California Legislature—2015–16 Regular Session

Assembly Bill No. 2472

Introduced by Assembly Member Linder

February 19, 2016

An act to amend Section 23400 of the Revenue and Taxation Code, relating to taxation.

LEGISLATIVE COUNSEL’S DIGEST

AB 2472, as introduced, Linder. Corporation Tax Law: alternative minimum tax.

Existing law, the Corporation Tax Law, in modified conformity with federal law, makes a corporation subject to the alternative minimum tax under specified circumtances. Existing law provides that a corporation electing to be treated as an “S corporation” is not subject to the alternative minimum tax.

This bill would make a nonsubstantive change to that provision.

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 23400 of the Revenue and Taxation Code
is amended to read:

23400.  

(a) Part VI of Subchapter A of Chapter 1 of Subtitle
A of the Internal Revenue Code, relating to alternative minimum
tax, shall apply, except as otherwise provided.

(b) A corporation begin delete electing end delete begin insert that elects end insert under Chapter 4.5
(commencing with Section 23800) to be treated as an “S
corporation” shall not be subject to the tax imposed by this chapter.