Cal. Revenue and Taxation Code § 21006

(a) The board shall perform annually a systematic identification of areas of recurrent taxpayer noncompliance and shall report its findings to the Legislature by January 15 of each year. (b) As part of the identification process described in subdivision (a), the board shall do both of the following: (1) Compile and analyze sample data from its audit process, including, but not limited to, all of the following: (A) The statute or regulation violated by the taxpayer. (B) The amount of tax involved. (C) The industry or business engaged in by the taxpayer. (D) The number of years covered in the audit period. (E) Whether professional tax preparation assistance was utilized by the taxpayer. (F) Whether income tax or bank and corporation tax returns were filed by the taxpayer. (2) Conduct an annual hearing before the board itself where industry representatives and individual taxpayers are allowed to present their proposals on changes to the Personal Income Tax Law or the Corporation Tax Law which may further facilitate achievement of the legislative findings. (c) The board shall include in its report recommendations for improving taxpayer compliance and uniform administration, including, but not limited to, all of the following: (1) Changes in statute or board regulations. (2) Improvement of training of board personnel. (3) Improvement of taxpayer communication and education. (4) Increased enforcement capabilities. (d) The board shall include in its report a summary of cases where relief was granted pursuant to subdivision (c) of Section 21004, including the nature of the error or delay, and the steps taken by the board to remedy systemic issues that caused the error or delay.