Bill Text: CA AB294 | 2009-2010 | Regular Session | Amended

California Assembly Bill 294 (Prior Session Legislation)

Bill Title: Income and corporation taxes: deductions: defensible

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2010-02-02 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB294 Detail]

Download: California-2009-AB294-Amended.html

BILL NUMBER: AB 294	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 14, 2009

INTRODUCED BY   Assembly Member Anderson

                        FEBRUARY 17, 2009

    An act relating to corporations.   An act to
add and repeal Sections 17207.6 and 24347.6 of the Revenue and
Taxation Code, relating to taxation, to take effect immediately, tax
levy. 



	LEGISLATIVE COUNSEL'S DIGEST


   AB 294, as amended, Anderson.  Corporations: penalties.
  Income and corporation taxes: deductions: defensible
space.  
   The Personal Income Tax Law and Corporation Tax Law authorize
various deductions in computing the income that is subject to the
taxes imposed by those laws.  
   This bill would allow for taxable years beginning on or after
January 1, 2009, and before January 1, 2013, a deduction under those
laws for the qualified costs paid or incurred during the taxable year
by a qualified taxpayer to create a defensible space, as defined,
around a qualified property, as defined, by removing all brush,
flammable vegetation, and combustible growth within 100 feet of
certain structures on that property.  
   This bill would take effect immediately as a tax levy. 

   Existing law specifies conduct required of, or prohibited by, a
corporation and its officers and directors, and imposes specified
penalties for a violation of those requirements.  
   This bill would declare the intent of the Legislature to amend
those provisions. 
   Vote: majority. 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 17207.6 is added to the 
 Revenue and Taxation Code   , to read:  
   17207.6.  (a) For each taxable year beginning on or after January
1, 2009, and before January 1, 2013, there shall be allowed as a
deduction an amount equal to the qualified costs paid or incurred by
a qualified taxpayer to create a defensible space during the taxable
year. The deduction shall not exceed five hundred dollars ($500) for
each qualified property.
   (b) For the purposes of this section, the following definitions
shall apply:
   (1) "Defensible space" means that area created by removing all
brush, flammable vegetation, and combustible growth that is located
within 100 feet from the structural components of a dwelling located
on a qualified property.
   (2) "Dwelling" has the same meaning as described in Section
704.710 of the Code of Civil Procedure, but does not include a boat
or other waterborne vessel.
   (3) "Fire department" means the local fire department that has
jurisdiction over the qualified property.
   (4) "Licensed contractor" means a contractor with an active
license issued by the Contractors' State License Board.
   (5) "Qualified costs" means 25 percent of the costs paid or
incurred by a qualified taxpayer for labor and services performed by
a licensed contractor to create a defensible space around a qualified
property, which costs are evidenced by records and documents
including, but not limited to, a written certification.
   (6) "Qualified property" means dwelling located in California.
   (7) "Qualified taxpayer" means taxpayer who owns qualified
property.
   (8) "Written certification" means a written evaluation by the fire
department that certifies the establishment of defensible space,
provided that the certification shall be obtained within 30 days
after completion of the work establishing the defensible space. The
taxpayer shall retain a copy of the certification and provide it to
the Franchise Tax Board upon request.
   (c) A deduction shall not be allowed under this section unless a
qualified taxpayer provides a written certification upon request to
the Franchise Tax Board.
   (d) Any deduction otherwise allowed under this part for qualified
costs shall not be reduced by the amount of the deduction allowed
under this section.
   (e) This section shall remain in effect only until December 1,
2013, and as of that date is repealed. 
   SEC. 2.    Section 24347.6 is added to the  
Revenue and Taxation Code   , to read:  
   24347.6.  (a) For each taxable year beginning on or after January
1, 2009, and before January 1, 2013, there shall be allowed as a
deduction an amount equal to the qualified costs paid or incurred by
a qualified taxpayer to create a defensible space during the taxable
year. The deduction shall not exceed five hundred dollars ($500) for
each qualified property.
   (b) For the purposes of this section, the following definitions
shall apply:
   (1) "Defensible space" means that area created by removing all
brush, flammable vegetation, and combustible growth that is located
within 100 feet from the structural components of a dwelling located
on a qualified property.
   (2) "Dwelling" has the same meaning as described in Section
704.710 of the Code of Civil Procedure, but does not include a boat
or other waterborne vessel.
   (3) "Fire department" means the local fire department that has
jurisdiction over the qualified property.
   (4) "Licensed contractor" means a contractor with an active
license issued by the Contractors' State License Board.
   (5) "Qualified costs" means 25 percent of the costs paid or
incurred by a qualified taxpayer for labor and services performed by
a licensed contractor to create a defensible space around a qualified
property, which costs are evidenced by records and documents
including, but not limited to, a written certification.
   (6) "Qualified property" means dwelling located in California.
   (7) "Qualified taxpayer" means taxpayer who owns qualified
property.
   (8) "Written certification" means a written evaluation by the fire
department that certifies the establishment of defensible space,
provided that the certification shall be obtained within 30 days
after completion of the work establishing the defensible space. The
taxpayer shall retain a copy of the certification and provide it to
the Franchise Tax Board upon request.
   (c) A deduction shall not be allowed under this section unless a
qualified taxpayer provides a written certification upon request to
the Franchise Tax Board.
   (d) Any deduction otherwise allowed under this part for qualified
costs shall not be reduced by the amount of the deduction allowed
under this section.
   (e) This section shall remain in effect only until December 1,
2013, and as of that date is repealed. 
   SEC. 3.    This act provides for a tax levy within
the meaning of Article IV of the Constitution and shall go into
immediate effect.  
  SECTION 1.   It is the intent of the Legislature
to amend Chapter 22 (commencing with Section 2200) of Division 1 of
Title 1 of the Corporations Code relating to penalties for failing to
comply with specified requirements of the Corporations Code.