Amended in Assembly May 19, 2014

California Legislature—2013–14 Regular Session

Assembly BillNo. 2434


Introduced by Assembly Member Gomez

February 21, 2014


An act to addbegin insert and repealend insert Sections 17138.2 and 24308.2begin delete toend deletebegin insert ofend insert the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.

LEGISLATIVE COUNSEL’S DIGEST

AB 2434, as amended, Gomez. Income taxes: exclusion.

The Personal Income Tax Law provides an exclusion from gross income for any amount received as a rebatebegin insert or voucherend insert from a local waterbegin insert or energyend insert agency or supplier for the purchasebegin insert or installationend insert of a water conservation water closet, energy efficient clothes washers, and plumbing devices, as specified. Thebegin insert Personal Income Tax Law and theend insert Corporation Tax Lawbegin delete providesend deletebegin insert provide anend insert exclusion from gross income for any rebate, voucher, or other financial incentive issued by the California Energy Commission,begin delete The publicend deletebegin insert the Publicend insert Utility Commission, or a local publicly owned electric utility for anybegin delete expenseend deletebegin insert expenses paid orend insert incurred by a taxpayer for the purchase or installation of a thermal system, solar system, wind energybegin insert systemend insert device that produces electricity, or a fuel cell generating system.

This bill would,begin insert for taxable years beginning on or after January 1, 2014, and before January 1, 2019,end insert under both of these laws, provide an exclusion from gross incomebegin insert forend insert any amount received as a rebate, voucher, or other financial incentive issued by a local waterbegin delete or energyend delete agency or supplier forbegin delete expenses incurred to participateend deletebegin insert participationend insert in abegin insert turf removalend insert waterbegin delete or energyend delete conservation program.

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:

P2    1

SECTION 1.  

Section 17138.2 is added to the Revenue and
2Taxation Code
, to read:

3

17138.2.  

begin deleteGross end deletebegin insert(a)end insertbegin insertend insertbegin insertFor taxable years beginning on or after
4January 1, 2014, and before January 1, 2019, gross end insert
income does
5not include any amount received as a rebate, voucher, or other
6financial incentive issued by a local waterbegin delete or energyend delete agency or
7supplier forbegin delete expenses incurred to participateend deletebegin insert participationend insert in abegin insert turf
8removalend insert
waterbegin delete or energyend delete conservation program.

begin insert

9(b) This section shall remain in effect only until December 1,
102019, and as of that date is repealed.

end insert
11

SEC. 2.  

Section 24308.2 is added to the Revenue and Taxation
12Code
, to read:

13

24308.2.  

begin deleteGross end deletebegin insert(a)end insertbegin insertend insertbegin insertFor taxable years beginning on or after
14January 1, 2014, and before January 1, 2019, gross end insert
income does
15not include any amount received as a rebate, voucher, or other
16financial incentive issued by a local waterbegin delete or energyend delete agency or
17supplier forbegin delete expenses incurred to participateend deletebegin insert participationend insert in abegin insert turf
18removalend insert
waterbegin delete or energyend delete conservation program.

begin insert

19(b) This section shall remain in effect only until December 1,
202019, and as of that date is repealed.

end insert
21

SEC. 3.  

This act provides for a tax levy within the meaning of
22Article IV of the Constitution and shall go into immediate effect.



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