California 2013-2014 Regular Session

California Senate Bill SCR12 Latest Draft

Bill / Amended Version Filed 04/22/2013

 BILL NUMBER: SCR 12AMENDED BILL TEXT AMENDED IN SENATE APRIL 22, 2013 AMENDED IN SENATE MARCH 4, 2013 INTRODUCED BY Senator Calderon (Coauthor: Assembly Member John A. Prez) FEBRUARY 20, 2013 Relative to taxation. LEGISLATIVE COUNSEL'S DIGEST SCR 12, as amended, Calderon. Taxation. This measure would encourage state  agencies,  departments  , and commissions  to  identify and utilize existing and potential   include in their public mission any appropriate efforts to encourage their employees to be a volunteer in the federal Volunteer Income Tax Assistance program and to work with  public or private partnerships to inform citizens and employees about the availability of the federal Earned Income Tax Credit and Volunteer Income Tax Assistance programs, as specified. Fiscal committee:  no   yes  . WHEREAS, Insufficient income contributes to many of the social and human service needs in our state; and WHEREAS, The federal Earned Income Tax Credit (EITC) provides tax relief and income assistance to seniors and low-income working families earning less than  $51,000 a year;   $50,270 a year, depending upon filing status, family size, and income;  and WHEREAS, The EITC lifts millions of individuals out of poverty each year  in the United States  by supporting work and self-sufficiency while reducing the need for public assistance; and  WHEREAS, Increasing EITC utilization represents a highly cost-effective economic development strategy; and   WHEREAS, Each year, Californians volunteer their time to participate in the federal Volunteer Income Tax Assistance (VITA) program, and are trained by the public and private partnerships with the Internal Revenue Service to prepare tax returns; and  WHEREAS, Each year,  as a result of the VITA program,  the EITC helps approximately  284,376   285,000 low-income  households in California and brings more than $347 million into California's economy; and  WHEREAS, It is estimated that every year, out of every family that qualifies for the EITC, 800,000 Californians fail to file for EITC, accordingly, increasing Californian's utilization of the EITC would help to bring additional funds into California's economy; and  WHEREAS, Every resident earning less than  $51,000   $50,270  a year may qualify for up to $5,891 in EITC which can be used to  lower their taxes   reduce his or her tax obligation  or increase  their   his or her  tax refund; and WHEREAS, Every 1,000  residents   taxpayers  who qualify and apply for EITC represents a potential $5.8 million economic stimulant for our communities; and WHEREAS, An increase of $1.2 billion each year in EITC benefits would generate $1.2 billion in business sales, pay $311 million in wages, and add nearly 7,500 jobs to the state economy each year;  and   now, therefore, be it   WHEREAS, A volunteer EITC State Commission made up of executive directors of the State Board of Equalization, the Franchise Tax Board, the Employment Development Department, and representatives from the offices of the Superintendent of Public Instruction, the Controller, the Treasurer, the Trustees of the California State University System, the Board of Governors of the California Community Colleges, and two union representatives would coordinate Volunteer Income Tax Assistance (VITA) activities and provide callers with tax credit information, including information on eligibility rules, and direct workers to nearby VITA sites for needed tax forms and assistance; now, therefore, be it  Resolved by the Senate of the State of California, the Assembly thereof concurring,That the Legislature of the State of California encourages  agencies,  departments  , and commissions  of California state government to  identify and utilize existing and potential public or private partnerships  include in their public service mission any appropriate efforts to encourage their employees to volunteer in the VITA program and to use their communications tools  to inform citizens and employees about the availability  and benefits  of the  EITC and the formation of VITA programs;  EITC;  and be it  further.   further  Resolved, That the Legislature of the State of California encourages each state entity to work in partnership with  public or  private outreach campaigns  and the Internal Revenue Service  to identify and utilize existing communications mechanisms to inform Californians about the availability of the EITC and VITA programs, which may include  placing key information in  state publications, Internet Web sites, human resource materials and communications,  appropriate  correspondence and forms from the state taxing agencies, the Treasurer, and the Controller, targeted printed materials, caseworker and client interactions, and application materials for state assistance and state licenses; and be it further  Resolved, That the Legislature of the State of California encourages each state entity including the State Librarian, the Superintendent of Public Instruction, and others to utilize existing state infrastructure, if appropriate, to support EITC outreach and statewide availability of the VITA program, which may include utilizing the Department of Workforce Investment Service Centers and other appropriate locations as VITA sites, staffed by trained VITA volunteers, between January and April, encouraging local school districts to integrate EITC outreach and VITA services into their parent involvement and community school efforts, and utilizing economic development tools and negotiations to encourage and support EITC outreach and employment-based VITA sites if appropriate; and be it further  Resolved, That the Secretary of the Senate transmit copies of this resolution to the author for appropriate distribution.