Amended IN Assembly May 11, 2020 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 2626Introduced by Assembly Member Bauer-Kahan(Coauthor: Assembly Member Burke)February 20, 2020 An act to add and repeal Section 6363.1 to of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy. LEGISLATIVE COUNSEL'S DIGESTAB 2626, as amended, Bauer-Kahan. Sales and use taxes: exemption: local educational agency . agency.Existing state sales and use tax laws impose a tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The Sales and Use Tax Law provides various exemptions from those taxes.This bill would provide provide, on and after January 1, 2021, and before January 1, 2026, an exemption from those taxes with respect to the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property property, as defined, purchased by a local educational agency, as defined. The bill would provide that this exemption does not apply to specified state sales and use taxes from which the proceeds are deposited into the Local Revenue Fund, the Local Revenue Fund 2011, or the Local Public Safety Fund.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 existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws.This bill would specify that this exemption does not apply to local sales and use taxes or transactions and use taxes.Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.The bill also would include additional information required for any bill authorizing a new tax expenditure.This bill would take effect immediately as a tax levy.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 6363.1 is added to the Revenue and Taxation Code, to read:6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.SEC. 2. For purposes of complying with Section 41 of the Revenue and Taxation Code, with respect to the tax expenditure created by the addition of Section 6363.1 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:(a) The goal, purpose, and objective of this tax expenditure is to help close the digital divide by reducing the upfront cost of devices and communications technology purchased by local educational agencies to provide students with equitable access to distance learning. The Legislature further finds that the closure of schools due to the COVID-19 pandemic makes evident the importance of this tax expenditure to reduce the gap in access to distance learning for students lacking these critical tools.(b) To measure the effectiveness of the tax exemption, the California Department of Tax and Fee Administration shall estimate the revenue loss and the number of local educational agencies that used the sales and use tax exemption.(c) The California Department of Tax and Fee Administration shall report the information described in subdivision (b) to the Legislature semiannually each year beginning on or after January 1, 2023, and before January 1, 2026. The report shall be submitted in compliance with Section 9795 of the Government Code.SEC. 2.SEC. 3. This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.
Amended IN Assembly May 11, 2020 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 2626Introduced by Assembly Member Bauer-Kahan(Coauthor: Assembly Member Burke)February 20, 2020 An act to add and repeal Section 6363.1 to of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy. LEGISLATIVE COUNSEL'S DIGESTAB 2626, as amended, Bauer-Kahan. Sales and use taxes: exemption: local educational agency . agency.Existing state sales and use tax laws impose a tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The Sales and Use Tax Law provides various exemptions from those taxes.This bill would provide provide, on and after January 1, 2021, and before January 1, 2026, an exemption from those taxes with respect to the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property property, as defined, purchased by a local educational agency, as defined. The bill would provide that this exemption does not apply to specified state sales and use taxes from which the proceeds are deposited into the Local Revenue Fund, the Local Revenue Fund 2011, or the Local Public Safety Fund.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 existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws.This bill would specify that this exemption does not apply to local sales and use taxes or transactions and use taxes.Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.The bill also would include additional information required for any bill authorizing a new tax expenditure.This bill would take effect immediately as a tax levy.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
Amended IN Assembly May 11, 2020
Amended IN Assembly May 11, 2020
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
Assembly Bill
No. 2626
Introduced by Assembly Member Bauer-Kahan(Coauthor: Assembly Member Burke)February 20, 2020
Introduced by Assembly Member Bauer-Kahan(Coauthor: Assembly Member Burke)
February 20, 2020
An act to add and repeal Section 6363.1 to of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 2626, as amended, Bauer-Kahan. Sales and use taxes: exemption: local educational agency . agency.
Existing state sales and use tax laws impose a tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The Sales and Use Tax Law provides various exemptions from those taxes.This bill would provide provide, on and after January 1, 2021, and before January 1, 2026, an exemption from those taxes with respect to the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property property, as defined, purchased by a local educational agency, as defined. The bill would provide that this exemption does not apply to specified state sales and use taxes from which the proceeds are deposited into the Local Revenue Fund, the Local Revenue Fund 2011, or the Local Public Safety Fund.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 existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws.This bill would specify that this exemption does not apply to local sales and use taxes or transactions and use taxes.Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.The bill also would include additional information required for any bill authorizing a new tax expenditure.This bill would take effect immediately as a tax levy.
Existing state sales and use tax laws impose a tax on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The Sales and Use Tax Law provides various exemptions from those taxes.
This bill would provide provide, on and after January 1, 2021, and before January 1, 2026, an exemption from those taxes with respect to the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property property, as defined, purchased by a local educational agency, as defined. The bill would provide that this exemption does not apply to specified state sales and use taxes from which the proceeds are deposited into the Local Revenue Fund, the Local Revenue Fund 2011, or the Local Public Safety Fund.
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 existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws.
This bill would specify that this exemption does not apply to local sales and use taxes or transactions and use taxes.
Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
The bill also would include additional information required for any bill authorizing a new tax expenditure.
This bill would take effect immediately as a tax levy.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 6363.1 is added to the Revenue and Taxation Code, to read:6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.SEC. 2. For purposes of complying with Section 41 of the Revenue and Taxation Code, with respect to the tax expenditure created by the addition of Section 6363.1 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:(a) The goal, purpose, and objective of this tax expenditure is to help close the digital divide by reducing the upfront cost of devices and communications technology purchased by local educational agencies to provide students with equitable access to distance learning. The Legislature further finds that the closure of schools due to the COVID-19 pandemic makes evident the importance of this tax expenditure to reduce the gap in access to distance learning for students lacking these critical tools.(b) To measure the effectiveness of the tax exemption, the California Department of Tax and Fee Administration shall estimate the revenue loss and the number of local educational agencies that used the sales and use tax exemption.(c) The California Department of Tax and Fee Administration shall report the information described in subdivision (b) to the Legislature semiannually each year beginning on or after January 1, 2023, and before January 1, 2026. The report shall be submitted in compliance with Section 9795 of the Government Code.SEC. 2.SEC. 3. This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 6363.1 is added to the Revenue and Taxation Code, to read:6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.
SECTION 1. Section 6363.1 is added to the Revenue and Taxation Code, to read:
### SECTION 1.
6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.
6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.
6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:(1) Local educational agency means any of the following:(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.(C) A county office of education.(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.(d)Section 41 shall not apply to the tax expenditure created by this section.(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.
6363.1. (a) There On and after January 1, 2021, and before January 1, 2026, there are exempted from the taxes imposed by this part, the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, qualified tangible personal property purchased by a local educational agency.
(b) For purposes of this section, local educational agency means a school district or a county office of education. Local educational agency does not include a charter school. section:
(1) Local educational agency means any of the following:
(A) A school district providing kindergarten or grades 1 to 12, inclusive, education.
(B) A charter school providing kindergarten or grades 1 to 12, inclusive, education.
(C) A county office of education.
(2) Qualified tangible personal property means a computer, tablet, computing device, router, hardware, software, or other equipment purchased for the primary purpose of providing students with access to distance learning using communications technology.
(c) (1) Notwithstanding any provision of the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) or the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section does not apply to any tax levied by a county, city, or district pursuant to, or in accordance with, either of these laws.
(2) The exemption established by this section does not apply with respect to any tax levied pursuant to Sections 6051.2 and 6201.2, any tax levied pursuant to Section 6051 or 6201 that is deposited into the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15, or pursuant to Section 35 of Article XIII of the California Constitution.
(d)Section 41 shall not apply to the tax expenditure created by this section.
(d) This section shall be in effect only until December 31, 2026, and after that date is repealed.
SEC. 2. For purposes of complying with Section 41 of the Revenue and Taxation Code, with respect to the tax expenditure created by the addition of Section 6363.1 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:(a) The goal, purpose, and objective of this tax expenditure is to help close the digital divide by reducing the upfront cost of devices and communications technology purchased by local educational agencies to provide students with equitable access to distance learning. The Legislature further finds that the closure of schools due to the COVID-19 pandemic makes evident the importance of this tax expenditure to reduce the gap in access to distance learning for students lacking these critical tools.(b) To measure the effectiveness of the tax exemption, the California Department of Tax and Fee Administration shall estimate the revenue loss and the number of local educational agencies that used the sales and use tax exemption.(c) The California Department of Tax and Fee Administration shall report the information described in subdivision (b) to the Legislature semiannually each year beginning on or after January 1, 2023, and before January 1, 2026. The report shall be submitted in compliance with Section 9795 of the Government Code.
SEC. 2. For purposes of complying with Section 41 of the Revenue and Taxation Code, with respect to the tax expenditure created by the addition of Section 6363.1 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:(a) The goal, purpose, and objective of this tax expenditure is to help close the digital divide by reducing the upfront cost of devices and communications technology purchased by local educational agencies to provide students with equitable access to distance learning. The Legislature further finds that the closure of schools due to the COVID-19 pandemic makes evident the importance of this tax expenditure to reduce the gap in access to distance learning for students lacking these critical tools.(b) To measure the effectiveness of the tax exemption, the California Department of Tax and Fee Administration shall estimate the revenue loss and the number of local educational agencies that used the sales and use tax exemption.(c) The California Department of Tax and Fee Administration shall report the information described in subdivision (b) to the Legislature semiannually each year beginning on or after January 1, 2023, and before January 1, 2026. The report shall be submitted in compliance with Section 9795 of the Government Code.
SEC. 2. For purposes of complying with Section 41 of the Revenue and Taxation Code, with respect to the tax expenditure created by the addition of Section 6363.1 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:
### SEC. 2.
(a) The goal, purpose, and objective of this tax expenditure is to help close the digital divide by reducing the upfront cost of devices and communications technology purchased by local educational agencies to provide students with equitable access to distance learning. The Legislature further finds that the closure of schools due to the COVID-19 pandemic makes evident the importance of this tax expenditure to reduce the gap in access to distance learning for students lacking these critical tools.
(b) To measure the effectiveness of the tax exemption, the California Department of Tax and Fee Administration shall estimate the revenue loss and the number of local educational agencies that used the sales and use tax exemption.
(c) The California Department of Tax and Fee Administration shall report the information described in subdivision (b) to the Legislature semiannually each year beginning on or after January 1, 2023, and before January 1, 2026. The report shall be submitted in compliance with Section 9795 of the Government Code.
SEC. 2.SEC. 3. This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.
SEC. 2.SEC. 3. This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.
SEC. 2.SEC. 3. This act provides for a tax levy within the meaning of Article IV of the California Constitution and shall go into immediate effect.
### SEC. 2.SEC. 3.