The Sales and Use Tax Law imposes taxes on the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, tangible personal property. Existing law also provides various exemptions from those taxes.
This bill would establish an additional exemption from those taxes for the gross receipts from the sale in this state of, or the storage, use, or other consumption in this state of, certain veterans memorial lapel pins by any corporation established pursuant to specified provisions of federal law. This bill would make legislative findings and declarations with respect to this exemption.
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 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.