California Assembly Bill AB2788 Latest Draft

 BILL NUMBER: AB 2788AMENDED 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.