SB-881 • 2026

Income taxation: credits: voluntary contributions: food bank donations.

Budget Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: McNerney
Last action: 2026-06-04
Official status: From committee with author's amendments. Read second time and amended. Re-referred to Com. on REV. & TAX.
Effective date: Not listed

Plain English Breakdown

The official summary specifies that the Emergency Food for Families Voluntary Tax Contribution Fund is extended until January 1, 2033, not 2037 as initially stated.

Extending Tax Credits and Voluntary Contributions for Food Bank Donations

This legislation extends tax credits for donations to food banks and voluntary contributions to support emergency food funds until specific dates.

What This Bill Does

Stretches the period during which taxpayers can receive a credit of up to 15% on their donation of fresh fruits, vegetables, raw agricultural products, or processed foods to food banks from before January 1, 2032.
Requires the Franchise Tax Board to continue reporting about how these tax credits are used until January 1, 2031.
Extends the Emergency Food for Families Voluntary Tax Contribution Fund's provisions until January 1, 2033.

Who It Names or Affects

Taxpayers who donate food to food banks
The Franchise Tax Board

Terms To Know

Qualified Value: The value of fresh fruits, vegetables, raw agricultural products, or processed foods that qualify for tax credits when donated to a food bank.
Emergency Food for Families Voluntary Tax Contribution Fund: A fund where individuals can contribute extra money beyond their regular income taxes to support emergency food assistance programs.

Limits and Unknowns

The bill does not specify what happens after January 1, 2037.
It is unclear if there will be further extensions of these provisions in the future.

Bill History

2026-06-04 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on REV. & TAX.
2026-05-26 California Legislative Information
Referred to Com. on REV. & TAX.
2026-05-20 California Legislative Information
In Assembly. Read first time. Held at Desk.
2026-05-19 California Legislative Information
Read third time. Passed. (Ayes 39. Noes 0.) Ordered to the Assembly.
2026-05-18 California Legislative Information
Read second time. Ordered to third reading.
2026-05-14 California Legislative Information
Read second time and amended. Ordered to second reading.
2026-05-14 California Legislative Information
From committee: Do pass as amended. (Ayes 7. Noes 0.) (May 14).
2026-05-08 California Legislative Information
Set for hearing May 14.
2026-04-13 California Legislative Information
April 13 hearing: Placed on APPR. suspense file.
2026-03-27 California Legislative Information
Set for hearing April 13.
2026-03-25 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 5. Noes 0. Page 3691.) (March 25). Re-referred to Com. on APPR.
2026-03-11 California Legislative Information
Set for hearing March 25.
2026-02-11 California Legislative Information
Referred to Com. on REV. & TAX.
2026-01-13 California Legislative Information
From printer. May be acted upon on or after February 12.
2026-01-12 California Legislative Information
Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 881, as amended, McNerney.
Income taxation: credits: voluntary contributions: food bank donations.
(1) The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws, including, for taxable years beginning on or after January 1, 2017, and before January 1, 2027, a credit for qualified taxpayers in an amount equal to 15% of the qualified value of fresh fruits or vegetables and specified raw agricultural products or processed foods donated to a food bank.
This bill would extend the authorization for those tax credits for taxable years beginning before January 1, 2032.
Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals that the tax expenditure will achieve, detailed performance indicators, and data collection requirements. For purposes of complying with these
requirements, existing law requires the Franchise Tax Board to submit a report to the Legislature regarding the utilization of the above-described credit on or before December 1 of each year until January 1, 2026.
This bill would extend that reporting requirement to January 1, 2031. The bill would make related findings and declarations.
(2) Existing law authorizes individuals to contribute amounts in excess of their personal income tax liability for the support of specified funds, including the Emergency Food for Families Voluntary Tax Contribution Fund. Under existing law, the provisions governing that voluntary contribution fund are in effect until January 1, 2026, and are repealed as of December 1 of that year.
This bill would extend the provisions that apply to the Emergency Food for Families Voluntary Tax Contribution Fund until January 1,
2037,
2033,
as provided. The bill would additionally make a nonsubstantive change reflective of existing law. By extending the term of a continuously appropriated fund, the bill would make an appropriation.

Current Bill Text

Read the full stored bill text

Download Bill PDF