BILL NUMBER: SB 767	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 31, 2009

INTRODUCED BY   Senator Cedillo

                        FEBRUARY 27, 2009

    An act to amend Section 8214.21 of the Government Code,
relating to notaries.   An act to add Section 23036.4 to
the Revenue and Taxation Code, relating to taxation, to take effect
immediately, tax levy. 


	LEGISLATIVE COUNSEL'S DIGEST


   SB 767, as amended, Cedillo.  Notaries.  
Corporation tax credits and deductions: suspension.  
   The Corporation Tax Law authorizes various credits and deductions
in computing income subject to taxation.  
   This bill would suspend specified credits and deductions for a
taxpayer that is a participant, as specified, in the federal Troubled
Assets Relief Program, as provided.  
   This bill would result in a change in state taxes for the purpose
of increasing state revenues within the meaning of Section 3 of
Article XIII A of the California Constitution, and thus would require
for passage the approval of 2/3 of the membership of each house of
the Legislature.  
   This bill would take effect immediately as a tax levy. 

   Existing law requires a notary public to keep one active
sequential journal of all official acts performed as a notary public
and subjects a notary public to a civil penalty, not to exceed
$2,500, if he or she willfully fails to provide access to the journal
when requested by a peace officer.  
   This bill would modify the civil penalty for a notary public's
willful failure to provide access to the journal when requested by a
peace officer by changing the limitation on the penalty from $2,500
to $2,501. 
   Vote:  majority   2/3  . Appropriation:
no. Fiscal committee:  no  yes  .
State-mandated local program: no.


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

   SECTION 1.    Section 23036.4 is added to the 
 Revenue and Taxation Code   , to read:  
   23036.4.  (a) Notwithstanding any provision of this part or Part
10.2 (commencing with Section 18401) to the contrary, for each
taxable year beginning on or after January 1, 2009, all credits
otherwise allowable under any provision of Chapter 3.5 (commencing
with Section 23604) including the carryover of any credit under a
former provision of that chapter, and deductions otherwise allowable
under Sections 24356.7 and 24384.5 shall be suspended for a taxpayer
that is a participant in the Troubled Assets Relief Program under
Title I of the Emergency Economic Stabilization Act of 2008 (Public
Law 110-343) for any taxable year during the period of that
participation. For purposes of this section, participation in
Troubled Assets Relief Program begins upon receipt of financial
assistance of any amount from the United States Treasury Department
pursuant to that program and ends when the total amount of financial
assistance received under that program has been returned to the
United States Treasury Department.
   (b) (1) (A) The amount of any credit otherwise allowable for the
taxable year under Section 23036 that is suspended due to the
application of this section shall be allowable as a credit under this
part after participation in the Troubled Assets Relief Program has
ended, as described in subdivision (a).
   (B) The carryover period for any credit that is suspended due to
the application of this section shall be increased by the number of
taxable years the credit was suspended.
   (2) Deductions otherwise allowable under Sections 24356.7 and
24384.5 that are suspended due to the application of this section
shall be allowable as a deduction following the period of suspension
in accordance with Sections 24356.7 and 24384.5, as applicable.
Taxable years during which the deduction under Section 24356.7 was
suspended shall be disregarded for purposes of applying subdivision
(f) of that section. 
   SEC. 2.    This act provides for a tax levy within
the meaning of Article IV of the Constitution and shall go into
immediate effect.  
  SECTION 1.    Section 8214.21 of the Government
Code is amended to read:
   8214.21.  A notary public who willfully fails to provide access to
the sequential journal of notarial acts when requested by a peace
officer shall be subject to a civil penalty not exceeding two
thousand five hundred one dollars ($2,501). An action to impose a
civil penalty under this subdivision may be brought by the Secretary
of State in an administrative proceeding or any public prosecutor in
superior court, and shall be enforced as a civil judgment. A public
prosecutor shall inform the secretary of any civil penalty imposed
under this section.