Analysis of California Tax Policy Relevant to AB-205, Governor Newsom’s Income-Based utility tax plan

Here’s the direct link to Franchise Tax Board’s Mission Statement and also their Founding Principles:


NOTE #1: Franchise Tax Board’s ‘Founding Principles’ also include their Statement of Principles of Tax Administration & Taxpayer Bill of Rights direct links embedded below :


Mission Statement:

                Our mission is to help taxpayers file timely and accurate tax returns and pay the correct amount to fund services important to Californians.”


Founding Principles:

  • Protect the privacy and security of data entrusted to us.
  • Carry out our fiduciary responsibilities to taxpayers by managing their accounts with accuracy and financial integrity.
  • Operate with transparency to maintain public trust and confidence.
  • Conduct our business in accordance with the Statement of Principles of Tax Administration, Taxpayers’ Bill of Rights, and our organizational values.

NOTE: – Since Statement of Principles of Tax Administration states the following…:

“The primary function of the Franchise Tax Board is to administer the Revenue and Taxation Code (R&TC). Tax policy for raising revenue is determined by elected officials.”

“It is our duty to correctly apply the laws enacted by the Legislature; to determine the reasonable meaning of various R&TC provisions, and to perform in a fair and impartial manner.”

Interpretation of the R&TC is the heart of administration. It is the responsibility of each person in the Franchise Tax Board, charged with the duty of interpreting the law, to try to find the true meaning of the statutory provision and not to adopt a strained construction in the belief that he or she is “protecting the revenue.” The revenue is properly protected only when the true meaning of the statute is ascertained and applied.

…and we now know that at least 22 elected officials have sent a letter requesting Gov. Newsome REPEAL AB 205,  would you agree that it’s logical that we address at least 1 of our petitions directly to the Franchise Tax Board ‘Advocate Services” (see contact info below) and request they support the repeal of AB 205 due to its “unreasonable” meaning of Revenue and Taxation Code??

NOTE #2: Taxpayer Bill of Rights and Responsibilities

“You have a right to know what types of information we gather, how we use it, and to whom we may provide it. Information collected is subject to the California Information Practices Act, Civil Code Sections 1798-17987.78, except as provided in Revenue and Taxation Code (R&TC) Section 19570.”

“The California Taxpayers’ Bill of Rights requires us to adequately protect the rights, privacy, and property of all California taxpayers when we assess or collect tax. Your rights include: Privacy and confidentiality: The privacy of your tax information.”

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