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AB 1698 would create modest tax credit for small restaurants to offset food-handler costs

Assembly Committee on Revenue and Taxation · March 16, 2026
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Summary

AB 1698 would let qualifying restaurants (50 or fewer employees) claim a tax credit up to $250 per year to offset employer costs tied to food-handler certification rules; supporters framed it as relief for small restaurants, opponents called it an inappropriate subsidy. The committee referred the bill to the suspense file.

Assemblymember Alaniz introduced AB 1698, which would permit restaurants with 50 or fewer employees to claim a tax credit equal to employer costs for food-handler certification, capped at $250 per year.

Pat Joyce of the California Restaurant Association testified in support, saying the…

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