This bill is part of the 2021 Cannabis Bills section of our ongoing update on California Cannabis Legislation – see the full California Cannabis Law Legislative Update which includes information on cannabis bills from other years.
SB 603 (Bradford D) Cannabis license deferral and waiver fee program: tax credit.
MAUCRSA required a state licensing authority, on or before January 1, 2021, to develop and implement a program to provide a deferral or waiver for an application fee, a licensing fee, or a renewal fee for a needs-based applicant or needs-based licensee, as specified. Existing law made the operation of those provisions contingent upon an appropriation in the annual Budget Act or another statute for purposes of those provisions.
This bill would remove the above-mentioned date, thereby requiring a state licensing authority to develop and implement that fee deferral or waiver program upon an appropriation in the annual Budget Act or another statute for that purpose.
The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by that law. Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
This bill would allow a credit against those taxes for each taxable year beginning on or after January 1, 2021, and before January 1, 2026, equal to the amount of state and local cannabis licensing fees paid or incurred by a local equity applicant or a local equity licensee, as those terms are defined by MAUCRSA, that are not otherwise reimbursed by a grant or other funds. The bill also would state the intent of the Legislature to comply with the additional information requirement for any bill authorizing a new income tax credit.
AUMA authorizes the Legislature to amend the act to further the purposes and intent of the act with a 2/3 vote of the membership of both houses of the Legislature, except as provided.
This bill would declare that its provisions further the purposes and intent of AUMA.
Read more about California Cannabis Legislation – see the full California Cannabis Law Legislative Update.
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