CA AB2428

Allows a deduction for qualified income earned by taxpayers from qualified businesses (sole proprietorships, partnerships, and limited liability partnerships) for the first 5 consecutive taxable years beginning on or after January 1, 2015.

Exempts corporations incorporated in California on or after January 1, 2015 from the $800 minimum franchise tax for the first 5 consecutive taxable years of doing business in the state.

Exempts limited partnerships, limited liability partnerships, and limited liability companies that file with the Secretary of State on or after January 1, 2015 from annual taxes and fees for the first 5 consecutive taxable years of doing business in the state.

Extends the inoperability date for provisions exempting small businesses solely owned by deployed members of the U.S. Armed Forces from the minimum franchise tax from January 1, 2018 to January 1, 2019.

Takes effect immediately as a tax levy.