Code Section Group

Revenue and Taxation Code - RTC

DIVISION 2. OTHER TAXES [6001 - 61045]

  ( Heading of Division 2 amended by Stats. 1968, Ch. 279. )

PART 7. INSURANCE TAXATION [12001 - 13170]

  ( Part 7 added by Stats. 1941, Ch. 113. )

CHAPTER 4. Assessment and Effect of Tax [12301 - 12495]

  ( Heading of Chapter 4 amended by Stats. 1961, Ch. 740. )

ARTICLE 4. Effect of Tax [12491 - 12495]
  ( Article 4 added by Stats. 1941, Ch. 113. )

12491.
  

(a) Every tax levied upon an insurer under the provisions of Article XIII of the California Constitution and of this part is a lien upon all property and franchises of every kind and nature belonging to the insurer, and has the effect of a judgment against the insurer.

(b) (1) Every tax levied upon a surplus line broker under Part 7.5 (commencing with Section 13201) is a lien upon all property and franchises of every kind and nature belonging to the surplus line broker, and has the effect of a judgment against the surplus line broker.

(2) A lien levied pursuant to this subdivision shall not exceed the amount of unpaid tax collected by the surplus line broker.

(Amended by Stats. 2017, Ch. 561, Sec. 230. (AB 1516) Effective January 1, 2018.)

12492.
  

Every lien attaches as of 12:01 a.m. on the first day of March of the calendar year in which the tax is levied.

(Amended by Stats. 1967, Ch. 818.)

12493.
  

(a) Every lien has the effect of an execution duly levied against all property of a delinquent insurer or surplus line broker.

(b) This section shall become operative on July 1, 2013.

(Repealed (in Sec. 84) and added by Stats. 2013, Ch. 33, Sec. 85. (SB 78) Effective June 27, 2013. Section operative July 1, 2013, by its own provisions.)

12494.
  

(a) No judgment is satisfied nor lien removed until either:

(1) The taxes, interest, penalties, and costs are paid.

(2) The insurer’s or surplus line broker’s property is sold for the payment thereof.

(b) This section shall become operative on July 1, 2013.

(Repealed (in Sec. 87) and added by Stats. 2013, Ch. 33, Sec. 88. (SB 78) Effective June 27, 2013. Section operative July 1, 2013, by its own provisions.)

12495.
  

No court shall make and enter a final discharge in bankruptcy or decree of dissolution, nor shall any county clerk or the Secretary of State file a discharge, decree, or any other document by which the term of existence of a corporation or surplus line broker’s business is reduced, or a surplus line broker’s assets are transferred to a new owner until all taxes, interest, penalties, and costs are paid and discharged.

(Amended by Stats. 2005, Ch. 231, Sec. 5. Effective January 1, 2006.)

RTCRevenue and Taxation Code - RTC4