BILL NUMBER: AB 2788 AMENDED
BILL TEXT
AMENDED IN SENATE JULY 15, 2010
AMENDED IN SENATE JUNE 16, 2010
AMENDED IN ASSEMBLY MAY 13, 2010
INTRODUCED BY Assembly Member Portantino
MARCH 9, 2010
An act to amend Sections 6388.3 and 6388.5 of, and to repeal
Section 6388 of, the Revenue and Taxation Code, relating to taxation,
to take effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
AB 2788, as amended, Portantino. Sales and use taxes: exemptions:
vehicles and trailer: trailers: use
without outside this state.
Existing law exempts from the sales and use tax, the sale of, or
the storage, use, or other consumption of , new or
remanufactured trucks, truck tractors, semitrailers, or trailers, as
specified, or new or remanufactured trailer coaches or auxiliary
dollies, that are purchased from a dealer located outside this state
for use without this state and are delivered to the purchaser within
this state, and the purchaser drives or moves the vehicle to any
point outside this state within 30 days from and after the date of
delivery, if the purchaser furnishes certain documents to the
manufacturer, remanufacturer, or dealer, as specified.
This bill would repeal this exemption. This bill would also make
conforming changes to a related provision.
Existing specified. Existing law
also exempts from the sales and use tax, the sale of, or
the storage, use, or other consumption of , new or
remanufactured trailers or semitrailers, as specified, that are
manufactured or remanufactured outside this state and are purchased
for use without this state and are delivered to the purchaser within
this state, and the purchaser drives or moves the vehicle to any
point outside this state within 30 days from and after the date of
delivery, and new or remanufactured trailers or semitrailers, as
specified, that are manufactured or remanufactured in this state and
are purchased for use without this state and are delivered to the
purchaser within this state, and the purchaser drives or moves the
vehicle to any point outside this state within 75 days from and after
the date of delivery, if the purchaser or the purchaser's agent
furnishes certain documents to the manufacturer, remanufacturer, or
dealer, including, among others, written evidence of an out-of-state
license and registration for the vehicle.
This bill would expand the exemption applicable to new or
remanufactured trailers or semitrailers manufactured or
remanufactured outside this state and consolidate these
exemptions to include instead provide
an exemption for new or remanufactured trucks or
, truck tractors, or
trailers, and semitrailers, as specified, and new or
remanufactured trailer coaches or auxiliary dollies , and
would extend the time the purchaser has to move these vehicles
that are manufactured or remanufactured inside or
outside this state and are purchased for use outside this state and
are delivered to the purchaser within this state, and the purchaser
drives or moves the vehicle to any point outside this state
within 75 days from and after the date of delivery
from 30 to 75 days . This bill would
delete the exemption described above for new or remanufactured
trailers or semitrailers manufactured or remanufactured in this state
for use without this state make conforming changes
. This bill would require the purchaser or the purchaser's
agent to furnish written evidence of an out-of-state license and
registration for the vehicle only when required by another state or
furnish an affidavit indicating that the registration is
not required.
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 the Transactions and Use Tax Law
authorizes districts, as specified, to impose transactions and use
taxes in conformity with the Sales and Use Tax Law. Exemptions from
state sales and use taxes are incorporated in these laws. Section
2230 of the Revenue and Taxation Code provides that the state will
reimburse counties and cities for revenue losses caused by the
enactment of sales and use tax exemptions.
This bill would provide that, notwithstanding Section 2230 of the
Revenue and Taxation Code, no appropriation is made and the state
shall not reimburse local agencies for sales and use tax revenues
lost by them pursuant to this bill.
This bill would take effect immediately as a tax levy.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 6388 of the Revenue and Taxation Code is
repealed.
SEC. 2. Section 6388.3 of the Revenue and Taxation Code is amended
to read:
6388.3. The State Board of Equalization shall prepare and
distribute a standard form or forms for the purchaser affidavit
required by Section 6388.5.
SEC. 3. Section 6388.5 of the Revenue and Taxation Code is amended
to read:
6388.5. Whenever a new or remanufactured truck, truck tractor,
trailer, or semitrailer , with an unladen weight of 6,000
pounds or more, or a new or remanufactured trailer coach or a new or
remanufactured auxiliary dolly, that has been manufactured or
remanufactured inside or outside this state is purchased
for use without this state and is delivered by the manufacturer,
remanufacturer, or dealer to the purchaser within this state, and the
purchaser drives or moves the vehicle to any point outside this
state within 75 days from and after the date of delivery, there are
exempted from the taxes imposed by Part 1 (commencing with Section
6001), Part 1.5 (commencing with Section 7200), and Part 1.6
(commencing with Section 7251) the gross receipts from the sale of
and the storage, use, or other consumption of the vehicle within the
state, if the purchaser or the purchaser's agent furnishes the
following to the manufacturer, remanufacturer, or dealer:
(a) (1) Written evidence of an out-of-state license and
registration for the vehicle when required by another state or an
affidavit indicating that the registration is not required.
(2) In cases where the vehicle is subject to the permanent trailer
identification plate program under Section 5014.1 of the Vehicle
Code and is used exclusively in interstate or foreign commerce, or
both, written evidence of the purchaser's or lessee's United States
Department of Transportation number or Single State Registration
System filing may be substituted for the written evidence described
in paragraph (1).
(b) The purchaser's affidavit attesting that he or she purchased
the vehicle from a dealer at a specified location for use exclusively
outside this state, or exclusively in interstate or foreign
commerce, or both.
(c) The purchaser's affidavit that the vehicle has been moved or
driven to a point outside this state within the appropriate
period of either 30 days or 75 days of the date of the
delivery of the vehicle to him or her.
SEC. 4. Notwithstanding Section 2230 of the Revenue and Taxation
Code, no appropriation is made by this act and the state shall not
reimburse any local agency for any sales and use tax revenues lost by
it under this act.
SEC. 5. This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.