SB 546: Sales and Use Tax Law: exemption: dedicated snow removal vehicles.

Session Year: 2023-2024
House: Senate

Current Status:

Failed

(2024-02-01: Returned to Secretary of Senate pursuant to Joint Rule 56.)

Introduced

First Committee Review

First Chamber

Second Committee Review

Second Chamber

Enacted

Version:

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 of, state, or on the storage, use, or other consumption in this state of, 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 an exemption for the sale of, or the storage, use, or consumption of, items and materials when used to modify a vehicle for physically handicapped persons.

This bill would, until January 1, 2028, 2030, exempt from those taxes the gross receipts from the sale in this state of, state, and the storage, use, or other consumption in this state of, state, of a public safety first responder dedicated snow removal vehicle, as defined, purchased by a local public agency and any equipment required on those vehicles purchased by a local public agency.

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.

This bill would state the intent of the Legislature to comply with those provisions. make findings detailing the goals of the above-described tax expenditure and performance indicators for determining whether the tax expenditure meets those goals.

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.

This bill would provide that the exemption created by the bill does not apply to local sales and use taxes or transactions and use taxes.

Existing law imposes or dedicates certain state sales and use tax rates for local funding, including through the Local Revenue Fund 2011.

This bill would provide that the exemption created by the bill does not apply to those state sales and use tax rates imposed or dedicated for local government funding, including those rates for which revenues are deposited into the Local Revenue Fund 2011.

This bill would take effect immediately as a tax levy, but its operative date would depend on its effective date. be July 1, 2025.

Discussed in Hearing