Bill Text: CA AB1863 | 2021-2022 | Regular Session | Amended
Bill Title: Income tax: CalFile: online tax filing: Volunteer Income Tax Assistance.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2022-09-30 - Chaptered by Secretary of State - Chapter 953, Statutes of 2022. [AB1863 Detail]
Download: California-2021-AB1863-Amended.html
Amended
IN
Assembly
April 19, 2022 |
Amended
IN
Assembly
March 24, 2022 |
Introduced by Assembly Member Irwin |
February 08, 2022 |
LEGISLATIVE COUNSEL'S DIGEST
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 19582 of the Revenue and Taxation Code is amended to read:19582.
(a) For taxable years beginning on or after January 1, 1987, the Franchise Tax Board shall make available to taxpayers tax forms, including those provided as a part of the ReadyReturn Program described in(c)(1)The ReadyReturn Program is an optional filing method that provides an eligible taxpayer a tax return using tax data of the taxpayer, already collected by the Franchise Tax Board, and calculations based on that data.
(2)The Franchise Tax Board shall provide an eligible taxpayer with a ReadyReturn in electronic format in the manner specified in this section. The ReadyReturn shall include a record of the taxpayer’s wages that have been reported by employers. The ReadyReturn shall also provide the tax liability attributable to that income.
(d)The Franchise Tax Board shall notify an eligible taxpayer that the ReadyReturn Program is an available filing option. The notification shall contain all of the following information:
(1)That an eligible taxpayer may choose to view or file a ReadyReturn under the program.
(2)A description of the ReadyReturn Program that includes, but is not limited to, the following statement:
“ReadyReturn gives a taxpayer access to the wage data received from their employer. ReadyReturn gives a taxpayer the option of viewing or filing a ‘ReadyReturn.’ A ReadyReturn is a completed tax return that is based on the following: wage data received from an employer, the taxpayer’s filing status from the prior year, amounts withheld by the employer, and additional taxes owed to the state or refund owed to the taxpayer.”
(3)Immediately below the description set forth in paragraph (2) and in boldface type and in a large
font, the following statement:
“The ReadyReturn Program is an optional service for the convenience of taxpayers with simple returns. You are under absolutely no requirement to use this program. You may choose not to look at the online program, or to look at the online program and not file the ReadyReturn. If you choose not to view or file a ReadyReturn, this will not affect your tax liability in any way.”
(4)The statement described in paragraph (3) shall be prominently displayed on the ReadyReturn internet website, and provided to every eligible taxpayer that uses the online ReadyReturn prior to logging in and prior to electronically signing an electronically submitted ReadyReturn.
(e)(1)A negative inference shall not be drawn from a taxpayer’s decision not to file a ReadyReturn or to file a return under a different method.
(2)If an eligible taxpayer files a ReadyReturn, a penalty shall not be imposed pursuant to subparagraph (B) of paragraph (1) of subdivision (a) of Section 19132 with respect to any tax required to be shown on that return which is not so shown.
(f)It is the intent of the Legislature that the Franchise Tax Board should do all of the following:
(1)Provide all taxpayers with access to wage data provided by employers and other tax return information reported by third parties and maintained on the records of the Franchise Tax Board.
(2)Provide available tax return information to taxpayers starting on January 1, 2024.
(3)Develop an alternative method for an eligible taxpayer without access to the internet to request their completed ReadyReturn in paper form. The Franchise Tax Board may eliminate the paper ReadyReturn delivery option if the volume of paper ReadyReturn requests decreases below 10 percent of the total ReadyReturns filed in the
immediately previous taxable year.
(g)Contingent upon the successful implementation of an authentication solution to ensure taxpayer privacy and security of taxpayer data, an eligible taxpayer shall be able to authorize their preparer or agent to access any information provided as part of the ReadyReturn Program and any third party reporting information described in subdivision (d). The Franchise Tax Board shall work with providers of proprietary software to make the information described in subdivisions (c) and (d) available to taxpayers using that software.
(h)For purposes of this section, “eligible taxpayer” means a taxpayer eligible for the earned income tax
credit described in Section 17052.