BILL NUMBER: AB 1801	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Ting

                        FEBRUARY 8, 2016

   An act to amend Section 21006 of the Revenue and Taxation Code,
relating to taxation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1801, as introduced, Ting. Katz-Harris Taxpayers' Bill of
Rights: report.
   The Katz-Harris Taxpayers' Bill of Rights Act establishes the
position of the Taxpayers' Rights Advocate and makes the advocate or
his or her designee responsible for coordinating the resolution of
taxpayer complaints and problems, including any taxpayer complaints
regarding unsatisfactory treatment of taxpayers by Franchise Tax
Board employees. Existing law requires the board, in consultation
with the Taxpayers' Rights Advocate, to develop and implement a
taxpayer education and information program directed at, but not
limited to, identifying forms, procedures, regulations, or laws which
are confusing and lead to taxpayer errors. Existing law requires the
board to perform annually a systematic identification of areas of
recurrent taxpayer noncompliance and shall report its findings to the
Legislature on December 1 of each year.
   This bill would change the due date of that report to December 31
of each year.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 21006 of the Revenue and Taxation Code is
amended to read:
   21006.  (a) The board shall perform annually a systematic
identification of areas of recurrent taxpayer noncompliance and shall
report its findings to the Legislature on  December 1
  December 31  of each year.
   (b) As part of the identification process described in subdivision
(a), the board shall do both of the following:
   (1) Compile and analyze sample data from its audit process,
including, but not limited to, all of the following:
   (A) The statute or regulation violated by the taxpayer.
   (B) The amount of tax involved.
   (C) The industry or business engaged in by the taxpayer.
   (D) The number of years covered in the audit period.
   (E) Whether professional tax preparation assistance was utilized
by the taxpayer.
   (F) Whether income tax or bank and corporation tax returns were
filed by the taxpayer.
   (2) Conduct an annual hearing before the board itself where
industry representatives and individual taxpayers are allowed to
present their proposals on changes to the Personal Income Tax Law or
the Corporation Tax Law which may further facilitate achievement of
the legislative findings.
   (c) The board shall include in its report recommendations for
improving taxpayer compliance and uniform administration, including,
but not limited to, all of the following:
   (1) Changes in statute or board regulations.
   (2) Improvement of training of board personnel.
   (3) Improvement of taxpayer communication and education.
   (4) Increased enforcement capabilities.
   (d) The board shall include in its report a summary of cases where
relief was granted pursuant to subdivision (c) of Section 21004,
including the nature of the error or delay, and the steps taken by
the board to remedy systemic issues that caused the error or delay.