BILL NUMBER: AB 711	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 14, 2009

INTRODUCED BY   Assembly Member Charles Calderon

                        FEBRUARY 26, 2009

   An act to  amend Section 6002 of   add
Section 6225 to  the Revenue and Taxation Code, relating to
sales and use taxes.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 711, as amended, Charles Calderon.  Sales and use
taxes.   State Board of Equalization: administration:
use tax.  
   The Sales and Use Tax Law requires a person conducting business as
a seller of tangible personal property in this state to obtain a
permit from the State Board of Equalization for each place of
business and also requires a person selling tangible personal
property for storage, use, or other consumption in this state to
register with the State Board of Equalization.  
   This bill would require a qualified purchaser, as defined, to
register with the State Board of Equalization and to report and pay
by April 15, the use tax owed for the previous calendar year. This
bill would not apply to the purchase of a vehicle, vessel, or
aircraft. This bill would state the Legislature's intent that the
revenues paid by qualified purchasers that are deposited into the
General Fund be annually appropriated to the Intellectual Property
Piracy Prevention and Prosecution Fund.  
   This bill would become operative only if Assembly Bill 819 of the
2009-10 Regular Session of the Legislature is chaptered. 

   The Sales and Use Tax Law imposes a tax on the gross receipts from
the sale in this state of, or the storage, use, or other consumption
in this state of, tangible personal property and defines various
terms for the purposes of that law.  
   This bill would make a technical, nonsubstantive change with
respect to the definitions that govern the construction of the Sales
and Use Tax Law. 
   Vote: majority. Appropriation: no. Fiscal committee:  no
  yes  . State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 6225 is added to the  
Revenue and Taxation Code   , to read:  
   6225.  (a) In order to facilitate the collection of use tax
imposed by this part, a qualified purchaser shall register with the
board on a form prescribed by the board and shall set forth the name
under which the qualified purchaser transacts or intends to transact
business, the location of the qualified purchaser's place or places
of business, and other information as the board may require.
   (b) The provisions of Article 1 (commencing with Section 6451) of
Chapter 5 of this part shall apply to a qualified purchaser, except
that a return showing the total sales price of the tangible personal
property purchased by the qualified purchaser, the storage, use, or
other consumption of which became subject to the use tax during the
preceding calendar year, and which was not paid to a retailer
required to collect the tax, shall be filed, together with a
remittance of the amount of the tax due, with the board on or before
April 15.
   (c) A "qualified purchaser" means a person that meets all of the
following conditions:
   (1) The person is required to hold a business license as required
by the local ordinance of the city, county, or city and county in
which the person conducts business.
   (2) The person is not required to hold a seller's permit pursuant
to this part.
   (3) The person is not required to be registered pursuant to
Section 6226.
   (4) The person is not a holder of a use tax direct payment permit
as described in Section 7051.3.
   (d) This section shall not apply to the purchase of a vehicle,
vessel, or aircraft as defined in Article 1 (commencing with Section
6271) of Chapter 3.5 of this part.
   (e) It is the intent of the Legislature that the revenues
deposited into the General Fund be annually appropriated to the
Intellectual Property Piracy Prevention and Prosecution Fund. 
   SEC. 2.    This act shall become operative only if
Assembly Bill 819 of the 2009-10 Regular Session of the Legislature
is chaptered.  
  SECTION 1.    Section 6002 of the Revenue and
Taxation Code is amended to read:
   6002.  Except where the context otherwise requires, the
definitions in this chapter govern the construction of this part.