On October 8, 2010, the California budget impasse finally ended when Governor Arnold Schwarzenegger signed the California budget into law. In conjunction with the passage of the budget, a trailer bill, Senate Bill 858, was subsequently enacted into law on October 19, 2010.
This bill contains several key tax provisions noted below:
Net Operating Loss (NOL) Suspension and Delay of Carrybacks
New Rule for Taxpayers Using Standard Apportionment Method
Safe Harbor for Large Corporate Understatement Penalty