This course provides five credit hours of California tax law coverage as required annually for Certified Registered Tax Preparers (CRTPs). The course includes coverage of the California legislature's 2021-2022 session. More specifically, the materials provide key details on the California legislature's actions related to the following:

• AB 80, AB 88, and SB 91 related to PPP loan forgiveness, Golden Gate stimulus payments, and rent forgiveness
• AB 150, AB 447, SB 144, and SB 347 related to the state budget, various tax credits
• AB 1506 and AB 1561, dealing with worker status issues

The course also includes a discussion of significant stimulus-related federal legislation and its comparability to California law. Federal legislation covered includes:

• the American Rescue Act of 2021 (ARPA)
• the COVID-Related Tax Relief Act of 2020 (COVIDTRA or TRA)
• the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act)

The course explains California's rules for determining employee versus independent contractor status, the "gig worker bill," and the many significant differences between California law and federal law for many workers.

The course also provides explanation and practical examples covering the California-income sourcing for personal income of many types, including corporate distributions and stock options. There is detail provided about California withholding requirements and backup withholding requirements for income tax and real estate transactions tax. Readers are provided an overview of the penalties for tax underpayment and the methods for removing the requirement for backup withholding.

After completing this course, students will recognize and recall correct treatment of the following:

• California tax legislation from sessions through the 2021-2022 session
• federal economic stimulus legislation related to the COVID pandemic
• changes made to certain retirement tax-related rules made by the SECURE Act (federal law)
• residency status and filing status
• the relationship between the federal tax return and the California tax return
• different types of income and California-sourcing issues
• California withholding requirements -- payroll tax and tax on certain real estate
• requirements for estimated tax payments, annual tax payments, and taxpayer and tax preparer penalties

Tax Year: 2021-2022

CRTPs, California CPAs, and other tax, accounting, and financial professionals