HomeMy WebLinkAboutAB 1262 - Sales Tax ExemptionsCITY OF PALM DESERT
COMMUNITY SERVICES DEPARTMENT
STAFF REPORT
REQUEST: CONSIDERATION OF LEGISLATIVE REVIEW COMMITTEE ACTION
ON AB 1262 (A. STRICKLAND) AT ITS MEETING OF MARCH 24, 2009.
DATE: April 9, 2009
CONTENTS: AB1262 Language
RECOMMENDATION:
By Minute Motion, concur with the action taken by the Legislative Review Committee at its
meeting of March 24, 2009, and direct staff to direct a letter of opposition for the Mayor's
signature with regard to AB 1262 (A. Strickland) relative to sales tax exemptions.
BACKGROUND:
The Sales and Use Tax Law imposes a tax on the gross receipts from the sale, storage, use or
other consumption of tangible personal property. If passed, AB 1262 would provide sales tax
exemptions for the sales of tangible personal property by non-profit organizations that raise
money for charitable causes. The City of Palm Desert opposes any bill which removes funding
used for programs and facilities for its residents and guests.
Therefore the Legislative Review Committee recommends that the City Council oppose AB 1262
and direct staff to prepare a letter stating that position to appropriate legislators and committees
for the Mayor's signature.
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PATRICIA SCULLY, CAE PAUIBSON�
SENIOR MANAGEMENT A ALYST DIRECTOR OF FINANCE/CITY TREASURER
HEILA R. 61-C(I0"AN
ACM/COMMUNITY SERV
OHLMUTH
TY MANAGER
CITY COUNCILACTION
APPROVED f . DENIED
RECEIVED OTHER
MEETING DATE /71-6) C'9
AYES. J 15rY), fir son, f i()el'-k6 k e/(9): iej o f
NOES: M Ln� J
ABSENT: N ��►�
ABSTAIN: " -
VERIFIED BY: IQ-O -i ri
Original on File with City Clerks Office
AB 1262 Assembly Bill - INTRODUCED Page 1 of 1
BILL NUMBER: AB 1262 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Audra Strickland
FEBRUARY 27, 2009
An act relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
AB 1262, as introduced, Audra Strickland. Sales and use taxes:
exemptions: charitable organizations.
The Sales and Use Tax Law imposes a tax on a retailer 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.
Existing law provides certain exemptions from sales and use taxes.
This bill would declare the intent of the Legislature to enact
legislation that would provide exemptions from the Sales and Use Tax
Law for sales and uses of tangible personal property by nonprofit
organizations that raise money for charitable causes.
Vote: majority. Appropriation: no. Fiscal committee: no.
State -mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. It is the intent of the Legislature to enact
legislation that would provide exemptions from the Sales and Use Tax
Law for certain sales of, and the storage, use, or other consumption
of, tangible personal property sold or used by nonprofit
organizations that raise money for charitable causes.
http://info. sen.ca.gov/pub/09-10/bill/asm/ab_1251-1300/ab_1262_bill_20090227_introduc... 3/30/2009