Today's Law As Amended


PDF |Add To My Favorites |Track Bill | print page

AB-946 Home Purchase Assistance Fund: personal income taxation: mortgage interest deduction.(2021-2022)



As Amends the Law Today


SECTION 1.

 Section 51342 of the Health and Safety Code is amended to read:

51342.
 (a) There is hereby continued in the State Treasury a Home Purchase Assistance Fund. “Fund,” as used in this chapter, means the Home Purchase Assistance Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated to the agency, without regard to fiscal years, for expenditure pursuant to this chapter and defraying administrative costs of the agency. Notwithstanding Section 16305.7 of the Government Code, any interest earned or other increment derived from investments made from moneys in the fund shall be deposited in the fund.
(b) On and after July 1, 2016, all of the following shall apply:
(1) Any unobligated amounts remaining in any fund established for the purposes of Chapter 9 (commencing with Section 51450) or Chapter 11 (commencing with Section 51500), including, but not limited to, the California Homebuyer’s Downpayment Assistance Program, the School Facility Fee Program, and the Extra Credit Teacher Program, shall be transferred to the Home Purchase Assistance Fund for expenditure by the agency for the purposes of this chapter.
(2) The agency shall have no obligation to continue administering loan programs authorized by Chapter 9 (commencing with Section 51450) or Chapter 11 (commencing with Section 51500).
(3) Notwithstanding Section 16305.7 of the Government Code, any interest earned, or other increment derived, from investments made from moneys transferred to the fund pursuant to paragraph (1), and any loan receivables, repayments made, or other sums accruing to the agency pursuant to Chapter 9 (commencing with Section 51450) or Chapter 11 (commencing with Section 51500) shall be deposited into the fund for expenditure by the agency for the purposes of this chapter.
(c) Upon receiving the notifications from the Franchise Tax Board pursuant to paragraphs (1) and (2) of subdivision (b) of Section 17226 of the Revenue and Taxation Code, the Controller shall transfer an amount, equal to the amount estimated by the Franchise Tax Board in those notifications, from the General Fund to the Home Purchase Assistance Fund.

SEC. 2.

 Section 17226 is added to the Revenue and Taxation Code, to read:

17226.
 (a) For taxable years beginning on or after January 1, 2022, Sections 163(h)(4)(A)(i)(II) and 163(h)(4)(A)(ii)(II) of the Internal Revenue Code, relating to qualified residence, shall not apply.
(b) (1) No later than June 1, 2022, the Franchise Tax Board, in consultation with the Department of Finance, shall estimate the amount of revenue that would have resulted if the modifications made with respect to the calculation of taxable income by this section had applied to taxable years beginning on or after January 1, 2021, and before January 1, 2022, and notify the Controller of that amount.
(2) No later than June 1, 2023, and annually thereafter, the Franchise Tax Board, in consultation with the Department of Finance, shall estimate the amount of additional revenue resulting from the modifications made with respect to the calculation of taxable income by this section for the taxable years beginning on or after January 1 of the calendar year immediately preceding the year in which the estimate is made and before January 1 of the calendar year in which the estimate is made and notify the Controller of that amount.