Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2014
 

Tax on Insurers Law

Chapter 7. Cancellations and Refunds*

Article 2. Refund or Credit for Collected Taxes²

Section 12977

Text of section operative through June 30, 2012

12977. Credits and refunds. (a) If the board determines that any tax, interest, or penalty has been paid more than once or has been erroneously or illegally collected or computed, the board shall set forth that fact in its records of the board, certify the amount of the taxes, interest, or penalties collected in excess of what was legally due, and from whom they were collected or by whom paid, and certify the excess to the Controller for credit or refund.

(b) The Controller upon receipt of a certification for credit or refund shall credit the excess on any amounts then due and payable from the insurer, surplus line broker, or Medi-Cal managed care plan under this part and refund the balance.

(c) Any proposed determination by the board pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days prior to the effective date of that determination.

(d) This section shall become inoperative on July 1, 2012, and, as of January 1, 2013, is repealed, unless a later enacted statute, that becomes operative on or before July 1, 2012, deletes or extends the dates on which it becomes inoperative and is repealed.

History.—Amended by Stats. 1957, p. 2470, in effect September 11, 1957; Stats. 1959, p. 1894, in effect April 1, 1959; Stats. 1959, p. 4380, in effect September 18, 1959; Stats. 1961, p. 1990, operative January 1, 1962. Stats. 1963, p. 3110, in effect September 20, 1963, substituted "two hundred fifty dollars ($250)" for "one hundred dollars ($100)" in the third sentence. Stats. 1965, p. 2055, in effect September 17, 1965, substituted "one thousand dollars ($1,000)" for "two hundred fifty dollars ($250)." Stats. 1977, Ch. 921, operative January 1, 1978, substituted "five thousand dollars ($5,000)" for "one thousand dollars ($1,000)" and added the word "State" preceding "Board" in the first and second sentences. Stats. 1982, Ch. 327, in effect June 30, 1982, added "(a)" before the first sentence, substituted "ten thousand dollars ($10,000)" for "five thousand dollars ($5,000)" after "exceeding" in the third sentence of new subdivision (a), added subdivision "(b)," and added "(c)" before the last sentence. Stats. 1985, Ch. 591, effective January 1, 1986, substituted "fifteen thousand dollars ($15,000)" for "ten thousand dollars ($10,000)" in subdivision (a). Stats. 1988, Ch. 1029, in effect January 1, 1989, substituted "fifty thousand dollars ($50,000)" for "fifteen thousand dollars ($15,000)" in the third sentence. Stats. 1994, Ch. 726, in effect September 22, 1994, substituted ", certify" for "and shall certify to the State Board of Control" after "records of the board"; substituted ", and certify the excess" for ". If approved by the State Board of Control, the excess shall be certified" after "by whom paid"; deleted "In the case, however, of a determination by the board that an amount not exceeding fifty thousand dollars ($50,000) was not required to be paid under this part, the board without obtaining approval of the State Board of Control may certify the amount to the Controller for credit or refund." in subdivision (a) deleted subdivision (b) which read: "Notwithstanding the provisions of subdivision (a), approval of the State Board of Control shall not be required with regard to a refund resulting from prepayment of taxes during and from the calendar year."; relettered former subdivision "(c)" as "(b)"; and added subdivision (c). Stats. 1995, Ch. 721, in effect January 1, 1996, added "or surplus line broker" after "from the insurer" in subdivision (b). Stats. 2009, Ch. 157 (AB 1422), in effect September 22, 2009, deleted "or" and added a comma before "surplus line broker" and added ", or Medi-Cal managed care plan" after "surplus line broker" in subdivision (b); and added subdivision (d). Stats. 2010, Ch. 717 (SB 853), in effect October 19, 2010, deleted former subdivision (d) which provided that "This section shall remain in effect only until January 1, 2011, and as of that date is repealed." and added the new subdivision (d). Stats. 2011, Ch. 11x1 (ABx1 21), in effect September 16, 2011, substituted "2012" for "2011" after "inoperative on July 1,", substituted "2013" for "2012" after "as of January 1,", substituted "July" for "January" after "operative on or before" in subdivision (d).deletion

12977. Credits and refunds. [Repealed by Stats. 2013, Ch. 33 (SB 78) in effect June 27, 2013.]

TEXT OF SECTION OPERATIVE JULY 1, 2012, THROUGH JUNE 30, 2013

12977. Credits and refunds. (a) If the board determines that any tax, interest, or penalty has been paid more than once or has been erroneously or illegally collected or computed, the board shall set forth that fact in its records of the board, certify the amount of the taxes, interest, or penalties collected in excess of what was legally due, and from whom they were collected or by whom paid, and certify the excess to the Controller for credit or refund.

(b) The Controller upon receipt of a certification for credit or refund shall credit the excess on any amounts then due and payable from the insurer, surplus line broker, or Medi-Cal managed care plan under this part and refund the balance.

(c) Any proposed determination by the board pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days prior to the effective date of that determination.

(d) This section shall be operative on July 1, 2012, and become inoperative on July 1, 2013. As of January 1, 2015, this section shall be repealed.

History.—Added by Stats., 2013, Ch. 33 (SB 78), in effect June 27, 2013, but operative July 1, 2012.

TEXT OF SECTION OPERATIVE JULY 1, 2013

12977. Credits and refunds. (a) If the board determines that any tax, interest, or penalty has been paid more than once or has been erroneously or illegally collected or computed, the board shall set forth that fact in its records of the board, certify the amount of the taxes, interest, or penalties collected in excess of what was legally due, and from whom they were collected or by whom paid, and certify the excess to the Controller for credit or refund.

(b) The Controller upon receipt of a certification for credit or refund shall credit the excess on any amounts then due and payable from the insurer or surplus line broker under this part and refund the balance.

(c) Any proposed determination by the board pursuant to this section with respect to an amount in excess of fifty thousand dollars ($50,000) shall be available as a public record for at least 10 days prior to the effective date of that determination.

(d) This section shall become operative on July 1, 2013.

History.—Added by Stats., 2013, Ch. 33 (SB 78), in effect June 27, 2013, but operative July 1, 2013.

* Stats. 1961, p. 1990, operative January 1, 1962, amended the title of Chapter 7 from "corrections" to "cancellations and refunds".

² Stats. 1961, p. 1990, operative January 1, 1962, amended the title of Article 2 from "Credit for Collected Taxes" to "Refund or Credit for Collected Taxes".