California 20252026 Regular Session Status: Introduced 5 R cosponsors

AB 2427 — Personal Income Tax Law: Corporation Tax Law: tax credits: farming.

Last action — In committee: Set, second hearing. Held under submission.

  1. 1
    Introduced
  2. 2
    In Committee
  3. 3
    Passed Assembly
  4. 4
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill has been introduced in the Assembly. Introduced February 20, 2026. It must pass committee before a floor vote.

Next likely step: a committee referral and hearing.

Odds of enactment

Low chance

Based on the sponsor, cosponsors, and committee posture, this bill has a low chance of becoming law.

Upgrade to see the exact probability and what's driving it.

A statistical estimate from our own model of past outcomes — an insight, not a guarantee. Policymaking is volatile.

Prognosis

Not enough signal yet

Not enough signal yet to read this bill's trajectory — we surface a likelihood only once there's real movement (stage, sponsorship, committee, or votes) to point to.

Based on stage, sponsorship breadth, committee status, recorded votes, and cross-state momentum — a description of the observable signals, not a prediction.

Summary

The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. This bill, for taxable years beginning on or after January 1, 2027, and before January 1, 2032, would allow a credit against the taxes imposed by those laws for specified agricultural businesses that operate on at least 50 acres of land, as provided, equal to 25% of the business's qualified expenditures, as defined. The bill would increase the credit to 30% of qualified expenditures if the taxpayer purchases specified low-emission equipment or the qualified taxpayer has qualified expenditures related to operations in a high or very high fire hazard severity zone, as specified. The bill would limit the credit to no more than $1,000,000. The bill would cap the aggregate amount of the credit allowed at $250,000,000 for each taxable year, and would require a taxpayer to request a credit reservation from the Department of Food and Agriculture, as provided. The bill would require the Department of Food and Agriculture to coordinate with the Franchise Tax Board for the administration of the credit. The bill would require the Franchise Tax Board and the Department of Food and Agriculture to share specified information, and would make the unauthorized disclosure of that information a misdemeanor. By expanding the scope of a crime, this bill would impose a state-mandated local program. 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 also include additional information required for any bill authorizing a new tax expenditure. 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. This bill would take effect immediately as a tax levy.

Bill Text

Action History

  1. In committee: Set, second hearing. Held under submission.

  2. In committee: Set, first hearing. Referred to REV. & TAX. suspense file.

  3. Re-referred to Com. on REV. & TAX.

  4. From committee chair, with author's amendments: Amend, and re-refer to Com. on REV. & TAX. Read second time and amended.

  5. Referred to Com. on REV. & TAX.

  6. From printer. May be heard in committee March 23.

  7. Read first time. To print.

Sponsors

Sponsorship breakdown

Export CSV (upgrade) →

1 sponsors · 7 co-sponsors · 114 not signed on

Sponsors (1)

Co-sponsors (7)

Not signed on (114)

114 members have not signed on to this bill.

Show all 114 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

taxation agriculture
Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

What does AB 2427 do?
The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. This bill, for taxable years beginning on or after January 1, 2027, and before January 1, 2032, would allow a credit against the taxes imposed by those laws for specified agricultural businesses that operate on at least 50 acres of land, as provided, equal to 25% of the business's qualified expenditures, as defined. The bill would increase the credit to 30% of qualified expenditures if the taxpayer purchases specified low-emission equipment or the qualified taxpayer has qualified expenditures related to operations in a high or very high fire hazard severity zone, as specified. The bill would limit the credit to no more than $1,000,000. The bill would cap the aggregate amount of the credit allowed at $250,000,000 for each taxable year, and would require a taxpayer to request a credit reservation from the Department of Food and Agriculture, as provided. The bill would require the Department of Food and Agriculture to coordinate with the Franchise Tax Board for the administration of the credit. The bill would require the Franchise Tax Board and the Department of Food and Agriculture to share specified information, and would make the unauthorized disclosure of that information a misdemeanor. By expanding the scope of a crime, this bill would impose a state-mandated local program. 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 also include additional information required for any bill authorizing a new tax expenditure. 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. This bill would take effect immediately as a tax levy.
Who sponsors AB 2427?
AB 2427 is sponsored by Castillo, Leticia (Republican), Alanis, Juan (Republican), Tangipa, David J. (Republican), Alvarado-Gil, Choi, Valladares, Macedo, Alexandra (Republican), and Gallagher, James (Republican).
What is the current status of AB 2427?
This bill has been introduced in the Assembly. Introduced February 20, 2026. It must pass committee before a floor vote.
Where can I track AB 2427?
Track AB 2427 free on One Click Politics — get push/email alerts when it moves.

Make your voice heard on AB 2427

Find the representatives who decide this bill and tell them where you stand — for yourself, or mobilize your whole list in one click with One Click Politics advocacy software.

Find my representatives → Run a campaign

Stay ahead of AB 2427

Last checked for changes 3 months ago · updated continuously

One Click Politics tracks every bill in Congress and all 50 states.

Track this bill →