SB 542: Personal Income Tax Law: Corporation Tax Law: wildfires: exclusions

Coauthored by Assembly Member Megan Dahle

The Personal Income Tax Law and the Corporation Tax Law, in conformity with federal income tax law, generally defines “gross income” as income from whatever source derived, except as specifically excluded, and provides various exclusions from gross income.
This bill would, for taxable years beginning on or after January 1, 2020, and before January 1, 2028, provide an exclusion from gross income for any qualified taxpayer, as defined, for amounts received in settlement for costs and losses associated with the 2020 Zogg Fire in the Counties of Tehama and Shasta, as provided.
Existing law requires a bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
This bill would include additional information required for any bill authorizing a new tax expenditure. The bill would make legislative findings and declarations regarding the public purpose served by this bill.
This bill would declare that it is to take effect immediately as an urgency statute.