BILL NUMBER: AB 1856	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MARCH 17, 2016

INTRODUCED BY   Assembly Member Dababneh

                        FEBRUARY 10, 2016

   An act to  amend Section 201 of   add Section
6902.6 to  the Revenue and Taxation Code, relating to taxation.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1856, as amended, Dababneh.  Property taxation.
  Sales and use taxes: claim for refund: timing. 

   Existing sales and use tax laws establish procedures by which a
person may claim a refund for an overpayment of the taxes imposed by
those laws. Existing law generally requires that a claim be filed
within 3 years after specified periods in which the overpayment was
made.  
   This bill would provide that a claim that is otherwise valid, but
is made in a case in which full payment of the amount of tax
determined has not been made, is a claim only for the purpose of
tolling the limitations period for filing a claim for refund and, for
all other purposes, would deem the claim filed on the date on which
the full payment of the tax is made. The bill would prohibit a credit
or refund for any payment for which the limitation period has
expired prior to filing the claim or any payment made more than seven
years prior to the date that full payment of the tax is made. The
bill would specify that its provisions apply only to claims for
refund on or after its effective date.  
   Existing property tax law subjects all property in this state that
is not exempt under the laws of the United States or this state to
taxation.  
   This bill would make nonsubstantive changes to that 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 6902.6 is added to the 
 Revenue and Taxation Code   , to read:  
   6902.6.  (a) A claim for refund that is otherwise valid under
Section 6904, but is made in a case in which full payment of the
amount of tax determined has not been made, shall be a claim only for
the purpose of tolling the limitations periods set forth in Section
6902. For all other purposes, including the application of Sections
6906, 6932, 6933, and 6934, the claim shall be deemed to be filed on
the date that full payment of the tax is made. However, a credit or
refund shall not be made or allowed for any payment for which the
applicable limitation period, as set forth in Section 6902, has
expired prior to the filing of the claim or any payment made more
than seven years prior to the date that full payment of the tax is
made.
   (b) This section shall apply only to claims for refunds made on or
after the effective date of the act adding this section. 

  SECTION 1.    Section 201 of the Revenue and
Taxation Code is amended to read:
   201.  All property in this state that is not exempt under the laws
of the United States or of this state is subject to taxation under
this code.