Income tax: credits: Export Investment Act of 2022.

The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. This bill would allow a credit against those taxes for each taxable year beginning on or after January 1, 2023, and before January 1, 2027, to a qualified taxpayer in an amount equal to the product of $1.50, except as otherwise provided, and the number of tons of additional qualified cargo moved by the qualified taxpayer in the taxable year. The bill would require a qualified taxpayer to submit an application, as specified, to the Franchise Tax Board for certification of qualified cargo, and would require the applicant to pay an application fee, as specified. The bill would limit the total aggregate amount of the credit awarded in a taxable year, as specified, and would require the Franchise Tax Board to reduce the credit formula, as necessary, if the number of applicants exceeds the total aggregate amount of the credit authorized. This bill would also allow a credit against those taxes for each taxable year beginning on or after January 1, 2023, and before January 1, 2025, to a qualified taxpayer in an amount equal to the product of $30, except as otherwise provided, and the number of pieces of hired export equipment by the qualified taxpayer in the taxable year. The bill would require a qualified taxpayer to submit an application, as specified, to the Franchise Tax Board for certification of qualified hired equipment, and would require the taxpayer to pay an additional fee, as specified. The bill would limit the total aggregate amount of the credit awarded in a taxable year, as specified, and would require the Franchise Tax Board to reduce the credit formula, as necessary. The Administrative Procedure Act generally governs the procedure for the adoption, amendment, or repeal of regulations by state agencies and for the review of those regulatory actions by the Office of Administrative Law. This bill would authorize the Franchise Tax Board to prescribe rules, guidelines, procedures, or other guidance to carry out the purposes of these provisions. The bill would exempt these provisions from the Administrative Procedure Act. 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. This bill would include additional information required for any bill authorizing a new income tax credit. This bill would take effect immediately as a tax levy.