Bill Text: CA AB1889 | 2021-2022 | Regular Session | Amended
Bill Title: Personal income tax: deductions: adjusted gross income: teachers’ expenses.
Spectrum: Moderate Partisan Bill (Republican 8-1)
Status: (Introduced - Dead) 2022-05-19 - In committee: Held under submission. [AB1889 Detail]
Download: California-2021-AB1889-Amended.html
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Amended
IN
Assembly
May 09, 2022 |
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Amended
IN
Assembly
May 03, 2022 |
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Amended
IN
Assembly
March 17, 2022 |
CALIFORNIA LEGISLATURE—
2021–2022 REGULAR SESSION
Assembly Bill
No. 1889
| Introduced by Assembly Members Choi and Patterson (Coauthors: Assembly Members Chen, Flora, Seyarto, Smith, and Villapudua) (Coauthors: Senators Bates and Jones) |
February 09, 2022 |
An act to amend Section 17072 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
AB 1889, as amended, Choi.
Personal income tax: deductions: adjusted gross income: teachers’ expenses.
The Personal Income Tax Law, in modified conformity with federal income tax laws, allows various deductions from gross income in computing adjusted gross income under that law, but does not conform with the federal deduction in computing adjusted gross income allowed for certain expenses of elementary and secondary school teachers.
This bill, for each taxable year beginning on or after January 1, 2022, and before January 1, 2027, would conform would, in modified conformity with federal personal income tax laws to
laws, allow a deduction in computing adjusted gross income for certain expenses of public elementary and secondary school teachers.
Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
This bill would include additional information required for any bill authorizing a new tax expenditure.
This bill would take effect immediately as a tax levy.
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 17072 of the Revenue and Taxation Code is amended to read:17072.
(a) Section 62 of the Internal Revenue Code, relating to adjusted gross income defined, shall apply, except as otherwise provided.(b) For taxable years beginning before January 1, 2022, and beginning on or after January 1, 2027, Section 62(a)(2)(D) of the Internal Revenue Code, relating to certain expenses of elementary and secondary school teachers, shall not apply.
(c) (1) For taxable years beginning on or after January 1, 2022, and before January 1, 2027, Section 62(a)(2)(D) of the Internal Revenue Code, relating to certain expenses of elementary and
secondary school teachers, shall apply, except as otherwise provided.
(2) The amendments made by Section 104 of Division Q of the Consolidated Appropriations Act, 2016 (Public Law 114-113) to Section 62(a)(2)(D) of the Internal Revenue Code, relating to certain expenses of elementary and secondary school teachers, shall apply.
(3) Section 62(d)(1)(B) of the Internal Revenue Code, relating to school, for purposes of Section 62(a)(2)(D) of the Internal Revenue Code, relating to certain expenses of elementary and secondary school teachers, is modified by substituting “any school which provides elementary education or secondary education (kindergarten through grade 12), as determined under State law” with “a public elementary or secondary school maintaining kindergarten or any of grades 1 to 12, inclusive, that is operated by a school district, county office of education, or charter
school.”
(c)
(d) Section 62(a)(21) of the Internal Revenue Code, relating to attorneys fees relating to awards to whistleblowers, shall not apply.
SEC. 2.
For purposes of Section 41 of the Revenue and Taxation Code, with respect to the deduction from gross income in computing adjusted gross income allowed by the amendment to Section 17072 of the Revenue and Taxation Code made by this act, the Legislature finds and declares the following:(a) The specific goal, purpose, and objective of the deduction is to better support California’s public school teachers.
(b) The performance indicators used to determine if the deduction is achieving the stated
goal, purpose, and objective shall be the number of taxpayers claiming the deduction and the average amount of the deduction claimed by taxpayers.
(c) (1) On or before January 1, 2026, the Franchise Tax Board shall prepare a written report for the Legislature, in compliance with Section 9795 of the Government Code, containing the performance indicators in subdivision (b) for each taxable year the deduction is allowed prior to submitting the report.
(2) The disclosure provisions of this subdivision shall be treated as an exception to Section 19542 of the Revenue and Taxation Code under Article 2 (commencing with Section 19542) of Chapter 7 of Part 10.2 of Division 2 of the Revenue and Taxation Code.
