Bill Text: CA SB765 | 2009-2010 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Sales and use taxes: exemptions: thrift stores operated

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2009-10-11 - Chaptered by Secretary of State. Chapter 615, Statutes of 2009. [SB765 Detail]

Download: California-2009-SB765-Introduced.html

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BILL NUMBER: SB 765	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Dutton

                        FEBRUARY 27, 2009

   An act to add Section 6363.4 to the Revenue and Taxation Code,
relating to taxation, to take effect immediately, tax levy.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 765, as introduced, Dutton. Sales and use taxes: exemptions:
thrift stores operated by nonprofit organizations on military
installations.
   The Sales and Use Tax Law imposes a tax on the gross receipts from
the sale in this state of, or the storage, use, or other consumption
in this state of, tangible personal property. That law provides
various exemptions from that tax.
   This bill would exempt from sales and use tax, the sale of
tangible personal property by a nonprofit organization that operates
a thrift store on a military installation, whose purpose is to assist
members of the Naval Services of the United States, and eligible
family members and survivors.
   Counties and cities are authorized to impose local sales and use
taxes in conformity with state sales and use taxes. Exemptions from
state sales and use taxes enacted by the Legislature are incorporated
into the local taxes.
   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 act provides for a tax levy within the meaning of Article IV
of the Constitution and shall go into immediate effect.
   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 6363.4 is added to the Revenue and Taxation
Code, to read:
   6363.4.  (a) 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, tangible
personal property sold by a thrift store located on a military
installation and operated by a nonprofit organization.
   (b) For purposes of this section, "nonprofit organization" means
an organization, exempt from taxation under Section 23701d, that, in
partnership with the Navy and Marine Corps, provides financial,
educational, and other assistance to members of the Naval Services of
the United States, eligible family members, and survivors that are
in need.
  SEC. 2.  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. 3.  This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.