BILL NUMBER: AB 2656 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 7, 2012
AMENDED IN ASSEMBLY APRIL 11, 2012
INTRODUCED BY Assembly Member Charles Calderon
FEBRUARY 24, 2012
An act to add and repeal Division 4 (commencing with Section
64140) of Title 6.7 of the Government Code, and to add and repeal
Sections 17053.60 and , 17053.65, 17053.66,
23660 , 23665, and 23666 of the Revenue and Taxation
Code, relating to taxation, to take effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
AB 2656, as amended, Charles Calderon. California Transportation
Financing Authority: tax credit certificates for exporters and
importers: income tax credit.
Existing law creates the California Transportation Financing
Authority, with various powers and duties relative to the financing
of transportation projects.
This bill would authorize the authority to award tax credit
certificates to exporters and importers, as defined, that demonstrate
to the satisfaction of the authority that , during the taxable
year, they have increased their cargo tonnage or value through
California ports and airports by specified amounts or have
created and filled new cargo-moving jobs for California residents
had a net increase in qualified full-time
employees hired in California or have invested capital
into incurred capital costs for a cargo
facility in California . The bill would authorize $500
million in tax credit certificates to be awarded by the authority for
taxable years beginning on or after January 1, 2013, and before
January 1, 2018 , as provided . The bill would authorize
the authority to impose fees to cover its costs in that regard, with
fees to be deposited in the Job and Trade Competitiveness Fee
Account, which the bill would create in the State Treasury. The bill
would authorize the authority to borrow money until the time that
sufficient fee revenue is available, with loans made to the authority
to be repayable solely from revenues in the account.
The bill would make legislative findings and declarations.
The Personal Income Tax Law and the Corporation Tax Law allow
various credits against the taxes imposed by those laws.
This bill would, for taxable years beginning on or after January
1, 2013, and before January 1, 2018, allow a credit in an
aggregate amount not to exceed $250,000 for a taxable year
against the taxes imposed by those laws if a taxpayer receives
a tax credit certificate and increases its exports or
imports through California ports or airports, creates and fills a new
cargo-moving job in California, or makes a capital expenditure for a
cargo facility in California, as specified or tax
certificates from the authority .
This bill would take effect immediately as a tax levy.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Division 4 (commencing with Section 64140) is added to
Title 6.7 of the Government Code, to read:
DIVISION 4. JOB AND TRADE COMPETITIVENESS ACT
64140. (a) The Legislature finds and declares all of the
following:
(1) California is the international trade leader of the United
States as the gateway to the dynamic economies of the Pacific Rim.
International trade is one of the most important economic and job
creation drivers of the state and a key to the state's economic
recovery. Together, the three California customs districts of Los
Angeles, San Diego, and San Francisco led the nation by processing
approximately $500 billion in two-way trade value in 2010. The
combined California ports of Los Angeles, Long Beach, and Oakland are
the busiest seaports in the nation, handling approximately 45
percent of all the waterborne containerized cargo coming into the
United States.
(2) California, however, must do more to ensure that California
ports remain competitive, as the Gulf, East Coast, and Mexican ports
work to attract business away from California seaports and
competition intensifies after the expansion of the Panama Canal in
2014. California ports are taking action to retain market share by
expanding terminal capacity and investing in other trade-related
infrastructure projects, but more needs to be done to protect
California's vitally important international trade sector, including
creating incentives to maintain and grow new business-,
manufacturing-, and trade-related jobs in the years ahead.
(b) It is the intent of the Legislature to boost exports and
imports through California ports and airports by providing tax
incentives for California exporters and importers and by providing
tax incentives for increasing cargo-moving capacity.
(c) Providing California tax credits to exporters and importers
through California ports and airports and increasing cargo-moving
capacity at California's ports and airports will support President
Obama's national export initiative.
64141. For the purposes of this division, the following terms
have the following meanings:
(a) "Annual full-time equivalent" means either of the following:
(1) In the case of a full-time employee who was paid hourly
qualified wages, "annual full-time equivalent" means the total number
of hours worked for the taxpayer by the employee (not to exceed
2,000 hours per employee) divided by 2,000.
(2) In the case of a salaried full-time employee, "annual
full-time equivalent" means the total number of weeks worked for the
taxpayer by the employee divided by 52.
(a)
(b) "Authority" means the California Transportation
Financing Authority established in Section 64101.
(c) (1) "Capital costs" means all costs and expenses incurred by
one or more exporter or importer in connection with the acquisition,
construction, installation, and equipping of a cargo facility,
including any environmental mitigation undertaken specifically to
reduce the impacts of a cargo facility, during the period commencing
with the date on which the acquisition, construction, installation,
and equipping commences and ending on the date on which the cargo
facility is placed in service.
(2) Capital costs shall include, but not be limited to, the
following:
(A) The costs of acquiring, constructing, installing, equipping,
and financing a cargo facility, including all obligations incurred
for labor and to contractors, subcontractors, builders, and
materialmen.
(B) The costs of acquiring land or rights in land and any cost
incidental thereto, including recording fees.
(C) The costs of contract bonds and of insurance of any kind that
may be required or necessary during the acquisition, construction, or
installation of a cargo facility.
(D) The costs of architectural and engineering services, including
test borings, surveys, estimates, plans, specifications, preliminary
investigations, environmental mitigation, and supervision of
construction, as well as for the performance of all the duties
required by or consequent upon the acquisition, construction, and
installation of a cargo facility.
(E) The costs associated with installation of fixtures and
equipment, surveys, including archaeological and environmental
surveys, site tests and inspections, subsurface site work,
excavation, removal of structures, roadways, and other surface
obstructions, filling, grading, paving, and provisions for drainage,
stormwater retention, installation of utilities, including water,
sewerage treatment, gas, electricity, communications, and similar
facilities, and offsite construction of utility extensions to the
boundaries of the property.
(F) The costs of completing any environmental mitigation.
(G) All other costs of a nature comparable to those described,
including, but not limited to, all project costs required to be
capitalized for federal income tax purposes pursuant to the
provisions of Section 263(a) of Title 26 of the United States Code.
(H) Costs otherwise defined as capital costs incurred by the
exporter or importer where the qualifying taxpayer is the lessee
under a lease that contains a term of not less than five years and is
characterized as a capital lease for federal income tax purposes.
(3) Capital costs shall not include property owned or leased by
the exporter or importer or a related entity before the commencement
of the acquisition, construction, installation, or equipping of the
cargo facility, unless the property was physically located outside
the state for a period of at least one year prior to the date on
which the cargo facility was placed in service.
(4) Capital costs shall not include project costs that were
expended prior to January 1, 2013.
(d) "Cargo facility" means a capital project at a port or airport
in California designed to increase cargo-moving capacity at that port
or airport and that is expended in a taxable year and has a useful
life of five years or more.
(b)
(e) "Export cargo tonnage" means the weight of cargo
exported through California ports and airports by
an exporter to destinations outside the United States.
(c)
(f) "Export cargo value" means the value of cargo
exported cargo through California
airports by an exporter to destinations outside of the United States
as certified by the applicant for a tax credit certificate.
(d)
(g) "Exporter" means a California taxpayer that is the
shipper of record of agricultural products or manufactured goods on
an ocean bill of lading or on an air waybill.
(e)
(h) "Import cargo tonnage" means the weight of cargo
imported by an importer through California ports and airports
by that importer from outside the United States.
(f)
(i) "Import cargo value" means the value of cargo
imported cargo through California
airports by an importer from outside the United States as
certified by the applicant for a tax credit certificate.
(g)
(j) "Importer" means a California taxpayer that is the
consignee of record of agricultural products or manufactured goods on
an ocean bill of lading or on an air waybill.
(h) "New cargo-moving job" means a 40 hour or more per week
position, for one employee or a combination of employees, in
California, related to an increase in export or import cargo volume
through a port or airport in California, created and filled during a
taxable year beginning on or after January 1, 2013, and before
January 1, 2018, by an importer or exporter.
(k) (1) "Qualified full-time employee" means either of the
following:
(A) A qualified employee who was paid qualified wages by the
qualified employer for services of not less than an average of 35
hours per week.
(B) A qualified employee who was a salaried employee and was paid
compensation during the taxable year for full-time employment, within
the meaning of Section 515 of the Labor Code, by the qualified
employer.
(2) A "qualified employee" shall not include any of the following:
(A) An employee certified as a qualified employee in an enterprise
zone designated in accordance with Chapter 12.8 (commencing with
Section 7070) of Division 7 of Title 1.
(B) An employee certified as a qualified disadvantaged individual
in a manufacturing enhancement area designated in accordance with
Section 7073.8.
(C) An employee certified as a qualified employee in a targeted
tax area designated in accordance with Section 7097.
(D) An employee certified as a qualified disadvantaged individual
or a qualified displaced employee in a local agency military base
recovery area (LAMBRA) designated in accordance with Chapter 12.97
(commencing with Section 7105) of Division 7 of Title 1.
(E) An employee whose wages are included in calculating any other
credit allowed under Part 10 (commencing with Section 17001) or Part
11 (commencing with Section 23001) of Division 2 of the Revenue and
Taxation Code.
(l) "Qualified wages" means wages subject to Division 6
(commencing with Section 13000) of the Unemployment Insurance Code.
(i)
(m) "Tax credit certificate" means a certificate
awarded by the authority to an exporter or importer evidencing the
right of the exporter or importer to claim the tax credits provided
for in this division in the amount specified in the certificate.
64142. (a) The Subject to the limitations
in subdivision (f), for taxable years beginning on or after January
1, 2013, and before January 1, 2018, the authority may award a
tax credit certificate or tax credit certificates to a
person that is an exporter or importer pursuant to subdivisions (b)
and (c) , (c), and (d) in an
aggregate amount that is not greater than two hundred fifty
thousand dollars ($250,000) for a taxable year. The total
amount of tax credit certificates authorized to be awarded pursuant
to subdivision (b) is two hundred fifty million dollars
($250,000,000) and pursuant to subdivision (c) is two hundred fifty
million dollars ($250,000,000) for a total of five hundred million
dollars ($500,000,000) to be awarded pro rata over the taxable years
beginning on or after January 1, 2013, and before January 1, 2018.
(b) Subject to the limitations in subdivision (e),
A tax credit certificates
certificate, in an amount specified in subdivision (a) of
Section 17053.60 of the Revenue and Taxation Code or subdivision (a)
of Section 23660 of the Revenue and Taxation Code, may be
awarded by the authority to any of the following:
(1) Exporters that demonstrate to the satisfaction of the
authority that they have increased their export cargo tonnage through
California ports in a taxable year beginning on or after January 1,
2013, and before January 1, 2018, by at least 5 percent over their
export cargo tonnage through California ports for the preceding
taxable year.
(2) Importers that demonstrate to the satisfaction of the
authority that they have increased their import cargo tonnage through
California ports in a taxable year beginning on or after January 1,
2013, and before January 1, 2018, by at least 5 percent over their
import cargo tonnage through California ports for the preceding
taxable year.
(3) Exporters that demonstrate to the satisfaction of the
authority that they have increased their export cargo value through
California airports in a taxable year beginning on or after January
1, 2013, and before January 1, 2018, by at least 5 percent over their
export cargo tonnage value through
California airports for the preceding taxable year.
(4) Importers that demonstrate to the satisfaction of the
authority that they have increased their import cargo value through
California airports in taxable year beginning on or after January 1,
2013, and before January 1, 2018, by at least 5 percent over their
import cargo tonnage value through
California airports for the preceding taxable year.
(5) Exporters or importers that demonstrate to the satisfaction of
the authority that they have exported or imported export or import
cargo tonnage through California ports in excess of 400,000 tons in a
taxable year beginning on or after January 1, 2013, and before
January 1, 2018, and that they did not export or import cargo through
California ports in the preceding taxable year.
(6) Exporters and importers that demonstrate to the satisfaction
of the authority that they have exported or imported cargo through
California airports with export or import cargo value in excess of
two hundred fifty thousand dollars ($250,000) in a taxable year
beginning on or after January 1, 2013, and before January 1, 2018,
and that they did not export or import cargo through California
airports in the preceding taxable year.
(c) (1) Subject to the limitations in subdivision (e), tax credit
certificates may be awarded by the authority to exporters and
importers that demonstrate to the satisfaction of the authority that
they have created and filled all new cargo-moving jobs in California
on account of an increase in the cargo volume of the exporter or
importer. The number of new cargo-moving jobs created and filled in a
taxable year shall be determined by subtracting the total number of
full-time cargo-moving jobs, defined as 2,000 paid hours per employee
per year, filled by the taxpayer in the preceding taxable year from
the total number of full-time cargo-moving jobs filled by the
taxpayer in the taxable year.
(2) Subject to the limitations in subdivision (e), tax credit
certificates may be awarded by the authority to exporters and
importers that demonstrate to the satisfaction of the authority that
they have made capital expenditures on a cargo facility in
California.
(c) (1) A tax credit certificate, in an amount specified in
subdivision (a) of Section 17053.65 of the Revenue and Taxation Code
or subdivision (a) of Section 23665 of the Revenue and Taxation Code,
may be awarded by the authority to an exporter or importer that
demonstrates to the satisfaction of the authority that the exporter
or importer had a net increase in qualified full-time employees hired
in California during the taxable year.
(2) The net increase in qualified full-time employees of a
qualified employer shall be determined as provided by this paragraph:
(A) The net increase in qualified full-time employees shall be
determined on an annual full-time equivalent basis by subtracting
from the amount determined in clause (ii) the amount determined in
clause (i).
(i) The total number of qualified full-time employees employed in
the preceding taxable year by the taxpayer and by any trade or
business acquired by the taxpayer during the current taxable year.
(ii) The total number of full-time employees employed in the
current taxable year by the taxpayer and by any trade or business
acquired during the current taxable year.
(B) For taxpayers who first commence doing business in this state
during the taxable year, the number of full-time employees for the
immediately preceding prior taxable year shall be zero.
(d)
(e) The authority shall develop
, consistent with the requirements and criteria of this
division and Sections 17053.60, 17053.65, 17053.66, 23660, 23665, and
23666 of the Revenue and Taxation Code, do all of the following:
(1) Establish a procedure for applicants to apply for the tax
credit certificates, and a process to award those tax credit
certificates on a first-come-first-served basis.
(2) Determine the information necessary to be provided by an
applicant to the authority in order to award the tax credit
certificates.
(3) Develop and provide
application forms for use by applicants for tax credit certificates.
The application form shall provide for inclusion of the applicant's
taxpayer identification number.
(e) If the authority projects that requests for tax credit
certificates are likely to exceed the amount permitted by this
division to be awarded by the authority during any calendar year, the
authority shall defer its awards for that calendar year until the
end of the calendar year and allocate awards for that calendar year
pro rata, on the basis of total tax credits certificates that would
be awarded in the absence of a limitation on awards, among all
applicants approved pursuant to subdivisions (b) and (c).
(f) The total amount of tax credit certificates authorized to be
awarded pursuant to subdivisions (b), (c), and (d) in each of the
five calendar years beginning with January 1, 2013, is one hundred
million dollars ($100,000,000), for a total of five hundred million
dollars ($500,000,000), and any portion of that authorization not
awarded in any calendar year may be awarded in a future calendar year
ending before January 1, 2018.
(f)
(g) (1) The authority shall establish and charge
applicants fees that it determines are reasonably sufficient to cover
all of its costs in carrying out its responsibilities under this
division. The fees shall be deposited in the Job and Trade
Competitiveness Fee Account, which is hereby established in the State
Treasury. Moneys in the account shall be available, upon
appropriation by the Legislature, to the authority for the purpose of
implementing this division.
(2) Until the time that sufficient revenue is received by the
authority, the authority may borrow any money as may be required for
the purpose of meeting necessary expenses under this division, not to
exceed the amount appropriated. A loan made to the authority shall
be repayable solely from moneys appropriated to the authority from
the Job and Trade Competitiveness Fee Account and shall not
constitute a general obligation of the state for which the full faith
and credit of the state are pledged.
(g)
(h) The authority shall determine the amount of each
tax credit pursuant to this division and Sections 17053.60
and 23660 , 17053.65, 17053.66, 23660, 23665, and
23666 of the Revenue and Taxation Code, and the Franchise Tax
Board shall not be responsible for determining the amount of that tax
credit. The authority shall provide the Franchise Tax Board with an
electronic copy of each tax credit certification awarded by it
within 30 days after issuing the certificate . The tax credit
certificate shall include the date of issuance, the amount
of the tax credit, the name , the type of credit awarded,
and taxpayer identification number of the exporter or importer to
which the certificate was awarded.
(i) The authority shall establish audit procedures of taxpayers
who have been awarded a tax credit certificate to verify that the tax
credit certificate was awarded consistent with the requirements of
this division and Sections 17053.60, 17053.65, 17053.66, 23660,
23665, and 23666 of the Revenue and Taxation Code. The authority
shall conduct audits at random as the authority deems appropriate.
(j) In the event that the authority determines that any amount of
a tax credit certificate was not awarded consistent with the
requirements of this division or Sections 17053.60, 17053.65,
17053.66, 23660, 23665, and 23666 of the Revenue and Taxation Code,
the authority shall cancel any unapplied amount erroneously awarded
and any previously allowed credit erroneously awarded shall be
recaptured. The authority shall notify the Franchise Tax Board of any
amounts of a tax credit certificate that were erroneously awarded
and were canceled.
(k) The authority may prescribe rules, guidelines, or procedures
necessary or appropriate to carry out the purposes of this division.
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 does not apply to any rule, guideline, or procedure
prescribed by the authority pursuant to this subdivision.
(h)
(l) A tax credit certificate awarded pursuant to this
section shall not be transferable.
(i)
(m) This section shall remain in effect only until
December 1, 2018, and as of that date is repealed.
SEC. 2. Section 17053.60 is added to the Revenue and Taxation
Code, to read:
17053.60. (a) (1) For each taxable year beginning on or after
January 1, 2013, and before January 1, 2018, and subject to
subdivision (c), there shall be allowed as a credit against the "net
tax," as defined in Section 17039, the amount specified in paragraph
(2) , to an exporter or importer that has been awarded a tax
credit certificate pursuant to the Job and Trade Competitiveness Act
(Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code) .
(2) (A) (i) If an exporter
or importer imported or exported during the preceding taxable year,
the credit amount will be determined as follows:
(I)
(i) The amount of credit allowed for an exporter or
importer that increases exports or imports through ports in
California shall be three dollars and twelve and one-half cents
($3.125) per ton of increased exports and imports through ports in
California in a taxable year attributable to the exporter or
importer.
(II)
(ii) The amount of credit allowed for an exporter or
importer that increases exports or imports through airports in
California shall be one thousand dollars ($1,000) for each ten
thousand dollars ($10,000) of increased exports and imports through
airports in California in a taxable year attributable to the exporter
or importer.
(ii)
( B) If an exporter or importer did not
import or export during the preceding taxable year, the credit amount
shall be determined as follows:
(I)
( i) The amount of credit allowed for an
exporter or importer that exports or imports 400,000 or more tons
through ports in California in a taxable year shall be three dollars
and twelve and one-half cents ($3.125) per ton of exports and imports
through ports in California in a taxable year attributable to the
exporter or importer.
(II)
(ii) The amount of credit allowed for an exporter or
importer that exports or imports two hundred fifty thousand dollars
($250,000) or more through airports in California shall be one
thousand dollars ($1,000) for each ten thousand dollars ($10,000) of
exports and imports through airports in California in a taxable year
attributable to the exporter or importer.
(B) The amount of the credit shall be three thousand dollars
($3,000) for each new cargo-moving job created and filled by an
exporter or importer in a taxable year or 2 percent of the amount of
capital expenditures for a cargo facility made by an exporter or
importer during a taxable year, whichever is greater.
(b) For purposes of this section:
(1) "Cargo facility" means a capital project at a port or airport
in California designed to increase cargo-moving capacity at that port
or airport and that is expended in a taxable year and has a useful
life of five years or more.
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Exporter" has the same meaning as provided in subdivision
(d) (g) of Section 64141 of the
Government Code.
(3) "Importer" has the same meaning as provided in subdivision
(g) (j) of Section 64141 of the
Government Code.
(4) "Increased exports or imports" means the difference between
the amount of exports and imports, whether measured by tons or
dollars, in a current taxable year and the preceding taxable year.
(5) "New cargo-moving job" has the same meaning as provided in
subdivision (h) of Section 64141 of the Government Code.
(5) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of the credit allowed to a
taxpayer under this section and Sections 17053.65 and 17053.66
shall be no more than two hundred fifty thousand dollars
($250,000) for a taxable year and shall be limited to the amount
specified in the tax credit certificate issued to the taxpayer
pursuant to Section 64140 of the Government Code
the Job and Trade Competitiveness Act (Division 4 (commencing
with Section 64140) of Title 6.7 of the Government Code) .
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(d)
(e) In the case where the credit allowed by this
section exceeds the "net tax," the excess may be carried over to
reduce the "net tax" in the following year, and succeeding nine
years, if necessary, until the credit is exhausted.
(e)
(f) This section shall remain in effect only until
December 1, 2018, and as of that date is repealed.
SEC. 3. Section 17053.65 is added to the
Revenue and Taxation Code , to read:
17053.65. (a) For each taxable year beginning on or after January
1, 2013, and before January 1, 2018, and subject to subdivision (c),
there shall be allowed as a credit against the "net tax," as defined
in Section 17039, to an exporter or importer that has been awarded a
tax credit certificate pursuant to the Job and Trade Competitiveness
Act (Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code), in an amount equal to three thousand dollars
($3,000) for each net increase in qualified full-time employees hired
in California during the taxable year by an exporter or importer, in
a taxable year.
(b) For purposes of this section:
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Exporter" has the same meaning as provided in subdivision (g)
of Section 64141 of the Government Code.
(3) "Importer" has the same meaning as provided in subdivision (j)
of Section 64141 of the Government Code.
(4) "Qualified full-time employee" has the same meaning as
provided in subdivision (k) of the Government Code.
(5) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of the credit allowed to a taxpayer under
this section and Sections 17053.60 and 17053.66 shall be no more
than two hundred fifty thousand dollars ($250,000) for a taxable year
and shall be limited to the amount specified in the tax credit
certificate issued to the taxpayer pursuant to the Job and Trade
Competitiveness Act (Division 4 (commencing with Section 64140) of
Title 6.7 of the Government Code).
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(e) In the case where the credit allowed by this section exceeds
the "net tax," the excess may be carried over to reduce the "net tax"
in the following year, and succeeding nine years, if necessary,
until the credit is exhausted.
(f) This section shall remain in effect only until December 1,
2018, and as of that date is repealed.
SEC. 4. Section 17053.66 is added to the
Revenue and Taxation Code , to read:
17053.66. (a) For each taxable year beginning on or after January
1, 2013, and before January 1, 2018, and subject to subdivision (c),
there shall be allowed as a credit against the "net tax," as defined
in Section 17039, to an exporter or importer that has been awarded a
tax credit certificate pursuant to the Job and Trade Competitiveness
Act (Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code), in an amount of up to, but not to exceed, 2 percent
of the total capital costs for a cargo facility constructed in
California by an exporter or importer during a taxable year, in a
taxable year.
(b) For purposes of this section:
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Capital costs" has the same meaning as provided in
subdivision (c) of the Government Code.
(3) "Cargo facility" has the same meaning as provided in
subdivision (d) of the Government Code.
(4) "Exporter" has the same meaning as provided in subdivision (g)
of Section 64141 of the Government Code.
(5) "Importer" has the same meaning as provided in subdivision (j)
of Section 64141 of the Government Code.
(6) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of the credit allowed to a taxpayer under
this section and Sections 17053.60 and 17053.65 shall be no more
than two hundred fifty thousand dollars ($250,000) for a taxable year
and shall be limited to the amount specified in the tax credit
certificate issued to the taxpayer pursuant to the Job and Trade
Competitiveness Act (Division 4 (commencing with Section 64140) of
Title 6.7 of the Government Code).
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(e) In the case where the credit allowed by this section exceeds
the "net tax," the excess may be carried over to reduce the "net tax"
in the following year, and succeeding nine years, if necessary,
until the credit is exhausted.
(f) This section shall remain in effect only until December 1,
2018, and as of that date is repealed.
SEC. 3. SEC. 5. Section 23660 is
added to the Revenue and Taxation Code, to read:
23660. (a) (1) For each taxable year beginning on or after
January 1, 2013, and before January 1, 2018, and subject to
subdivision (c), there shall be allowed as a credit against the "tax,"
as defined in Section 23036, an amount specified in paragraph (2)
, to an exporter or importer that has been awarded a tax credit
certificate pursuant to the Job and Trade Competitiveness Act
(Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code) .
(2) (A) (i) If an exporter
or importer imported or exported during the preceding taxable year,
the credit amount will be determined as follows:
(I)
( i) The amount of credit allowed for an
exporter or importer that increases exports or imports through ports
in California shall be three dollars and twelve and one-half cents
($3.125) per ton of increased exports and imports through ports in
California in a taxable year attributable to the exporter or
importer.
(II)
(ii) The amount of credit allowed for an exporter or
importer that increases exports or imports through airports in
California shall be one thousand dollars ($1,000) for each ten
thousand dollars ($10,000) of increased exports and imports through
airports in California in a taxable year attributable to the exporter
or importer.
(ii)
( B) If an exporter or importer did not
import or export during the preceding taxable year, the credit amount
shall be determined as follows:
(I)
( i) The amount of credit allowed for an
exporter or importer that exports or imports 400,000 or more tons
through ports in California in a taxable year shall be three dollars
and twelve and one-half cents ($3.125) per ton of exports and imports
through ports in California in a taxable year attributable to the
exporter or importer.
(II)
(ii) The amount of credit allowed for an exporter or
importer that exports or imports two hundred fifty thousand dollars
($250,000) or more through airports in California shall be one
thousand dollars ($1,000) for each ten thousand dollars ($10,000) of
exports and imports through airports in California in a taxable year
attributable to the exporter or importer.
(B) The amount of the credit shall be three thousand dollars
($3,000) for each new cargo-moving job created and filled by an
exporter or importer in a taxable year pursuant to Section 64142 of
the Government Code or 2 percent of the amount of capital
expenditures for a cargo facility made by an exporter or importer
during a taxable year, whichever is greater.
(b) For purposes of this section:
(1) "Cargo facility" means a capital project at a port or airport
in California designed to increase cargo-moving capacity at that port
or airport and that is expended in a taxable year and has a useful
life of five years or more.
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Exporter" has the same meaning as provided in subdivision
(d) (g) of Section 64141 of the
Government Code.
(3) "Importer" has the same meaning as provided in subdivision
(g) (j) of Section 64141 of the
Government Code.
(4) "Increased exports or imports" means the difference between
the amount of exports and imports, whether measured by tons or
dollars, in a current taxable year and the preceding taxable year.
(5) "New cargo-moving job" has the same meaning as provided in
subdivision (h) of Section 64141 of the Government Code.
(5) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of credit allowed to a
taxpayer under this section and Sections 23665 and
23666 shall be no more than two hundred fifty
thousand dollars ($250,000) for a taxable year and shall be limited
to the amount specified in the credit certificate issued to the
taxpayer pursuant to Section 64140 of the Government Code
the Job and Trade Competitiveness Act (Division 4
(commencing with Section 64140) of Title 6.7 of the Government Code)
.
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(d)
(e) In the case where the credit allowed by this
section exceeds the "tax," the excess may be carried over to reduce
the "tax" in the following year, and succeeding nine years, if
necessary, until the credit is exhausted.
(e)
(f) This section shall remain in effect only until
December 1, 2018, and as of that date is repealed.
SEC. 6. Section 23665 is added to the
Revenue and Taxation Code , to read:
23665. (a) For each taxable year beginning on or after January 1,
2013, and before January 1, 2018, and subject to subdivision (c),
there shall be allowed as a credit against the "tax," as defined in
Section 23036, to an exporter or importer that has been awarded a tax
credit certificate pursuant to the Job and Trade Competitiveness Act
(Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code), in an amount equal to three thousand dollars
($3,000) for each net increase in qualified full-time employees hired
in California during the taxable year by an exporter or importer, in
a taxable year.
(b) For purposes of this section:
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Exporter" has the same meaning as provided in subdivision (g)
of Section 64141 of the Government Code.
(3) "Importer" has the same meaning as provided in subdivision (j)
of Section 64141 of the Government Code.
(4) "Qualified full-time employee" has the same meaning as
provided in subdivision (k) of the Government Code.
(5) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of the credit allowed to a taxpayer under
this section and Sections 23660 and 23666 shall be no more than two
hundred fifty thousand dollars ($250,000) for a taxable year and
shall be limited to the amount specified in the tax credit
certificate issued to the taxpayer pursuant to the Job and Trade
Competitiveness Act (Division 4 (commencing with Section 64140) of
Title 6.7 of the Government Code).
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(e) In the case where the credit allowed by this section exceeds
the "net tax," the excess may be carried over to reduce the "net tax"
in the following year, and succeeding nine years, if necessary,
until the credit is exhausted.
(f) This section shall remain in effect only until December 1,
2018, and as of that date is repealed.
SEC. 7. Section 23666 is added to the
Revenue and Taxation Code , to read:
23666. (a) For each taxable year beginning on or after January 1,
2013, and before January 1, 2018, and subject to subdivision (c),
there shall be allowed as a credit against the "tax," as defined in
Section 23036, to an exporter or importer that has been awarded a tax
credit certificate pursuant to the Job and Trade Competitiveness Act
(Division 4 (commencing with Section 64140) of Title 6.7 of the
Government Code), in an amount of up to, but not to exceed, 2 percent
of the total capital costs for a cargo facility constructed in
California by an exporter or importer during a taxable year, in a
taxable year.
(b) For purposes of this section:
(1) "Authority" means the California Transportation Financing
Authority established in Section 64101 of the Government Code.
(2) "Capital costs" has the same meaning as provided in
subdivision (c) of the Government Code.
(3) "Cargo facility" has the same meaning as provided in
subdivision (d) of the Government Code.
(4) "Exporter" has the same meaning as provided in subdivision (g)
of Section 64141 of the Government Code.
(5) "Importer" has the same meaning as provided in subdivision (j)
of Section 64141 of the Government Code.
(6) "Tax credit certificate" has the same meaning as provided in
subdivision (m) of Section 64141 of the Government Code.
(c) The aggregate amount of the credit allowed to a taxpayer under
this section and Sections 23660 and 23665 shall be no more than two
hundred fifty thousand dollars ($250,000) for a taxable year and
shall be limited to the amount specified in the tax credit
certificate issued to the taxpayer pursuant to the Job and Trade
Competitiveness Act (Division 4 (commencing with Section 64140) of
Title 6.7 of the Government Code).
(d) In the event that the authority notifies the Franchise Tax
Board of any amounts of a tax credit certificate that were
erroneously awarded and were canceled pursuant to subdivision (k) of
Section 64142 of the Government Code, those amounts shall not be
allowed as a credit, and any previously allowed credit shall be
recaptured. The taxpayer shall be liable for any increase in tax
attributable to the recapture of any credit previously allowed under
this section.
(e) In the case where the credit allowed by this section exceeds
the "net tax," the excess may be carried over to reduce the "net tax"
in the following year, and succeeding nine years, if necessary,
until the credit is exhausted.
(f) This section shall remain in effect only until December 1,
2018, and as of that date is repealed.
SEC. 4. SEC. 8. This act provides
for a tax levy within the meaning of Article IV of the Constitution
and shall go into immediate effect.
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