BILL NUMBER: AB 1371 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Bradford
FEBRUARY 22, 2013
An act to amend Section 16000 of the Business and Professions
Code, relating to business regulations.
LEGISLATIVE COUNSEL'S DIGEST
AB 1371, as introduced, Bradford. Business regulation.
Existing law permits the legislative body of an incorporated city,
in the exercise of its police power, to license any kind of business
not prohibited by law transacted and carried on within its
jurisdiction. Existing law prohibits the application of these license
fees, if the fee is measured by the licensee's income or gross
receipts, to specified nonprofit organizations, among others.
This bill would make nonsubstantive changes to these provisions.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 16000 of the Business and Professions Code is
amended to read:
16000. (a) The legislative body of an incorporated city may, in
the exercise of its police power, and for the purpose of regulation,
as herein provided, and not otherwise, license any kind of business
not prohibited by law transacted and carried on within the limits of
its jurisdiction, including all shows, exhibitions and lawful games,
and may fix the rates of the license fee and provide for its
collection by suit or otherwise. Any legislative body, including the
legislative body of a charter city, that fixes the rate of license
fees pursuant to this subdivision upon a business operating both
within and outside the legislative body's taxing jurisdiction, shall
levy the license fee so that the measure of the fee fairly reflects
that proportion of the activity actually carried on within the taxing
jurisdiction.
(b) No A license fee levied pursuant
to subdivision (a) that is measured by the licensee's income or
gross receipts, whether levied by a charter or general law city,
shall not apply to any nonprofit organization that is
exempted from taxes by Chapter 4 (commencing with Section 23701) of
Part 11 of Division 2 of the Revenue and Taxation Code or Subchapter
F (commencing with Section 501) of Chapter 1 of Subtitle A of the
Internal Revenue Code of 1986, or the successor of either, or to any
minister, clergyman, Christian Science practitioner, rabbi, or priest
of any religious organization that has been granted an exemption
from federal income tax by the United States Commissioner of Internal
Revenue as an organization described in Section 501(c)(3) of the
Internal Revenue Code or a successor to that section.
(c) Before a city, including a charter city, issues a business
license to a person to conduct business as a contractor, as defined
in Section 7026, the city shall verify that the person is licensed by
the Contractors' State License Board.