With an average of 245 tax and spending bills coming out of the California legislature every year, identifying and monitoring the most harmful bills help CAHT and our members focus on holding the line on spending.
The following bills make up CAHT’s legislative priorities for 2020.
As these bills continue to move through the Capitol, we will provide member updates and calls-to-action when necessary.
This measure would extend the False Claims Act to claims, records, or statements made under the Revenue and Taxation Code. The False Claims Act was established as a mechanism for seeking restitution from fraudulent claims resulting in economic harm to government entities and it carries a penalty of two to three times the disputed amount and $5,000 - $11,000 fee per violation.
This measure would allow private attorneys to file lawsuits based on tax disputes, even after taxpayers and tax agencies have resolved their issues.
AB 2570 grants private attorneys the ability to sue individual taxpayers and forcing them into settlements to avoid the expense of hiring an attorney, missing work to go to court and other high costs associated with challenging lawsuits.
SB 793 (Hill)– Flavored Tobacco Ban
This measure would prohibit any California retailer from selling, otraditional tobacco products for adults that have been legal for decades.
This measure would make California’s financial situation even worse by costing revenue and jobs.
The Tax Foundation estimates the state will lose more than $1.8 billion in revenue over the next four years.
SB 793 will hurt local small businesses and neighborhood retailers –impacting their bottom line and their ability to keep their employees working while many are struggling to stay afloat by outlawing traditional adult products like menthol that have been legal for decades.
SB 793’s revenue losses will lead to cuts in essential services like Medi-Cal health coverage for the needy, early educational funding, and other critical programs.
This measure would create the California Universal Basic Income Program in which every California resident over 18 years of age receives $1,000 per month.
AB 2712 would fund the program by imposing a 10 percent value-added tax on goods and services except medicine, medical supplies and equipment, educational materials, food, groceries and clothing.
This measure would require a city or county to collect an additional “fee” from any applicant for a local business license in an amount dependent on the number of employees, and deposit revenue into the newly created Affordable Housing Assistance Fund.
Revenue would be used to fund first-time homebuyer programs, provide vouchers to homeless individuals, fund and subsidize housing that is 100 percent affordable to low- and moderate-income people and families, and provide rent assistance.
The proposed tax rates would be: