AB-1518
Budget & Economy

Income taxes: administration: nonresident aliens: identifying numbers: group filing.

Enrolled
CA
2025-2026 Regular Session
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Key Takeaways

  • Extends indefinitely the tax provisions allowing nonresident aliens to file without SSN or ITIN numbers.
  • Maintains the group tax filing option for nonresident aliens receiving California income.
  • Excludes from gross income any payments made by agents for nonresidents in group filings.
  • Requires the highest marginal tax rate plus 1% for nonresident aliens filing group returns.

Summary

The California Assembly Committee on Revenue and Taxation proposes to permanently extend several tax provisions affecting nonresident aliens that were set to expire on January 1, 2026. The legislation maintains existing rules that allow nonresident aliens to file state tax returns without providing a Social Security Number or Individual Taxpayer Identification Number if they are ineligible for or have not been issued one.

The bill preserves the current group filing mechanism, which enables taxpayers or authorized entities to submit consolidated returns on behalf of qualifying nonresident aliens who earn taxable income from services performed in California. Under these provisions, the highest marginal tax rates apply to income reported on group returns, with limited deductions and credits available. The filing entity assumes responsibility for tax payments, interest, and penalties on behalf of participating nonresident aliens.

The legislation also maintains existing rules that exclude from gross income any payments made by an agent on behalf of nonresident aliens participating in group filings. These provisions aim to streamline tax administration while preserving compliance requirements for nonresident taxpayers and their representatives.

Key Dates

Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Consent Calendar 2nd AB1518 REV. & TAX. (Gipson)
Senate Revenue and Taxation Hearing
Senate Committee
Senate Revenue and Taxation Hearing
Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar
Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 1518 REV. & TAX. Consent Calendar Second Day Regular Session
Assembly Appropriations Hearing
Assembly Committee
Assembly Appropriations Hearing
Do pass. To Consent Calendar
Assembly Revenue And Taxation Hearing
Assembly Committee
Assembly Revenue And Taxation Hearing
Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
Introduced
Assembly Floor
Introduced
Read first time. To print.

Contacts

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Similar Past Legislation

Bill NumberTitleIntroduced DateStatusLink to Bill
Income taxes: administration: nonresident aliens: identifying numbers: group filing.
February 2020
Passed
Showing 1 of 1 items
Page 1 of 1

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

70% progression
Bill has passed both houses in identical form and is being prepared for the Governor (7/10/2025)

Latest Voting History

July 10, 2025
PASS
Senate Floor
Vote on Senate Floor
AyesNoesNVRTotalResult
370340PASS

Key Takeaways

  • Extends indefinitely the tax provisions allowing nonresident aliens to file without SSN or ITIN numbers.
  • Maintains the group tax filing option for nonresident aliens receiving California income.
  • Excludes from gross income any payments made by agents for nonresidents in group filings.
  • Requires the highest marginal tax rate plus 1% for nonresident aliens filing group returns.

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Summary

The California Assembly Committee on Revenue and Taxation proposes to permanently extend several tax provisions affecting nonresident aliens that were set to expire on January 1, 2026. The legislation maintains existing rules that allow nonresident aliens to file state tax returns without providing a Social Security Number or Individual Taxpayer Identification Number if they are ineligible for or have not been issued one.

The bill preserves the current group filing mechanism, which enables taxpayers or authorized entities to submit consolidated returns on behalf of qualifying nonresident aliens who earn taxable income from services performed in California. Under these provisions, the highest marginal tax rates apply to income reported on group returns, with limited deductions and credits available. The filing entity assumes responsibility for tax payments, interest, and penalties on behalf of participating nonresident aliens.

The legislation also maintains existing rules that exclude from gross income any payments made by an agent on behalf of nonresident aliens participating in group filings. These provisions aim to streamline tax administration while preserving compliance requirements for nonresident taxpayers and their representatives.

70% progression
Bill has passed both houses in identical form and is being prepared for the Governor (7/10/2025)

Key Dates

Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Consent Calendar 2nd AB1518 REV. & TAX. (Gipson)
Senate Revenue and Taxation Hearing
Senate Committee
Senate Revenue and Taxation Hearing
Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar
Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 1518 REV. & TAX. Consent Calendar Second Day Regular Session
Assembly Appropriations Hearing
Assembly Committee
Assembly Appropriations Hearing
Do pass. To Consent Calendar
Assembly Revenue And Taxation Hearing
Assembly Committee
Assembly Revenue And Taxation Hearing
Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
Introduced
Assembly Floor
Introduced
Read first time. To print.

Latest Voting History

July 10, 2025
PASS
Senate Floor
Vote on Senate Floor
AyesNoesNVRTotalResult
370340PASS

Contacts

No results.
0 of 0 row(s) selected.
Page 1 of 0
Select All Legislators

Similar Past Legislation

Bill NumberTitleIntroduced DateStatusLink to Bill
Income taxes: administration: nonresident aliens: identifying numbers: group filing.
February 2020
Passed
Showing 1 of 1 items
Page 1 of 1