BILL NUMBER: AB 1151 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 7, 2013
AMENDED IN ASSEMBLY APRIL 16, 2013
AMENDED IN ASSEMBLY APRIL 9, 2013
INTRODUCED BY Assembly Member Ting
FEBRUARY 22, 2013
An act to add Chapter 14.5 (commencing with Section 22260) to
Division 8 of the Business and Professions Code, relating to
business.
LEGISLATIVE COUNSEL'S DIGEST
AB 1151, as amended, Ting. Tax agent registration.
Existing law requires every assessor to assess all property
subject to general property taxation at its full value and to prepare
an assessment roll in which all property within the county which it
is the assessor's duty to assess is required to be listed. Existing
law requires a county board of equalization or an assessment appeals
board to equalize the valuation of taxable property within the county
for the purpose of taxation. Existing law authorizes a taxpayer,
with respect to each assessment year, to file an application for a
reduction in an assessment, as provided, with the county board, which
is the county board of supervisors meeting as a county board of
equalization of an assessment appeals board.
This bill would, commencing July 1, 2014, prohibit a tax agent,
defined as any individual who is employed, is under contract, or
otherwise receives compensation to communicate directly with any
county official for the purpose of influencing official action
relating to the establishment of a taxable value for any property
subject to taxation, from representing a taxpayer before a county
official without first being registered and issued a registration
number by the Secretary of State. The bill would require a tax agent
to file with the Secretary of State an application for registration
that includes specified information and an unspecified registration
fee. The bill would make the registration subject to biennial renewal
and require the payment of an unspecified renewal fee.
This bill would require the Secretary of State to semiannually
develop a list of registered tax agents and to make that list
publicly available on its Internet Web site. The bill would authorize
the Secretary of State to send a tax agent and the represented
taxpayer a notice of noncompliance for the failure to comply with
these provisions, as specified. The bill would also authorize the
Attorney General to pursue civil fines for the failure to comply with
these provisions subject to specified procedures. The bill would
authorize the Secretary of State to adopt rules and regulations for
the purpose of carrying out these provisions.
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. Chapter 14.5 (commencing with Section 22260) is added
to Division 8 of the Business and Professions Code, to read:
CHAPTER 14.5. TAX AGENTS
22260. The following definitions apply for the purposes of this
chapter:
(a) "County official" means the county assessor, an assessment
appeals board member, an assessment hearing officer, and any other
county employee within those offices whose duties are not primarily
clerical or manual.
(b) "Influencing official action" means representing a taxpayer as
an agent in connection with any matter before any county official by
promoting, supporting, influencing, seeking modification of,
opposing, or seeking delay of any official action by any means. The
filing or submitting of required county forms for compliance purposes
and communication relating to those filings shall not be considered
influencing official action.
(c) "Official action" means corrections to values and any other
changes in taxable value set; applying all legal exemptions to
assessments; and deciding all property assessment disputes between
taxpayers and a county official, including hearings before an
assessment hearing officer or a county assessment appeals board.
(d) "Public official" and "public employee" mean any government
official or employee of any state or local government agency.
(e) "Tax agent" means any individual who is employed, under
contract, or otherwise receives compensation to communicate directly,
or through agents, employees, or subcontractors, with any county
official for the purpose of influencing official action. A tax agent
shall not include:
(1) An elected or appointed public official or public employee
when acting in his or her official capacity.
(2) A person representing any of the following:
(A) Himself or herself.
(B) An immediate family member.
(C) An entity of which the person is a partner or owner of 10
percent or more of the value of the entity.
(3) An in-house tax professional or in-house employee representing
his or her employer by influencing official action.
22260.2. (a) (1) Each tax agent, within 30 days after July 1,
2014, shall file with the Secretary of State an application for a
registration containing the following information:
(A) The tax agent's full name, business address, business
telephone number, and business email address, if applicable.
(B) The name of the tax agent's employing tax agent firm, if
applicable.
(2) A tax agent shall also pay the Secretary of State a
registration fee in the amount of ____ dollars ($____).
(b) If the requirements of subdivision (a) are satisfied, the
Secretary of State shall issue a tax agent registration number to a
tax agent.
(c) Beginning July 1, 2014, no tax agent shall represent taxpayers
before a county official without first being registered and issued a
registration number pursuant to this section.
(d) A registration issued pursuant to this section shall expire
two years from its date of issuance unless and until that person
terminates the registration. An expired registration may be renewed
biennially if the registrant pays an annual renewal registration fee
in the amount of ____ dollars ($____) to the Secretary of State.
(e) A person may not register or provide services as a tax agent
if that person:
(1) Has been convicted of any felony under state or federal tax
laws.
(2) Has been convicted of any other criminal offense involving
dishonesty, breach of trust, or moral turpitude.
(3) Has been disbarred or suspended for any reason other than the
failure to pay dues from practice as an attorney, certified public
accountant, public accountant, actuary, real estate broker, real
estate salesperson, or licensed real estate appraiser by any duly
constituted authority of any state, territory, or possession of the
United States, including a commonwealth, or the District of Columbia,
any court of record, or any agency, body, or board.
(f) Fees collected pursuant to this chapter shall be deposited in
the Secretary of State's Business Fees Fund established in Section
12176 of the Government Code.
22260.3. No county supervisor or member of a county assessment
appeals board may act as a tax agent in the county in which they
currently serve in as a county supervisor or as a member of a county
assessment appeals board.
22260.4. (a) Within 30 days of any change in any of the
registration information submitted pursuant to Section 22260.2, a tax
agent shall file updated registration information with the Secretary
of State.
(b) When a tax agent ceases all activities related to influencing
official action, this fact shall be reported to the Secretary of
State.
(c) It shall be a violation of this chapter for any person to act
as a tax agent if that person is not registered as a tax agent
pursuant to Section 22260.2 or if that person was previously
registered as a tax agent pursuant to Section 22260.2 but that person
is no longer registered as a tax agent.
22260.5. Nothing in this chapter shall be construed to prohibit a
county from, by ordinance, enacting tax agent reporting requirements
for campaign contributions to elected officials in that county.
22260.8. The secretary shall semiannually develop a list of
registered tax agents and make that list available to the public on
its Internet Web site.
22260.12. (a) If, after investigation, it is determined by the
Secretary of State that any tax agent acting on behalf of the
taxpayer fails to comply with this chapter and the tax agent has
failed to cure the violation within 30 days of first receiving
notice, the Secretary of State shall send the tax agent and the
taxpayer or taxpayers whom the tax agent represents a notice of the
tax agent's noncompliance.
(b) Any person may file a complaint with the Attorney General that
any tax agent has violated any provision of this chapter.
(c) For any violation of this chapter, the Attorney General shall
have the discretion to pursue civil fines for noncompliance or
violations of this chapter. The Attorney General shall be designated
as the enforcement officer for determination and imposition of the
civil fines and noncompliance fees to be issued.
(d) Notwithstanding subdivision (c), no administrative fine shall
be issued if the first violation of this chapter is cured within 30
days of the date in on which the
tax agent receives notice of the violation from the
Attorney General sends notice of the violation to the
tax agent .
22260.14. Subject to the Administrative Procedure Act (Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2 of the Government Code), the Secretary of State may develop rules
and regulations for the administration of this chapter.
22260.16. This chapter shall become operative on July 1, 2014.