CA AB132

Increases the California Motion Picture and Television Production Credit allocation from $330 million to $750 million per fiscal year for 2025-26 through 2029-30, with credits of 20-25% of qualified expenditures depending on production type

Extends the Small Business Relief Act elective tax for pass-through entities (partnerships and S corporations) through taxable years beginning before January 1, 2031, allowing a 9.3% elective tax on qualified net income with corresponding credits for partners, shareholders, and members

Excludes from gross income up to $20,000 of military retirement pay and Department of Defense Survivor Benefit Plan payments for qualifying taxpayers through 2029, as well as wildfire settlement payments and Chiquita Canyon landfill event compensation

Removes banking and financial business activities from the three-factor apportionment formula for taxable years beginning on or after January 1, 2025, requiring these businesses to use single sales factor apportionment

Expands the California Firearm Excise Tax to apply to in-state licensed dealers who transfer firearms, ammunition, or firearm precursor parts on behalf of out-of-state retailers, effective October 1, 2025