California AB1633 imposes an annual tax on private detention facility operators, starting in 2027.
California AB1633 introduces an annual tax on private detention facility operators, set at 25 percent of their gross receipts, beginning in 2027. The tax applies regardless of whether the facility contracts with federal, state, or local agencies. The California Department of Tax and Fee Administration will administer and collect the tax, with payments due by July 31 each year. All revenues collected, minus refunds and administrative costs, will be deposited into the Due Process for All Fund, used for immigration-related services.
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