BILL NUMBER: AB 1561	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 28, 2016
	AMENDED IN ASSEMBLY  MARCH 28, 2016

INTRODUCED BY   Assembly Members Cristina Garcia and Chang
   (Coauthors: Assembly Members Baker, Bonilla, Bonta, Campos,
Cooper, Daly, Eggman, Eduardo Garcia, Gipson, Gomez, Hadley,
Jones-Sawyer, Lackey, Levine, Maienschein, McCarty, Medina, Nazarian,
O'Donnell, Rendon, Rodriguez, and Steinorth)
   (Coauthors: Senators Allen, Anderson, Fuller, Glazer, Huff,
Jackson, and Wieckowski)

                        JANUARY 4, 2016

   An act to add  and repeal  Section 6363.10  to
  of  the Revenue and Taxation Code, relating to
taxation, to take effect immediately, tax levy.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1561, as amended, Cristina Garcia. Sales and use taxes:
exemption: sanitary napkins:  tampons.  
tampons: menstrual cups and sponges. 
   Existing sales and use tax laws impose a tax on retailers measured
by the gross receipts from the sale of tangible personal property
sold at retail in this state, or 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.
Those laws provides various exemptions from those taxes.
   This bill  , until January 1, 2027,  would exempt from
those taxes the gross receipts from the sale in this state of, and
the storage, use, or other consumption in this state of, 
tampons,  sanitary napkins  ,   menstrual cups, and
menstrual sponges  .
   The Bradley-Burns Uniform Local Sales and Use Tax Law 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, as specified, to impose transactions and use taxes in
accordance with the Transactions and Use Tax Law, which conforms to
the Sales and Use Tax Law. Amendments to 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 any 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: no.


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

  SECTION 1.  Section 6363.10 is added to the Revenue and Taxation
Code, to read:
   6363.10.   (a)    There are exempted from the
taxes imposed by this part the gross receipts from the sale in this
state of, and the storage, use, or other consumption in this state
of,  tampons and   tampons,  sanitary
 napkins   napkins,   menstrual cups,
and menstrual sponges  . 
   (b) This section shall become inoperative on January 1, 2027, 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.