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Bill

Bill

SB 785

Personal income tax: credit: durable medical equipment.

2025-2026 Regular Session Introduced by Anna Caballero

SB 785 would have created a state income tax credit for durable medical equipment purchases but was vetoed; Senate considering override.

Veto sustained.
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WeVote Research Nonpartisan
Bill Summary · SB 785

Legislative bill overview

SB 785 would have created a personal income tax credit for California residents who purchase durable medical equipment (DME). The bill was enrolled and presented to the Governor in September 2025 but was vetoed on October 1st, 2025, with the matter now pending Senate consideration for a potential veto override.

Why is this important

Durable medical equipment—such as wheelchairs, oxygen tanks, and mobility aids—can cost thousands of dollars and is often not fully covered by insurance. A tax credit would reduce out-of-pocket costs for disabled and elderly Californians who depend on this equipment, potentially improving healthcare accessibility for vulnerable populations. The veto and pending override consideration indicate disagreement between the legislative and executive branches on tax expenditure priorities.

Potential points of contention

  • Cost to state revenue: Tax credits reduce state income tax collections; the Governor likely objected to the fiscal impact during budget constraints
  • Scope and eligibility: Questions about which DME qualifies, income limits for recipients, and whether the credit duplicates existing insurance coverage or assistance programs
  • Targeted vs. broad relief: Debate over whether a tax credit is the most efficient mechanism to help low-income individuals who may have little tax liability to offset

Compiled from official sources — confirm details with the bill’s official record.

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