Amended in Assembly June 12, 2013

Amended in Senate April 16, 2013

Senate Bill No. 116

Introduced by Senator Liu

January 16, 2013

An act to begin delete repeal end delete begin insert amend end insert Section 18855 of the Revenue and Taxation Code, relating to taxation.

LEGISLATIVE COUNSEL’S DIGEST

SB 116, as amended, Liu. Personal income taxes: contributions: Emergency Food Assistance Program.

The Personal Income Tax Law allows taxpayers, until January 1, 2014, to designate on their tax returns that a specified amount in excess of their tax liability be contributed to the Emergency Food Assistance Program, unless earlier repealed for failure to meet annual minimum contribution amounts.

This bill would begin delete remove minimum contribution requirements and end delete extend the operation of these provisions begin delete indefinitely. end delete begin insert until January 1, 2019. end insert

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

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

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 18855 of the end insert begin insert Revenue and Taxation Code end insert
begin insert is amended to read: end insert

18855.  

(a)  begin delete This end delete begin insert Except as otherwise provided in subdivision
(b), this end insert article shall remain in effect only until January 1, begin delete 2014, end delete
begin insert 2019, end insert and as of begin delete that date end delete begin insert December 1 of that year end insert is repealed,
unless a later enacted statute, that is enacted before January 1,
begin delete 2014, end delete begin insert 2019, end insert deletes or extends that date.

(b) (1) By September 1, 2006, and by September 1 of each
subsequent calendar year that the Emergency Food for Families
Fund appears on a tax return, the Franchise Tax Board shall do all
of the following:

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

(B) Provide written notification to the State Department of
Social Services of the amount determined in subparagraph (A).

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

(2) If the Franchise Tax Board determines that the amount of
contributions estimated to be received during a calendar year will
not at least equal the minimum contribution amount for the calendar
year, this article begin delete is repealed end delete begin insert shall be inoperative end insert with respect to
taxable years beginning on or after January 1 of that calendar year begin insert ,
and shall be repealed on December 1 of that year end insert .

(3) For purposes of this section, the minimum contribution
amount for a calendar year means two hundred fifty thousand
dollars ($250,000) for the 1999 calendar year or the minimum
contribution amount begin insert as end insert adjusted pursuant to subdivision (c).

(c) For each calendar year, beginning with calendar year 2000,
the Franchise Tax Board shall adjust, on or before September 1 of
that calendar year, the begin delete estimated end delete contribution amount specified in
subdivision (b) as follows:

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

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

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

begin delete

SECTION 1.  

Section 18855 of the Revenue and Taxation Code
is repealed.

end delete