California AB918 proposes to exclude certain wages from personal income tax for first responders working in emergencies.

California AB918 aims to provide tax relief for first responders by excluding their wages from personal income tax when they work in areas affected by a state or local emergency. This exclusion applies to wages earned between January 1, 2025, and January 1, 2030, for employees of local agencies. The bill defines "qualified wages" as those paid for work performed in emergency areas and excludes wages for work within the responder's usual jurisdiction. The Franchise Tax Board is authorized to create rules to implement this exclusion.

California AB918 proposes to exclude certain wages from personal income tax for first responders working in emergencies.

California AB918 aims to provide tax relief for first responders by excluding their wages from personal income tax when they work in areas affected by a state or local emergency. This exclusion applies to wages earned between January 1, 2025, and January 1, 2030, for employees of local agencies. The bill defines "qualified wages" as those paid for work performed in emergency areas and excludes wages for work within the responder's usual jurisdiction. The Franchise Tax Board is authorized to create rules to implement this exclusion.