SB 898,
as amended, Nguyen. begin deleteCorporation taxes. end deletebegin insertSales and use taxes: exemption: animal blood.end insert
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. Existing law provides for various exemptions from those taxes, including an exemption for certain sales of human blood and containers thereof.
end insertbegin insertThis bill 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, animal whole blood, plasma, blood products, and blood derivatives, sold for use in the cure, mitigation, treatment, or prevention of injury or disease in animals pursuant to a specified state law.
end insertbegin insertThe bill also would require the State Board of Equalization to cancel any notice of determination and any related penalties and interest, and to not issue any notice of determination, with respect to the sale in this state of, and the storage, use, or other consumption in this state of, animal whole blood, plasma, blood products, and blood derivatives, sold for use in the cure, mitigation, treatment, or prevention of injury or disease in animals pursuant to a specified state law. The bill would make findings regarding the public purpose of this provision.
end insertbegin insertThe Bradley-Burns Uniform Local Sales and Use Tax Law authorizes cities and counties to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Amendments to the Sales and Use Tax Law are incorporated into the local tax laws.
end insertbegin insertExisting law requires the state to reimburse cities and counties for revenue losses caused by the enactment of sales and use tax exemptions.
end insertbegin insertThis bill would provide that, notwithstanding these provisions, no appropriation is made and the state shall not reimburse cities and counties for sales and use tax revenues lost by them pursuant to this bill.
end insertThe Corporation Tax Law generally provides that its provisions are applicable to the corporation franchise tax, the corporation income tax, the alternative minimum tax, or the predecessor acts of the Corporation Tax Law.
end deleteThis bill would make nonsubstantive changes to that provision.
end deleteVote: majority.
Appropriation: no.
Fiscal committee: begin deleteno end deletebegin insertyesend insert.
State-mandated local program: no.
The people of the State of California do enact as follows:
begin insertSection 6358.6 is added to the end insertbegin insertRevenue and
2Taxation Codeend insertbegin insert, to read:end insert
There are exempted from the taxes imposed by this
4part the gross receipts from the sale in this state of, and the
5storage, use, or other consumption in this state of, animal whole
6blood, plasma, blood products, and blood derivatives, sold for use
7in the cure, mitigation, treatment, or prevention of injury or disease
8in animals pursuant to Section 9241 of the Food and Agricultural
9Code.
begin insertThe Legislature finds and declares that animals have
11emergencies and illnesses presenting a critical need for blood
12products, and that in enacting this act it is in the public interest
13to relieve from liability those persons that have not paid sales tax
14or collected sales tax reimbursement on their sales of animal blood
P3 1products, thereby preventing undue hardship on those persons
2that offer this vital life service.end insert
begin insertThe State Board of Equalization shall cancel any notice
4of determination and any related penalties and interest, and shall
5not issue any notice of determination, with respect to the sale in
6this state of, and the storage, use, or other consumption in this
7state of, animal whole blood, plasma, blood products, and blood
8derivatives, sold for use in the cure, mitigation, treatment, or
9prevention of injury or disease in animals pursuant to Section
109241 of the Food and Agricultural Code.end insert
begin insertThe Legislature finds and declares that the addition
12of Section 3 of this act serves a public purpose as described in
13Section 2 of this act, and does not constitute a gift of public funds
14within the meaning of Section 6 of Article XVI of the California
15Constitution.end insert
Notwithstanding Section 2230 of the Revenue and
17Taxation Code, no appropriation is made by this act and the state
18shall not reimburse cities and counties for any sales and use tax
19revenues lost by them under this act.
Section 23002 of the Revenue and Taxation Code
21 is amended to read:
Except where otherwise expressly provided, all
23provisions of this part are applicable to the taxes imposed
24respectively under Chapter 2 (commencing with Section 23101),
25Chapter 2.5 (commencing with Section 23400), or Chapter 3
26(commencing with Section 23501), or to the predecessor acts of
27this part, the Bank and Corporation Franchise Tax Act, or the
28Corporation Income Tax Act, respectively.
O
98