California Legislature—2013–14 Regular Session

Assembly BillNo. 394


Introduced by Assembly Members Yamada and Grove

February 15, 2013


An act to amend Section 18766 of the Revenue and Taxation Code, relating to personal income tax.

LEGISLATIVE COUNSEL’S DIGEST

AB 394, as introduced, Yamada. Personal income tax: voluntary contributions: Alzheimer’s disease.

The Personal Income Tax Law allows taxpayers, until January 1, 2015, to contribute amounts in excess of their tax liability for the support of the California Alzheimer’s Disease and Related Disorders Research Fund, unless earlier repealed for failure to meet annual minimum contribution amounts.

This bill would extend the date, January 1, 2015, to January 1, 2020.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1

SECTION 1.  

Section 18766 of the Revenue and Taxation Code
2 is amended to read:

3

18766.  

(a) begin deleteThis end deletebegin insertExcept as otherwise provided in paragraph
4(2) of subdivision (b), this end insert
article shall remain in effect only until
5January 1,begin delete 2015end deletebegin insert 2020end insert, and as ofbegin delete that dateend deletebegin insert December 1 of that yearend insert
6 is repealedbegin delete, unless a later enacted statute, which is enacted before
7January 1, 2015, deletes that dateend delete
.

P2    1(b) (1) By September 1, 2006, and by September 1 of each
2subsequent calendar year that the California Alzheimer’s Disease
3and Related Disorders Research Fund appears on a tax return, the
4Franchise Tax Board shall do all of the following:

5(A) Determine the minimum contribution amount required to
6be received during the next calendar year for the fund to appear
7on the tax return for the taxable year that includes that next calendar
8year.

9(B) Provide written notification to the Secretary of California
10Health and Human Services of the amount determined in
11subparagraph (A).

12(C) Determine whether the amount of contributions estimated
13to be received during the calendar year will equal or exceed the
14minimum contributions amount determined by the Franchise Tax
15Board for the calendar year pursuant to subparagraph (A). The
16Franchise Tax Board shall estimate the amount of contributions
17to be received by using the actual amounts received and an estimate
18of the contributions that will be received by the end of that calendar
19year.

20(2) If the Franchise Tax Board determines that the amount of
21contributions estimated to be received during a calendar year will
22not at least equal the minimum contribution amount for the calendar
23year, this articlebegin delete is repealedend deletebegin insert shall be inoperativeend insert with respect to
24taxable years beginning on or after January 1 of that calendar year
25begin insert and shall be repealed on December 1 of that yearend insert.

26(3) For purposes of this section, the minimum contribution
27amount for a calendar year means two hundred fifty thousand
28dollars ($250,000) for the 2000 calendar year or the minimum
29contribution amountbegin insert asend insert adjusted pursuant to subdivision (c).

30(c) For each calendar year, beginning with calendar year 2001,
31the Franchise Tax Board shall adjust, on or before September 1 of
32that calendar year, the minimum contribution amount specified in
33subdivision (b) as follows:

34(1) The minimum contribution amount for the calendar year
35shall be an amount equal to the product of the minimum
36contribution amount for the prior calendar year multiplied by the
37inflation factor adjustment as specified in paragraph (2) of
38subdivision (h) of Section 17041, rounded off to the nearest dollar.

39(2) The inflation factor adjustment used for the calendar year
40shall be based on the figures for the percentage change in the
P3    1California Consumer Price Index received on or before August 1
2of the calendar year pursuant to paragraph (1) of subdivision (h)
3of Section 17041.

4(d) Notwithstanding the repeal of this article, any contribution
5amounts designated pursuant to this article prior to its repeal shall
6continue to be transferred and disbursed in accordance with this
7article as in effect immediately prior to that repeal.



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