AB 1277: Tax administration: Taxpayers’ Rights Advocate: levy or notice to withhold: return of funds.
- Session Year: 2015-2016
- House: Assembly
- Latest Version Date: 2015-10-11
Under the Sales and Use Tax Law, the Use Fuel Tax Law, the Alcoholic Beverage Tax Law, the Energy Resources Surcharge Law, the Emergency Telephone Users Surcharge Act, the Hazardous Substances Tax Law, the Integrated Waste Management Fee Law, the Oil Spill Response, Prevention, and Administration Fees Law, the Underground Storage Tank Maintenance Fee Law, and the Diesel Fuel Tax Law, the Taxpayers Rights Advocate is authorized to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would increase, under each of those laws the amount the Taxpayers Rights Advocate is authorized to order returned to a taxpayer to $2,300 in any monthly period, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy determination, as specified.
Under the Cigarette and Tobacco Products Law and the Fee Collection Procedures Law, the Taxpayers Rights Advocate is authorized to order the release of a levy or notice to withhold upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would additionally authorize the Taxpayers Rights Advocate to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $2,300 in any monthly period, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy determination, as specified.
Under the Sales and Use Tax Law, the Use Fuel Tax Law, the Alcoholic Beverage Tax Law, the Energy Resources Surcharge Law, the Emergency Telephone Users Surcharge Act, the Hazardous Substances Tax Law, the Integrated Waste Management Fee Law, the Oil Spill Response, Prevention, and Administration Fees Law, the Underground Storage Tank Maintenance Fee Law, and the Diesel Fuel Tax Law, the Taxpayers Rights Advocate is authorized to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would increase, under each of those laws the amount the Taxpayers Rights Advocate is authorized to order returned to a taxpayer to $2,300 in any monthly period, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy determination, as specified.
Under the Cigarette and Tobacco Products Law and the Fee Collection Procedures Law, the Taxpayers Rights Advocate is authorized to order the release of a levy or notice to withhold upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would additionally authorize the Taxpayers Rights Advocate to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $2,300 in any monthly period, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy determination, as specified.
Under the Sales and Use Tax Law, the Use Fuel Tax Law, the Alcoholic Beverage Tax Law, the Energy Resources Surcharge Law, the Emergency Telephone Users Surcharge Act, the Hazardous Substances Tax Law, the Integrated Waste Management Fee Law, the Oil Spill Response, Prevention, and Administration Fees Law, the Underground Storage Tank Maintenance Fee Law, and the Diesel Fuel Tax Law, the Taxpayers Rights Advocate is authorized to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would increase, under each of those laws the amount the Taxpayers Rights Advocate is authorized to order returned to a taxpayer to $2,300 in any monthly period, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, as specified.
Under the Cigarette and Tobacco Products Law and the Fee Collection Procedures Law, the Taxpayers Rights Advocate is authorized to order the release of a levy or notice to withhold upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would additionally authorize the Taxpayers Rights Advocate to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $2,300 in any monthly period, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, as specified.
Under the Sales and Use Tax Law, the Use Fuel Tax Law, the Alcoholic Beverage Tax Law, the Energy Resources Surcharge Law, the Emergency Telephone Users Surcharge Act, the Hazardous Substances Tax Law, the Integrated Waste Management Fee Law, the Oil Spill Response, Prevention, and Administration Fees Law, the Underground Storage Tank Maintenance Fee Law, and the Diesel Fuel Tax Law, the Taxpayers Rights Advocate is authorized to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would increase, under each of those laws the amount the Taxpayers Rights Advocate is authorized to order returned to a taxpayer to $2,300 in any monthly period, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, as specified.
Under the Cigarette and Tobacco Products Law and the Fee Collection Procedures Law, the Taxpayers Rights Advocate is authorized to order the release of a levy or notice to withhold upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family. Under those laws, if the State Board of Equalization believes that the collection of any amount of tax imposed by those laws will be jeopardized by delay, the board is required to make a determination of the amount of tax, which is immediately due and payable.
This bill would additionally authorize the Taxpayers Rights Advocate to order, within 90 days of the receipt of funds pursuant to a levy or notice to withhold, the return of any amount not exceeding $2,300 in any monthly period, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer, or his or her spouse and dependents or family, and would authorize this amount to be adjusted for inflation, as provided. This bill would also authorize the Taxpayers Rights Advocate to order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, as specified.
The Sales and Use Tax Law imposes a sales tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state, and a use tax on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state.
This bill would make a technical, nonsubstantive change to that law.
The Sales and Use Tax Law imposes a sales tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state, and a use tax on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state.
This bill would make a technical, nonsubstantive change to that law.
(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 2.Section 9272 of the Revenue and Taxation Code is amended to read:9272.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 3.Section 30459.2 of the Revenue and Taxation Code is amended to read:30459.2.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (c) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 4.Section 32472 of the Revenue and Taxation Code is amended to read:32472.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 5.Section 40212 of the Revenue and Taxation Code is amended to read:40212.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it first has notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 6.Section 41172 of the Revenue and Taxation Code is amended to read:41172.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 7.Section 43523 of the Revenue and Taxation Code is amended to read:43523.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A) The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 8.Section 45868 of the Revenue and Taxation Code is amended to read:45868.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the feepayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 9.Section 46623 of the Revenue and Taxation Code is amended to read:46623.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of the funds pursuant to a levy or the notice to withhold, may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 10.Section 50156.12 of the Revenue and Taxation Code is amended to read:50156.12.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the fee payer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 11.Section 55333 of the Revenue and Taxation Code is amended to read:55333.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold upon his or her finding that the levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 12.Section 60632 of the Revenue and Taxation Code is amended to read:60632.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part, or within 90 days from the receipt of the funds pursuant to a levy or notice to withhold may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse or dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 2.Section 9272 of the Revenue and Taxation Code is amended to read:9272.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 3.Section 30459.2 of the Revenue and Taxation Code is amended to read:30459.2.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (c) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 4.Section 32472 of the Revenue and Taxation Code is amended to read:32472.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 5.Section 40212 of the Revenue and Taxation Code is amended to read:40212.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it first has notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 6.Section 41172 of the Revenue and Taxation Code is amended to read:41172.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 7.Section 43523 of the Revenue and Taxation Code is amended to read:43523.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A) The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 8.Section 45868 of the Revenue and Taxation Code is amended to read:45868.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the feepayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 9.Section 46623 of the Revenue and Taxation Code is amended to read:46623.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of the funds pursuant to a levy or the notice to withhold, may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 10.Section 50156.12 of the Revenue and Taxation Code is amended to read:50156.12.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the fee payer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 11.Section 55333 of the Revenue and Taxation Code is amended to read:55333.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold upon his or her finding that the levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
SEC. 12.Section 60632 of the Revenue and Taxation Code is amended to read:60632.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part, or within 90 days from the receipt of the funds pursuant to a levy or notice to withhold may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse or dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy determination.
(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 2.Section 9272 of the Revenue and Taxation Code is amended to read:9272.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 3.Section 30459.2 of the Revenue and Taxation Code is amended to read:30459.2.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (c) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 4.Section 32472 of the Revenue and Taxation Code is amended to read:32472.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 5.Section 40212 of the Revenue and Taxation Code is amended to read:40212.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it first has notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 6.Section 41172 of the Revenue and Taxation Code is amended to read:41172.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 7.Section 43523 of the Revenue and Taxation Code is amended to read:43523.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A) The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 8.Section 45868 of the Revenue and Taxation Code is amended to read:45868.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the feepayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 9.Section 46623 of the Revenue and Taxation Code is amended to read:46623.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of the funds pursuant to a levy or the notice to withhold, may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 10.Section 50156.12 of the Revenue and Taxation Code is amended to read:50156.12.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the fee payer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 11.Section 55333 of the Revenue and Taxation Code is amended to read:55333.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold upon his or her finding that the levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
SEC. 12.Section 60632 of the Revenue and Taxation Code is amended to read:60632.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part, or within 90 days from the receipt of the funds pursuant to a levy or notice to withhold may order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse or dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the The Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment determination, subject to the amounts set or adjusted pursuant to this section and if the ultimate collection of the amount due is no longer in jeopardy.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment determination.
(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 2.Section 9272 of the Revenue and Taxation Code is amended to read:9272.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 3.Section 30459.2 of the Revenue and Taxation Code is amended to read:30459.2.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of any of the following: sale process exceeds the liability for which the levy is made.
(1)The expense of the sale process exceeds the liability for which the levy is made.
(2)
(b)(1)(A)The Taxpayers Rights Advocate orders may order the release of the any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(b)
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(c)This
(d)Except as provided in subparagraph (c) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 4.Section 32472 of the Revenue and Taxation Code is amended to read:32472.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 5.Section 40212 of the Revenue and Taxation Code is amended to read:40212.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it first has notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 6.Section 41172 of the Revenue and Taxation Code is amended to read:41172.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 7.Section 43523 of the Revenue and Taxation Code is amended to read:43523.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A) The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 8.Section 45868 of the Revenue and Taxation Code is amended to read:45868.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the feepayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 9.Section 46623 of the Revenue and Taxation Code is amended to read:46623.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of the funds pursuant to a levy or the notice to withhold, may order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 10.Section 50156.12 of the Revenue and Taxation Code is amended to read:50156.12.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the feepayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the fee payer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 11.Section 55333 of the Revenue and Taxation Code is amended to read:55333.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of any of the following: sale process exceeds the liability for which the levy is made.
(1)The expense of the sale process exceeds the liability for which the levy is made.
(2)
(b)(1)(A)The Taxpayers Rights Advocate orders may order the release of the any levy or notice to withhold upon his or her finding that the levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to two thousand three hundred dollars ($2,300) of moneys received, threatens the health or welfare of the taxpayer or his or her spouse and dependents or family.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(b)
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure.
(c) This
(d)Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SEC. 12.Section 60632 of the Revenue and Taxation Code is amended to read:60632.(a)The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event the expense of the sale process exceeds the liability for which the levy is made.
(b)(1)(A)The Taxpayers Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part, or within 90 days from the receipt of the funds pursuant to a levy or notice to withhold may order the return of any amount up to one two thousand five three hundred dollars ($1,500) ($2,300) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or his or her spouse or dependents.
(B)The amount the Taxpayers Rights Advocate may release or return to each taxpayer subject to a levy or notice to withhold, is limited to two thousand three hundred dollars ($2,300), or the adjusted amount as specified in paragraph (2), in any monthly period.
(C)Notwithstanding subdivision (d), the Taxpayers Rights Advocate may order amounts returned in the case of a seizure of property as a result of a jeopardy assessment, subject to the amounts set or adjusted pursuant to this section.
(2)(A)The board shall adjust the two-thousand-three-hundred-dollar ($2,300) amount specified in paragraph (1) as follows:
(i)On or before March 1, 2016, and on or before March 1 each year thereafter, the board shall multiply the amount applicable for the current fiscal year by the inflation factor adjustment calculated based on the percentage change in the Consumer Price Index, as recorded by the California Department of Industrial Relations for the most recent year available, and the formula set forth in paragraph (2) of subdivision (h) of Section 17041. The resulting amount will be the applicable amount for the succeeding fiscal year only when the applicable amount computed is equal to or exceeds a new operative threshold, as defined in subparagraph (B).
(ii)When the applicable amount equals or exceeds an operative threshold specified in subparagraph (B), the resulting applicable amount, rounded to the nearest multiple of one hundred dollars ($100), shall be operative for purposes of paragraph (1) beginning July 1 of the succeeding fiscal year.
(B)For purposes of this paragraph, operative threshold means an amount that exceeds by at least one hundred dollars ($100) the greater of either the amount specified in paragraph (1) or the amount computed pursuant to subparagraph (A) as the operative adjustment to the amount specified in paragraph (1).
(c)The board shall not sell any seized property until it has first notified the taxpayer in writing of the exemptions from levy under Chapter 4 (commencing with Section 703.010) of Title 9 of the Code of Civil Procedure.
(d)This Except as provided in subparagraph (C) of paragraph (1) of subdivision (b), this section shall not apply to the seizure of any property as a result of a jeopardy assessment.
SECTION 1.Section 6002 of the Revenue and Taxation Code is amended to read:6002.Unless the context otherwise requires, the definitions given in this chapter govern the construction of this part.
Except where Unless the context otherwise requires, the definitions given in this chapter govern the construction of this part.
|
Date
|
Status
|
|---|---|
| May 22, 2015 | Read third time. Passed. Ordered to the Senate. (Ayes 74. Noes 0. Page 1564.) |
| Oct 11, 2015 | Chaptered by Secretary of State - Chapter 789, Statutes of 2015. |
| Oct 11, 2015 | Approved by the Governor. |
| Sep 1, 2015 | Enrolled and presented to the Governor at 4 p.m. |
| Aug 25, 2015 | In Assembly. Ordered to Engrossing and Enrolling. |
| Aug 24, 2015 | Read third time. Passed. Ordered to the Assembly. (Ayes 40. Noes 0. Page 2148.). |
| Aug 24, 2015 | Read third time. Passed. Ordered to the Assembly. |
| Jul 14, 2015 | Read second time. Ordered to third reading. |
| Jul 13, 2015 | From committee: Be placed on second reading file pursuant to Senate Rule 28.8. |
| Jul 6, 2015 | In committee: Set, first hearing. Testimony taken. Further hearing to be set. |
| Jun 24, 2015 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (June 24). Re-referred to Com. on APPR. |
| Jun 4, 2015 | Referred to Com. on GOV. & F. |
| Feb 27, 2015 | Introduced. To print. |
| May 22, 2015 | In Senate. Read first time. To Com. on RLS. for assignment. |
| May 14, 2015 | Read second time. Ordered to Consent Calendar. |
| May 13, 2015 | From committee: Do pass. To Consent Calendar. (Ayes 17. Noes 0.) (May 13). |
| Apr 30, 2015 | Re-referred to Com. on APPR. |
| Apr 29, 2015 | Read second time and amended. |
| Apr 28, 2015 | From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (April 20). |
| Apr 6, 2015 | Re-referred to Com. on REV. & TAX. |
| Mar 26, 2015 | Referred to Com. on REV. & TAX. |
| Mar 26, 2015 | From committee chair, with author's amendments: Amend, and re-refer to Com. on REV. & TAX. Read second time and amended. |
| Mar 2, 2015 | Read first time. |
| Mar 1, 2015 | From printer. May be heard in committee March 31. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Aug 24, 2015 | Assembly 3rd Reading AB1277 Brough By Hertzberg | Senate Floor |
Passed |
|
| Jun 24, 2015 | Do pass, but first be re-referred to the Committee on [Appropriations] | Senate Standing Committee on Governance and Finance |
Passed |
|
| May 22, 2015 | AB 1277 BROUGH Consent Calendar Second Day Regular Session | Assembly Floor |
Passed |
|
| May 13, 2015 | Do pass. To Consent Calendar. | Assembly Standing Committee on Appropriations |
Passed |
|
| Apr 20, 2015 | Do pass as amended and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Revenue and Taxation |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| board of equalization | ** Support | Aug 24, 2015 |
| Board of Equalization Member George Runner | ** Support | Aug 24, 2015 |
| California Taxpayers' Association | ** Support | Aug 24, 2015 |
| Office of Fiona Ma | * Support | Apr 20, 2015 |
AB 1277
Page 4
|
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 |
THIRD READING
Bill No: AB 1277
Amended: 4/29/15 in Assembly
SENATE GOVERNANCE & FIN. COMMITTEE: 7-0, 6/24/15
AYES: Hertzberg, Nguyen, Beall, Hernandez, Lara, Moorlach, Pavley
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
ASSEMBLY FLOOR: 74-0, 5/22/15 (Consent) - See last page for vote
SUBJECT: Tax administration: Taxpayers’ Rights Advocate: levy or notice to withhold: return of funds
DIGEST: This bill increases the amount the Board of Equalization’s (BOE’s) Taxpayer Rights’ Advocate can return to taxpayers, including jeopardy determinations, and allows maximum return amounts to grow in the future according to inflation.
Existing law:
Directs BOE to administer the Sales and Use Tax Law; Use Fuel Tax Law; Alcoholic Beverage Tax Law; Energy Resources Surcharge Law; Emergency Telephone Users Surcharge Law; Hazardous Substances Tax Law; Integrated Waste Management Fee Law; Oil Spill Response, Prevention, and Administration Fees Law; Underground Storage Tank Maintenance Fee Law; and Diesel Fuel Tax Law.
Provides that BOE also administer the Cigarette and Tobacco Products Tax Law, and other fee programs by applying the provisions of the Fee Collections Procedures Law, including the California Tire, Covered Electronic Waste Recycling, Fire Prevention, Marine Invasive Species, Water Rights Fees, Lumber Products Assessment, and the Natural Gas Surcharge.
Requires BOE to establish the Office of Taxpayer Rights Advocate (TRA) to facilitate the resolution of taxpayer complaints including any tax or feepayer complaints regarding unsatisfactory treatment of taxpayers by board employees, and stay actions where taxpayers have suffered or will suffer irreparable loss as the result of those actions.
Directs TRA to report directly to the executive officer of the BOE.
Permits BOE to impose a notice to withhold or levy to collect delinquent taxes, which requires a financial or other institution to place a hold on the taxpayer’s income or assets held by that institution, and then remit the tax or fee due to BOE out of these funds.
Requires BOE to send a copy of the notice of levy to the taxpayer.
Allows BOE to make a “jeopardy determination” if it believes that collection will be impacted by delay. A jeopardy determination is due and payable upon service of the notice to the taxpayer, and BOE may immediately take all actions authorized and necessary to collect the determined liability, including a notice to withhold or levy.
Allows TRA to order the release of a notice to withhold or levy within 90 days if the TRA finds that the levy threatens the taxpayer’s health or welfare or that of his or her family, for all 12 tax laws.
Allows TRA to return up to $1,500 in previously collected funds to the taxpayer upon a finding that the levy threatens the taxpayer’s health or welfare; however, TRA does not have this authority under the Cigarette and Tobacco Products Tax Law and the Fee Collections Procedures Law.
Does not allow TRA to return or release funds collected or property seized as a result of jeopardy determinations.
This bill:
Allows TRA to return funds collected under a notice of levy or withholding under the Cigarette and Tobacco Products Tax Law and the Fee Collections Procedures Law.
Increases from $1,500 to $2,300 the amount of funds collected under a notice of levy or withholding the TRA may return on a monthly basis under all 12 tax laws.
Directs BOE to increase the $2,300 maximum amount annually according to inflation under all 12 tax laws.
Permits TRA to return or release funds collected as a result of jeopardy determinations under all 12 laws if the TRA finds collecting the assessment is no longer in jeopardy.
Comments
Tax collection relies on tangible penalties for non-compliance; without enforcement, taxpayers in our largely self-assessed tax system would only remit money to the government out of generosity. While a notice of levy is a particularly harsh collections mechanism, this step is only taken against taxpayers with delinquent tax debts who have failed to pay taxes or fees due under the law, and ignored prior voluntary collections efforts. AB 1277 allows the TRA to return these previously collected funds if it threatens the health or welfare of the taxpayer or the taxpayer’s family, meaning that the state is providing the delinquent taxpayer a temporary loan, when the taxpayer could instead use a credit card, personal loan, or other method to meet living expenses. While the return of levied funds doesn’t absolve the debt, this bill allows funds that would be spent on public services to be sent to the delinquent taxpayer instead.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
Board of Equalization (source)
Board of Equalization Member George Runner
California Taxpayers Association
OPPOSITION: (Verified 7/15/15)
None received
ARGUMENTS IN SUPPORT: According to the author, “AB 1277 provides greater relief for taxpayers in dire financial circumstances. This bill would increase the amount of levied funds the Taxpayers’ Rights Advocate is allowed to order returned from $1,500 to $2,300 in cases where the levy threatens the health or welfare of the taxpayer, their spouse, and family. The amount has not been adjusted since the authority was established in 1996. AB 1277 relieves taxpayers in severe circumstances who would otherwise be financially devastated by a levy.”
ASSEMBLY FLOOR: 74-0, 5/22/15
AYES: Achadjian, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Wilk, Williams, Wood, Atkins
NO VOTE RECORDED: Alejo, Jones, O'Donnell, Olsen, Waldron, Weber
Prepared by: Colin Grinnell / GOV. & F. / (916) 651-4119
7/15/15 15:00:35
**** END ****
AB 1277 (Brough) Page 2 of 2
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 1277 (Brough) - Tax administration: Taxpayers’ Rights Advocate: levy or notice to withhold: return of funds
|
|
Version: April 29, 2015 |
Policy Vote: GOV. & F. 7 - 0 |
Urgency: No |
Mandate: No |
Hearing Date: July 13, 2015 |
Consultant: Robert Ingenito |
This bill does not meet the criteria for referral to the Suspense File.
Bill Summary:
AB 1277 would (1) increase the amount that the Board of Equalization’s (BOE’s) Taxpayer Rights’ Advocate can return to taxpayers, and (2) allow the increased amount to grow in the future, in line with inflation.
Fiscal Impact:
Relative to current law, this measure would result in a maximum first-year revenue loss of $800 each time the Taxpayer Rights Advocate were to order levied funds returned to taxpayers. The $800 maximum per-case revenue loss would increase in the out-years to reflect inflation; thus, it would likely grow by two to three percent annually. Based on this assumption, the annual maximum per-case revenue loss would be about $1,300 by 2025-26.
Background:
The California Constitution establishes BOE as a five-member board composed of (1) four members elected by each district, and (2) the State Controller. Currently, BOE administers more than 30 tax and fee programs, including the sales and use tax, excise taxes, special taxes, and several of the State’s fee programs.
As part of its tax administration duties, when a taxpayer’s voluntary compliance does not occur, BOE initially attempts to collect unpaid amounts due by sending the taxpayer a series of notices. Collectors then attempt to contact the taxpayer by telephone. Should these attempts prove unsuccessful, BOE then begins collections actions, which can include levies, wage garnishments, warrants for collection, or license suspension, as determined by collections staff. A notice of levy requires a financial or other institution to place a hold on the taxpayer’s assets, and then remit the tax or fee due to BOE out of the taxpayer’s funds. BOE sends a copy of the notice of levy to the taxpayer.
Additionally, BOE can make “jeopardy determination” if it believes that collection will be impacted by delay. A jeopardy determination is due and payable upon service of the notice to the taxpayer, and BOE may immediately take all actions authorized and necessary to collect the determined liability. Taxpayers have ten days to petition for redetermination or pay the tax or fee due prior to the determination becoming final.
BOE’s Taxpayer Rights Advocate (TRA), among other duties, has authority to help taxpayers, including staying actions by BOE where taxpayers have suffered irreparable loss as a result of BOE staff actions. Like the counterparts at the Internal Revenue Service and the Franchise Tax Board, the TRA may order the release of a levy or notice to withhold within 90 days if the TRA finds that the levy threatens the taxpayer’s health or welfare or that of his or her family for all taxes, but unlike the other two, may also return up to $1,500 in previously collected funds to the taxpayer upon a finding that the levy threatens the taxpayer’s health or welfare. However, TRA cannot return jeopardy determinations. Neither the release nor the return affects tax due.
Proposed Law:
This bill would do all of the following:
Increase from $1,500 to $2,300, in any monthly period, the amount of levied funds that BOE’s TRA may return when the levy threatens the health or welfare of the taxpayer or the taxpayer’s family.
Direct BOE to annually adjust the $2,300 threshold for inflation.
Conform the Cigarette and Tobacco Products Tax Law and the Fee Collection Procedures Law to also allow the return under those laws, thus giving the TRA the same authority for all taxes and fees administered by BOE.
Allow the TRA to return levied funds in the case of a seizure or property resulting from a jeopardy assessment if the TRA finds collecting the assessment is no longer in jeopardy.
Related Legislation:
AB 1222 (Bloom, 2013-14) contained provisions substantially similar to this bill. The bill was substantially amended in the Senate, and the TRA-related provisions were removed.
AB 2249 (Bloom, 2013-14) contained provisions substantially similar to this bill. The bill was not heard in a committee.
Staff Comments:
The maximum $1,500 amount that the TRA can return to taxpayers has not been adjusted since 1996; the proposed change in this bill represents a 53 percent increase. Information provided by BOE indicates that, with respect to returning funds to a taxpayer, the TRA has used this authority in three cases (all involving the sales and use tax) since 2008.
-- END --
AB 1277 (Brough) Page 2 of 2
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 1277 (Brough) - Tax administration: Taxpayers’ Rights Advocate: levy or notice to withhold: return of funds
|
|
Version: April 29, 2015 |
Policy Vote: GOV. & F. 7 - 0 |
Urgency: No |
Mandate: No |
Hearing Date: July 6, 2015 |
Consultant: Robert Ingenito |
This bill does not meet the criteria for referral to the Suspense File.
Bill Summary:
AB 1277 would (1) increase the amount that the Board of Equalization’s (BOE’s) Taxpayer Rights’ Advocate can return to taxpayers, and (2) allow the increased amount to grow in the future, in line with inflation.
Fiscal Impact:
Relative to current law, this measure would result in a maximum first-year revenue loss of $800 each time the Taxpayer Rights Advocate were to order levied funds returned to taxpayers. The $800 maximum per-case revenue loss would increase in the out-years to reflect inflation; thus, it would likely grow by two to three percent annually. Based on this assumption, the annual maximum per-case revenue loss would be about $1,300 by 2025-26.
Background:
The California Constitution establishes BOE as a five-member board composed of (1) four members elected by each district, and (2) the State Controller. Currently, BOE administers more than 30 tax and fee programs, including the sales and use tax, excise taxes, special taxes, and several of the State’s fee programs.
As part of its tax administration duties, when a taxpayer’s voluntary compliance does not occur, BOE initially attempts to collect unpaid amounts due by sending the taxpayer a series of notices. Collectors then attempt to contact the taxpayer by telephone. Should these attempts prove unsuccessful, BOE then begins collections actions, which can include levies, wage garnishments, warrants for collection, or license suspension, as determined by collections staff. A notice of levy requires a financial or other institution to place a hold on the taxpayer’s assets, and then remit the tax or fee due to BOE out of the taxpayer’s funds. BOE sends a copy of the notice of levy to the taxpayer.
Additionally, BOE can make “jeopardy determination” if it believes that collection will be impacted by delay. A jeopardy determination is due and payable upon service of the notice to the taxpayer, and BOE may immediately take all actions authorized and necessary to collect the determined liability. Taxpayers have ten days to petition for redetermination or pay the tax or fee due prior to the determination becoming final.
BOE’s Taxpayer Rights Advocate (TRA), among other duties, has authority to help taxpayers, including staying actions by BOE where taxpayers have suffered irreparable loss as a result of BOE staff actions. Like the counterparts at the Internal Revenue Service and the Franchise Tax Board, the TRA may order the release of a levy or notice to withhold within 90 days if the TRA finds that the levy threatens the taxpayer’s health or welfare or that of his or her family for all taxes, but unlike the other two, may also return up to $1,500 in previously collected funds to the taxpayer upon a finding that the levy threatens the taxpayer’s health or welfare. However, TRA cannot return jeopardy determinations. Neither the release nor the return affects tax due.
Proposed Law:
This bill would do all of the following:
Increase from $1,500 to $2,300, in any monthly period, the amount of levied funds that BOE’s TRA may return when the levy threatens the health or welfare of the taxpayer or the taxpayer’s family.
Direct BOE to annually adjust the $2,300 threshold for inflation.
Conform the Cigarette and Tobacco Products Tax Law and the Fee Collection Procedures Law to also allow the return under those laws, thus giving the TRA the same authority for all taxes and fees administered by BOE.
Allow the TRA to return levied funds in the case of a seizure or property resulting from a jeopardy assessment if the TRA finds collecting the assessment is no longer in jeopardy.
Related Legislation:
AB 1222 (Bloom, 2013-14) contained provisions substantially similar to this bill. AB 1222 was substantially amended in the Senate, and the TRA-related provisions were removed.
AB 2249 (Bloom, 2013-14) contained provisions substantially similar to this bill. The bill was not heard in a committee.
Staff Comments:
The maximum $1,500 amount that the TRA can return to taxpayers has not been adjusted since 1996. However, information provided by BOE indicates that, with respect to returning funds to a taxpayer, (1) the TRA uses the authority that this bill proposes to expand approximately once per year, and (2) the TRA has never been constrained by the $1,500 cap in current law.
-- END --
AB 1277 (Brough) 4/29/15 Page 3 of 3
SENATE COMMITTEE ON GOVERNANCE AND FINANCE
Senator Robert M. Hertzberg, Chair
2015 - 2016 Regular
Bill No: |
AB 1277 |
Hearing Date: |
6/24/15 |
Author: |
Brough |
Tax Levy: |
No |
Version: |
4/29/15 |
Fiscal: |
Yes |
Consultant: |
Grinnell |
||
TAX ADMINISTRATION: TAXPAYERS’ RIGHTS ADVOCATE: LEVY OR NOTICE TO WITHHOLD: RETURN OF FUNDS
Increases amount BOE’s Taxpayer Rights’ Advocate can return to taxpayers, and allows amounts to grow in the future according to inflation.
Background and Existing Law
The State Board of Equalization (BOE) administers the Sales and Use Tax Law, Use Fuel Tax Law, Alcoholic Beverage Tax Law, Energy Resources Surcharge Law, Emergency Telephone Users Surcharge Law, Hazardous Substances Tax Law, Integrated Waste Management Fee Law, Oil Spill Response, Prevention, and Administration Fees Law, Underground Storage Tank Maintenance Fee Law, and Diesel Fuel Tax Law. In addition, BOE operates other fee programs such as the Ballast Water, California Tire, Covered Electronic Waste Recycling, Fire Prevention, Marine Invasive Species, and Water Rights Fees, as well as the Natural Gas Surcharge, which are governed by the Fee Procedures Collections Law.
BOE first attempts to voluntarily collect unpaid taxes or fees due under the above program by sending the taxpayer two to four notices. Collectors then attempt to contact the taxpayer by phone. Should these attempts be unsuccessful, BOE then begins collections actions such as levies, wage garnishments, warrants for collection, or license suspension, as determined by collections staff. One of BOE’s most effective collections procedures is the notice of levy, which requires a financial institution or other institution to place a hold on the taxpayer’s assets held by that institution, and then remit the tax or fee due to BOE out of the taxpayer’s funds. BOE sends a copy of the notice of levy to the taxpayer.
BOE can also make “jeopardy determination” if it believes that collection will be impacted by delay. A jeopardy determination is due and payable upon service of the notice to the taxpayer, and BOE may immediately take all actions authorized and necessary to collect the determined liability. Taxpayers have ten days to petition for redetermination or pay the tax or fee due prior to the determination becoming final.
Similar to its counterparts in the Internal Revenue Service and the Franchise Tax Board, the Taxpayers' Rights Advocate (TRA) Office in the Board of Equalization (BOE) helps taxpayers to (1) resolve a matter outside normal channels, (2) provide information regarding a particular set of circumstances, (3) identify rights violations in the audit, and (4) assist in property tax areas. TRA facilitates communication between taxpayers, BOE, and county staff to eliminate potential misunderstandings. TRA’s vision is to “be the clear and trusted voice of reason and fairness when resolving issues between taxpayers and the government,” and its mission “to positively affect the lives of taxpayers by protecting their rights, privacy, and property during the assessment and collection of taxes.” TRA reports directly to the Executive Director, and is separate from other BOE offices and programs. When taxpayers complain about the BOE, TRA has direct access to all BOE documents and staff involved in the taxpayers’ issues, and acts as a liaison between taxpayers and BOE. If TRA disagrees with BOE staff and is unable to resolve the situation satisfactorily, the issue is elevated to the Executive Director for resolution.
TRA has specific powers to help taxpayers, including staying actions by BOE where taxpayers have suffered irreparable loss as a result of BOE staff actions. Like its counterparts at IRS and FTB, TRA may order the release of a levy or notice to withhold within 90 days if the TRA finds that the levy threatens the taxpayer’s health or welfare or that of his or her family for all taxes, but unlike the other two, may also return up to $1,500 in previously collected funds to the taxpayer upon a finding that the levy threatens the taxpayer’s health or welfare. However, TRA cannot return jeopardy determinations. Neither the release nor the return affects tax due.
Proposed Law
Assembly Bill 1277 increases from $1,500 to $2,300 the amount of levied funds the TRA may return on a monthly basis when the levy threatens the health or welfare of the taxpayer or the taxpayer’s family. The bill conforms the Cigarette and Tobacco Products Tax Law and the Fee Collection Procedures Law to also allow the return under those laws. The measure directs BOE to annually adjust the $2,300 threshold for inflation for all taxes. Additionally, the measure allows the TRA to return levied funds in the case of a seizure or property resulting from a jeopardy assessment if the TRA finds collecting the assessment is no longer in jeopardy.
State Revenue Impact
According to BOE, AB 1277 results in revenue losses of $4,600 annually.
Comments
1. Purpose of the bill. According to the author, “AB 1277 provides greater relief for taxpayers in dire financial circumstances. This bill would increase the amount of levied funds the Taxpayers’ Rights Advocate is allowed to order returned from $1,500 to $2,300 in cases where the levy threatens the health or welfare of the taxpayer, their spouse, and family. The amount has not been adjusted since the authority was established in 1996. AB 1277 relieves taxpayers in severe circumstances who would otherwise be financially devastated by a levy.”
2. Priorities. Tax collection relies on tangible penalties for non-compliance; without enforcement, taxpayers in our largely self-assessed tax system would only remit money to the government out of generosity. While a notice of levy is a particularly harsh collections mechanism, this step is only taken against taxpayers with delinquent tax debts who have failed to pay taxes or fees due under the law, and ignored prior voluntary collections efforts. AB 1277 would allow the TRA to return these previously collected funds if it threatens the health or welfare of the taxpayer or the taxpayer’s family, meaning that the state is providing the delinquent taxpayer a temporary loan, when the taxpayer could instead use a credit card, personal loan, or other method to meet living expenses. While the return of levied funds doesn’t absolve the debt, the measure would allow funds that would be spent on public services to be sent to the delinquent taxpayer instead. It is unclear why the state to provide support for delinquent taxpayers who may have access to other forms of credit.
3. Necessary? According to BOE, TRA uses the authority expanded by AB 1277 approximately once per year. Additionally, no example exists of a case where TRA wanted to return more funds to a taxpayer that met the criteria, but were limited by the cap the bill hikes. The Committee may wish to consider whether there’s a sufficient problem that makes enacting AB 1277 necessary.
4. Related legislation. Earlier this year, the Committee approved SB 540 (Hertzberg), which removed the sunset provision authorizing FTB’s taxpayer rights’ advocate, and eliminating the ceiling on tax relief the advocate could grant.
Assembly Actions
Assembly
Floor 74-0
Assembly Appropriations 17-0
Assembly
revenue and Taxation 7-0
Support and Opposition
(6/16/15)
Support: Board of Equalization, California Taxpayers Association, BOE Member George Runner.
Opposition: Unknown.
-- END --
AB 1277
Page 1
Date of Hearing: May 13, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
AB 1277
(Brough) – As Amended April 29, 2015
Policy Committee: |
Revenue and Taxation |
Vote: |
7 - 0 |
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill increases, from $1,500 to $2,300, for a variety of taxes administered by the Board of Equalization (BOE), the maximum amount of levied funds the Taxpayers' Rights Advocate may order returned to a taxpayer upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or the taxpayer's family, and requires the BOE to adjust the maximum amount for inflation on or before March 1 of each year, beginning March 1, 2016.
FISCAL EFFECT:
Minor and absorbable administrative costs to BOE, expected annual GF revenue losses of approximately $4,600 based on an assumed return of funds by the Taxpayers' Rights Advocate twice a year.
COMMENTS:
1) Purpose. According to the author, this bill provides additional relief for taxpayers in dire financial circumstances. AB 1277 increases the amount of levied funds the Taxpayers' Rights Advocate may return to taxpayers in cases where the levy threatens the health or welfare of the taxpayer, the taxpayer's spouse, or the taxpayer's family. The author asserts the amount has not been adjusted since the authority was established in 1996.
The bill's sponsor, the BOE, claims the increase in the maximum returnable amount from $1,500 to $2,300 effectively adjusts for inflation since 1996, and the bill's inflation adjustment provision will provide future modifications as needed. The bill also includes levy return authority to the remaining BOE-administered tax and fee programs.
2) Return, Not Relief. The BOE is authorized to levy funds, including bank accounts, to collect delinquent tax due. Occasionally, the seized taxpayer funds are essential to pay the taxpayer's basic living expenses. Only the Taxpayers' Rights Advocate has the authority to return funds in such instances, and decisions are made based on documented need, not tax owed, and returned funds do not relieve the taxpayer of any taxes owed. While the amount returned is modest, the author and sponsor believe a reasonable increase in the maximum will help the amount returned keep pace with the cost of living.
Analysis Prepared by: Joel Tashjian / APPR. / (916) 319-2081
AB 1277
Page 5
Date of Hearing: April 20, 2015
ASSEMBLY COMMITTEE ON REVENUE AND TAXATION
Philip Ting, Chair
AB 1277
(Brough) – As Amended March 26, 2015
Majority vote. Fiscal committee.
SUBJECT: Tax administration: Taxpayers' Rights Advocate: levy or notice to withhold: return of funds
SUMMARY: Increases the amount of levied funds the Taxpayers' Rights Advocate (TRA) may order returned to a taxpayer upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or the taxpayer's family. Specifically, this bill:
Increases, from $1,500 to $2,300, the amount of money the TRA may order returned to a taxpayer under the following tax and fee programs:
The Sales and Use Tax Law;
The Use Fuel Tax Law;
The Alcoholic Beverage Tax Law;
The Energy Resources Surcharge Law;
The Emergency Telephone Users Surcharge Act;
The Hazardous Substances Tax Law;
The Integrated Waste Management Fee Law;
The Oil Spill Response, Prevention, and Administration Fees Law;
The Underground Storage Tank Maintenance Fee Law; and,
The Diesel Fuel Tax Law.
Provides the TRA, for the first time, with comparable fund return authority under both the Cigarette and Tobacco Products Tax Law and the Fee Collection Procedures Law.
Provides that, on or before March 1, 2016, and on or before March 1 each year thereafter, the State Board of Equalization (BOE) shall adjust the maximum return amount for inflation, as specified.
Authorizes the TRA to order amounts returned in the case of a seizure of property resulting from a jeopardy assessment.
Limits the amount the TRA may release or return to $2,300, indexed for inflation, in any monthly period.
EXISTING LAW:
Authorizes the BOE's TRA to order, within 90 days of receiving funds through a levy or notice to withhold, the return of up to $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or the taxpayer's family. Specifically, this authority currently extends to the following tax and fee programs the BOE administers:
The Sales and Use Tax Law;
The Use Fuel Tax Law;
The Alcoholic Beverage Tax Law;
The Energy Resources Surcharge Law;
The Emergency Telephone Users Surcharge Act;
The Hazardous Substances Tax Law;
The Integrated Waste Management Fee Law;
The Oil Spill Response, Prevention, and Administration Fees Law;
The Underground Storage Tank Maintenance Fee Law; and,
The Diesel Fuel Tax Law.
Authorizes the TRA, under both the Cigarette and Tobacco Products Tax Law and the Fee Collection Procedures Law, to release a levy or notice to withhold upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or the taxpayer's family. Existing law, however, does not authorize a hardship return of levied funds under either the Cigarette and Tobacco Products Tax Law or the Fee Collection Procedures Law.
FISCAL EFFECT: The BOE estimates annual revenue losses of approximately $4,600. Specifically, the BOE's staff analysis notes, "BOE staff assumes the TRA will average a return of funds about twice per year."
COMMENTS:
The author has provided the following statement in support of this bill:
AB 1277 provides greater relief for taxpayers in dire financial
circumstances. This bill would increase the amount of levied funds
the Taxpayers' Rights Advocate is allowed to order returned from
$1,500 to $2,300 in cases where the levy threatens the health or
welfare of the taxpayer, their spouse, and family. The amount has
not been adjusted since the authority was established in 1996. [AB]
1277 relieves taxpayers in severe circumstances who would otherwise
be financially devastated by a levy.
This bill is sponsored by the BOE, which notes:
AB 1277 increases the levy amount the BOE's [TRA] is authorized to
return from $1,500 to $2,300 to adjust for inflation and to provide a
mechanism for future inflation adjustments, and extends this
authorization, even when a jeopardy assessment has been issued. The
bill also adds levy return authority to the remaining
BOE-administered tax and fee programs that currently lack it.
BOE Member George Runner, who supports this bill, notes:
As an elected member of the Board, I frequently hear from taxpayers,
including many small business owners, who are struggling to get back
on their feet as a result of California's economic downturn. When
these taxpayers fall behind on their tax payments, the state may
issue a levy or notice to withhold, which can sometimes negatively
impact their ability to provide basic necessities for their family.
The BOE notes the following in its staff analysis of this bill:
The return of levied funds does not reduce the tax liability: "The BOE is authorized to levy bank accounts to collect delinquent amounts. Occasionally a taxpayer is unable to contact the TRA to stop the funds from being levied until after the BOE has seized the funds. In these rare cases, levied funds are needed to cover the taxpayer's basic living expenses. Only the TRA, and not the [BOE], is allowed to order funds returned when the levy threatens the health or welfare of the taxpayer or the taxpayer's family."
"The BOE's TRA bases the decision to return levied funds upon a taxpayer's reasonable documentation and financial condition disclosure. Typically the taxpayer completes a BOE financial statement with accompanying documents to substantiate income and expenses. Since California is a community property state, the BOE requests information about total household income and expenses."
Basis for the suggested increase: "The increase from $1,500 to $2,300 is based on the accumulated California inflation factor from the date [R&TC] Section 7094 was first effective, on January 1, 1996, to the present. This measure also provides a mechanism for future inflation adjustments."
"The amount returned may not cover a taxpayer's monthly living expenses, but a reasonable increase in the funds returned will help a taxpayer provide for his or her family when the need arises. The incremental inflationary adjustment ensures that the amount returned will keep pace with the cost of living."
Committee Staff Comments
General background: In 1988, the Legislature enacted the Harris-Katz California Taxpayers' Bill of Rights (Harris-Katz). That legislation was designed to "ensure that the rights, privacy, and property of California taxpayers are adequately protected during the process of the assessment and collection of taxes." [Revenue and Taxation Code (R&TC) Section 7081.] Among its many provisions, Harris-Katz directed the BOE to establish the position of the TRA. (R&TC Section 7083.) The TRA is charged with facilitating the resolution of taxpayer complaints, including complaints alleging unsatisfactory treatment by BOE employees. (Id.)
Harris-Katz also added R&TC Section 7094, which authorized the TRA to order the release of a levy upon finding that the levy threatens the health or welfare of the taxpayer or the taxpayer's family. The BOE notes that this provision placed no limitation on the time for requesting a release or the amount of money that could be released.
In 1995, SB 718 (Committee on Revenue and Taxation) amended R&TC Section 7094 to read as it does today. Among other things, SB 718 authorized the TRA to order, within 90 days of receiving funds through a levy or notice to withhold, the return of up to $1,500, upon a finding that the levy or notice to withhold threatens the health or welfare of the taxpayer or the taxpayer's family. It is difficult to divine the Legislature's intent in providing the TRA this expanded authority given that SB 718 was an omnibus tax bill with multiple provisions. Nevertheless, the BOE has previously noted the following:
Although the available legislative history does not explain the rationale for the dollar threshold, the statute itself seems to suggest that the Legislature attempted to strike a balance between the expanded power to return funds and the potential revenue impact.
Accounting for inflation: This bill would increase, from $1,500 to $2,300, the amount of money the TRA may order returned to a taxpayer under numerous BOE-administered tax and fee programs. The BOE notes that this increase is designed to account for inflation from the date R&TC Section 7094 became effective to today. This bill would also provide a mechanism for future inflation adjustments.
Related legislation:
AB 1222 (Bloom), of the 2013-14 Legislative Session, contained provisions substantially similar to this bill. AB 1222 passed out of this Committee by a vote of 8-0 and passed the Assembly Floor by a vote of 75-0. AB 1222 was substantially amended in the Senate, however, and the TRA-related provisions were removed.
AB 2249 (Bloom), of the 2013-14 Legislative Session, contained provisions substantially similar to this bill. AB 2249 was referred to this Committee and was never heard.
Jeopardy assessments: Current law specifically provides that the TRA's release and return authority does not apply to the seizure of any property as a result of a jeopardy assessment. Unlike the prior legislation noted above, this bill would explicitly authorize the TRA to order amounts returned in the case of a seizure of property resulting from a jeopardy assessment.
A jeopardy assessment is issued when collection of the amount due is jeopardized by delay. Such assessments are due and payable immediately and are subject to all collection actions as of the date they are served. The BOE notes, "Because a jeopardy assessment is indicative of collection being in jeopardy if delayed, collection offices must give priority to these cases and take all appropriate collection actions, including the seizure of personal property."
It is not entirely clear to Committee staff why this bill is seeking to extend the TRA's return authority to cases where property has been seized as a result of a jeopardy assessment. Committee staff questions whether such authority may inadvertently undermine the state's efforts to collect some of its hardest to collect debts. The Committee may wish to consider amendments either striking the return authorization for jeopardy assessments or clarifying that amounts may be returned only if collection of the amount due is no longer in jeopardy.
REGISTERED SUPPORT / OPPOSITION:
Support
State Board of Equalization (Sponsor)
BOE Member George Runner
California Taxpayers Association
Opposition
None on file
Analysis Prepared by: M. David Ruff / REV. & TAX. / (916) 319-2098
Discussed in Hearing
55SEC
Senate Floor
4MIN
Senate Standing Committee on Appropriations
3MIN
Assembly Standing Committee on Revenue and Taxation
Bill Author
Bill Co-Author(s):
