Hard work pays: amendments being made to tax agent registration bill.

• Author: Allen, Bruce C.
• Position: CapitolBeat

AB 2415, which creates a registration requirement for anyone acting as a property tax agent, has been the top priority for the CalCPA Government Relations team this legislative session.

In its original form, the bill was ambiguous in its definition of "property tax agent," and what constituted a requirement to register with California's Secretary of State. CalCPA was concerned that the bill would have required CPAs to register with the Secretary of State's office for services that already fall within the scope of the profession. In addition, the ambiguity would lead to CPAs possibh being lined for inadvertent noncompliance of the registrantion requirement.

After several meetings with the author and proponents of AB 2415. and the incredible outreach from CalCPA members to their legislators, CalCPA is happy to report that amendments have been accepted into the bill to exempt nearly all of the routine, day-to-day services CPAs regularlv perform for clients that may bring them into contact with a county assessor or their stall.

The bill's new language clarifies w hen a CPA would have to register as a "property tax agent." Particularly, the new language exempts preparation, filing or submitting of a form required for compliance purposes and communication with a county official related to factual information in the form, including communication occurring as a result of a statutory audit of that form.

The exclusion also covers contacting, or being contacted by. a county official solely for the purpose of determining the status of. or the methodology used, by the county assessor in establishing a property's taxable value or a pending property tax refund, transfer of base year value, exemption application or exclusion application.

Once an individual begins to advocate for a change in the value of a properly. then a requirement to register is triggered.

New language additionally provides safe harbor in the event that a CPA crosses the threshold and begins to act as a property tax agent: That individual lias 10 days to register with the Secretary of State's office.

The amended bill vastly reduces the risk of CPAs falling into inadvertent violation with the registration requirements, and CalCPA has removed its opposition.

CalCPA again thanks members for all their hard work through the past several months to ensure that the voice of the profession w as heard in Sacramento. When legislators hear firsthand from CPAs and members of their communities about...