Income taxes: credits: telecommuting: transfer of funds.

The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. Existing law establishes the Greenhouse Gas Reduction Fund and requires all moneys, except as provided, collected by the State Air Resources Board from the auction or sale of allowances, as specified, to be deposited into the fund and be available for appropriation by the Legislature. This bill, for taxable years beginning on or after January 1, 2023, and before January 1, 2028, would allow a credit against those taxes to a qualified taxpayer, as defined, in an amount equal to one thousand dollars ($1,000) per qualified employee, as defined. The bill would require a taxpayer claiming the credit to retain documentation, including, but not limited to, a telecommuting agreement signed by the taxpayer and employee, demonstrating that the employee telecommutes at least 25 hours per week. The bill would require, upon request by the Franchise Tax Board, a taxpayer to provide, in a manner prescribed by the board, that documentation for purposes of verifying the taxpayer's eligibility for the credit. The bill would require board to annually determine the amount of revenue lost as a result of the credits and to report the amount to the Controller. The bill would authorize the Controller to transfer moneys, to the extent permissible, from the Greenhouse Gas Reduction Fund to the General Fund up to the amount of revenue lost as a result of the credits. Existing law requires any bill authorizing a new tax credit to contain, among other things, specific goals, purposes, and objectives that the tax credit will achieve, detailed performance indicators, and data collection requirements. The bill also would include additional information required for any bill authorizing a new income tax credit.