State Board of Equalization: administration: interest.

The Sales and Use Tax Law, and other laws administered by the State Board of Equalization, by reference to that law, including the Bradley-Burns Uniform Local Sales and Use Tax law and local taxes collected pursuant to the procedures of the Transactions and Use Tax Law, provide that interest is paid by taxpayers and feepayers with respect to underpayments of various taxes, surcharges, and fees at a modified adjusted rate per annum, as defined by reference to a specified federal statute, and that interest is paid to taxpayers and feepayers with respect to overpayments of various taxes, surcharges, and fees as determined in accordance with a specified federal statute, which requires that the rate paid on overpayments be based on the rate of 13-week treasury bills, as specified. This bill would revise the definition of "modified adjusted rate per annum," to require that interest on overpayments be determined in the same manner as interest on underpayments is now determined.