BILL NUMBER: AB 2014	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Ammiano

                        FEBRUARY 23, 2012

   An act to add Section 64.1 to the Revenue and Taxation Code,
relating to taxation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2014, as introduced, Ammiano. Property taxation: change in
ownership: legal entities: task force.
   The California Constitution generally limits ad valorem taxes on
real property to 1% of the full cash value of that property. For
purposes of this limitation, "full cash value" is defined as the
assessor's valuation of real property as shown on the 1975-76 tax
bill under "full cash value" or, thereafter, the appraised value of
that real property when purchased, newly constructed, or a change in
ownership has occurred. Existing property tax law specifies those
circumstances in which the transfer of ownership interests in a
corporation, partnership, limited liability company, or other legal
entity results in a change in ownership of the real property owned by
that entity, and generally provides that a change in ownership as so
described occurs when a legal entity or other person obtains a
controlling or majority ownership interest in the legal entity.
Existing law also specifies other circumstances in which certain
transfers of ownership interests in legal entities result in a change
in ownership of the real property owned by those legal entities.
   This bill would require the Legislature to convene a task force
composed of specified citizens and officials to update the work done
by a task force in 1979 that provided recommendations to the
Legislature regarding the definition of change of ownership described
above for complex legal entities, as provided.
   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 64.1 is added to the Revenue and Taxation Code,
to read:
   64.1.  (a) The Legislature shall convene a task force to update
the work done by a task force in 1979 that provided recommendations
to the Legislature regarding the definition of change of ownership
for complex legal entities.
   (b) The task force shall examine all of the following issues
relating to changes in ownership of real property owned by complex
legal entities:
   (1) The availability of information.
   (2) The sufficiency of reporting requirements.
   (3) Whether current definitions are sufficient to capture the
concept of change of ownership.
   (c) The task force shall be composed of a representative group of
citizens and officials who have been engaged in the issues described
in subdivision (b), including, but not limited to, assessors,
researchers, attorneys, members of assessment appeals boards, other
local officials, and representatives from the State Board of
Equalization.