BILL NUMBER: AB 1238	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MARCH 26, 2015

INTRODUCED BY   Assembly Member Linder

                        FEBRUARY 27, 2015

   An act to  amend Section 30002 of   add
Sections 30004 and 30112 to  the Revenue and Taxation Code,
relating to taxation.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1238, as amended, Linder. Cigarette and tobacco products
 taxes.   taxes: premium cigars. 
   The Cigarette and Tobacco Products Tax Law imposes a tax on every
distributor of cigarettes and tobacco products at specified rates,
including additional taxes imposed under the Tobacco Tax and Health
Protection Act of 1988 (Proposition 99) and the California Families
and Children Act of 1998 (Proposition 10).  Existing law
provides definitions that govern the construction of this law.
  That law imposes taxes on other tobacco products,
including cigars, measured by wholesale cost, at a rate determined
annually by the State Board of Equalization, as provided.  
   The Tobacco Tax and Health Protection Act of 1988, and the
California Families and Children Act of 1998, each requires that
amendments to its provisions be consistent with the act's purposes,
and be approved, respectively, by either a 4/5 or 2/3 vote of both
houses of the Legislature. 
   This bill would  make a nonsubstantive change to this
provision regarding definitions under the law.   define
a "premium cigar" for purposes of these taxes as any roll of tobacco
spiral wrapped in leaf tobacco that does not contain a plastic or
wooden filter or tip, and that weighs over 6 pounds per thousa 
 nd cigars. The   bill would also provide that the rate
of tax imposed on the distribution of a premium cigar would not
exceed $ ____. 
   Vote:  majority   4/5 . Appropriation:
no. Fiscal committee:  no   yes  .
State-mandated local program: no.


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

   SECTION 1.    Section 30004 is added to the 
 Revenue and Taxation Code   , to read:  
   30004.  "Premium cigar" means any roll of tobacco spiral wrapped
in leaf tobacco that does not contain a plastic or wooden filter or
tip, and that weighs over six pounds per thousand cigars. 
   SEC. 2.    Section 30112 is added to the  
Revenue and Taxation Code   , to read:  
   30112.  Notwithstanding any other provision of this part, the rate
of tax imposed on the distribution of a premium cigar shall not
exceed ____($____).  
  SECTION 1.    Section 30002 of the Revenue and
Taxation Code is amended to read:
   30002.  Except where the context otherwise requires, the
definitions provided in this chapter govern the construction of this
part.