AB 6,
as amended, Gorell. Income tax credits:begin delete emergency standby generators.end deletebegin insert prewiring for alternative energy sources.end insert
The Personal Income Tax Law and the Corporation Tax Lawbegin delete authorizeend deletebegin insert allowend insert various credits against the taxes imposed by those laws.
This bill wouldbegin delete authorizeend deletebegin insert allowend insert a credit against those taxes for each taxable year beginning on or after January 1,begin delete 2012,end deletebegin insert 2014,end insert and before January 1,begin delete 2017end deletebegin insert
2019end insert, in an amount equal to 50% of the amount paid or incurred during the taxable year, up to $2,500, for thebegin delete purchase andend delete installation ofbegin delete an emergency standby generator,end deletebegin insert prewiring,end insert as defined, at a service station, as defined, located in this state.
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:
It is the intent of this act to provide an incentive
2for a taxpayer that operates a service station tobegin delete purchase and install begin insert install appropriate wiring,
3an emergency standby generatorend delete
P2 1including, but not limited to, a transfer switch that would enable
2the use of an alternative energy source to operate fuel pumps,
3dispensing equipment, payment acceptance equipment, and safety
4systems including, but not limited to, emergency fuel shutend insertbegin insertoff
5systems and fire alarms, end insert at a
service station located in this state
6in order for the service station to be able to continue to maintain
7electrical power to provide services to the public during power
8outages.
begin insertSection 17052.9 is added to the end insertbegin insertRevenue and Taxation
10Codeend insertbegin insert, to read:end insert
(a) For each taxable year beginning on or after
12January 1, 2014, and before January 1, 2019, there shall be
13allowed as a credit against the “net tax,” as defined in Section
1417039, an amount equal to 50 percent of the amount paid or
15incurred during the taxable year for the installation of prewiring
16at a service station located in this state, not to exceed two thousand
17five hundred dollars ($2,500).
18(b) For the purposes of this section:
19(1) “Prewiring” means wiring, including, but not limited to, a
20transfer switch that would enable the use of an alternative energy
21source to operate fuel pumps, dispensing equipment, payment
22acceptance equipment, and safety systems, including, but
not
23limited to, emergency fuel shutoff systems and fire alarms, that
24allows a service station to continue to maintain electrical power
25to provide services to the public during a power outage.
26(2) “Service station” means an establishment that sells to the
27public gasoline or other fuel that powers motor vehicles and that
28is located on a county-designated evacuation route.
29(c) In the case where the credit allowed by this section exceeds
30the “net tax,” the excess may be carried over to reduce the “net
31tax” in the following year, and the seven succeeding years if
32necessary, until the credit is exhausted.
33(d) This section shall remain in effect only until December 1,
342019, and as of that date is repealed.
begin insertSection 23605 is added to the end insertbegin insertRevenue and Taxation
36Codeend insertbegin insert, to read:end insert
(a) For each taxable year beginning on or after
38January 1, 2014, and before January 1, 2019, there shall be
39allowed as a credit against the “tax,” as defined in Section 23036,
40an amount equal to 50 percent of the amount paid or incurred
P3 1during the taxable year for the installation of prewiring at a service
2station located in this state, not to exceed two thousand five
3hundred dollars ($2,500).
4(b) For the purposes of this section:
5(1) “Prewiring” means wiring, including, but not limited to, a
6transfer switch that would enable the use of an alternative energy
7source to operate fuel pumps, dispensing equipment, payment
8acceptance equipment, and safety systems, including, but not
9
limited to, emergency fuel shutoff systems and fire alarms, that
10allows a service station to continue to maintain electrical power
11to provide services to the public during a power outage.
12(2) “Service station” means an establishment that sells to the
13public gasoline or other fuel that powers motor vehicles and that
14is located on a county-designated evacuation route.
15(c) In the case where the credit allowed by this section exceeds
16the “tax,” the excess may be carried over to reduce the “tax” in
17the following year, and the seven succeeding years if necessary,
18until the credit is exhausted.
19(d) This section shall remain in effect only until December 1,
202019, and as of that date is repealed.
Section 17053.88 is added to the Revenue and Taxation
22Code, to read:
(a) For each taxable year beginning on or after
24January 1, 2012, and before January 1, 2017, there shall be allowed
25as a credit against the “net tax,” as defined in Section 17039, an
26amount equal to 50 percent of the amount paid or incurred during
27the taxable year for the purchase and installation of an emergency
28standby generator at a service station located in this state, not to
29exceed two thousand five hundred dollars ($2,500) per emergency
30standby generator.
31(b) For purposes of this section:
32(1) “Emergency standby generator” means an electrical
33generator that is rated by the manufacturer to generate at least 30
34kilowatts of electricity and whose sole function is to
automatically
35provide electric power when electric power from a utility service
36is interrupted.
19 37(2)
38“Gross receipts” shall have the same meaning as set forth in
39Section 25120.
21 40(3)
P4 1“Service station” means an establishment that offers for sale
2or
sells to the public, gasoline or other fuel to power motor vehicles
3and is owned by a taxpayer with worldwide gross receipts of less
4than one million dollars ($1,000,000) for any taxable year for
5which the credit authorized by this section is claimed. The gross
6receipts of any trades or businesses that are treated as related under
7Section 267, 318, or 707 of the Internal Revenue Code shall be
8aggregated for purposes of determining worldwide gross receipts
9under this paragraph.
10(c) The depreciable basis of any emergency standby generator
11shall be reduced by the amount of any
credit allowable under this
12section.
13(d) If an emergency standby generator for which a credit is
14allowed pursuant to this section is thereafter sold, returned to the
15vendor, or otherwise removed from service by the taxpayer within
16one year from the date the emergency standby generator was placed
17in service, the amount of credit allowed by this section for the
18purchase and installation of that emergency standby generator shall
19be recaptured by adding that credit amount to the net tax of the
20taxpayer for the taxable year in which the emergency standby
21generator is sold or removed.
3 22(e)
23In the case where the credit allowed by this section exceeds
24the “net tax,” the excess may be carried over to reduce the “net
25tax” in the following year, and the seven succeeding years if
26necessary, until the credit is exhausted.
7 27(f)
28This section shall remain in effect only until December 1, 2017,
29and as of that date is repealed.
Section 23689 is added to the Revenue and Taxation
31Code, to read:
(a) For each taxable year beginning on or after January
331, 2012, and before January 1, 2017, there shall be allowed as a
34credit against the “tax,” as defined in Section 23036, an amount
35equal to 50 percent of the amount paid or incurred during the
36taxable year for the purchase and installation of an emergency
37standby generator at a service station located in this state, not to
38exceed two thousand five hundred dollars ($2,500) per emergency
39standby generator.
40(b) For purposes of this section:
P5 1(1) “Emergency standby generator” means an electrical
2generator that is rated by the manufacturer to generate at least 30
3kilowatts of electricity and whose sole function is to automatically
4
provide electric power when electric power from a utility service
5is interrupted.
25 6(2)
7“Gross receipts” shall have the same meaning as set forth in
8Section 25120.
27 9(3)
10“Service station” means an establishment that offers for sale
11or sells to the public,
gasoline or other fuel to power motor vehicles
12and is owned by a taxpayer with worldwide gross receipts of less
13than one million dollars ($1,000,000) for any taxable year for
14which the credit authorized by this section is claimed. The gross
15receipts of any trades or businesses that are treated as related under
16Section 267, 318, or 707 of the Internal Revenue Code shall be
17aggregated for purposes of determining worldwide gross receipts
18under this paragraph.
19(c) The depreciable basis of any emergency standby generator
20shall be reduced by the amount of any credit allowable
under this
21section.
22(d) If an emergency standby generator for which a credit is
23allowed pursuant to this section is thereafter sold, returned to the
24vendor, or otherwise removed from service by the taxpayer within
25one year from the date the emergency standby generator was placed
26in service, the amount of credit allowed by this section for the
27purchase and installation of that emergency standby generator shall
28be recaptured by adding that credit amount to the tax of the
29taxpayer for the taxable year in which the emergency standby
30generator is sold or removed.
8 31(e)
32In the case where the credit allowed by this section exceeds
33the “tax,” the excess may be carried over to reduce the “tax” in
34the following year, and the seven succeeding years if necessary,
35until the credit is exhausted.
12 36(f)
37This section shall remain in effect only until December 1, 2017,
38and as of that date is repealed.
This act provides for a tax levy within the meaning
2of Article IV of the Constitution and shall go into immediate effect.
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