CaliforniaCorporation Tax Law: tax expenditures: No Tax Breaks for ICE Contractors Act of 2026.
What it does
Existing law, the Corporation Tax Law, imposes taxes based upon gross income, and defines "gross income" as all income from whatever source derived, unless specifically excluded. Existing law allows various credits against the taxes imposed by that law. The Corporation Tax Law conforms to federal law in its treatment of certain exclusions and credits.
More detail
Existing law provides for certain programs for free legal services for indigent persons.
This bill would, for taxable years beginning on or after January 1, 2027, and before January 1, 2032, enact the No Tax Breaks for ICE Contractors Act of 2026, which would deny all tax credits otherwise available under the Corporation Tax Law to any taxpayer that contracts with United States Department of Homeland Security, except as provided. The bill would establish the California Immigrant Resilience Fund in the State Treasury. The bill would require the Franchise Tax Board, in consultation with the Department of Finance, to estimate the amount of additional revenue resulting from the provisions of the bill, notify the Controller of that amount, and require the Controller to transfer that amount to the fund. The bill would make moneys in the fund available to provide immigration-related services, including removal defense, as provided, upon appropriation by the Legislature.
This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 23 of the membership of each house of the Legislature.
This bill would take effect immediately as a tax levy.
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Where it stands
- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jun 24In committee: Set, first hearing. Hearing canceled at the request of author.Latest
- Jun 16From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on REV. & TAX.Major
- Jun 10Referred to Com. on REV. & TAX.Minor
- May 28In Senate. Read first time. To Com. on RLS. for assignment.Minor
- Vote recorded AB 1675 Lee Assembly Third Reading. Result: pass.Lower
- May 27Read third time. Passed. Ordered to the Senate. (Ayes 54. Noes 20. Page 5487.)Passed Assembly
- May 18Read second time. Ordered to third reading.Minor
- May 14From committee: Do pass. (Ayes 11. Noes 4.) (May 14).Minor
- Vote recorded Do pass. Result: pass.Lower
- May 14Joint Rule 62(a), file notice suspended. (Page 5030.)
- May 13In committee: Set, first hearing. Referred to APPR. suspense file.Minor
- Apr 30Re-referred to Com. on APPR.Minor
- Apr 29Read second time and amended.Major
- Apr 28From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 5. Noes 2.) (April 27).Major
- Apr 27
- Vote recorded Do pass as amended and be re-referred to the Committee on [Appropriations]. Result: pass.Lower
- Apr 20In committee: Set, first hearing. Referred to REV. & TAX. suspense file.Minor
- Mar 24Re-referred to Com. on REV. & TAX.Minor
- Mar 23From committee chair, with author's amendments: Amend, and re-refer to Com. on REV. & TAX. Read second time and amended.Major
- Mar 23Referred to Com. on REV. & TAX.Minor
- Feb 3From printer. May be heard in committee March 5.
- Feb 2Read first time. To print.Introduced