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SB-1013 Taxation: Property Tax Assistance for Descendants of Enslaved Persons.(2023-2024)

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Date Published: 04/30/2024 09:00 PM
SB1013:v96#DOCUMENT

Amended  IN  Senate  April 30, 2024
Amended  IN  Senate  April 18, 2024
Amended  IN  Senate  March 20, 2024

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill
No. 1013


Introduced by Senator Bradford

February 05, 2024


An act to add Part 10.8 (commencing with Section 21100) to Division 2 of the Revenue and Taxation Code, relating to taxation.


LEGISLATIVE COUNSEL'S DIGEST


SB 1013, as amended, Bradford. Taxation: Property Tax Assistance for Descendants of Enslaved Persons.
The Gonsalves-Deukmejian-Petris Senior Citizens Property Tax Assistance Law authorizes individuals who meet specified criteria, including that they either be 62 years of age or older or blind or disabled, as defined, to file with the Franchise Tax Board a claim for assistance. That law authorizes assistance in an amount equal to a percentage, determined as provided, of either the property taxes accrued and paid by the claimant on their residential dwelling or, with respect to a claimant renting their residence, the applicable statutory property tax equivalent.
This bill would establish the Property Tax Assistance for Descendants of Enslaved Persons Program for purposes of making, upon appropriation by the Legislature, moneys available to persons who meet specified criteria for purposes of providing financial assistance equal to a percentage of the total amount of property taxes paid on a residential dwelling, as defined. The bill would limit that assistance to $4,000. defined, or $4,000, whichever is less, and as subject to specified limitations. The bill would, for purposes of determining a person’s eligibility for moneys under the program, require the person to provide an affidavit, under penalty of perjury, containing specified information, if the residential dwelling is owned by the person on property owned by a nonprofit incorporated association. By expanding the crime of perjury, the bill would impose a state-mandated local program. The bill would require the Franchise Tax Board to develop and administer the program and to provide moneys to eligible claimants. The bill would set forth procedures for administering the program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Part 10.8 (commencing with Section 21100) is added to Division 2 of the Revenue and Taxation Code, to read:

PART 10.8. Property Tax Assistance for Descendants of Enslaved Persons

21100.
 This chapter shall be known and may be cited as the “Property Tax Assistance for Descendants of Enslaved Persons Program.”

21101.
 For purposes of this part, the following definitions apply:
(a) “Claimant” means a person who satisfies all of the requirements under Section 21101.2.
(b) “Floating home” has the same meaning as defined in subdivision (d) of Section 18075.55 of the Health and Safety Code.

(b)

(c) “Household” includes the claimant and all other persons whose principal place of residence is the residential dwelling of the claimant. For purposes of this subdivision, “other persons” shall exclude bona fide renters, minors, or students.
(d) “Principal place of residence” has the same meaning as “principal residence,” as that term is used in subdivision (k) of Section 3 of Article XIII.

(c)

(e) “Program” means the Property Tax Assistance for Descendants of Enslaved Persons Program, as established by this part.

(d)

(f) “Property tax” means all taxes, exclusive of interest, penalties, and principal payments on improvement bonds and charges for service, levied against a claimant’s residential dwelling by any taxing agency for payment in any fiscal year ending with respect to property tax lien dates occurring on or after June 30, January 1, 2025. “Property tax” includes license fees imposed by Part 5 (commencing with Section 10701) if the fee is imposed on land owned or rented by the claimant.

(e)

(g) (1) “Residential dwelling” means a dwelling in the state used as a principal place of residence by the claimant and the land surrounding the dwelling as is reasonably necessary for use of the dwelling as a home. “Residential
(2) “Residential dwelling” shall also include a mobilehome all of the following:
(A) A dwelling that is owned by a claimant, that is subject to property taxation pursuant to Part 13 (commencing with Section 5800) of Division 1, 1 or to the license fee imposed by Part 5 (commencing with Section 10701) of Division 1, and that is located on land owned or rented by the claimant.
(B) A dwelling that is rented by the claimant, that is subject to property taxation pursuant to Part 13 (commencing with Section 5800) of Division 1 or to the license fee imposed by Part 5 (commencing with Section 10701) of Division 1, and that is located on land rented by the claimant or the owner of the dwelling.
(C) A floating home owned or rented by a claimant.
(3) Notwithstanding paragraphs (1) and (2), “residential dwelling” shall not include any of the following:
(A) A dwelling that is exempt from ad valorem real property taxation and for which the owner of the dwelling is not liable for possessory interest taxes.
(B) A dwelling not located in the state.
(C) Land without a dwelling located on the land.

(f)

(h) “Taxing agency” shall have the same meaning as in Section 121.

21101.1.
 (a) The Property Tax Assistance for Descendants of Enslaved Persons Program is hereby established for purposes of providing financial assistance to descendants of a person enslaved in the United States.
(b) Upon appropriation by the Legislature, moneys shall be distributed under the program in accordance with this part.
(c) (1) The Franchise Tax Board shall develop and administer the program and, consistent with the requirements of this part, shall provide assistance to claimants it selects to receive the assistance.
(2) The Franchise Tax Board shall adopt any rules and regulations necessary for the administration of this part.

21101.2.
 (a) A person may file with the Franchise Tax Board a claim for property tax assistance in accordance with this part.
(b) A person shall be considered a claimant that is eligible to receive assistance pursuant to this part if the person satisfies the following conditions:
(1) Is a descendant of an African American chattel enslaved person in the United States or descendants of a free Black person living in the United States prior to the end of the 19th century.
(2) Their status as a descendant, as described in paragraph (1), has been confirmed by the California American Freedmen Affairs Agency.
(3) Is an either of the following:
(A) An owner and occupant of a residential dwelling that is the person’s principal place of residence, on the last day of residence during the calendar year that ends within the fiscal year for which assistance is claimed.
(B) A person who rents and occupies a residential dwelling as their principal place of residence during the calendar year for which assistance is claimed.
(4) Submits a complete claim to the Franchise Tax Board within the deadlines set by the board.
(5) If requested by the Franchise Tax Board, submits the following:
(A) If the person is requesting assistance related to property taxes on a residential dwelling purchased pursuant to an unrecorded contract of sale, a copy of the contract or other evidence to establish the fact of the purchase or change of ownership.
(B) If the residential dwelling is owned by the person on property owned by a nonprofit incorporated association, an affidavit, under penalty of perjury, containing sufficient evidence to support such ownership and the person’s obligation to pay a pro rata share of the property tax levied against the nonprofit incorporated association’s property.

21101.3.
 The Franchise Tax Board may provide assistance to claimants who are eligible under Section 21101.2 in an amount equal to a percentage the total amount of property taxes paid on the residential dwelling. dwelling or four thousand dollars ($4,000), whichever is less. However, any assistance shall be provided in accordance with the following:
(a) Assistance shall be provided only for property taxes for the fiscal calendar year in which the claim for assistance is made under this part.

(b)The amount of the assistance shall not exceed four thousand dollars ($4,000).

(b) A claimant shall be entitled to assistance based on their pro rata share of property taxes paid during the calendar year for which assistance is claimed. The pro rata share for a claimant shall be calculated based on the following:
(1) The number of persons who paid rent, or owned and occupied, as applicable, the residential dwelling in the calendar year for which assistance is claimed.
(2) The number of months each claimant has paid rent, or owned and occupied, as applicable, the residential dwelling in the calendar year for which assistance is claimed.
(c) Notwithstanding any provision of this part, when a residential dwelling is owned by two or more persons as joint tenants or tenants in common and one or more of those persons is not a member of the claimant’s household, the claimant may only receive property tax assistance with respect to that part of the property tax that reflects the ownership percentage of the claimant and other persons who are part of the household. However, the proration requirement of this paragraph shall not apply to the ownership percentage of any of the following persons:
(1) The claimant’s spouse or domestic partner.
(2) The parents, natural or adopted children, or grandchildren of the claimant or the claimant’s spouse or domestic partner.
(3) The spouse or domestic partner of any person enumerated in paragraph (2).
(d) Assistance shall only be provided with respect to property taxes properly claimed and already paid.
(e) Assistance shall not be provided for claims that are five dollars ($5) or less.
(f) Only In the case of a claimant who is the owner and occupant of the residential dwelling, only one owner-claimant from each household shall be entitled to assistance pursuant to this part each fiscal calendar year. When two or more persons of a household are eligible to claim assistance under this part and disagree as to who the owner-claimant shall be, the matter shall be referred to the Franchise Tax Board. The board’s decision shall be final.

SEC. 2.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.