CA AB2330

Modifies California's research tax credit by eliminating the alternative incremental credit option for taxable years beginning January 1, 2015 and onward, replacing it with the alternative simplified credit for years 2015-2021.

Reduces the alternative simplified credit rates from 14 percent to 10.5 percent and from 6 percent to 4.5 percent for eligible research expenses.

Applies federal provisions regarding inclusion of qualified research expenses and gross receipts of acquired persons and aggregation of expenditures beginning January 1, 2015.

Terminates the alternative simplified credit option after December 31, 2021, with no elections allowed for taxable years beginning after that date.

Requires a two-thirds vote for passage as the bill results in higher taxes under California Constitution Article XIII A, Section 3, and takes effect immediately as a tax levy.