SB 855 Summary

• Expands California Earned Income Tax Credit eligibility by lowering age requirement from 25-65 years to 18 years or older for individuals without qualifying children, effective January 1, 2018.

• Extends employment tax credits for hiring in designated areas: workforce investment credit extended to January 1, 2026 and California Competes Tax Credit extended to January 1, 2030, with $180 million allocated annually from 2018–19 to 2022–23.

• Excludes earned income derived from Indian country sources from gross income for eligible tribal members who reside within Indian country in California, effective January 1, 2018.

• Makes California Competes Tax Credit Committee information-sharing requirements permanent by removing the January 1, 2019 repeal date for local tax data exchange provisions between cities/counties and the Franchise Tax Board.

• Requires GO-Biz to report on 2018–19 tax credit allocations by October 1, 2019, and Legislative Analyst's Office to evaluate the report by April 1, 2020, including methodology and justification for credit awards.