BILL ANALYSIS Ó
AB 232
Page 1
Date of Hearing: April 16, 2013
Counsel: Shaun Naidu
ASSEMBLY COMMITTEE ON PUBLIC SAFETY
Tom Ammiano, Chair
AB 232 (Ting) - As Amended: April 2, 2013
SUMMARY : Provides for state personal income tax credits, as
specified, in exchange for specified firearms given to law
enforcement in a gun buyback program and for corporate state tax
credits, as specified, for monetary contributions to a gun
buyback program administered by local law enforcement.
Specifically, this bill :
1)Allows, for each taxable year starting on or after January 1,
2014, a person to receive the following credit against his or
her personal income "net tax," as defined, not to exceed
$5,000 per taxable year, for surrendering without
consideration or selling to local law enforcement in a gun
buyback program the following types of firearm:
a) A credit of $500 for each handgun, shotgun, or rifle in
working condition; and
b) A credit of $1,000 for each assault weapon in working
condition.
2)Allows, for each taxable year starting on or after January 1,
2014, an entity to receive a credit against its corporate
"tax," as defined, not to exceed $10,000 per taxable year, of
an amount equal to the monetary contribution by the taxpayer
to a gun buyback program administered by local law
enforcement.
3)Allows, in the case where a credit allowed by the above
provisions exceeds the "net tax" or "tax," the excess to be
carried over to reduce the "net tax" or "tax" in the
succeeding two years, until the credit has been exhausted.
4)Prevents the taxpayer from taking any other credit or
deduction that he, she, or it may otherwise be able to claim
with respect to surrendering a firearm listed above without
AB 232
Page 2
consideration or with respect to monetary contributions made
to a gun buyback program administered by local law
enforcement.
5)Permits the Franchise Tax Board to promulgate rules and
regulations to implement the provisions above.
EXISTING LAW :
1)Establishes various pilot projects and programs for purposes
of crime prevention. (Penal Code Part 4, Title 1.)
2)Exempts from the waiting period and background checks,
firearms transfers where neither party is a licensed dealer,
and sales, deliveries, or transfers of firearms to authorized
representatives of governmental agencies where the entity is
buying or receiving weapons from private individuals. Any
weapons acquired pursuant to this provision shall be disposed
of pursuant to the applicable Penal Code sections. (Penal
Code Section 27850.)
3)Requires that firearms and specified weapons used in the
commission of a crime, or found in the possession of
proscribed classes of individuals, are defined as "nuisances"
and are subject to confiscation by law enforcement agencies.
These weapons are retained by the confiscating agency and may
be sold at public auction to licensed dealers on an annual
basis, between July 1 and 10, if they are determined to have a
sporting, recreational, or collectible value. The law,
however, provides numerous exceptions for alternative
distribution. If a weapon is stolen, it is to be returned to
its rightful owner once used as evidence. A weapon is to be
retained if needed for further criminal proceedings. Any
firearm not determined to be sellable for legitimate purposes,
or not retained or distributed as specified, is destroyed.
(Penal Code Sections 18000 et seq.)
4)Provides that firearms may be sold to the military, retained
by the agency for its use or turned over to the DOJ for
criminal justice purposes, or donated to the California
National Guard Military Museum. (Penal Code Section
34005(b).)
FISCAL EFFECT : Unknown
AB 232
Page 3
COMMENTS :
1)Author's Statement : According to the author, "Gun buyback
programs have removed a wide variety of guns from circulation,
including handguns, assault weapons and even rocket launchers.
Whatever the type of weapon, studies indicate that it is
safer to not have a gun in the home than to have a gun.
Consider the following facts: a gun in the home increases the
risk of unintentional firearm-related death among children;
people who keep a gun in the home are almost twice as likely
to be murdered with a gun and almost 17 times more likely to
take their own lives using a firearm; and, it is more likely
that a gun used in the home will be used against a family
member than to protect a family member. As a state, we can
act to remove more guns from circulation by incentivizing more
gun buyback programs and more gun buyback participants. By
taking this action, we are lowering the chances of a
misplaced, unwanted weapon causing damage, injury or
tragically, death."
2)Local Gun Buyback Programs : A number of local jurisdictions
in California and throughout the country conduct gun buyback
programs. In exchange for firearms received, law enforcement
agencies have given out cash, grocery and other retail gift
cards, and other items. (See, e.g., The Associated Press,
California: Gun-Buyback Program Moved Up, New York Times (Dec.
26, 2012.) By offering popular incentives to hand over
weapons, local gun buyback programs have had a big draw that
have resulted in some jurisdictions running out of funds due
to the events' successful nature. (See Successful gun buyback
runs out of money just hours in, KGO-TV (Jan. 15, 2013) North
Bay News.)
3)Practical Considerations : As argued by the author, a goal of
gun buyback programs is to get guns and other firearm off the
streets. This bill, however, is silent on what local law
enforcement agencies are to do with the firearms they receive
through the program. As the personal income tax credit is
offered in exchange for an operable firearm, without any
directive otherwise, law enforcement may dispose of the
weapons by selling them to licensed firearm dealers (see Penal
Code Section 27850.) which would defeat the goal of removing
guns out of circulation. Consequently, the author may wish to
consider amending this bill to declare that firearms received
by a local law enforcement agency through a gun buyback
AB 232
Page 4
program are a nuisance and are required to be destroyed.
Additionally, the Department of Justice (DOJ) maintains a list
of persons prohibited from possessing a firearm, the Armed
Prohibited Persons System (APPS). (Penal Code Sections 30000
et seq.) DOJ populates APPS with all handgun and assault
weapon owners across the state and matches them up against
criminal history records to determine who might fall into a
prohibited status. An aspect worth considering is that when a
person who is listed on APPS disposes of all of his or her
firearm through a gun buyback program, will that person be
removed from APPS, and thereby avoiding DOJ and/or local law
enforcement agencies from expending resources pursuing that
individual? Consequently, the author may wish to consider
amending this bill to require the local law enforcement agency
to notify DOJ of the serial numbers of registered firearms
received through a gun buyback program so that DOJ can adjust
APPS accordingly.
4)Argument in Support : According to California Attorneys for
Criminal Justice , "Recent gun buyback programs held throughout
the state reflect the need for this legislation. In locations
up and down the state, ? these gun buyback programs have
removed hundreds of dangerous weapons off the street.
However, during most of these programs, the sponsors have run
out of money to pay willing participants. Without sufficient
incentives, citizens may choose to keep their guns instead of
surrendering these dangerous items to the proper authorities.
"This bill would provided [sic] a much needed financial
alternative to properly incentivize these gun buyback
programs. Rather than placing the burden on cash-strapped
cities, counties, or organizations, the creation of up to a
$1,000 tax incentive will maintain the incentives available
for future participants."
5)Argument in Opposition : According to the California
Association of Federal Firearms Licensees , "While gun buyback
programs might offer good press, study after study has shown
that they are bad policy and do very little to nothing to
reduce gun violence. In fact, a 2004 study by the National
Research Council noted, 'The theory underlying gun buyback
programs is badly flawed.' The study pointed out the obvious
- that that people most likely to commit crimes are also the
people least likely to be [sic] turn in their weapons. It
AB 232
Page 5
also showed that the highest-risk weapons for crimes are the
least likely to be turned in at buybacks.
"Additionally, AB 232 gives criminals the opportunity to gain
a tax credit for getting rid of guns actually used in crimes -
fun buybacks are 'no questions asked.'"
6)Prior Legislation :
a) AB 2487 (Robert Pacheco), of the 1999-2000 Legislative
Session, would have established a gun buyback program. AB
2487 was held on the Assembly Appropriations Committee
suspense file.
b) SB 1496 (Solis), of the 1999-2000 Legislative Session,
would have established a gun buyback pilot program. SB
1496 was held on the Assembly Appropriations Committee
suspense file.
REGISTERED SUPPORT / OPPOSITION :
Support
California Attorneys for Criminal Justice
California Chapters of the Brady Campaign to Prevent Gun
Violence
California Police Chiefs Association
Coalition Against Gun Violence
Law Center to Prevent Gun Violence
Opposition
California Association of Federal Firearms Licensees
California Rifle and Pistol Association, Inc.
California Right to Carry
Gun Owners of California
National Rifle Association of America
Three private individuals
Analysis Prepared by : Shaun Naidu / PUB. S. / (916) 319-3744
AB 232
Page 6