TaxConnections Blogger Betty Williams updates readers on Signed BillGovernor Brown signed AB 1173 by Assembly Member Raul Bocanegra (D-Los Angeles), which reduces the excise tax penalty from 20% to 5% for taxable years beginning January 1, 2013, amounts deferred under a non-qualified deferred compensation plan that does not meet the requirements of Internal Revenue Code. This bill also clarifies the scope of the California Motion Picture Tax Credit utilization and simplifies the process by which certain nonprofit organizations may obtain tax-exempt status in California.