Amended in Senate August 15, 2016

Amended in Senate June 15, 2016

Amended in Assembly May 31, 2016

Amended in Assembly April 28, 2016

Amended in Assembly March 28, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 1561


Introduced by Assembly Members Cristina Garcia and Chang

(Coauthors: Assembly Membersbegin insert Atkins,end insert Baker, Bonilla, Bonta, Campos,begin insert Chu,end insert Cooley, Cooper, Daly, Eggman, Eduardo Garcia, Gipson, Gomez, Gonzalez, Hadley, Jones-Sawyer, Lackey, Levine,begin insert Linder,end insert Lopez, Maienschein, Mathis, McCarty, Medina, Nazarian, O'Donnell,begin insert Olsen,end insert Rendon,begin insert Ridley-Thomas,end insert Rodriguez, Salas, Steinorth, Wilk, and Williams)

(Coauthors: Senators Allen, Anderson, Cannella, Fuller, Glazer,begin insert Hall, Hertzberg,end insert Huff, Jackson,begin insert Vidak,end insert and Wieckowski)

January 4, 2016


An act to add and repeal Section 6363.10 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: menstrual sponges and menstrual cups.

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 provide various exemptions from those taxes.

This bill,begin delete untilend deletebegin insert on and after January 1, 2017, and beforeend insert January 1, 2022, 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 sponges, and menstrual cups.

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.

begin delete

This bill would take effect immediately as a tax levy, but its operative date would depend on its effective date.

end delete
begin insert

This bill would take effect immediately as a tax levy.

end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 6363.10 is added to the Revenue and
2Taxation Code
, to read:

3

6363.10.  

(a) There are exempted from the taxes imposed by
4this part the gross receipts from the sale in this state of, and the
5storage, use, or other consumption in this state of, tampons, sanitary
6napkins, menstrual sponges, and menstrual cups.

7(b) This section shall becomebegin insert operative on January 1, 2017,
8and shall becomeend insert
inoperative on January 1, 2022, and as of that
9date is repealed.

P3    1

SEC. 2.  

Notwithstanding Section 2230 of the Revenue and
2Taxation Code, no appropriation is made by this act and the state
3shall not reimburse any local agency for any sales and use tax
4revenues lost by it under this act.

begin delete
5

SEC. 3.  

This act provides for a tax levy within the meaning of
6Article IV of the Constitution and shall go into immediate effect.
7However, the provisions of this act shall become operative on the
8first day of the first calendar quarter commencing more than 90
9days after the effective date of this act.

end delete
10begin insert

begin insertSEC. 3.end insert  

end insert
begin insert

This act provides for a tax levy within the meaning of
11Article IV of the Constitution and shall go into immediate effect.

end insert


O

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