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California 20252026

AB 2167

Property tax: documentary transfer tax: exemptions: nonprofit corporations chartered under tribal or federal law.

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Source: Open States / PluralUpdated 2026-09-12 13:12:55 UTC.

Official record

Measure details

Jurisdiction
California
Session
20252026
Chamber
lower
Classification
bill
Subjects
Propertytax, documentarytransfertax, exemptions, nonprofitcorporationscharteredundertribalorfederallaw
Introduced / first action
2026-02-18 00:00:00

Alternate titles

  • Property tax: documentary transfer tax: exemptions: corporations chartered under tribal law.
  • Property taxation.
  • Property tax: documentary transfer tax: exemptions: nonprofit corporations chartered under tribal law.

Source-supplied abstracts

(1) The California Constitution authorizes the Legislature to exempt from taxation, in whole or in part, property that is used exclusively for religious, hospital, or charitable purposes, and is owned or held in trust by a nonprofit entity. Pursuant to that authority, existing law provides for a welfare exemption under which property used exclusively for an exempt purpose and owned and operated by specified entities, including foundations, limited liability companies, or corporations meeting certain statutory requirements, is exempt from taxation. Chapter 2 of the Statutes of 2026 (AB 1485) provides that, for purposes of the exemption for property used exclusively for the preservation of specified natural resources or open-space lands, for the property tax lien dates for the 2026–27 fiscal year to the 2031–32 fiscal year, inclusive, property may be owned and operated by a federally recognized Indian tribe or a wholly owned subsidiary of a federally recognized Indian tribe meeting certain requirements. This bill would expand the above-described authorization, for purposes of the exemption for property used exclusively for the preservation of specified natural resources or open-space lands, to include property owned and operated by a nonprofit corporation chartered by a federally recognized tribe pursuant to tribal law or a specified provision of federal law, or a wholly owned tribal entity, as defined. (2) Existing law authorizes counties and cities and counties to impose a documentary transfer tax at a specified rate upon deeds, instruments, or other writings by which specified property is transferred. AB 1485 exempts from that tax, until January 1, 2031, the transfer of any deed, instrument, or other writing that makes effective a tribal land return transaction. AB 1485 defines a "tribal land return transaction" to mean a land return acquisition that transfers ownership of land to a federally recognized tribe or a wholly owned subsidiary of a federally recognized Indian tribe in fee simple and that includes specified restrictive covenants. This bill would, for these purposes, expand the definition of "tribal land return transaction" to include a land return acquisition that transfers ownership of land to a nonprofit corporation chartered by a federally recognized tribe pursuant to tribal law or a specified provision of federal law, or a wholly owned tribal entity, as defined. (3) Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements. This bill would include additional information required for any bill authorizing a new tax expenditure. (4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above. (5) This bill would take effect immediately as a tax levy.

Sponsors

Source-supplied history

Actions

  1. Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 77. Noes 0.).

    amendment-passage, committee-passage, committee-passage-favorable

  2. In Assembly. Concurrence in Senate amendments pending.

  3. Read third time. Passed. Ordered to the Assembly. (Ayes 39. Noes 0.).

    passage, reading-1, reading-3

  4. Read second time. Ordered to third reading.

    reading-1, reading-2, reading-3

  5. From committee: Do pass. (Ayes 7. Noes 0.) (August 13).

    committee-passage, committee-passage-favorable

  6. In committee: Referred to APPR. suspense file.

    referral-committee

  7. From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 4. Noes 0.) (June 24). Re-referred to Com. on APPR.

    committee-passage, committee-passage-favorable, referral-committee

  8. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on REV. & TAX.

    amendment-introduction, amendment-passage, committee-passage, reading-1, reading-2, referral-committee

  9. In committee: Set, first hearing. Hearing canceled at the request of author.

  10. Referred to Com. on REV. & TAX.

    referral-committee

  11. In Senate. Read first time. To Com. on RLS. for assignment.

    reading-1, referral-committee

  12. Read third time. Passed. Ordered to the Senate. (Ayes 71. Noes 0. Page 5226.)

    passage, reading-1, reading-3

  13. Read second time. Ordered to third reading.

    reading-1, reading-2, reading-3

  14. From committee: Do pass. (Ayes 15. Noes 0.) (May 14).

    committee-passage, committee-passage-favorable

  15. Joint Rule 62(a), file notice suspended. (Page 5030.)

  16. In committee: Set, first hearing. Referred to APPR. suspense file.

    referral-committee

  17. Re-referred to Com. on APPR.

    referral-committee

  18. Read second time and amended.

    amendment-passage, reading-1, reading-2

  19. From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (April 27).

    amendment-introduction, amendment-passage, committee-passage, referral-committee

  20. In committee: Set, first hearing. Referred to REV. & TAX. suspense file.

    referral-committee

  21. In committee: Hearing postponed by committee.

  22. Re-referred to Com. on REV. & TAX.

    referral-committee

  23. From committee chair, with author's amendments: Amend, and re-refer to Com. on REV. & TAX. Read second time and amended.

    amendment-introduction, amendment-passage, committee-passage, reading-1, reading-2, referral-committee

  24. Referred to Com. on REV. & TAX.

    referral-committee

  25. From printer. May be heard in committee March 21.

  26. Read first time. To print.

    reading-1

When supplied by the API

Related measures

No resolvable related measure is supplied.