Bill Text: CA AB1724 | 2023-2024 | Regular Session | Amended

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Bill Title: Sales and Use Tax Law: rates.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2024-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1724 Detail]

Download: California-2023-AB1724-Amended.html

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Amended  IN  Assembly  March 16, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill

No. 1724

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Introduced by Assembly Member Sanchez

February 17, 2023

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An act to amend Section 19334 Sections 6051 and 6201 of the Revenue and Taxation Code, relating to taxation. taxation, to take effect immediately, tax levy.

LEGISLATIVE COUNSEL'S DIGEST

AB 1724, as amended, Sanchez. Tax administration: board determinations. Sales and Use Tax Law: rates.

Existing 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.

This bill would reduce the rate of tax imposed by the Sales and Use Tax Law on and after January 1, 2024, and before January 1, 2025, by 1%.

This bill would take effect immediately as a tax levy.

Existing law authorizes a taxpayer to appeal the decision of the Franchise Tax Board to disallow a claim for refund. That law requires the Office of Tax Appeals (office) to hear and determine the appeal and to notify the taxpayer and the Franchise Tax Board of its determination. Existing law makes the determination of the office final after 30 days unless the taxpayer or the Franchise Tax Board files a petition for rehearing. In the case of a petition for rehearing, existing law makes the determination final 30 days from the date the office issues its opinion on the petition.

This bill, instead, would make the determination final after 35 days as specified in both of the circumstances described above.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NO  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Section 6051 of the Revenue and Taxation Code is amended to read:

6051.

 For the privilege of selling tangible personal property at retail retail, a tax is hereby imposed upon all retailers at the rate of 212 percent following rates of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in this state on or after August 1, 1933, and to and including June 30, 1935, and at the rate of 3 percent thereafter, and at the rate of 212 percent on and after July 1, 1943, and to and including June 30, 1949, and at the rate of 3 percent on and after July 1, 1949, and to and including July 31, 1967, and at the rate of 4 percent on and after August 1, 1967, and to and including June 30, 1972, and at the rate of 334 percent on and after July 1, 1972, and to and including June 30, 1973, and at the rate of 434 percent on and after July 1, 1973, and to and including September 30, 1973, and at the rate of 334 percent on and after October 1, 1973, and to and including March 31, 1974, and at the rate of 434 percent thereafter. state:

(a) On and after April 1, 1974, and before January 1, 2024, 4³/₄ percent.

(b) On and after January 1, 2024, and before January 1, 2025, 3³/₄ percent.

(c) On and after January 1, 2025, 4³/₄ percent.

SEC. 2.

 Section 6201 of the Revenue and Taxation Code is amended to read:

6201.

 An excise tax is hereby imposed on the storage, use, or other consumption in this state of tangible personal property purchased from any retailer on or after July 1, 1935, for storage, use, or other consumption in this state at the rate of 3 percent following rates of the sales price of the property, and at the rate of 212 percent on and after July 1, 1943, and to and including June 30, 1949, and at the rate of 3 percent on and after July 1, 1949, and to and including July 31, 1967, and at the rate of 4 percent on and after August 1, 1967, and to and including June 30, 1972, and at the rate of 334 percent on and after July 1, 1972, and to and including June 30, 1973, and at the rate of 434 percent on and after July 1, 1973, and to and including September 30, 1973, and at the rate of 334 percent on and after October 1, 1973, and to and including March 31, 1974, and at the rate of 434 percent thereafter. property:

(a) On and after April 1, 1974, and before January 1, 2024, 4³/₄ percent.

(b) On and after January 1, 2024, and before January 1, 2025, 3³/₄ percent.

(c) On and after January 1, 2025, 4³/₄ percent.

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.

SECTION 1.Section 19334 of the Revenue and Taxation Code is amended to read:

19334.

The determination of the board is final upon the expiration of 35 days from the date of the determination unless within the 35-day period, the taxpayer or Franchise Tax Board files a petition for rehearing with the board. In that event the determination becomes final upon the expiration of 35 days from the date the board issues its opinion on the petition.