AB 8, as introduced, Chiu. Diesel sales and use tax.
Existing law, beyond the sales and use tax rate generally applicable, imposes an additional sales and use tax on diesel fuel at the rate of 1.75%, subject to certain exemptions, and provides for the net revenues collected from the additional tax to be transferred to the Public Transportation Account. Existing law continuously appropriates these revenues to the Controller, for allocation by formula to transportation agencies for public transit purposes.
This bill, effective July 1, 2016, would increase the additional sales and use tax rate on diesel fuel to 5.25%. By increasing the revenues deposited in a continuously appropriated fund, the bill would thereby make an appropriation.
This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIII A of the California Constitution, and thus would require for passage the approval of 2⁄3 of the membership of each house of the Legislature.
This bill would take effect immediately as a tax levy.
Vote: 2⁄3. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 6051.8 of the Revenue and Taxation
2Code is amended to read:
(a) Except as provided by Section 6357.3, in addition
4to the taxes imposed by this part, for the privilege of selling
5tangible personal property at retail a tax is hereby imposed upon
6all retailers at the rate of 1.75 percent of the gross receipts of any
7retailer from the sale of all diesel fuel, as defined in Section 60022,
8sold at retail in this state on and after the operative date of this
9subdivision.
10(b) Notwithstanding subdivision (a), for the 2011-12 fiscal year
11only, the rate referenced in subdivision (a) shall be 1.87 percent.
12(c) Notwithstanding subdivision (a), for the 2012-13 fiscal year
13only, the rate referenced in subdivision (a) shall be 2.17 percent.
14(d) Notwithstanding subdivision (a), for the 2013-14 fiscal year
15only, the rate referenced in subdivision (a) shall be 1.94 percent.
16(e) Notwithstanding subdivision (b) of Section 7102, all of the
17revenues, less refunds, collected pursuant to this section shall be
18estimated by the State Board of Equalization, with the concurrence
19of the Department of Finance, and transferred quarterly to the
20Public Transportation Account in the State Transportation Fund
21for allocation pursuant to Section 99312.1 of the Public Utilities
22Code.
23(f) Subdivisions (a) to (e), inclusive, shall become operative on
24July 1, 2011.
25(f) This section shall become inoperative on July 1, 2016, and,
26as of January 1, 2017, is repealed, unless a later enacted statute,
27that becomes operative on or before January 1, 2017, deletes or
28extends the dates on which it becomes inoperative and is repealed.
Section 6051.8 is added to the Revenue and Taxation
30Code, to read:
(a) Except as provided by Section 6357.3, in addition
32to the taxes imposed by this part, for the privilege of selling
33tangible personal property at retail a tax is hereby imposed upon
34all retailers at the rate of 5.25 percent of the gross receipts of any
35retailer from the sale of all diesel fuel, as defined in Section 60022,
36sold at retail in this state.
37(b) Notwithstanding subdivision (b) of Section 7102, all of the
38revenues, less refunds, collected pursuant to this section shall be
P3 1estimated by the State Board of Equalization, with the concurrence
2of the Department of Finance, and transferred quarterly to the
3Public Transportation Account in the State Transportation Fund
4for allocation pursuant to Section 99312.1 of the Public Utilities
5
Code.
6(c) This section shall become operative on July 1, 2016.
Section 6201.8 of the Revenue and Taxation Code is
8amended to read:
(a) Except as provided by Section 6357.3, in addition
10to the taxes imposed by this part, an excise tax is hereby imposed
11on the storage, use, or other consumption in this state of diesel
12fuel, as defined in Section 60022, at the rate of 1.75 percent of the
13sales price of the diesel fuel on and after the operative date of this
14subdivision.
15(b) Notwithstanding subdivision (a), for the 2011-12 fiscal year
16only, the rate referenced in subdivision (a) shall be 1.87 percent.
17(c) Notwithstanding subdivision (a), for the 2012-13 fiscal year
18only, the rate referenced in subdivision (a) shall be 2.17 percent.
19(d) Notwithstanding subdivision (a),
for the 2013-14 fiscal year
20only, the rate referenced in subdivision (a) shall be 1.94 percent.
21(e) Notwithstanding subdivision (b) of Section 7102, all of the
22revenues, less refunds, collected pursuant to this section shall be
23estimated by the State Board of Equalization, with the concurrence
24of the Department of Finance, and transferred quarterly to the
25Public Transportation Account in the State Transportation Fund
26for allocation pursuant to Section 99312.1 of the Public Utilities
27Code.
28(f) Subdivisions (a) to (e), inclusive, shall become operative on
29July 1, 2011.
30(f) This
section shall become inoperative on July 1, 2016, and,
31as of January 1, 2017, is repealed, unless a later enacted statute,
32that becomes operative on or before January 1, 2017, deletes or
33extends the dates on which it becomes inoperative and is repealed.
Section 6201.8 is added to the Revenue and Taxation
35Code, to read:
(a) Except as provided by Section 6357.3, in addition
37to the taxes imposed by this part, an excise tax is hereby imposed
38on the storage, use, or other consumption in this state of diesel
39fuel, as defined in Section 60022, at the rate of 5.25 percent of the
40sales price of the diesel fuel.
P4 1(b) Notwithstanding subdivision (b) of Section 7102, all of the
2revenues, less refunds, collected pursuant to this section shall be
3estimated by the State Board of Equalization, with the concurrence
4of the Department of Finance, and transferred quarterly to the
5Public Transportation Account in the State Transportation Fund
6for allocation pursuant to Section 99312.1 of the Public Utilities
7Code.
8(c) This section shall become operative on July 1, 2016.
This act provides for a tax levy within the meaning of
10Article IV of the Constitution and shall go into immediate effect.
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