local community clinic, or emergency medical services provided by a
qualified taxpayer free of charge or at a reduced rate in an
emergency department of a general acute care hospital licensed
pursuant to Section 1250 of the Health and Safety Code.
(4) "Qualified taxpayer" means a physician or surgeon licensed by
the Medical Board of California or the Osteopathic Medical Board of
(b) The amount of credit allowed to any
qualified taxpayer a physician and surgeon by
this section shall not exceed five thousand dollars ($5,000) per
(c) (1) The value of medical services provided shall be
determined according to the usual, reasonable, and customary rate as
described in Section 1300.71(a)(3)(B) of Title 28 of the California
Code of Regulations.
(2) In the case of medical services being provided at a reduced
rate, the amount used to calculate the value of the qualified medical
services provided shall be the difference between the value of the
medical services provided, as determined by paragraph (1), and the
reduced rate charged.
(2) The amount of the tax credit shall be based on a reasonable
physician fee, as defined in Section 1300.71(a)(3)(B) of Title 28 of
the California Code of Regulations.
(d) No other credit or deduction shall be allowed by
this part for any amount for which a credit is claimed under this
(f) The local community clinic or general acute care hospital, as
described in this section, shall provide documentation to the
qualified taxpayer regarding the value of services provided, as
(e) The facility in which the services
were rendered, as describe d in subdivision (f) of Section
1797.98e of the Health and Safety Code, shall provide documentation
to the physician and surgeon regarding the value of
services provided, as prescribed by this section.
(f) To receive a tax credit, a physician and surgeon shall submit
his or her claim for emergency medical services provided to a
patient, who did not make a payment for services and for whom a
responsible third party did not make a payment.
(g) If the credit allowed by this section exceeds the "net tax"
for the taxable year, the excess may be carried over to reduce the
"net tax" for the succeeding eight taxable years, or until the credit
has been exhausted, whichever occurs first.
(h) This section shall remain in effect only until December 1,
2017, and as of that date is repealed. However, any unused credit may
continue to be carried forward, as provided in subdivision (g).
SEC. 2. This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.
CORRECTIONS Text--Page 3.