California Revenue and Taxation Code

§ 61005

RTC § 61005 Effective Jun 27, 2019Div. 2 · Part 32

Statute text

(a)The Legislature finds and declares both of the following:

(1)The reporting requirement provided for in this section is necessary for the successful implementation of the penalty imposed by Section 61010. In particular, this requirement provides the only widespread source of third-party reporting to help applicable individuals and the Franchise Tax Board verify whether an applicable individual maintains minimum essential coverage. There is compelling evidence that third-party reporting is crucial for ensuring compliance with those tax provisions.

(2)The reporting requirement in this section has been narrowly tailored to support compliance with the penalty imposed by Section 61010, while imposing only an incidental burden on reporting entities. In particular, the information required to be reported under this section is limited to the information already required to be reported under a similar federal reporting requirement under Section 6055 of the Internal Revenue Code of 1986. In addition, this section provides that its reporting requirement may be satisfied by providing the same information that is currently reported under that federal requirement.

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Legislative history

Added by Stats. 2019, Ch. 38, Sec. 42. (SB 78) Effective June 27, 2019.