BILL ANALYSIS Ó
AB 1040
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Date of Hearing: May 4, 2015
ASSEMBLY COMMITTEE ON REVENUE AND TAXATION
Philip Ting, Chair
AB 1040
(Ting) - As Introduced February 26, 2015
Majority vote.
SUBJECT: Franchise Tax Board: federal tax law changes: report
SUMMARY: Modifies the due date the Franchise Tax Board (FTB) is
required to submit the annual conformity report from January 10
to February 1.
EXISTING LAW:
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1)Requires, on or before January 10 of each year, the FTB to
submit to the Legislature and make available to the public a
report on all the changes to the Internal Revenue Code (IRC)
enacted into law in the prior year.
2)Requires the report to contain the estimated revenue effect of
conforming California law to each of those changes, to the
extent possible.
3)Requires that, if the changes to the IRC are enacted after
September 15 of any year, the report must be submitted to the
Legislature within 120 days after the President of the United
States' signature.
4)Decalres that it is the intent of the Legislature that the
policy committees of each house hold at least one public
hearing on the report.
FISCAL EFFECT: According to the FTB, "[t]his bill would not
impact the State's income tax revenue."
COMMENTS: Under existing law, the FTB must report to the
Legislature and the public any changes made to the IRC during
the prior year; this report is due on January 10. This bill
would simply move the due date of the report back to February 1.
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REGISTERED SUPPORT / OPPOSITION:
Support
None on file
Opposition
None on file
Analysis Prepared by:Paul Kim / REV. & TAX. / (916) 319-2098
AB 1040
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