Amended
IN
Assembly
March 23, 2021 |
Introduced by Assembly Member Robert Rivas (Coauthors: Assembly Members Chiu, Cristina Garcia, and Stone) |
February 18, 2021 |
(3)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, including an exemption for the sale of, or the storage, use, or consumption of, any zero-emission technology transit bus sold to a city, county, city and county, transportation or transit district, or other public agency that provides transit services to the public that is eligible for the California Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project.
This bill, until January 1, 2027, would exempt from these taxes the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, a zero-emission fleet vehicle acquired by a public agency from an eligible vendor pursuant to the master service agreement developed under the California Clean Fleet Accelerator Program, as described above.
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. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws.
This bill would specify that this exemption does not apply to local sales and use taxes or transactions and use taxes.
Existing law requires that any bill introduced on or after January 1, 2020, that would authorize certain tax expenditures, as defined, or tax exemptions contain, among other things, specific goals, purposes, and objectives that the tax expenditure or exemption will
achieve, detailed performance indicators, and data collection requirements.
This bill would state the intent of the Legislature to apply these requirements with respect to the sales and use exemption allowed by the bill, as described above.
(1)The person is either of the following:
(A)
(B)A manufacturer of a zero-emission fleet vehicle that sells that zero-emission fleet vehicle directly to a public agency.
(2)A public agency is authorized, under the laws of this state and the policies of the department, to
acquire a zero-emission fleet vehicle from the person.
(A)
(B)The department.
(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, a zero-emission fleet vehicle acquired by a qualified public agency from an eligible vendor.
(b)For purposes of this section:
(1)“Eligible vendor” has the same meaning as defined in Section 14990 of the Government Code.
(2)“Master service agreement” means the master service agreement developed for the bulk purchase of zero-emission vehicles by a qualified public agency from an eligible vendor pursuant to Section 14994
of the Government Code.
(3)“Qualified public agency” means a public agency, as that term is defined in Section 14990 of the Government Code, that acquires a zero-emission fleet vehicle from an eligible vendor pursuant to the master service agreement.
(4)“Zero-emission fleet vehicle” has the same meaning as defined in Section 14990 of the Government Code.
(c)An exemption shall not be allowed under this section unless the purchaser furnishes the retailer with an exemption certificate, completed in accordance with any instructions or regulations as the department may prescribe, and the retailer retains the exemption certificate in its records and furnishes it to the department upon request.
(d)(1)Notwithstanding the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200)) and the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251)), the exemption established by this section shall not apply with respect to any tax levied by a county, city, or district pursuant to, or in accordance with, either of those laws.
(2)Notwithstanding subdivision (a), the exemption established by this section shall not apply with respect to any tax levied pursuant to Section 6051.2 or 6201.2, any tax levied pursuant to Section 35 of Article XIII of the California Constitution, or any tax levied pursuant to Section 6051 or 6201 that is deposited in the State Treasury to the credit of the Local Revenue Fund 2011 pursuant to Section 6051.15 or 6201.15.
(e)This
section shall remain in effect only until January 1, 2027, and as of that date is repealed.
It is the intent of the Legislature to comply with the requirements of Section 41 of the Revenue and Taxation Code with respect to the exemption allowed by Section 6377.5 of the Revenue and Taxation Code, as added by this act.