The bill also states that landlords can’t pass through the tax to tenants. How California would enforce this we’d like to know.
(From The California Globe)
The bill would impose an annual excise tax upon a qualified taxpayer for the privilege of renting or leasing out qualified property in this state at a rate of (unspecified rate based on the) gross receipts of the qualified taxpayer that are derived from rental income. Moreover, it states that it is “the intent of the Legislature to enact legislation that would increase the rate specified if the qualified taxpayer receives a certain number of code violations issued by the building department or health department of a city or county.”
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