SB 1449: Personal income tax: credit for taxes paid.

The Personal Income Tax Law allows a credit against the net tax imposed by that law to residents for specified taxes paid to another state on income derived from sources within that state. That law requires income derived from sources within that state to be determined by applying nonresident sourcing rules for determining income from sources within this state.

This bill would, instead, require the apportionment and allocation rules of the other state to be used to determine the source of income derived from that state if doing so will either maintain or increase the amount of the credit that a taxpayer is allowed. state.

This bill would take effect immediately as a tax levy.