Income and corporation taxes: gross income: exclusion: capital gains: exclusion: disaster loss carryovers: San Bruno gas explosion.

The Personal Income Tax Law defines gross income as all income from whatever source derived, unless specifically excluded. Existing law, by reference to a specified federal statute, excludes from income any amount received by an individual as a qualified disaster relief payment, and defines qualified disaster for purposes of this provision. This bill would require the natural gas transmission line explosion on September 9, 2010, in San Bruno, California, to be treated as a qualified disaster for purposes of the above-described provision. The Personal Income Tax Law provides for a gain or loss upon the disposition of property. Existing law, by reference to a specified federal statute, excludes from the computation of gross income any gain from the compulsory or involuntary conversion of property damaged by a federally declared disaster, as provided. This bill would require the natural gas transmission line explosion on September 9, 2010, in San Bruno, California, to be treated as a federally declared disaster for purposes of the above-described provision. The Personal Income Tax Law and the Corporation Tax Law provide for the carryover to specified taxable years of specified losses sustained in the County of San Mateo as a result of the explosion and fire that occurred in September 2010. This bill would change an obsolete statutory reference in these laws. This bill would take effect immediately as a tax levy.