BILL NUMBER: AB 1778 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Allen
FEBRUARY 18, 2014
An act to amend Section 241 of the Revenue and Taxation Code,
relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
AB 1778, as introduced, Allen. Property taxation: exempt property.
Existing law exempts from property taxation the first $50,000
worth of hand tools that are owned and supplied by an employee as a
condition of employment.
This bill would make technical, nonsubstantive changes to this
provision.
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 241 of the Revenue and Taxation Code is amended
to read:
241. (a) The first fifty thousand dollars ($50,000) of personal
property that consists of hand tools owned and supplied by an
employee that are required as a condition of that employee's
employment are exempt from taxation.
(b) For purposes of this section:
(1) "Hand tools" means hand-held implements and equipment,
including hand-held power tools, of which any one may be transported
to and from the workplace and which are necessary for the ordinary
and regular performance of the employee's work, and also means the
appropriate storage containers used to store those implements and
that equipment.
(2) "Hand tools owned and supplied by an employee" means only
those hand tools that are either owned by the employee prior to the
employment or are acquired and paid for by the employee
during the employment, that the employee will continue to own after
termination of the employment.
(3) "Employee" means any an
individual who is employed by an employer that directly or indirectly
supervises that person and exercises control over the wages and
working conditions of individual workers. "Employee" does not include
a self-employed individual or an independent contractor.