Bill Text: CA AB1257 | 2019-2020 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Sales and use taxes: exemption: vehicle modifications: physically handicapped persons: veterans.
Spectrum: Bipartisan Bill
Status: (Passed) 2019-09-20 - Chaptered by Secretary of State - Chapter 317, Statutes of 2019. [AB1257 Detail]
Download: California-2019-AB1257-Introduced.html
Bill Title: Sales and use taxes: exemption: vehicle modifications: physically handicapped persons: veterans.
Spectrum: Bipartisan Bill
Status: (Passed) 2019-09-20 - Chaptered by Secretary of State - Chapter 317, Statutes of 2019. [AB1257 Detail]
Download: California-2019-AB1257-Introduced.html
CALIFORNIA LEGISLATURE—
2019–2020 REGULAR SESSION
| Assembly Bill | No. 1257 |
| Introduced by Assembly Member Salas |
February 21, 2019 |
An act to add Section 6372 to the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
AB 1257, as introduced, Salas.
Sales and use taxes: exemption: adaptive automotive equipment: disabled veteran or member of the Armed Forces.
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, on and after July 1, 2020, would exempt from those taxes the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, add-on automotive adaptive equipment sold to a qualified person. The bill would define qualified person as a veteran, or member of the United States Armed Forces serving on active duty, who is disabled, regardless of whether the disability is service
connected.
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. Amendments to the Sales and Use Tax Law are automatically incorporated into the local tax laws.
Existing law requires the state to 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 any 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.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 6372 is added to the Revenue and Taxation Code, to read:6372.
(a) On and after July 1, 2020, there are exempted from the taxes imposed by this part the gross receipts from the sale of, and the storage use, or other consumption of, add-on automotive adaptive equipment sold to a qualified person.(b) For purposes of this section:
(1) “Add-on automotive adaptive equipment” means equipment installed in, and modifications made to, a motor vehicle that are necessary to assist physically challenged persons to enter, exit, or safely operate a motor vehicle. “Add-on automotive adaptive equipment” includes, but is not limited to, wheelchair lifts, wheelchair restraints, ramps, under vehicle lifts, power door openers, power seats, lowered floors, raised
roofs, raised doors, hand controls, left foot gas pedals, chest and shoulder harnesses, parking brake extensions, dual battery systems, steering devices, reduced and zero effort steering and braking, voice-activated controls, and digital driving systems.“Add-on automotive adaptive equipment” does not include motor vehicles and equipment installed in a motor vehicle by the manufacturer of the motor vehicle.
(2) “Qualified person” means a veteran, or member of the United States Armed Forces serving on active duty, who is disabled, regardless of whether the disability is service connected, as defined in Section 101 of Chapter 1 of Part 1 of Title 38 of the United States Code.
(c) No exemption from the tax imposed pursuant to Sections 6051.8 and 6201.8 shall be allowed under this section unless the qualified person furnishes the seller with an exemption certificate, completed in
accordance with any instructions or regulations as the prescribed by the California Department of Tax and Fee Administration. The seller shall retain a copy of the exemption certificate for the seller’s files.
