California 2017-2018 Regular Session Status: In Committee

SB 13 — Sales and use taxes: exemption: manufacturing and research.

Last action — Returned to Secretary of Senate pursuant to Joint Rule 56.

  1. ✓
    Introduced
  2. 2
    In Committee
  3. 3
    Passed Senate
  4. 4
    Passed Assembly
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2017-2018 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Summary

Existing sales and use tax laws impose taxes 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. Those laws partially exempt from those taxes, for a specified period, the gross receipts from the sale of, and the storage, use, or other consumption of, specified tangible personal property purchased for use by a qualified person, as defined, to be used primarily in manufacturing or other processes, and in research and development. On and after July 1, 2014, tangible personal property with a useful life of one or more years, as defined by reference to state income or franchise taxes, is deemed to have a useful life of one or more years for purposes of the exemption. Existing law exempts from the definition of qualified person a trade or business that is required to apportion its business income under a specified section of law, which includes, among others, a trade or business that derives more than 50% of its gross business receipts, as defined, from conducting agricultural business activities. This bill, on and after January 1, 2018, would expand the definition of a qualified person to include a person that conducts a trade or business that is required to apportion its business income because it derives 50% of more of its gross business receipts, as defined, from conducting agricultural business activities, as specified. The bill, on and after January 1, 2018, would define "useful life" to also include tangible personal property that is expensed for state income or franchise tax purposes and that has a physical useful life of one or more years. This bill would take effect immediately as a tax levy.

Bill Text

Action History

  1. Returned to Secretary of Senate pursuant to Joint Rule 56.

  2. May 25 hearing: Held in committee and under submission.

  3. Set for hearing May 25.

  4. May 15 hearing: Placed on APPR. suspense file.

  5. Set for hearing May 15.

  6. Read second time and amended. Re-referred to Com. on APPR.

  7. From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0. Page 883.) (April 26).

  8. Set for hearing April 26.

  9. April 19 hearing postponed by committee.

  10. Set for hearing April 19.

  11. Referred to Com. on GOV. & F.

  12. From printer. May be acted upon on or after January 5.

  13. Introduced. Read first time. To Com. on RLS. for assignment. To print.

Sponsors

Sponsorship breakdown

Export CSV (upgrade) →

1 sponsors · 0 co-sponsors · 121 not signed on

Sponsors (1)

Co-sponsors (0)

None.

Not signed on (121)

121 members have not signed on to this bill.

Show all 121 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

taxation agriculture
Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

What does SB 13 do?
Existing sales and use tax laws impose taxes 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. Those laws partially exempt from those taxes, for a specified period, the gross receipts from the sale of, and the storage, use, or other consumption of, specified tangible personal property purchased for use by a qualified person, as defined, to be used primarily in manufacturing or other processes, and in research and development. On and after July 1, 2014, tangible personal property with a useful life of one or more years, as defined by reference to state income or franchise taxes, is deemed to have a useful life of one or more years for purposes of the exemption. Existing law exempts from the definition of qualified person a trade or business that is required to apportion its business income under a specified section of law, which includes, among others, a trade or business that derives more than 50% of its gross business receipts, as defined, from conducting agricultural business activities. This bill, on and after January 1, 2018, would expand the definition of a qualified person to include a person that conducts a trade or business that is required to apportion its business income because it derives 50% of more of its gross business receipts, as defined, from conducting agricultural business activities, as specified. The bill, on and after January 1, 2018, would define "useful life" to also include tangible personal property that is expensed for state income or franchise tax purposes and that has a physical useful life of one or more years. This bill would take effect immediately as a tax levy.
Who sponsors SB 13?
SB 13 is sponsored by Beth Gaines.
What is the current status of SB 13?
This bill died with 2017-2018 Regular Session. It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track SB 13?
Track SB 13 free on One Click Politics — get push/email alerts when it moves.

Make your voice heard on SB 13

Find the representatives who decide this bill and tell them where you stand — for yourself, or mobilize your whole list in one click with One Click Politics advocacy software.

Find my representatives → Run a campaign

Stay ahead of SB 13

Last checked for changes 2 months ago · updated continuously

One Click Politics tracks every bill in Congress and all 50 states.

Track this bill →