BILL NUMBER: AB 143	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 8, 2013
	AMENDED IN ASSEMBLY  MARCH 4, 2013
	AMENDED IN ASSEMBLY  FEBRUARY 20, 2013

INTRODUCED BY   Assembly Member Holden
   (Coauthors: Assembly Members Chávez and Fox)

                        JANUARY 17, 2013

   An act to add  and repeal  Section 6412  to
  of  the Revenue and Taxation Code, relating to
taxation, to take effect immediately, tax levy.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 143, as amended, Holden. Use taxes: exemption: Armed Forces:
National Guard: transfer orders.
   The Sales and Use Tax Law imposes use taxes 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, presumes tangible personal property purchased outside the
state that is stored, used, or consumed in this state is purchased
for use in this state  ,  and excludes from use taxes,
tangible personal property purchased and used outside this state for
specified periods of time. Existing law excludes from use taxes the
storage, use, or other consumption of a vehicle purchased by a
service member prior to receipt of official orders transferring him
or her to this state, as provided.
   This bill would  ,   until January 1, 2019, 
exempt from use taxes the storage, use, or other consumption in this
state of tangible personal property, other than a vehicle, vessel, or
aircraft,  purchased by a member of the Armed Forces of the
United States, the reserve components of the Armed Forces of the
United States, or the National Guard on active duty who had received
official orders transferring him or her to this state, or his or her
spouse, as provided.   purchased while outside this
state by a qualified service member, as defined, or a qualified
service member's spouse or registered domestic partner, prior to the
report date on official orders transferring the qualified service
member to this state. 
    The Bradley-Burns Uniform Local Sales and Use Tax authorizes
counties and cities to impose local sales and use taxes in conformity
with the Sales and Use Tax Law, and existing law authorizes
districts to impose transactions and use taxes in accordance with the
Transactions and Use Tax Law which conforms to the Sales and Use Tax
Law. Exemptions from state sales and use taxes are incorporated into
these laws. Section 2230 of the Revenue and Taxation Code provides
that the state will 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 local agencies for sales and use tax revenues
lost by them pursuant to this bill.
   This bill would take effect immediately as a tax levy, but its
operative date would depend on its effective date.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 6412 is added to the Revenue and Taxation Code,
to read:
   6412.  (a) The storage, use, or other consumption in this state of
qualified tangible personal property purchased by a  member
of the Armed Forces of the United States, the reserve components of
the Armed Forces of the United States, or the National Guard on
active duty who had received official orders transferring him or her
to this state, or his or her spouse,   qualified service
member or a qualified service member's spouse or registered domestic
partner while outside the state and prior to the report date on
official orders transferring the qualified service member to this
state  is exempt from use  tax if the qualified tangible
personal property is purchased prior to the report date on the
official orders and while the purchaser is outside this state.
  tax. 
   (b) For purposes of this section,  "tangible personal
property" means tangible personal property that is not an aircraft,
vehicle, or vessel.   all of the following shall apply:
 
   (1) "Qualified service member" means a member of the Armed Forces
of the United States on active duty, a member of reserve components
of the Armed Forces of the United States on active duty, or a member
of the National Guard on active duty.  
   (2) "Qualified tangible personal property" means tangible personal
property other than a vehicle, vessel, or aircraft.  
   (3) "Registered domestic partner" means a person that meets the
requirements of Section 297 of the Family Code, and includes a person
in a union recognized as a valid domestic partnership as provided in
Section 299.2 of the Family Code.  
   (c) This section shall remain in effect only until January 1,
2019, and as of that date is repealed. 
  SEC. 2.  Notwithstanding Section 2230 of the Revenue and Taxation
Code, no appropriation is made by this act and the state shall not
reimburse any local agency for any sales and use tax revenues lost by
it under this act.
  SEC. 3.  This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.
However, the provisions of this act shall become operative on the
first day of the first calendar quarter commencing more than 90 days
after the effective date of this act.