AB 2678, as introduced, Gray. State designated fairs: funding.
Existing law establishes the Fair and Exposition Fund to, among other things, allocate moneys for the support of the network of California fairs. Existing law requires certain license fees from satellite wagering to be deposited into a separate account in the Fair and Exposition Fund, and continuously appropriates those moneys for specified fair-related purposes, including, among others, the payment of expenses incurred in establishing and operating satellite wagering facilities at fairs and for health and safety repair and other projects at fairs. Existing sales and use laws impose taxes 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 measured by sales price, and requires that revenues, less refunds, derived from a specified rate of that tax be transferred to specified funds and then the balance to the General Fund.
This bill would require a tax return filed for the purposes of the Sales and Use Tax Law to segregate the gross receipts of the seller and the sales price of the property on a form prescribed by the State Board of Equalization when the place of sale or use in this state is on or within the real property of a state designated fair, as defined, or any real property of a state designated fair that is leased to another party.
This bill would require, except as specified, that 30% of all revenues, less refunds and costs of administration, derived from those segregated sales and use tax amounts that would have been deposited into the General Fund instead be deposited into that separate account in the Fair and Exposition Fund and continuously appropriated for those same types of fair-related purposes.
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 6453.1 is added to the Revenue and
2Taxation Code, to read:
(a) For purposes of this part only, the return shall
4segregate the gross receipts of the seller and the sales price of the
5property on a form prescribed by the board when the place of sale
6in this state or use in this state for purposes of this part is on or
7within the real property of a state designated fair or any real
8property of a state designated fair that is leased to another party.
9(b) For purposes of this section, “state designated fair” means
10a state designated fair as defined in Sections 19418, 19418.1,
1119418.2, and 19418.3 of the Business and Professions Code.
12(c) The board shall develop a form for purposes of this section.
13(d) Notwithstanding any provision of the Bradley-Burns
14Uniform Local Sales and Use Tax Law (Part 1.5 (commencing
15with Section 7200)) or the Transactions and Use Tax Law (Part
161.6 (commencing with Section 7251)), this section shall not apply
17with respect to any tax levied by a county, city, or district pursuant
18to, or in accordance with, either of those laws.
Section 7101.4 is added to the Revenue and Taxation
20Code, to read:
Notwithstanding Section 7101 or any other law, except
22as otherwise required to be transferred pursuant to the California
23Constitution or Sections 6051.2, 6051.8, 6051.15, 6201.2, 6201.8,
246201.15, and 7101.3 or subdivision (a) of Section 7102, 30 percent
25of all revenues, less refunds and costs of administration, derived
26under this part that were segregated pursuant to Section 6453.1,
27upon receipt shall be transferred to the Fair and Exposition Fund
P3 1in the State Treasury, and shall be deposited into the separate
2account in the fund specified in Section 19606.1 of the Business
3and Professions Code. Any amounts deposited into that account
4in the Fair and Exposition Fund pursuant to this section shall be
5continuously appropriated and allocated as provided in Section
619606.1 of the Business and Professions Code, except that any
7amounts
transferred to the Fair and Exposition Fund pursuant to
8subdivision (g) of Section 19606.1 shall be allocated in accordance
9with Section 19620.2 of the Business and Professions Code.
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