Today's Law As Amended


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AB-1246 Sales and use taxes: exemption: college textbooks.(2001-2002)



As Amends the Law Today


SECTION 1.

 Section 6361.7 is added to the Revenue and Taxation Code, to read:

6361.7.
 (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, any textbook that is purchased by a student at an institution of higher education or from an entity whose primary purpose is to provide textbooks to students attending institutions of higher education, for use as a learning resource in any course of study at that institution.
(b) (1) For purposes of this section, “textbook” means any published material that is principally designed for use by a student at an institution of higher education as a source of instructional material and includes, but is not limited to, any book or edition of a book, as so described, that is directed or recommended by an instructor at an institution of higher education to a student to purchase for use as a basis for a course of study in which that student is enrolled at that institution.
(2) For purposes of this section, an “institution of higher education” means any public or private college or university that is nationally or regionally accredited.
(c) The exemption created by this section is applicable only if:
(1) The student presents a valid identification card issued to that student by an institution of higher education.
(2) The student presents proof that he or she is enrolled in the course for which the textbook is directed or recommended by the instructor.
SEC. 2.
 Notwithstanding Section 13340 of the Government Code, there is hereby appropriated from the General Fund to the Controller, without regard to fiscal years, those amounts that shall be allocated by the Controller to fully reimburse local governments for sales and transactions and use tax revenue losses incurred as a result of Section 6361.7 of the Revenue and Taxation Code, or any successor to that provision.
SEC. 3.
 This act provides for a tax levy within the meaning of Article IV of the Constitution and shall go into immediate effect. However, the provisions of this act shall become operative on the first day of the first calendar quarter commencing more than 90 days after the effective date of this act.