Bill Text

Bill Information

Add To My Favorites | print page

AB-205 Income taxes: credit: vehicle registration payment fees.(2011-2012)

SHARE THIS:share this bill in Facebookshare this bill in Twitter
AB205:v96#DOCUMENT

Amended  IN  Assembly  April 13, 2011
Amended  IN  Assembly  March 29, 2011
Amended  IN  Assembly  February 16, 2011

CALIFORNIA LEGISLATURE— 2011–2012 REGULAR SESSION

Assembly Bill
No. 205


Introduced  by  Assembly Member Hagman
(Coauthor(s): Assembly Member Donnelly, Jeffries, Knight, Mansoor, Miller, Wagner)
(Coauthor(s): Senator Harman)

January 27, 2011


An act to add Section 17053.44 to the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.


LEGISLATIVE COUNSEL'S DIGEST


AB 205, as amended, Hagman. Income taxes: credit: vehicle registration payment fees.
The Personal Income Tax Law authorizes various credits against the taxes imposed by that law.
This bill would, for taxable years beginning on or after January 1, 2011, authorize a credit under the Personal Income Tax Law for qualified costs, as defined, paid by a taxpayer for specified registration payment fees of fees charged by the Department of Motor Vehicles for a qualified vehicle, as provided.
This bill would take effect immediately as a tax levy.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 This act shall be known and may be cited as the Vehicle Incentive Act.

SEC. 2.

 Section 17053.44 is added to the Revenue and Taxation Code, to read:

17053.44.
 (a) For each taxable year beginning on or after January 1, 2011, there shall be allowed as a credit against the “net tax,” as defined in Section 17039, an amount equal to the qualified costs paid by a taxpayer for a qualified vehicle.
(b) For purposes of this section:
(1) “Qualified costs” means the fees, paid by a taxpayer during the taxable year, assessed on vehicles a vehicle by the Department of Motor Vehicles as part of the vehicle registration process, including, but not limited to, the following:
(A) Any fee set forth in Article 2 (commencing with Section 9250) of Chapter 6 of Division 3 of the Vehicle Code, including, but not limited to, the registration fee, the California Highway Patrol fee, and local county transportation fees.
(B) The vehicle license fee, as set forth in Sections 10751 and 10752.2 of this code.
(C) The motorcycle safety fee, as set forth in Section 2935 of the Vehicle Code.
(D) The unladen weight fee, as set forth in Section 9400 of the Vehicle Code, and the weight fee, weight sticker fee, and cargo theft interdiction fee set forth in Section 9400.1 of the Vehicle Code.
(E) The smog abatement fee, as set forth in Sections 44060 and 44060.5 of the Health and Safety Code.
(F) The personalized license plate fees, special interest license plate fees, and all other fees set forth in Sections 5000 to 5160, inclusive, of the Vehicle Code.
(G) The county fees imposed by Section 65089.20 of the Government Code.
(H) The air pollution control district fees imposed by Section 40612 and 40701.5 of the Health and Safety Code.
(2) “Qualified vehicle” means a vehicle for which a taxpayer has paid qualified costs prior to the purchase by the taxpayer of another vehicle, for which the taxpayer has also paid qualified costs during the same calendar year, and the vehicle is either sold or traded in to purchase the other vehicle.
(c) If the credit allowed by this section exceeds the “net tax,” the excess may be carried over to reduce the “net tax” in the following taxable year, and the two succeeding years, until the credit has been exhausted.
(d) The credit provided by this section shall be in lieu of any deduction under this part to which the taxpayer may otherwise be entitled.

SEC. 3.

 This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect.