BILL NUMBER: AB 2678	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Gray

                        FEBRUARY 19, 2016

   An act to add Sections 6453.1 and 7101.4 to the Revenue and
Taxation Code, relating to state designated fairs, and making an
appropriation therefor.



	LEGISLATIVE COUNSEL'S DIGEST


   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 1.  Section 6453.1 is added to the Revenue and Taxation
Code, to read:
   6453.1.  (a) For purposes of this part only, the return shall
segregate the gross receipts of the seller and the sales price of the
property on a form prescribed by the board when the place of sale in
this state or use in this state for purposes of this part is on or
within the real property of a state designated fair or any real
property of a state designated fair that is leased to another party.
   (b) For purposes of this section, "state designated fair" means a
state designated fair as defined in Sections 19418, 19418.1, 19418.2,
and 19418.3 of the Business and Professions Code.
   (c) The board shall develop a form for purposes of this section.
   (d) Notwithstanding any provision of the Bradley-Burns Uniform
Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200))
or the Transactions and Use Tax Law (Part 1.6 (commencing with
Section 7251)), this section shall not apply with respect to any tax
levied by a county, city, or district pursuant to, or in accordance
with, either of those laws.
  SEC. 2.  Section 7101.4 is added to the Revenue and Taxation Code,
to read:
   7101.4.  Notwithstanding Section 7101 or any other law, except as
otherwise required to be transferred pursuant to the California
Constitution or Sections 6051.2, 6051.8, 6051.15, 6201.2, 6201.8,
6201.15, and 7101.3 or subdivision (a) of Section 7102, 30 percent of
all revenues, less refunds and costs of administration, derived
under this part that were segregated pursuant to Section 6453.1, upon
receipt shall be transferred to the Fair and Exposition Fund in the
State Treasury, and shall be deposited into the separate account in
the fund specified in Section 19606.1 of the Business and Professions
Code. Any amounts deposited into that account in the Fair and
Exposition Fund pursuant to this section shall be continuously
appropriated and allocated as provided in Section 19606.1 of the
Business and Professions Code, except that any amounts transferred to
the Fair and Exposition Fund pursuant to subdivision (g) of Section
19606.1 shall be allocated in accordance with Section 19620.2 of the
Business and Professions Code.