SB 1210, as introduced, Gaines. Sales and use taxes: exemption: school supplies.
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 various exemptions from the taxes imposed by those laws.
This bill would provide an exemption from those taxes for the gross receipts from the sale of, and the storage, use, or other consumption of, clothing, footwear, school supplies, books, computers, and education computer software, during a specified 2-day period in August of each year, commencing in 2017.
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 generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are incorporated into these laws.
This bill would specify that this exemption does not apply to local sales and use taxes, transactions and use taxes, and specified state taxes from which revenues are deposited into the Local Public Safety Fund, the Local Revenue Fund, the Local Revenue Fund 2011, the State’s Education Protection Account, or the Fiscal Recovery Fund.
This bill would take effect immediately as a tax levy.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 6370.1 is added to the Revenue and
2Taxation Code, to read:
(a) In 2017 and each calendar year thereafter, for the
4two-day period beginning at 12:01 a.m. on the second Saturday
5of August and ending at 11:59 p.m. on the following day, there
6are exempted from the taxes imposed by this part the gross receipts
7from the sale of, and the storage, use, or other consumption in this
8state of, clothing, footwear, school supplies, books, computers,
9and educational computer software if that sale is transacted at the
10retailer’s physical place of business.
11(b) (1) Notwithstanding any provision of the Bradley-Burns
12Uniform Local Sales and Use Tax Law (Part 1.5 (commencing
13with Section 7200)) or the Transactions and Use Tax Law (Part
141.6 (commencing with Section 7251)), the exemption established
15by this section shall
not apply with respect to any tax levied by a
16county, city, or district pursuant to, or in accordance with, either
17of those laws.
18(2) Notwithstanding subdivision (a), the exemption provided
19by this section shall not apply with respect to any tax levied
20pursuant to Section 6051.2, 6051.15, 6201.2, or 6201.15, or
21pursuant to Section 35 or 36 of Article XIII of the California
22Constitution.
This act provides for a tax levy within the meaning of
24Article IV of the Constitution and shall go into immediate effect.
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