What Is a Tax Levy in California Legislation?
What Is a Tax Levy in California Legislation? By Chris Micheli There is often confusion regarding whether a bill is a tax levy or not, and what a “tax levy” means. A common misconception is that a tax levy is a bill that proposes a tax increase. The determination of whether a bill is a tax levy is determined by the Office of Legislative Counsel. Readers of California legislation will see a section at the end of a bill that reads as follows: This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect. Under Article IV, Section 8(c)(3) of the California Constitution, “statutes calling elections, statutes providing for tax levies or appropriations for the usual current expenses of the State, and urgency statutes shall go into effect immediately upon their enactment.” This begs the question of what is a “tax levy”? Unfortunately, the...