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PROPOSED BILLS

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AB 660 (Nakano)
This bill would remove the state modifications to the alternative incremental method of determining the research and development credit. Thus, for taxable years beginning on or after January 1, 2001, the state incremental rates would conform to the federal rates.

AB 665 (Bates)
This bill would conform with modifications to the federal adoption credit. The bill would allow a state credit equal to 50 percent of the costs above $5,000 ($6,000 in the case of a child with special needs) but not in excess of $10,000 ($11,000 in the case of a child with special needs) paid or incurred by the taxpayer for an adoption that is not eligible for the current state credit for public agency adoptions.

AB 694 (Corbett)
This bill would allow a credit for health coverage provided by an eligible employer for an employee and the employee's dependents. To be eligible for the credit, the employer must have employed no more than 25 employees (on average) and would be required to meet a number of other requirements.

AB 727 (Correa)
This bill would allow a 10 percent credit for inventory costs or those costs that would be included in inventory under federal law for the donation of agricultural products. Committee, to an eligible community development corporation.

AB 738 (Lowenthal)
This bill would allow a 50 percent credit for a contribution, certified by the California Tax Credit Allocation Committee, to an eligible community development corporation.

AB 790 (Maldonado)
This bill would allow a 25 percent credit for qualified expenses paid or incurred for preventive health care, a health plan, or preventive care insurance for an employer's employees who are employed in this state as farm workers.

AB 813 (Briggs)
This bill would allow a 100 percent credit for a hot water heater recirculating system operational with a qualified plumbing fixture. The system must be installed as part of new construction, which would include an addition to a preexisting structure.

AB 845 (Nakano)
This bill would allow a 50 percent credit for the cost paid or incurred for implementing qualified alternative technology for dry cleaning (as defined by the Health and Safety Code) and as determined by the Air Resources Board.

AB 847 (La Suer)
This bill would revise the state household and dependent care credit. The credit percentage would be increased to 100 percent for those taxpayers with California adjusted gross income up to $70,000 and to 84 percent for those taxpayers with adjusted gross income over $70,000, but not over $100,000. The credit would continue to be disallowed once adjusted gross income exceeds $100,000.

AB 866 (Diaz)
This bill would extend the operation of the Employer Child Care Program Credit from January 1, 2003, until January 1, 2007.

AB 465 (Wyman)
This bill would allow a 33 1/3 percent credit for the amount paid or incurred for the costs of film production in this state. To qualify for the credit, the taxpayer would be required to be eligible for a Small Business Administration loan.

AB 475 (Cogdill)
This bill would allow a credit equal to the qualified wages paid or incurred by a qualified employer in a qualified area.

AB 485 (Runner)
This bill would change the Joint Strike Fighter credit by extending the operation of the credit to January 1, 2008 and by modifying the time periods used to determine the applicable credit percentage to reflect the two-year extension of the credit.

AB 513 (Strickland)
This bill would allow a taxpayer who is 65 years of age or older a credit for the amount paid or incurred for prescription drugs and not reimbursable or payable by a health plan. The credit would be limited to $650 per taxable year.

AB 595 (Leach)
This bill would increase the dependent exemption credit amount from $227 to $500 for taxable years beginning on or after January 1, 2001.

AB 654 (Horton)
This bill would allow a 25 percent credit, not to exceed $500, for the purchase of energy efficient residential appliances that are purchased as a replacement for an existing appliance.

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July/August 2001

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