California Revenue and Taxation Code ARTICLE 1 - Deductions

  • Section 24341.
    “Net income” means the gross income, computed under Chapter 6 (commencing with Section 24271), less the deductions allowed under this article and Article 2 (commencing...
  • Section 24343.
    (a) Section 162 of the Internal Revenue Code, relating to trade or business expenses, shall apply, except as otherwise provided.(b) For purposes of applying Section 162 of...
  • Section 24343.2.
    Whereas, the people of the State of California desire to promote and achieve tax equity and fairness among all the state’s citizens and further desire...
  • Section 24343.3.
    Any employer contribution to a medical savings account, as defined in Section 220 of the Internal Revenue Code, relating to medical savings accounts, if otherwise...
  • Section 24343.5.
    (a) In addition to the deduction allowed by Section 24343, a deduction shall be allowed to an employer as an ordinary and necessary expense paid or...
  • Section 24343.7.
    Section 162(k)(2)(A)(ii) of the Internal Revenue Code shall not apply.(Amended by Stats. 2002, Ch. 35, Sec. 48. Effective May 8, 2002.)
  • Section 24343.8.
    For taxable years beginning on or after January 1, 2014, a deduction shall not be allowed for the amount of any fine or penalty paid...
  • Section 24344.
    (a) Section 163 of the Internal Revenue Code, relating to interest, shall apply, except as otherwise provided.(b) If income of the taxpayer which is derived from or...
  • Section 24344.5.
    (a) A deduction, determined in accordance with Section 163(e) of the Internal Revenue Code, shall be allowed to the issuer of an original issue discount bond.(b) For...
  • Section 24344.7.
    The amendments to Section 163 of the Internal Revenue Code made by Section 13228 of the Revenue Reconciliation Act of 1993 (P.L. 103-66), relating to...
  • Section 24345.
    A deduction shall be allowed for taxes or licenses paid or accrued during the taxable year, except:(a) Taxes paid to the state under this part.(b) Taxes on...
  • Section 24345.5.
    A deduction shall not be allowed for the fee imposed by subsection (a) of Section 9008 of the Patient Protection and Affordable Care Act (Public...
  • Section 24346.
    (a) For purposes of subdivision (a) of Section 24345, if real property is sold during any real property tax year, then—(1) So much of the real property...
  • Section 24347.
    For taxable years beginning on or after January 1, 1990, all of the following shall apply:(a) Section 165 of the Internal Revenue Code, relating to losses....
  • Section 24347.4.
    (a) Section 165(i) of the Internal Revenue Code, relating to disaster losses, is modified to additionally provide that an appraisal for the purpose of obtaining a...
  • Section 24347.5.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.6.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.7.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.8.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.9.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.10.
    (a) An excess disaster loss, as defined in subdivision (c), shall be carried to other taxable years as provided in subdivision (b), with respect to losses...
  • Section 24347.11.
    (a) Section 165(i) of the Internal Revenue Code shall be applicable to any losses sustained in the County of Santa Cruz as a result of the...
  • Section 24347.12.
    (a) Section 165(i) of the Internal Revenue Code shall be applicable to any losses sustained in the Counties of Los Angeles and San Bernardino as a...
  • Section 24347.13.
    (a) Section 165(i) of the Internal Revenue Code shall be applicable to any losses sustained in the County of San Diego as a result of the...
  • Section 24347.14.
    (a) For taxable years beginning on or after January 1, 2014, and before January 1, 2024, Section 165(i) of the Internal Revenue Code, relating to disaster...
  • Section 24348.
    (a) There shall be allowed as a deduction either of the following:(1) Debts which become worthless within the taxable year in an amount not in excess of...
  • Section 24349.
    (a) There shall be allowed as a depreciation deduction a reasonable allowance for the exhaustion, wear and tear (including a reasonable allowance for obsolescence)—(1) Of property used...
  • Section 24349.1.
    (a) Section 280F of the Internal Revenue Code, relating to limitations on depreciation for luxury automobiles and certain property used for personal purposes, shall apply, except...
  • Section 24349.2.
    Section 280G of the Internal Revenue Code, relating to golden parachute payments, shall apply, except as otherwise provided.(Added by Stats. 2010, Ch. 14, Sec. 67....
  • Section 24350.
    Paragraphs (2), (3), and (4) of Section 24349(b) shall apply only in the case of property (other than intangible property) described in Section 24349(a) with...
  • Section 24351.
    Where, under regulations prescribed by the Franchise Tax Board, the taxpayer and the Franchise Tax Board have, after the date of enactment of this section,...
  • Section 24352.
    In the absence of an agreement under Section 24351 containing a provision to the contrary, a taxpayer may at any time elect in accordance with...
  • Section 24352.5.
    (a) Under regulations prescribed by the Franchise Tax Board, a taxpayer may, for purposes of computing the allowance under Section 24349 with respect to personal property,...
  • Section 24353.
    (a) The basis on which exhaustion, wear and tear, and obsolescence are to be allowed in respect of any property shall be the adjusted basis provided...
  • Section 24354.
    In the case of property held by one person for life with remainder to another person, the deduction shall be computed as if the life...
  • Section 24354.1.
    (a) Except as provided in subdivisions (b) and (c) of this section, in the case of property of the type defined in Section 1250(c) of the...
  • Section 24355.
    Section 167(f) of the Internal Revenue Code, relating to treatment of property excluded from Section 197, shall apply, except as otherwise provided.(Amended by Stats. 1997,...
  • Section 24355.3.
    For purposes of computing the depreciation deduction pursuant to Section 24349, the useful life of any Alaska natural gas pipeline, as defined in Section 168(i)(16)...
  • Section 24355.4.
    For purposes of computing the depreciation deduction under Section 24349, a class life of four years shall be used for any qualified rent-to-own property as...
  • Section 24355.5.
    (a) Section 197 of the Internal Revenue Code, relating to amortization of goodwill and certain other intangibles, shall apply, except as otherwise provided.(b) (1) Section 13261(g) of the...
  • Section 24356.
    (a) (1) In the case of Section 24356 property, the term “reasonable allowance” as used in subdivision (a) of Section 24349, may, at the election of the...
  • Section 24357.
    (a) There shall be allowed as a deduction any charitable contribution (as defined in Section 24359) payment of which is made within the taxable year. A...
  • Section 24357.1.
    (a) The amount of any charitable contribution of property otherwise taken into account under Section 24357 shall be reduced by the amount of gain that would...
  • Section 24357.2.
    (a) In the case of a contribution (not made by a transfer in trust) of an interest in property which consists of less than the taxpayer’s...
  • Section 24357.3.
    For purposes of Section 24357, in determining the value of a remainder interest in real property, depreciation (computed on the straight line method) and depletion...
  • Section 24357.4.
    If, in connection with any charitable contribution, a liability is assumed by the recipient or by any other person, or if a charitable contribution is...
  • Section 24357.5.
    No deduction shall be allowed under Section 24357 for a contribution to or for the use of an organization or trust described in Section 4948(c)(4)...
  • Section 24357.6.
    No deduction shall be allowed under this part for an out-of-pocket expenditure made on behalf of an organization described in Section 24359 (other than an...
  • Section 24357.7.
    (a) (1) For purposes of paragraph (3) of subdivision (b) of Section 24357.2, the term “qualified conservation contribution” means a contribution—(A) Of a qualified real property interest,(B) To a...
  • Section 24357.8.
    (a) In the case of a qualified research contribution, the amount otherwise allowed as a deduction under Section 24357, shall be reduced by that amount of...
  • Section 24357.9.
    (a) In the case of a qualified computer contribution, the amount otherwise allowed as a deduction under Section 24357 shall be reduced by that amount of...
  • Section 24357.10.a.
    (a) For purposes of Section 24357, 80 percent of any amount described in subdivision (b) shall be treated as a charitable contribution.(b) For purposes of subdivision (a),...
  • Section 24358.
    (a) In the case of a corporation, the total deductions under Section 24357 for any taxable year, other than for contributions to which subdivision (b) applies,...
  • Section 24359.
    For purposes of Sections 24357 to 24359, inclusive, the term “charitable contribution” means a contribution or gift to or for the use of—(a) A state, a...
  • Section 24359.1.
    Notwithstanding any other provision of law, any credit or deduction allowed by Section 23606 or 24357.8 shall not be disallowed on the basis that the...
  • Section 24360.
    In the case of any bond, as defined in Section 24363, the following rules shall apply to the amortizable bond premium (determined under Section 24361...
  • Section 24361.
    (a) For purposes of subsection (b), the amount of bond premium, in the case of the holder of any bond, shall be determined—(1) With reference to the...
  • Section 24362.
    (a) Sections 24360 to 24363.5, inclusive, shall apply to the bonds only if the taxpayer has elected to have these sections apply; in the case of...
  • Section 24363.
    For purposes of Sections 24360 to 24363.5, inclusive, the term “bond” means any bond, debenture, note, or certificate or other evidence of indebtedness, but does...
  • Section 24363.5.
    (a) Except as provided in regulations, in the case of any taxable bond each of the following shall apply:(1) The amount of any bond premium shall be...
  • Section 24364.
    Notwithstanding Article 3 (commencing with Section 24421), all expenditures (other than expenditures for the purchase of land or depreciable property or for the acquisition of...
  • Section 24365.
    (a) Section 174 of the Internal Revenue Code, relating to research and experimental expenditures, shall apply, except as otherwise provided.(b) Section 174(b) of the Internal Revenue Code...
  • Section 24368.1.
    (a) Section 167(e) of the Internal Revenue Code, relating to certain term interests not depreciable, shall apply. (b) The provisions of Section 7622(b) of Public Law 101-239,...
  • Section 24369.
    Section 175 of the Internal Revenue Code, relating to soil and water conservation expenditures, shall apply, except as otherwise provided.(Amended by Stats. 1993, Ch. 877,...
  • Section 24369.4.
    (a) Section 198 of the Internal Revenue Code, relating to expensing of environmental remediation costs, shall apply, except as otherwise provided.(b) Section 198(b)(2) is modified to refer...
  • Section 24370.
    There shall also be allowed as a deduction, under Chapter 2 of this part, in the case of a mutual savings bank, the entire amount...
  • Section 24372.3.
    (a) Section 169 of the Internal Revenue Code, relating to amortization of pollution control facilities, shall apply, except as otherwise provided.(b) The deduction allowed by this section...
  • Section 24372.5.
    (a) Section 194 of the Internal Revenue Code, relating to amortization of reforestation expenditures, shall apply, except as otherwise provided.(b) The deduction allowed by this section shall...
  • Section 24373.
    Section 178 of the Internal Revenue Code, relating to the amortization of cost of acquiring a lease, shall apply.(Repealed and added by Stats. 1989, Ch....
  • Section 24377.
    (a) A taxpayer engaged in the business of farming may elect to treat as expenses which are not chargeable to capital account expenditures (otherwise chargeable to...
  • Section 24379.
    Section 83 of the Internal Revenue Code, relating to property transferred in connection with performance of services, shall apply, except as otherwise provided.(Amended by Stats....
  • Section 24382.
    (a) Section 216 of the Internal Revenue Code, relating to deduction of taxes, interest, and business depreciation by cooperative housing corporation tenant-stockholder, shall apply, except as...
  • Section 24383.
    (a) Every taxpayer, at the election of the taxpayer, shall be entitled to a deduction of the cost of repairing or remodeling any building, facility or...

Last modified: October 22, 2018