CaliforniaTransfer taxes: limitation.
What it does
Existing law, the Documentary Transfer Tax Act, authorizes the imposition of a tax by a county or city and county, as provided, with respect to specified instruments that transfer specified interests in real property.
More detail
This bill would, beginning January 1, 2027, prohibit a local jurisdiction, defined to include a city, including a charter city, county, or city and county, from collecting a transfer tax, as defined, levied on the sale or transfer of a real property interest conveyed if the combined transfer tax rate levied by the local jurisdiction exceeds 1.5% of the consideration paid for or value of the real property interest conveyed, except as otherwise provided. The bill would also prohibit a local jurisdiction from levying a transfer tax on the first sale of single-family housing property occurring within 5 years of one or more housing units on the real property being destroyed or made uninhabitable by a natural disaster, as defined. By imposing new duties upon local officials with respect to transfer taxes, this bill would impose a state-mandated local program.
The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
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Where it stands
- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jun 25In committee: Hearing postponed by committee.Latest
- Jun 22Joint Rule 62(a) suspended. (Ayes 27. Noes 7. Page 4897.)
- Jun 22Re-referred to Com. on L. GOV.Minor
- Jun 22Re-referred to Com. on RLS. pursuant to Senate Rule 29.10 (c).Minor
- Jun 22Read third time and amended. Ordered to second reading.Major
- May 14Read second time. Ordered to third reading.Minor
- Vote recorded Do pass. Result: pass.Upper
- May 14From committee: Do pass. (Ayes 5. Noes 0.) (May 14).Minor
- May 11In committee: Referred to APPR. suspense file.Minor
- Vote recorded Placed on suspense file. Result: pass.Upper
- Apr 22From committee: Do pass and re-refer to Com. on APPR. (Ayes 8. Noes 1.) (April 21). Re-referred to Com. on APPR.Minor
- Apr 21
- Vote recorded Do pass, but first be re-referred to the Committee on [Appropriations]. Result: pass.Upper
- Apr 15Referred to Com. on HOUSING.Minor
- 2025
- Jun 4In Senate. Read first time. To Com. on RLS. for assignment.Minor
- Jun 3Read third time. Urgency clause adopted. Passed. Ordered to the Senate. (Ayes 65. Noes 11. Page 1980.).Passed Assembly
- Vote recorded AB 736 Wicks Third Reading Urgency. Result: pass.Lower
- May 27Read second time. Ordered to third reading.Minor
- May 23From committee: Do pass. (Ayes 11. Noes 2.) (May 23).Minor
- Vote recorded Do pass. Result: pass.Lower
- Apr 30In committee: Set, first hearing. Referred to suspense file.Minor
- Apr 21Re-referred to Com. on APPR.Minor
- Apr 10Read second time and amended.Major
- Apr 9From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 10. Noes 1.) (April 9).Major
- Vote recorded Do pass as amended and be re-referred to the Committee on [Appropriations]. Result: pass.Lower
- Mar 3Referred to Com. on H. & C.D.Minor
- Feb 19From printer. May be heard in committee March 21.
- Feb 19Introduced measure version corrected.Minor
- Feb 18Read first time. To print.Introduced