California Assembly Bill AB1050 Introduced / Bill

 BILL NUMBER: AB 1050INTRODUCED BILL TEXT INTRODUCED BY Assembly Member Ma FEBRUARY 18, 2011 An act to amend Section 32390 of the Revenue and Taxation Code, relating to taxation. LEGISLATIVE COUNSEL'S DIGEST AB 1050, as introduced, Ma. State Board of Equalization: collection cost recovery fee. Existing law allows the State Board of Equalization to collect a charge to recover the costs of collecting various taxes and fees, including the tax on alcoholic beverages. This bill would make a technical, nonsubstantive change in this provision. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 32390 of the Revenue and Taxation Code is amended to read: 32390. (a) A collection cost recovery fee shall be imposed on  any   a  person that fails to pay an amount of tax, interest, penalty, or other amount due and payable under this part. The collection cost recovery fee shall be in an amount equal to the board's costs for collection, as reasonably determined by the board. The collection cost recovery fee shall be imposed only if the board has mailed its demand notice, to that person for payment, that advises that continued failure to pay the amount due may result in collection action, including the imposition of a collection cost recovery fee. (b) Interest shall not accrue with respect to the collection cost recovery fee provided by this section. (c) The collection cost recovery fee imposed pursuant to this section shall be collected in the same manner as the collection of any other tax imposed by this part. (d) (1) If the board finds that a person's failure to pay any amount under this part is due to reasonable cause and circumstances beyond the person's control, and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, the person shall be relieved of the collection cost recovery fee provided by this section. (2) Any person seeking to be relieved of the collection cost recovery fee shall file with the board a statement under penalty of perjury setting forth the facts upon which the person bases the claim for relief. (e) Subdivision (a) shall be operative with respect to a demand notice for payment which is mailed on or after January 1, 2011. (f) Collection cost recovery fee revenues shall be deposited in the same manner as revenues derived from any other tax imposed by this part.