Section 17275.4.

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(a) For taxable years beginning on or after January 1, 2014, a deduction for a charitable contribution to an educational organization that is a postsecondary institution or to the Key Worldwide Foundation, pursuant to Section 170 of the Internal Revenue Code, relating to charitable, etc., contributions and gifts, and a deduction for a business expense related to a payment to the Edge College and Career Network, LLC, pursuant to Section 162 of the Internal Revenue Code, relating to trade or business expenses, shall not be allowed to a taxpayer who meets all of the following conditions:

(1) They are charged as a defendant in any of the following criminal complaints filed in the United States District Court for the District of Massachusetts:

(A) Criminal Complaint #19-CR-10081-IT.

(B) Criminal Complaint #19-CR-10078-RWZ.

(C) Criminal Complaint #19-CR-10075-MLW.

(D) Criminal Complaint #19-CR-10074-NMG.

(E) Criminal Complaint #19-cr-10079-RWZ.

(F) Criminal Complaint #1:19-cr-10117.

(G) Criminal Complaint #1:19-cr-10115.

(H) Criminal Complaint #19-cr-10131.

(I) Criminal Complaint #1:19-cr-10116.

(J) Criminal Complaint #1-19-cr-10080.

(2) There is a final determination of their guilt with regard to a violation of any offense of Title 18 of the United States Code arising out of that criminal complaint.

(3) There is a finding that they took the deduction unlawfully pursuant to the final determination of guilt described in paragraph (2), or pursuant to a determination by the Franchise Tax Board.

(b) For purposes of this section, “final determination of guilt” means that the defendant has been convicted by verdict of a jury, accepted and recorded by the court, by a finding of the court in a case where a jury has been waived, or by a plea of guilty, and that the defendant has exhausted all appellate remedies.

(Added by Stats. 2019, Ch. 511, Sec. 2. (AB 136) Effective October 4, 2019.)


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