§ 19586. — 19586. (Amended by Stats. 2023, Ch. 131, Sec. 210.)

California § 19586.

• Jurisdiction: California
• Code RTC: Revenue and Taxation Code - RTC
• Div. 2.: DIVISION 2. OTHER TAXES
• Part 10.2.: PART 10.2. ADMINISTRATION OF FRANCHISE AND INCOME TAX LAWS
• Ch. 7.: CHAPTER 7. Administration of Tax
• Art. 3.: ARTICLE 3. Tax Forms

Text

(a)
(1)
Beginning January 1, 2023, the Franchise Tax Board shall notify all potential eligible individuals of available paperless filing options offered through the Franchise Tax Board, including the CalFile program and free tax preparation services, including the Volunteer Income Tax Assistance program. Notifications shall contain information about available paperless filing options and information about the CalEITC.
(2)
Notifications shall be in any form and manner, including electronic communication, determined by the Franchise Tax Board to incentivize potential eligible individuals to timely file federal and state tax returns.
(3)
The Franchise Tax Board may coordinate the
notifications with other government entities and nonprofit organizations to improve the efficacy and impact of the notifications.
(b)
A negative inference shall not be drawn from a taxpayer’s decision not to file a return using the CalFile program or to file a return under a different method.
(c)
For purposes of this section, the following definitions shall apply:
(1)
“CalEITC” means the California Earned Income Tax Credit allowed under Section 17052.
(2)
“Potential eligible individual” means a taxpayer that was an eligible individual for purposes of the CalEITC in any of the three previous taxable years based on the information available to the Franchise Tax Board.
(d)
On or before
January 1, 2026, the Franchise Tax Board shall submit, pursuant to Section 9795 of the Government Code, a report to the Legislature that contains all of the following information organized by taxable year for taxable years beginning on or after January 1, 2023, and before January 1, 2025:
(1)
The cost to administer and implement the notification requirement under this section.
(2)
The total number of tax returns filed using paperless filing options offered through the Franchise Tax Board, including the CalFile program.
(3)
An analysis of the discernible efficacy and impact of the notification required under this section.
(4)
The number of tax returns filed using paperless filing options offered through the Franchise Tax Board that claimed the
CalEITC.
(5)
The estimated cost savings potential eligible individuals realized by using paperless filing options offered through the Franchise Tax Board.
(e)
This section shall remain in effect only until January 1, 2027, and as of that date is repealed.

Legislative History

Amended by Stats. 2023, Ch. 131, Sec. 210. (AB 1754) Effective January 1, 2024. Repealed as of January 1, 2027, by its own provisions.