CA SB1246

Excludes from gross income any settlement amounts received by qualified taxpayers from Southern California Edison related to the 2017 Thomas Fire or 2018 Woolsey Fire for taxable years beginning before January 1, 2027

Defines qualified taxpayers as those who owned real property, resided, or had a place of business in Ventura, Santa Barbara, or Los Angeles counties during the respective fires and incurred expenses from the disasters

Applies retroactively to taxable years beginning before, on, or after the bill's effective date, with claims for refunds of overpayments allowed if filed within one year of the effective date

Requires the Franchise Tax Board to report to the Legislature by December 31, 2027 on the number of qualified taxpayers and aggregate settlement payment amounts, in anonymized form

Took effect immediately upon Governor's approval on September 29, 2022 as an urgency statute