The Treasurer-Tax Collector, Mr. Russell Watts, requests that the Board of Supervisors adopt a position of "Support" on this bill, which would authorize his office to enter into an information sharing relationship with the Franchise Tax Board (FTB). The information-sharing relationship is based on an existing relationship that cities are legislatively authorized to enter into with the FTB. This legislation will enhance information sharing and tax collection capabilities with the State, to maximize tax collection dollars from those taxpayers and businesses that owe either the State or a County money. This relationship could be mutually beneficial.
Given the inextricable financial ties between Counties and the State, it seems a logical and efficient addition to the statute to permit County revenue officers and their state counterpart to closely coordinate and share information, so as to ensure timely, efficient and accurate tax collection.
The bill, as introduced, in included in Attachment A.
LEGISLATIVE COUNSEL'S DIGEST
AB 279, as introduced, Dodd. Tax administration: disclosure of information: Franchise Tax Board and cities and counties.
Existing law authorizes, until January 1, 2019, a city that has entered into a reciprocal agreement, as defined, with the Franchise Tax Board, to exchange tax information, as provided. Existing law requires, until January 1, 2019, upon the request of the Franchise Tax Board, each city that assesses a city business tax or requires a city business license to annually submit to the board specified information relating to the administration of the city's business tax program. Existing law defines the term "city" to include, among others, a city and county. Existing law limits the collection and use of this information and provides that any unauthorized use of this information is punishable as a misdemeanor.
This bill would expand these provisions to additionally apply to a county.