California 2013-2014 Regular Session Status: Enacted

AB 877 — Income and Corporation taxes: denial of deduction: owner fine or penalty.

Last action — Chaptered by Secretary of State - Chapter 792, Statutes of 2014.

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

This bill has been enacted into law. Introduced February 22, 2013. Enacted.

Prognosis

Likely to advance 72% · moderate confidence

Where this bill stands today.

Odds of enactment

High

How often bills like it became law.

  • Enacted

    Current position in the legislative process.

  • 2 sponsors

    1 primary, 1 co-sponsors signed on.

  • Cleared a recorded vote

    Passed 6 recorded votes so far.

Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.

Summary

The Personal Income Tax Law and the Corporation Tax Law allow various deductions in computing the income that is subject to the taxes imposed by those laws. Both laws allow a deduction for ordinary and necessary business expenses, including a deduction for amounts paid or incurred for specified types of fines or penalties. This bill, for taxable years beginning on or after January 1, 2014, would disallow, under both laws, a deduction for the amount of any fine or penalty paid or incurred by an owner of all or part of a professional sports franchise where that fine or penalty is assessed or imposed by the professional sports league that includes that franchise. 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.

Bill Text

Action History

  1. Chaptered by Secretary of State - Chapter 792, Statutes of 2014.

  2. Approved by the Governor.

  3. Enrolled and presented to the Governor at 4 p.m.

  4. Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 61. Noes 17. Page 6625.).

  5. From committee: That the Senate amendments be concurred in. (Ayes 7. Noes 1.) (August 27).

  6. Joint Rule 62(a), file notice suspended. (Page 6550.)

  7. Re-referred to Com. on REV. & TAX. pursuant to Assembly Rule 77.2.

  8. In Assembly. Concurrence in Senate amendments pending. May be considered on or after August 14 pursuant to Assembly Rule 77.

  9. Read third time. Passed. Ordered to the Assembly. (Ayes 27. Noes 9. Page 4424.).

  10. Read second time. Ordered to third reading.

  11. From committee: Be placed on second reading file pursuant to Senate Rule 28.8.

  12. From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 1.) (June 10). Re-referred to Com. on APPR.

  13. Re-referred to Com. on GOV. & F.

  14. Re-referred to Com. on RLS.

  15. Withdrawn from committee.

  16. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on E. & C.A.

  17. Referred to Com. on E. & C.A.

  18. In Senate. Read first time. To Com. on RLS. for assignment.

  19. Read third time. Passed. Ordered to the Senate. (Ayes 50. Noes 24. Page 3680.)

  20. Read second time. Ordered to third reading.

  21. From committee: Do pass. (Ayes 4. Noes 2.) (January 15).

  22. Re-referred to Com. on E. & R.

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

  24. In committee: Hearing postponed by committee.

  25. In committee: Set, first hearing. Hearing canceled at the request of author.

  26. Referred to Com. on E. & R.

  27. Read first time.

  28. From printer. May be heard in committee March 26.

  29. Introduced. To print.

Sponsors

  • Bocanegra · Primary
  • Jones-Sawyer · Cosponsor

Sponsorship breakdown

Export CSV (upgrade) →

1 sponsors · 1 co-sponsors · 120 not signed on · 6 voted No

Sponsors (1)

  • Bocanegra

Co-sponsors (1)

  • Jones-Sawyer

Not signed on (120)

120 members have not signed on to this bill.

Show all 120 →

"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

Votes

AB 877 BOCANEGRA Concurrence in Senate Amendments

Passed 61 Yea · 17 Nay · 1 Other
Party YeaNayPresentNot Voting
Unaffiliated 561501
Democratic 4000
Republican 1200
Total 611701
% of votes cast 77%22%0%1%
How each member voted (79)
Member Party Vote
Achadjian — Yea
Ammiano — Yea
Bradford — Yea
Brown — Yea
Buchanan — Yea
Holden — Yea
Linder — Not Voting
Logue — Nay
Maienschein — Yea
Mansoor — Nay
Nazarian — Yea
Quirk — Yea
Ridley-Thomas — Yea
Ting — Yea
Weber — Yea
Williams — Yea
Chesbro — Yea
Lowenthal — Yea
Garcia — Yea
Gray — Yea
Dababneh — Yea
Skinner — Yea
Campos — Yea
Cooley — Yea
Dickinson — Yea
Alejo — Yea
Bloom — Yea
Eggman — Yea
Atkins — Yea
Gatto — Yea
Fong — Yea
Gomez — Yea
Gordon — Yea
Bonilla — Yea
Hall — Yea
Jones-Sawyer — Yea
Levine — Yea
Medina — Yea
Mullin — Yea
Pan — Yea
Bocanegra — Yea
Perea — Yea
John A. Pérez — Yea
Rendon — Yea
Rodriguez — Yea
Wieckowski — Yea
Wilk — Yea
Salas — Yea
Hagman — Nay
Bigelow — Nay
Chau — Yea
Chávez — Nay
Donnelly — Nay
Harkey — Nay
Conway — Nay
Olsen — Nay
Melendez — Nay
Nestande — Yea
Wagner — Nay
Waldron — Nay
Allen — Nay
Daly — Yea
Fox — Yea
Frazier — Yea
Yamada — Yea
Gorell — Yea
Beth Gaines — Nay
Jim Patterson — Nay
Lorena Gonzalez — Yea
Mark Stone — Yea
Roger Hernández — Yea
V. Manuel Pérez — Yea
Bonta, Mia Democratic Yea
Calderon, Lisa Democratic Yea
Muratsuchi, Al Democratic Yea
Quirk-Silva, Sharon Democratic Yea
Dahle, Megan Republican Nay
Grove, Shannon Republican Nay
Jones, Brian W. Republican Yea

Official roll call →

amendments be concurred in.

Passed 7 Yea · 1 Nay · 1 Other
Party YeaNayPresentNot Voting
Unaffiliated 7101
Total 7101
% of votes cast 78%11%0%11%
How each member voted (9)
Member Party Vote
Harkey — Not Voting
Mullin — Yea
Nestande — Yea
Bocanegra — Yea
Pan — Yea
Ting — Yea
Gordon — Yea
Beth Gaines — Nay
V. Manuel Pérez — Yea

Official roll call →

3rd Reading AB877 Bocanegra By Padilla

Passed 27 Yea · 9 Nay · 4 Other
Party YeaNayPresentNot Voting
Unaffiliated 25903
Democratic 2001
Total 27904
% of votes cast 68%23%0%10%
How each member voted (40)
Member Party Vote
Anderson — Nay
Block — Yea
Lieu — Yea
Monning — Yea
Roth — Yea
Steinberg — Yea
Vidak — Nay
Walters — Nay
Cannella — Yea
Hernandez — Yea
Leno — Yea
Liu — Yea
Beall — Yea
Correa — Yea
Wright — Not Voting
Mitchell — Yea
De León — Yea
Corbett — Yea
Galgiani — Yea
Hancock — Not Voting
Hill — Yea
Hueso — Yea
Huff — Yea
Knight — Yea
Lara — Yea
Morrell — Nay
Nielsen — Nay
Pavley — Yea
Torres — Yea
Wolk — Yea
Evans — Yea
Wyland — Nay
DeSaulnier — Yea
Fuller — Nay
Yee — Not Voting
Beth Gaines — Nay
Bill Berryhill — Nay
Calderon, Lisa Democratic Not Voting
Jackson, Corey A. Democratic Yea
Padilla, Stephen C. Democratic Yea

Official roll call →

AB 877 BOCANEGRA Assembly Third Reading

Passed 50 Yea · 24 Nay · 6 Other
Party YeaNayPresentNot Voting
Unaffiliated 462106
Democratic 4000
Republican 0300
Total 502406
% of votes cast 63%30%0%8%
How each member voted (80)
Member Party Vote
Alejo — Yea
Bloom — Yea
Bradford — Yea
Buchanan — Yea
Harkey — Nay
Levine — Yea
Maienschein — Nay
Melendez — Nay
Nestande — Not Voting
Perea — Yea
Rendon — Yea
Skinner — Yea
Wagner — Nay
Wieckowski — Yea
Campos — Yea
Lowenthal — Yea
Frazier — Yea
Garcia — Yea
Gatto — Yea
Gray — Yea
Atkins — Yea
Chau — Yea
Chesbro — Yea
Bonilla — Yea
Gordon — Yea
Hall — Yea
Holden — Yea
Bocanegra — Yea
Jones-Sawyer — Yea
John A. Pérez — Yea
Salas — Yea
Mansoor — Nay
Medina — Yea
Allen — Nay
Morrell — Nay
Fong — Nay
Mullin — Yea
Ammiano — Yea
Bigelow — Nay
Cooley — Yea
Dababneh — Yea
Daly — Yea
Donnelly — Nay
Eggman — Yea
Nazarian — Yea
Olsen — Nay
Pan — Yea
Quirk — Nay
Ridley-Thomas — Yea
Rodriguez — Yea
Ting — Yea
Waldron — Nay
Weber — Yea
Wilk — Nay
Williams — Yea
Chávez — Nay
Logue — Not Voting
Conway — Nay
Achadjian — Nay
Brown — Not Voting
Linder — Not Voting
Dickinson — Yea
Fox — Yea
Yamada — Nay
Gomez — Yea
Gorell — Not Voting
Hagman — Nay
Beth Gaines — Nay
Jim Patterson — Nay
Lorena Gonzalez — Yea
Mark Stone — Yea
Roger Hernández — Yea
V. Manuel Pérez — Not Voting
Bonta, Mia Democratic Yea
Calderon, Lisa Democratic Yea
Muratsuchi, Al Democratic Yea
Quirk-Silva, Sharon Democratic Yea
Dahle, Megan Republican Nay
Grove, Shannon Republican Nay
Jones, Brian W. Republican Nay

Official roll call →

Do pass.

Passed 4 Yea · 2 Nay · 1 Other
Party YeaNayPresentNot Voting
Democratic 1000
Unaffiliated 3201
Total 4201
% of votes cast 57%29%0%14%
How each member voted (7)
Member Party Vote
Logue — Not Voting
Hall — Yea
Fong — Nay
Donnelly — Nay
Perea — Yea
Rodriguez — Yea
Bonta, Mia Democratic Yea

Official roll call →

Subjects

taxation
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 877 do?
The Personal Income Tax Law and the Corporation Tax Law allow various deductions in computing the income that is subject to the taxes imposed by those laws. Both laws allow a deduction for ordinary and necessary business expenses, including a deduction for amounts paid or incurred for specified types of fines or penalties. This bill, for taxable years beginning on or after January 1, 2014, would disallow, under both laws, a deduction for the amount of any fine or penalty paid or incurred by an owner of all or part of a professional sports franchise where that fine or penalty is assessed or imposed by the professional sports league that includes that franchise. 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.
Who sponsors AB 877?
AB 877 is sponsored by Bocanegra and Jones-Sawyer.
What is the current status of AB 877?
This bill has been enacted into law. Introduced February 22, 2013. Enacted.
Where can I track AB 877?
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