California Revenue and Taxation Code

§ 17280

RTC § 17280Div. 2 · Part 10 · Ch. 3 · Art. 6

Statute text

(a)No deduction shall be denied as provided by Section 265 of the Internal Revenue Code, relating to expenses and interest relating to tax-exempt income.

(b)No deduction shall be allowed for any of the following:

(1)Any amount otherwise allowable as a deduction which is allocable to one or more classes of income other than interest (whether or not any amount of income of that class or classes is received or accrued) wholly exempt from the taxes imposed by this part, or any amount otherwise allowable under Section 212 of the Internal Revenue Code (relating to expenses for production of income) which is allocable to interest (whether or not any amount of such interest is received or accrued) wholly exempt from the taxes imposed by this part.

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Legislative history

Amended by Stats. 1988, Ch. 970, Sec. 1.