Amended IN Senate March 24, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 575Introduced by Senator Laird(Coauthor: Assembly Member Irwin)February 20, 2025 An act to add Section 19551.7 to the Revenue and Taxation Code, relating to state government. LEGISLATIVE COUNSEL'S DIGESTSB 575, as amended, Laird. California Cradle-to-Career Data System.Existing law establishes the California Cradle-to-Career Data System to be a source for actionable data and research on education, economic, and health outcomes for individuals, families, and communities, and is established to provide for expanded access to tools and services that support the navigation of the education-to-employment pipeline.Existing law generally prohibits and makes a misdemeanor the disclosure of returns, reports, or documents required to be filed for purposes of tax administration. Existing law establishes certain exceptions and makes any unwarranted disclosure or use of the information by the administering person or receiving agency a misdemeanor.This bill would create a new exception to the above-described prohibition to authorize the Franchise Tax Board to disclose return or return information to the California Cradle-to-Career Data System through information sharing agreements and pursuant to a participation agreement, as specified. By expanding the scope of an existing crime, this bill would impose a state-mandated local program.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 19551.7 is added to the Revenue and Taxation Code, to read:19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.SEC. 2. 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.
Amended IN Senate March 24, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 575Introduced by Senator Laird(Coauthor: Assembly Member Irwin)February 20, 2025 An act to add Section 19551.7 to the Revenue and Taxation Code, relating to state government. LEGISLATIVE COUNSEL'S DIGESTSB 575, as amended, Laird. California Cradle-to-Career Data System.Existing law establishes the California Cradle-to-Career Data System to be a source for actionable data and research on education, economic, and health outcomes for individuals, families, and communities, and is established to provide for expanded access to tools and services that support the navigation of the education-to-employment pipeline.Existing law generally prohibits and makes a misdemeanor the disclosure of returns, reports, or documents required to be filed for purposes of tax administration. Existing law establishes certain exceptions and makes any unwarranted disclosure or use of the information by the administering person or receiving agency a misdemeanor.This bill would create a new exception to the above-described prohibition to authorize the Franchise Tax Board to disclose return or return information to the California Cradle-to-Career Data System through information sharing agreements and pursuant to a participation agreement, as specified. By expanding the scope of an existing crime, this bill would impose a state-mandated local program.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES
Amended IN Senate March 24, 2025
Amended IN Senate March 24, 2025
CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION
Senate Bill
No. 575
Introduced by Senator Laird(Coauthor: Assembly Member Irwin)February 20, 2025
Introduced by Senator Laird(Coauthor: Assembly Member Irwin)
February 20, 2025
An act to add Section 19551.7 to the Revenue and Taxation Code, relating to state government.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 575, as amended, Laird. California Cradle-to-Career Data System.
Existing law establishes the California Cradle-to-Career Data System to be a source for actionable data and research on education, economic, and health outcomes for individuals, families, and communities, and is established to provide for expanded access to tools and services that support the navigation of the education-to-employment pipeline.Existing law generally prohibits and makes a misdemeanor the disclosure of returns, reports, or documents required to be filed for purposes of tax administration. Existing law establishes certain exceptions and makes any unwarranted disclosure or use of the information by the administering person or receiving agency a misdemeanor.This bill would create a new exception to the above-described prohibition to authorize the Franchise Tax Board to disclose return or return information to the California Cradle-to-Career Data System through information sharing agreements and pursuant to a participation agreement, as specified. By expanding the scope of an existing crime, this bill would impose a state-mandated local program.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.
Existing law establishes the California Cradle-to-Career Data System to be a source for actionable data and research on education, economic, and health outcomes for individuals, families, and communities, and is established to provide for expanded access to tools and services that support the navigation of the education-to-employment pipeline.
Existing law generally prohibits and makes a misdemeanor the disclosure of returns, reports, or documents required to be filed for purposes of tax administration. Existing law establishes certain exceptions and makes any unwarranted disclosure or use of the information by the administering person or receiving agency a misdemeanor.
This bill would create a new exception to the above-described prohibition to authorize the Franchise Tax Board to disclose return or return information to the California Cradle-to-Career Data System through information sharing agreements and pursuant to a participation agreement, as specified. By expanding the scope of an existing crime, this bill would impose a state-mandated local program.
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.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 19551.7 is added to the Revenue and Taxation Code, to read:19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.SEC. 2. 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.
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 19551.7 is added to the Revenue and Taxation Code, to read:19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.
SECTION 1. Section 19551.7 is added to the Revenue and Taxation Code, to read:
### SECTION 1.
19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.
19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.
19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.
19551.7. (a) Notwithstanding any other law, the California Cradle-to-Career Data System may disclose any of the matching elements identified in the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to the Franchise Tax Board for the purpose of matching data with the Franchise Tax Board to further the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code.
(b) Notwithstanding Section 19542, the Franchise Tax Board, upon receipt of the information described in subdivision (a), may disclose to the California Cradle-to-Career Data System return or return information described in subdivision (c) that are in the records of the Franchise Tax Board through information sharing agreements and pursuant to the participation agreement, as defined in subdivision (l) of Section 10861 of the Education Code, to allow the California Cradle-to-Career Data System to add that return or return information to the P20W data set, as defined in subdivision (m) of Section 10861 of the Education Code.
(c) (1) The return and return information authorized to be disclosed pursuant to this section are limited to the information necessary for the purpose of ascertaining income and matching data for the purpose of furthering the administration of the California Cradle-to-Career Data System, as described in Section 10860 of the Education Code, as reported to the Franchise Tax Board by the taxpayer, which may include, but not be limited to, federal adjusted gross income information, address, county of residence, and the amount claimed of any Child and Dependent Care Expenses Credit pursuant to Section 17052.6, California Earned Income Tax Credit pursuant to Section 17052, Young Child Tax Credit pursuant to Section 17052.1, or Foster Youth Tax Credit pursuant to Section 17052.2.
(2) The return and return information to be disclosed pursuant to this section shall be as reported to the Franchise Tax Board by the taxpayer.
(d) Except federal adjusted gross income information reported by the taxpayer to the Franchise Tax Board, the The Franchise Tax Board shall not disclose or provide any federal tax information.
(e) (1) The information provided to the California Cradle-to-Career Data System by the Franchise Tax Board pursuant to this section is subject to Section 19542 and may not be used for any purpose other than the purpose described in subdivision (c).
(2) Any unwarranted disclosure or use of the return or return information described in subdivision (c) by the California Cradle-to-Career Data System, or its employees or officers thereof, is a misdemeanor pursuant to Section 19552.
SEC. 2. 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. 2. 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. 2. 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. 2.