AB 314 — Sales and Use Tax: exemptions: trucks for use in interstate or out-of-state commerce.

Summary

Existing state sales and use tax laws impose a tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The Sales and Use Tax Law provides various exemptions from those taxes, including, until January 1, 2024, an exemption for the sale of, or the storage, use, or other consumption of, a new, used, or remanufactured truck, or a new or remanufactured trailer or semitrailer, with an unladen weight of 6,000 pounds or more that is purchased for use without this state and is delivered to the purchaser within this state, and the purchaser drives or moves the vehicle to any point outside this state within 30 or 75 days, as applicable, from and after the date of delivery, if the purchaser furnishes certain documents to the manufacturer or remanufacturer. Those documents include the purchaser's affidavit as to the exclusive use of the vehicle in interstate or foreign commerce, and the vehicle having been taken out of the state within the applicable time period. This bill would extend that exemption until January 1, 2029, and would similarly exempt a used trailer or semitrailer until that date. By requiring additional purchaser affidavits with respect to a used trailer or semitrailer, this bill would expand the crime of perjury and impose a state-mandated local program. Existing law requires a bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements. The bill would make findings detailing the goals of the above-described tax expenditure, performance indicators for determining whether the tax expenditure meets the goals, and data collection requirements. The Bradley-Burns Uniform Local Sales and Use Tax Law authorizes counties and cities to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Amendments to the Sales and Use Tax Law are automatically incorporated into the local tax laws. Existing law requires the state to reimburse counties and cities for revenue losses caused by the enactment of sales and use tax exemptions. This bill would provide that, notwithstanding Section 2230 of the Revenue and Taxation Code, no appropriation is made and the state shall not reimburse any local agencies for sales and use tax revenues lost by them pursuant to this bill. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. This bill would take effect immediately as a tax levy.

Bill Text

• Chaptered 10/08/23 - Chaptered Current pdf October 08, 2023
• Enrolled 09/18/23 - Enrolled pdf September 18, 2023
• Amended 03/16/23 - Amended Assembly pdf March 16, 2023
• Introduced 01/26/23 - Introduced pdf January 26, 2023
• AB314 View text html

Action History

1. October 08, 2023

   Chaptered by Secretary of State - Chapter 427, Statutes of 2023.

2. October 08, 2023

   Approved by the Governor.

3. September 20, 2023

   Enrolled and presented to the Governor at 4 p.m.

4. September 13, 2023

   In Assembly. Ordered to Engrossing and Enrolling.

5. September 13, 2023

   Read third time. Passed. Ordered to the Assembly. (Ayes 39. Noes 0. Page 2763.).

6. June 27, 2023

   Read second time. Ordered to third reading.

7. June 26, 2023

   From committee: Be ordered to second reading pursuant to Senate Rule 28.8.

8. June 07, 2023

   From committee: Do pass and re-refer to Com. on APPR. (Ayes 8. Noes 0.) (June 7). Re-referred to Com. on APPR.

9. May 03, 2023

   Referred to Com. on GOV. & F.

10. April 18, 2023

    In Senate. Read first time. To Com. on RLS. for assignment.

11. April 17, 2023

    Read third time. Passed. Ordered to the Senate. (Ayes 79. Noes 0. Page 1178.)

12. March 30, 2023

    Read second time. Ordered to Consent Calendar.

13. March 29, 2023

    From committee: Do pass. To Consent Calendar. (Ayes 14. Noes 0.) (March 29).

14. March 20, 2023

    Re-referred to Com. on APPR.

15. March 16, 2023

    Read second time and amended.

16. March 15, 2023

    From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 11. Noes 0.) (March 13).

17. February 09, 2023

    Referred to Com. on REV. & TAX.

18. January 27, 2023

    From printer. May be heard in committee February 26.

19. January 26, 2023

    Read first time. To print.

Sponsors

• Joe Patterson · Primary

Votes

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