AB 2312: Personal income taxes: deduction: qualified education loans.

(1)The Personal Income Tax Law allows, by way of conformity with deductions allowed under federal income tax law, various deductions in computing the income that is subject to the taxes imposed by the Personal Income Tax Law, including a deduction against gross income for interest paid on qualified education loans not to exceed a specified limit. $2,500, reduced, as specified, based on modified adjusted gross income, as defined.

This bill, for taxable years beginning on or after January 1, 2024, and before January 1, 2029, would remove the limit increase the limitation on the deduction described above, as specified. above to $5,000.

(2)Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.

This bill would include additional information required for any bill authorizing a new tax expenditure.

(3)This bill would take effect immediately as a tax levy.