AB 624 Summary

• Extends tax credits for qualified investments in community development financial institutions from January 1, 2012 to January 1, 2017, allowing a 20% credit on investments of at least $50,000 held for 60 months.

• Eliminates the $10,000,000 annual aggregate cap on certified investments across insurance, personal income, and corporation tax laws, while allowing unused allocations to carry over year to year.

• Authorizes the Insurance Commissioner to establish a California Organized Investment Network Advisory Board until December 1, 2015, consisting of insurance executives, attorneys, public members, and community representatives to advise on investment strategies and programmatic guidelines.

• Allows the California Organized Investment Network to prioritize tax credit applications that directly benefit low-income persons, prioritize affordable housing, or involve insurance company investments.

• Requires early withdrawal of qualified investments within 60 months to trigger recapture of previously claimed tax credits, with exceptions for reinvestment within 60 days.