BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 1126|
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                                 THIRD READING


          Bill No:  AB 1126
          Author:   Charles Calderon (D)
          Amended:  1/4/12 in Assembly
          Vote:     21

           
           SENATE GOVERNANCE & FINANCE COMMITTEE  :  5-3, 6/28/12
          AYES:  Wolk, DeSaulnier, Hernandez, Liu, Yee
          NOES:  Dutton, Fuller, La Malfa
          NO VOTE RECORDED:  Kehoe
           
          ASSEMBLY FLOOR  :  73-0, 1/23/12 - See last page for vote


           SUBJECT  :    Transaction and use tax:  rate

           SOURCE  :     Board of Equalization


           DIGEST  :    This bill cleans up the Revenue and Taxation 
          Code to make the transactions and use tax rates consistent.

           ANALYSIS  :    Existing state law allows cities, counties and 
          special districts to impose transactions and use tax in 
          increments of 0.125% upon voter approval.  This tax is 
          imposed in addition to the statewide sales and use tax rate 
          of 7.25%.  AB 686 (Huffman), Chapter 176, Statutes of 2011, 
          changed the rate at which the transactions and use tax 
          could be imposed from 0.25% to 0.125% or multiple thereof.  
           While every other section of the Revenue and Taxation Code 
          cite the 0.125%, two sections still state that the multiple 
          must be 0.25%.

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                                                               AB 1126
                                                                Page 
          2

          This bill is a technical cleanup bill to make all the 
          sections of the transactions and use tax consistent and 
          allow all taxes to be imposed in multiples of 0.125%.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

          According to the Board of Equalization, this bill will have 
          no impact on state or local revenue.

           SUPPORT  :   (Verified  6/29/12)

          Board of Equalization (source)


           ASSEMBLY FLOOR  :  73-0, 1/23/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 
            Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Chesbro, Conway, Cook, Dickinson, Eng, Feuer, 
            Fletcher, Fong, Furutani, Beth Gaines, Galgiani, Garrick, 
            Gatto, Gordon, Grove, Hagman, Hall, Harkey, Hayashi, 
            Roger Hern�ndez, Hill, Huber, Hueso, Huffman, Jeffries, 
            Jones, Knight, Lara, Logue, Bonnie Lowenthal, Ma, 
            Mansoor, Mendoza, Miller, Mitchell, Monning, Morrell, 
            Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. Manuel 
            P�rez, Portantino, Silva, Skinner, Solorio, Swanson, 
            Torres, Valadao, Wagner, Wieckowski, Williams, Yamada, 
            John A. P�rez
          NO VOTE RECORDED:  Cedillo, Davis, Donnelly, Fuentes, 
            Gorell, Halderman, Smyth


          AGB:k  7/2/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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