BILL NUMBER: AB 1352	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 14, 2011
	AMENDED IN ASSEMBLY  MARCH 22, 2011

INTRODUCED BY   Assembly Members Logue and Achadjian
   (Principal coauthor: Senator Wyland)

                        FEBRUARY 18, 2011

   An act to add  Section   Sections 
6593.7  and 10752.7  to the Revenue and Taxation Code,
relating to taxation.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1352, as amended, Logue.  State Board of Equalization:
administration: sales and use taxes: interest.  
Taxation.  
   The 
    (1)     The  Sales and Use Tax Law
requires the payment of interest at a specified rate on a failure to
timely pay taxes, specified prepayments, and amounts collected as tax
under that law, from the date on which those amounts became due and
payable to the state until the date of payment. That law authorizes
the State Board of Equalization, in its discretion, to relieve all or
any part of interest imposed under specified circumstances.
   This bill would allow the members of the board, meeting as a
public body, to relieve all or any part of the interest imposed, not
to exceed a specified amount in a 12-month period, if the board
finds, in its discretion, that a person's failure to make a timely
payment, as defined, was due to extraordinary circumstances, as
defined, and that it is inequitable to compute interest in accordance
with existing law, and if the person, among other things, pays the
amount due on which the interest is imposed and files with the board
a statement under penalty of perjury setting forth specified
information. By requiring persons to make these statements under
penalty of perjury, this bill would expand the circumstances under
which a person may be convicted of the crime of perjury and thereby
impose a state-mandated local program. 
   (2) The Vehicle License Fee Law establishes, in lieu of any ad
valorem property tax upon vehicles, an annual license fee for any
vehicle subject to registration in this state in the amount of 0.65%
of the market value of that vehicle, as provided. Existing law
requires a portion of those revenues to be deposited into the Local
Law Enforcement Services Account in the Local Revenue Fund 2011, as
provided.  
   This bill would state that designated vehicle license fee revenues
shall not, for purposes of an ordinance of the County of Nevada that
requires that any revenues derived pursuant to that vehicle license
fee be expended fore a specified purpose, be deemed vehicle license
fee revenues. The bill would define "designated vehicle license fee
revenues" to mean vehicle license revenues that are collected and
deposited into the Local Law Enforcement Services Account in the
Local Revenue Fund 2011.  
   This bill would make legislative findings and declarations as to
the necessity of a special statute for the County of Nevada. 

   The 
    (3)     The  California Constitution
requires the state to reimburse local agencies and school districts
for certain costs mandated by the state. Statutory provisions
establish procedures for making that reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   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 6593.7 is added to the Revenue and Taxation
Code, to read:
   6593.7.  (a) If the board finds in its discretion that a person's
failure to make a timely payment was due to extraordinary
circumstances and that it is inequitable to compute interest in
accordance with this part, the board may relieve all or any part of
the interest imposed on that payment, not to exceed the amount
specified in subdivision (b), if all of the following occur:
   (1) The person was granted relief from all penalties that applied
to that payment.
   (2) The person has paid the payment on which the interest was
imposed, or in the case of interest attributable to an unpaid
liability for which the person has filed a petition for
redetermination, the person pays the amount of the payment due on
which the interest was imposed within 30 days after service upon the
person of the final order or decision of the board on that petition
for redetermination.
   (3) The person files a request for an oral hearing before the
board.
   (4) The person files with the board a statement under penalty of
perjury setting forth the facts upon which he or she bases his or her
claim for relief and any other information which the board may
require.
   (b) (1) The aggregate relief granted to all persons pursuant to
subdivision (a) shall not exceed fifty thousand dollars ($50,000) in
a 12-month period. The board shall not exceed this
fifty-thousand-dollar ($50,000) limitation without further statutory
authorization.
   (2) The limitation specified in paragraph (1) shall not apply to
the relief provided by the board pursuant to Section 6593.
   (c) For purposes of this section:
   (1) "Board" means the members of the State Board of Equalization
meeting as a public body.
   (2) "Extraordinary circumstances" means any of the following:
   (A) The occurrence of a death or medical incapacity of the person
or the person's next of kin that caused the person's failure to make
a timely payment.
   (B) The occurrence of an emergency, as defined in Section 8558 of
the Government Code, that caused the person's failure to make a
timely payment.
   (C) Criminal misconduct by a person, other than the person that
failed to make a timely payment, that caused the person's failure to
make a timely payment.
   (3) Payment includes any of the following:
   (A) A payment of tax.
   (B) A prepayment of tax on which interest is imposed under this
part.
   (C) A payment of an amount of tax required to be collected and
paid to the state.
   (d) Any relief granted under this section may be rescinded, and
all interest liabilities may be reestablished, without regard to any
statute of limitations that otherwise may be applicable, if the
person fails to comply with paragraph (2) of subdivision (a).
   SEC. 2.    Section 10752.7 is added to the  
Revenue and Taxation Code   , to read:  
   10752.7.  Designated vehicle license fee revenues shall not, for
purposes of an ordinance of the County of Nevada that requires that
any revenues derived under this part be expended for any specified
purpose, be deemed vehicle license fee revenues as defined in
subdivision (a) of Section 15 of Article XI of the California
Constitution or this part. For purposes of this section, "designated
vehicle license fee revenues" means vehicle license revenues that are
collected under this part and are required by this part to be
deposited into the Local Law Enforcement Services Account in the
Local Revenue Fund 2011. 
   SEC. 3.    The Legislature finds and declares that a
special law is necessary and that a general law cannot be made
applicable within the meaning of Section 16 of Article IV of the
California Constitution because of the unique circumstances relating
to a local ordinance governing the expenditure of Vehicle License Fee
funds received by Nevada County. 
   SEC. 2.   SEC. 4.   No reimbursement is
required by this act pursuant to Section 6 of Article XIII B of the
California Constitution because the only costs that may be incurred
by a local agency or school district will be incurred because this
act creates a new crime or infraction, eliminates a crime or
infraction, or changes the penalty for a crime or infraction, within
the meaning of Section 17556 of the Government Code, or changes the
definition of a crime within the meaning of Section 6 of Article XIII
B of the California Constitution.