University of California: major tax expenditures: research.

Existing law imposes various taxes, including income taxes and sales and use taxes, and allows specified tax expenditures, as defined, including credits, deductions, exclusions, and exemptions in computing those taxes. Existing law establishes the University of California, and provides for its administration, and the provision of instruction at its various campuses, by the Regents of the University of California. This bill would request the Regents of the University of California to perform a comprehensive assessment of major tax expenditures, as defined, to study, among other things, the legislative intent, the beneficiaries, the number of affected returns or business entities, the cost to the General Fund, the effectiveness of those tax expenditures, and options to modify the tax expenditures to improve their effectiveness or reduce their cost. The bill would require the Franchise Tax Board and California Department of Tax and Fee Administration to provide readily available taxpayer information required for the University of California to complete the study. The bill would provide that any unauthorized use or sharing of the taxpayer information provided would be a misdemeanor. By expanding the scope of a crime, this bill would impose a state-mandated local program. The bill would request the Regents of the University of California to provide a report to the Legislature by January 1, 2024. The bill would require the Senate Committee on Governance and Finance and the Assembly Committee on Revenue and Taxation, upon receipt of the report from the university, to hold a joint public hearing on the report by August 15, 2024. This bill would repeal these provisions on February 15, 2025. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.