Senate Sends Tax Penalty Relief Bill to Assembly

A California Chamber of Commerce-supported bill providing relief from penalties when a late tax payment is due to the Board of Equalization (BOE) website passed the Senate this week.

SB 11 (Gaines; R-El Dorado Hills) prohibits the assessment of penalties for a late tax payment for sales-and-use tax to the BOE if the failure to make a payment was due to the BOE website and not attributable to the taxpayer.

Although electronic filing and payment generally is more efficient, it also can cause delay and interruption when technological problems arise. The BOE website recently encountered such technological difficulties on a quarterly deadline for taxpayers to pay sales-and-use tax.

SB 11 ensures that taxpayers will not be assessed any penalties or interest if such website interruptions occur that are outside the control of the taxpayer, similar to other laws that allow the BOE to waive penalties assessed.

The Senate unanimously approved SB 11 on May 22. The bill has been held at the Assembly desk.

Staff Contact: Jennifer Barrera

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Jennifer Barrera took over as president and CEO of the California Chamber of Commerce on October 1, 2021. She has been part of the CalChamber team since 2010 and stepped into the top position after serving as CalChamber executive vice president, overseeing the development and implementation of policy and strategy for the organization, as well as representing the CalChamber on legal reform issues. Barrera is well-known for her success rate with the CalChamber’s annual list of job killer legislation, efforts to reform the Private Attorneys General Act (PAGA) and leadership working with employers on critical issues, including most recently those arising from the COVID-19 pandemic. In addition, she advises the business compliance activities of the CalChamber on interpreting changes in employment law. Barrera earned a B.A. in English from California State University, Bakersfield, and a J.D. with high honors from California Western School of Law. See full bio