BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 833
                                                                  Page  1

          Date of Hearing:   May 15, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                     AB 833 (Harkey) - As Amended:  May 1, 2013 

          Policy Committee:                              Revenue and  
          Taxation     Vote:                            8-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill requires the Franchise Tax Board (FTB), the State  
          Board of Equalization (BOE) and the Employment Development  
          Department (EDD) to create a single Internet website portal.   
          Provides that the Internet web-based portal shall allow online,  
          self-service access for taxpayers to file returns, remit amounts  
          due and obtain other tax information from each of the agencies.

           FISCAL EFFECT  

          Minor and absorbable costs to the respective affected agencies.

           COMMENTS  

           1)Purpose  .  The author states AB 833 authorizes a study of  
            enhancing the current portal at www.taxes.ca.gov to allow  
            taxpayers an easy and up-to-date integrated access to their  
            accounts with all three tax agencies.  According to the  
            author, this website would allow taxpayers to file tax  
            returns, claim refunds and request relief of interest and  
            penalties with one login, meaning taxpayers will no longer  
            need to navigate through three separate tax agencies to access  
            forms and information, saving taxpayers time and increasing  
            voluntary compliance.


           2)Support  .  The sponsor of this bill, BOE Member George Runner  
            states that AB 833 would lay the foundation for a single  
            taxpayer portal combining the activities of the BOE, FTB and  
            EDD.  Runner contends it is in the best interest of all  
            parties involved to make the tax process as simple and  








                                                                  AB 833
                                                                  Page  2

            efficient as possible, and that bringing together the three  
            major tax agencies on a single website, will improve  
            inter-organization collaboration efforts.


           3)The California Tax Service Center (CTSC) Website  .  A few years  
            later, a proposal of the LAO to consolidate services was  
            partly implemented through the development of the CTSC  
            website, www.taxes.ca.gov.  The website is a result of a  
            partnership, consisting of BOE, EDD, FTB and the Internal  
            Revenue Service (IRS).  The website includes information on  
            income, payroll, sales and use tax and other taxes and fees.   
            Although the website provides links to the appropriate forms,  
            information, requirements and payment options on each agencies  
            individual website, it does not allow a taxpayer to access  
            their records with one single logon.


           4)Related legislation  .  SB 582 (Knight) is similar to AB 833.   
            SB 582 is pending in the Senate Appropriations Committee. 


            SB 1326 (Harman), 2012, is also similar to this bill.  SB 1326  
            was held on the Suspense File of the Senate Appropriations  
            Committee. 


           5)There is no registered opposition to this bill. 


           






           Analysis Prepared by  :    Roger Dunstan / APPR. / (916) 319-2081