Amended IN Assembly April 17, 2023 Amended IN Assembly March 23, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1002Introduced by Assembly Member Irwin(Principal coauthor: Senator Caballero)February 15, 2023An act to add and repeal Section 19534 of the Revenue and Taxation Code, relating to taxation. An act to amend Section 19551.3 of, and to add Section 19582.6 to, the Revenue and Taxation Code, relating to taxation.LEGISLATIVE COUNSEL'S DIGESTAB 1002, as amended, Irwin. Earned Income Tax credit: young child tax credit: foster youth tax credit: study: tax returns. Taxation: Earned Income Tax Credit: young child tax credit: foster youth tax credit: filing.The Personal Income Tax Law, in modified conformity with federal income tax laws, allows a California Earned Income Tax Credit (CalEITC) against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law as determined by the earned income tax credit adjustment factor. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to qualified taxpayers in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability.The Personal Income Tax Law requires an individual taxable under that law to make a return to the Franchise Tax Board stating specifically the items of the individuals gross income from all sources and the deductions and credits allowable, as prescribed.Existing law requires the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board, including the names, addresses, and contact information of individuals that may qualify for the CalEITC, and authorizes the Franchise Tax Board to disclose individual income tax information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services, and requires all data provided to remain confidential and be used only for specified purposes, including informing state residents of the availability of CalFile, the federal Earned Income Tax Credit, the CalEITC, and other federal and state antipoverty tax credits. Existing law provides that unauthorized disclosure of this information is a misdemeanor.This bill, for taxable years beginning on or after January 1, 2026, would authorize a qualified individual, who cannot claim withholding or other credits, to claim the earned income tax credit, the young child tax credit, or the foster youth tax credit on a form that does not require the qualified individual to file an individual income tax return. The bill would exempt the Franchise Tax Board from existing contracting laws and specified approvals and oversight in administration relating to the form described above.This bill would additionally allow the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board for purposes of the form described above. The bill would also extend the above-described authority of the Franchise Tax Board to disclose individual income tax return information to the State Department of Social Services and the State Department of Health Care Services for all taxable years beginning on or after January 1, 2020, indefinitely. By extending the crime associated with unauthorized disclosure of taxpayer information this bill would establish a state-mandated local program.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Personal Income Tax Law, administered by the Franchise Tax Board, in modified conformity with federal income tax laws, allows an earned income tax credit against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law, as determined by the earned income tax credit adjustment factor, as specified. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to a qualified taxpayer in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability. This bill would require the Franchise Tax Board to conduct a study on potential programs for eligible taxpayers to claim the earned income tax credit, the young child tax credit, and the foster youth tax credit without filing a tax return. The bill would require the Franchise Tax Board to submit a written report to the Legislature detailing the findings and recommendations developed pursuant to that study no later than January 1, 2026.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 19551.3 of the Revenue and Taxation Code is amended to read:19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.SEC. 2. Section 19582.6 is added to the Revenue and Taxation Code, to read:19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).SEC. 3. The Legislature finds and declares that Section 1 of this act, which amends Section 19551.3 of the Revenue and Taxation Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:Sensitive information of California taxpayers should be adequately protected from disclosure to protect privacy and increase compliance.SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.Section 19534 is added to the Revenue and Taxation Code, to read:19534.(a)(1)On or before July 1, 2024, the Franchise Tax Board shall commence a study on potential programs for eligible taxpayers to claim the earned income tax credit under Section 17052, the young child tax credit under Section 17052.1, and the foster youth tax credit under Section 17052.2 without filing a tax return.(2)The Franchise Tax Board may contract with a third party for all or parts of the study required by paragraph (1).(b)The study required by subdivision (a) shall include an analysis and recommendations on the following:(1)Necessary authority required to establish a program.(2)Risks of administration or implementation, including risks of fraud and false claims.(3)Estimated costs of implementation, including any potential increase in utilization of the tax credits.(c)No later than January 1, 2026, the Franchise Tax Board shall submit a written report to the Legislature, in accordance with Section 9795 of the Government Code, detailing the findings and recommendations developed pursuant to the study required under subdivision (a).
Amended IN Assembly April 17, 2023 Amended IN Assembly March 23, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1002Introduced by Assembly Member Irwin(Principal coauthor: Senator Caballero)February 15, 2023An act to add and repeal Section 19534 of the Revenue and Taxation Code, relating to taxation. An act to amend Section 19551.3 of, and to add Section 19582.6 to, the Revenue and Taxation Code, relating to taxation.LEGISLATIVE COUNSEL'S DIGESTAB 1002, as amended, Irwin. Earned Income Tax credit: young child tax credit: foster youth tax credit: study: tax returns. Taxation: Earned Income Tax Credit: young child tax credit: foster youth tax credit: filing.The Personal Income Tax Law, in modified conformity with federal income tax laws, allows a California Earned Income Tax Credit (CalEITC) against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law as determined by the earned income tax credit adjustment factor. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to qualified taxpayers in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability.The Personal Income Tax Law requires an individual taxable under that law to make a return to the Franchise Tax Board stating specifically the items of the individuals gross income from all sources and the deductions and credits allowable, as prescribed.Existing law requires the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board, including the names, addresses, and contact information of individuals that may qualify for the CalEITC, and authorizes the Franchise Tax Board to disclose individual income tax information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services, and requires all data provided to remain confidential and be used only for specified purposes, including informing state residents of the availability of CalFile, the federal Earned Income Tax Credit, the CalEITC, and other federal and state antipoverty tax credits. Existing law provides that unauthorized disclosure of this information is a misdemeanor.This bill, for taxable years beginning on or after January 1, 2026, would authorize a qualified individual, who cannot claim withholding or other credits, to claim the earned income tax credit, the young child tax credit, or the foster youth tax credit on a form that does not require the qualified individual to file an individual income tax return. The bill would exempt the Franchise Tax Board from existing contracting laws and specified approvals and oversight in administration relating to the form described above.This bill would additionally allow the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board for purposes of the form described above. The bill would also extend the above-described authority of the Franchise Tax Board to disclose individual income tax return information to the State Department of Social Services and the State Department of Health Care Services for all taxable years beginning on or after January 1, 2020, indefinitely. By extending the crime associated with unauthorized disclosure of taxpayer information this bill would establish a state-mandated local program.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Personal Income Tax Law, administered by the Franchise Tax Board, in modified conformity with federal income tax laws, allows an earned income tax credit against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law, as determined by the earned income tax credit adjustment factor, as specified. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to a qualified taxpayer in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability. This bill would require the Franchise Tax Board to conduct a study on potential programs for eligible taxpayers to claim the earned income tax credit, the young child tax credit, and the foster youth tax credit without filing a tax return. The bill would require the Franchise Tax Board to submit a written report to the Legislature detailing the findings and recommendations developed pursuant to that study no later than January 1, 2026.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES
Amended IN Assembly April 17, 2023 Amended IN Assembly March 23, 2023
Amended IN Assembly April 17, 2023
Amended IN Assembly March 23, 2023
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
Assembly Bill
No. 1002
Introduced by Assembly Member Irwin(Principal coauthor: Senator Caballero)February 15, 2023
Introduced by Assembly Member Irwin(Principal coauthor: Senator Caballero)
February 15, 2023
An act to add and repeal Section 19534 of the Revenue and Taxation Code, relating to taxation. An act to amend Section 19551.3 of, and to add Section 19582.6 to, the Revenue and Taxation Code, relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 1002, as amended, Irwin. Earned Income Tax credit: young child tax credit: foster youth tax credit: study: tax returns. Taxation: Earned Income Tax Credit: young child tax credit: foster youth tax credit: filing.
The Personal Income Tax Law, in modified conformity with federal income tax laws, allows a California Earned Income Tax Credit (CalEITC) against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law as determined by the earned income tax credit adjustment factor. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to qualified taxpayers in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability.The Personal Income Tax Law requires an individual taxable under that law to make a return to the Franchise Tax Board stating specifically the items of the individuals gross income from all sources and the deductions and credits allowable, as prescribed.Existing law requires the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board, including the names, addresses, and contact information of individuals that may qualify for the CalEITC, and authorizes the Franchise Tax Board to disclose individual income tax information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services, and requires all data provided to remain confidential and be used only for specified purposes, including informing state residents of the availability of CalFile, the federal Earned Income Tax Credit, the CalEITC, and other federal and state antipoverty tax credits. Existing law provides that unauthorized disclosure of this information is a misdemeanor.This bill, for taxable years beginning on or after January 1, 2026, would authorize a qualified individual, who cannot claim withholding or other credits, to claim the earned income tax credit, the young child tax credit, or the foster youth tax credit on a form that does not require the qualified individual to file an individual income tax return. The bill would exempt the Franchise Tax Board from existing contracting laws and specified approvals and oversight in administration relating to the form described above.This bill would additionally allow the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board for purposes of the form described above. The bill would also extend the above-described authority of the Franchise Tax Board to disclose individual income tax return information to the State Department of Social Services and the State Department of Health Care Services for all taxable years beginning on or after January 1, 2020, indefinitely. By extending the crime associated with unauthorized disclosure of taxpayer information this bill would establish a state-mandated local program.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Personal Income Tax Law, administered by the Franchise Tax Board, in modified conformity with federal income tax laws, allows an earned income tax credit against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law, as determined by the earned income tax credit adjustment factor, as specified. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to a qualified taxpayer in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability. This bill would require the Franchise Tax Board to conduct a study on potential programs for eligible taxpayers to claim the earned income tax credit, the young child tax credit, and the foster youth tax credit without filing a tax return. The bill would require the Franchise Tax Board to submit a written report to the Legislature detailing the findings and recommendations developed pursuant to that study no later than January 1, 2026.
The Personal Income Tax Law, in modified conformity with federal income tax laws, allows a California Earned Income Tax Credit (CalEITC) against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law as determined by the earned income tax credit adjustment factor. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to qualified taxpayers in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability.
The Personal Income Tax Law requires an individual taxable under that law to make a return to the Franchise Tax Board stating specifically the items of the individuals gross income from all sources and the deductions and credits allowable, as prescribed.
Existing law requires the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board, including the names, addresses, and contact information of individuals that may qualify for the CalEITC, and authorizes the Franchise Tax Board to disclose individual income tax information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services, and requires all data provided to remain confidential and be used only for specified purposes, including informing state residents of the availability of CalFile, the federal Earned Income Tax Credit, the CalEITC, and other federal and state antipoverty tax credits. Existing law provides that unauthorized disclosure of this information is a misdemeanor.
This bill, for taxable years beginning on or after January 1, 2026, would authorize a qualified individual, who cannot claim withholding or other credits, to claim the earned income tax credit, the young child tax credit, or the foster youth tax credit on a form that does not require the qualified individual to file an individual income tax return. The bill would exempt the Franchise Tax Board from existing contracting laws and specified approvals and oversight in administration relating to the form described above.
This bill would additionally allow the State Department of Social Services and the State Department of Health Care Services to exchange data with the Franchise Tax Board for purposes of the form described above. The bill would also extend the above-described authority of the Franchise Tax Board to disclose individual income tax return information to the State Department of Social Services and the State Department of Health Care Services for all taxable years beginning on or after January 1, 2020, indefinitely. By extending the crime associated with unauthorized disclosure of taxpayer information this bill would establish a state-mandated local program.
Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.
This bill would make legislative findings to that effect.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
The Personal Income Tax Law, administered by the Franchise Tax Board, in modified conformity with federal income tax laws, allows an earned income tax credit against personal income tax and a payment from the Tax Relief and Refund Account for an allowable credit in excess of tax liability to an eligible individual that is equal to that portion of the earned income tax credit allowed by federal law, as determined by the earned income tax credit adjustment factor, as specified. The Personal Income Tax Law also allows a young child tax credit and a foster youth tax credit against the taxes imposed under that law to a qualified taxpayer in a specified amount multiplied by the earned income tax credit adjustment factor, and allows a payment from the Tax Relief and Refund Account for an amount in excess of tax liability.
This bill would require the Franchise Tax Board to conduct a study on potential programs for eligible taxpayers to claim the earned income tax credit, the young child tax credit, and the foster youth tax credit without filing a tax return. The bill would require the Franchise Tax Board to submit a written report to the Legislature detailing the findings and recommendations developed pursuant to that study no later than January 1, 2026.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 19551.3 of the Revenue and Taxation Code is amended to read:19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.SEC. 2. Section 19582.6 is added to the Revenue and Taxation Code, to read:19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).SEC. 3. The Legislature finds and declares that Section 1 of this act, which amends Section 19551.3 of the Revenue and Taxation Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:Sensitive information of California taxpayers should be adequately protected from disclosure to protect privacy and increase compliance.SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.Section 19534 is added to the Revenue and Taxation Code, to read:19534.(a)(1)On or before July 1, 2024, the Franchise Tax Board shall commence a study on potential programs for eligible taxpayers to claim the earned income tax credit under Section 17052, the young child tax credit under Section 17052.1, and the foster youth tax credit under Section 17052.2 without filing a tax return.(2)The Franchise Tax Board may contract with a third party for all or parts of the study required by paragraph (1).(b)The study required by subdivision (a) shall include an analysis and recommendations on the following:(1)Necessary authority required to establish a program.(2)Risks of administration or implementation, including risks of fraud and false claims.(3)Estimated costs of implementation, including any potential increase in utilization of the tax credits.(c)No later than January 1, 2026, the Franchise Tax Board shall submit a written report to the Legislature, in accordance with Section 9795 of the Government Code, detailing the findings and recommendations developed pursuant to the study required under subdivision (a).
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 19551.3 of the Revenue and Taxation Code is amended to read:19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.
SECTION 1. Section 19551.3 of the Revenue and Taxation Code is amended to read:
### SECTION 1.
19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.
19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.
19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:(A) The number of outreach contacts.(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.(C) A description of each outreach program and the parameters of that program.(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.(F) The name and amount of state and federal antipoverty tax credits claimed, if known.(d) For purposes of this section, the following shall apply:(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.
19551.3. (a) The State Department of Social Services and the State Department of Health Care Services shall exchange data with the Franchise Tax Board, including, but not limited to, the names, addresses, and contact information of individuals that may qualify for the California Earned Income Tax Credit. Credit and the form established under Section 19582.6. The data provided shall remain confidential and shall be used only for purposes directly connected with the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits. credits, and for the purposes of implementing Section 19582.6.
(b) Notwithstanding Section 19542 or any other law, the Franchise Tax Board may disclose individual income tax return information for taxable years beginning on or after January 1, 2020, and before January 1, 2022, to the State Department of Social Services and the State Department of Health Care Services. The information provided shall remain confidential and shall be used only for purposes of informing state residents of the availability of the Volunteer Income Tax Assistance (VITA), CalFile, the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other federal and state antipoverty tax credits that are designed to alleviate poverty and tax burdens of low-income households. households, and for the purposes of implementing Section 19582.6. The Franchise Tax Board shall not disclose or provide any federal tax information.
(c) (1) The State Department of Social Services and the State Department of Health Care Services that receive data from the Franchise Tax Board shall annually provide to the Franchise Tax Board, no later than January 1 of each calendar year, the results and findings of outreach conducted to measure whether the outreach achieves its intended purpose of increasing the number of claims for the federal Earned Income Tax Credit, the California Earned Income Tax Credit, and other state and federal antipoverty tax credits.
(2) The information required by this subdivision shall include, but is not limited to, all of the following elements:
(A) The number of outreach contacts.
(B) The response rate to the outreach contacts referenced in subparagraph (A), if known.
(C) A description of each outreach program and the parameters of that program.
(D) The number of individuals responding to outreach contacts referenced in subparagraph (A), if known.
(E) The number of individuals who ultimately undertook the desired action and filed a return, if known.
(F) The name and amount of state and federal antipoverty tax credits claimed, if known.
(d) For purposes of this section, the following shall apply:
(1) Voluntary Income Tax Assistance (VITA) means the free basic income tax return preparation program, for federal and state personal income tax returns, managed by the Internal Revenue Service and operated by Internal Revenue Service partners and trained volunteers.
(2) CalFile means the Franchise Tax Boards free, direct, online program for taxpayers to complete and e-file their state personal income tax returns.
(e) An unauthorized disclosure or use of the information disclosed pursuant to this section is a misdemeanor pursuant to Section 19552.
SEC. 2. Section 19582.6 is added to the Revenue and Taxation Code, to read:19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).
SEC. 2. Section 19582.6 is added to the Revenue and Taxation Code, to read:
### SEC. 2.
19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).
19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).
19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.(b) For the purposes of this section:(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:(A) Is eligible for a qualified credit.(B) Does not have a tax return filing requirement under Section 18501.(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).
19582.6. (a) (1) For taxable years beginning on or after January 1, 2026, qualified individuals may claim a qualified credit on a form that does not require the qualified individual to file an individual income tax return, subject to paragraph (2).
(2) (A) For taxable years beginning on or after January 1, 2026, and before January 1, 2027, the form shall be available for a qualified individual who is an individual with no dependents or who is a spouse filing a separate return with no dependents.
(B) For taxable years beginning on or after January 1, 2027, the form shall be available for all qualified individuals.
(b) For the purposes of this section:
(1) Qualified credit means the credits allowed by Section 17052, 17052.1, or 17052.2.
(2) Qualified individual means an individual that meets all of the following requirements for the taxable year:
(A) Is eligible for a qualified credit.
(B) Does not have a tax return filing requirement under Section 18501.
(C) Receives an invitation from the Franchise Tax Board to submit the form to claim a qualified credit.
(c) The form shall be filed in a form and manner prescribed by the Franchise Tax Board.
(d) The form shall be subject to the same requirements as an individual income tax return required pursuant to Section 18501.
(e) Individuals who can claim withholding or other credits shall not be eligible to use the form under this section.
(f) For the purpose of administering this section, the Franchise Tax Board shall be exempt from all provisions of state contracting laws and any approvals or oversight from the Department of Technology or the Department of General Services and shall be exempt from Project Approval Lifecycle reporting, including Stage Gates 1-4, Financial Analysis Worksheets, Project Status Reports, and Post Implementation Evaluation Reports (as described in Sections 4819.31 through 4819.38, inclusive, of the State Administrative Manual, and subdivisions (a) to (f), inclusive, of Section 19 of the Statewide Information Management Manual).
SEC. 3. The Legislature finds and declares that Section 1 of this act, which amends Section 19551.3 of the Revenue and Taxation Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:Sensitive information of California taxpayers should be adequately protected from disclosure to protect privacy and increase compliance.
SEC. 3. The Legislature finds and declares that Section 1 of this act, which amends Section 19551.3 of the Revenue and Taxation Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:Sensitive information of California taxpayers should be adequately protected from disclosure to protect privacy and increase compliance.
SEC. 3. The Legislature finds and declares that Section 1 of this act, which amends Section 19551.3 of the Revenue and Taxation Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:
### SEC. 3.
Sensitive information of California taxpayers should be adequately protected from disclosure to protect privacy and increase compliance.
SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
### SEC. 4.
(a)(1)On or before July 1, 2024, the Franchise Tax Board shall commence a study on potential programs for eligible taxpayers to claim the earned income tax credit under Section 17052, the young child tax credit under Section 17052.1, and the foster youth tax credit under Section 17052.2 without filing a tax return.
(2)The Franchise Tax Board may contract with a third party for all or parts of the study required by paragraph (1).
(b)The study required by subdivision (a) shall include an analysis and recommendations on the following:
(1)Necessary authority required to establish a program.
(2)Risks of administration or implementation, including risks of fraud and false claims.
(3)Estimated costs of implementation, including any potential increase in utilization of the tax credits.
(c)No later than January 1, 2026, the Franchise Tax Board shall submit a written report to the Legislature, in accordance with Section 9795 of the Government Code, detailing the findings and recommendations developed pursuant to the study required under subdivision (a).