CaliforniaCalifornia Alternative Energy and Advanced Transportation Financing Authority Act: sales and use tax exclusion.
What it does
Existing sales and use tax laws impose taxes 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 California Alternative Energy and Advanced Transportation Financing Authority Act establishes the California Alternative Energy and Advanced Transportation Financing Authority. The act authorizes, until January 1, 2026, the authority to provide financial assistance to a participating party by authorizing exclusions from sales and use tax for certain projects, including those that promote California-based manufacturing, California-based jobs, advanced manufacturing, the reduction of greenhouse gases, or a reduction in air and water pollution or energy consumption.
More detail
The Sales and Use Tax Law, for the purposes of the taxes imposed pursuant to that law, until January 1, 2026, excludes the lease or transfer of title of tangible personal property constituting one of those projects to any contractor for use in the performance of a construction contract for a participating party that will use that property as an integral part of the approved project.
This bill would extend to January 1, 2028, the authorization to provide financial assistance in the form of a sales and use tax exclusion for projects approved by the authority. The bill would add electrical generation facilities using nuclear fusion technology to the types of projects qualifying for this sales and use tax exclusion. The bill would, on and after January 1, 2026, for an applicant that, together with its parent corporation and subsidiaries, employs 500 or more employees, prohibit the authority from approving a project unless the applicant certifies that the applicant and its subcontractors will comply with certain labor requirements. The bill would make other conforming changes.
This bill would take effect immediately as a tax levy.
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Where it stands
- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2025
- Oct 1Chaptered by Secretary of State. Chapter 211, Statutes of 2025.Latest
- Oct 1Approved by the Governor Gavin Newsom.Became Law
- Sep 16Enrolled and presented to the Governor at 3 p.m.To Governor
- Sep 9Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2710.) Ordered to engrossing and enrolling.Major
- Vote recorded Unfinished Business SB86 McNerney et al. Concurrence. Result: pass.Upper
- Sep 8In Senate. Concurrence in Assembly amendments pending.
- Vote recorded SB 86 McNerney Senate Third Reading By Wilson. Result: pass.Lower
- Sep 8Read third time. Passed. (Ayes 76. Noes 0. Page 3003.) Ordered to the Senate.Passed Assembly
- Sep 3Ordered to third reading.Minor
- Sep 3Read third time and amended.Major
- Sep 3Read second time. Ordered to third reading.Minor
- Sep 2Read second time and amended. Ordered to second reading.Major
- Aug 29From committee: Do pass as amended. (Ayes 11. Noes 0.) (August 29).Major
- Vote recorded Do pass as amended. Result: pass.Lower
- Aug 20August 20 set for first hearing. Placed on APPR. suspense file.
- Jul 16Read second time and amended. Re-referred to Com. on APPR.Major
- Jul 15From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (July 14).Major
- Jul 15July 14 set for first hearing. Placed on REV. & TAX. suspense file.
- Jul 14
- Vote recorded Do pass as amended and be re-referred to the Committee on [Appropriations]. Result: pass.Lower
- Jul 8From committee: Do pass and re-refer to Com. on REV. & TAX. (Ayes 16. Noes 0.) (July 7). Re-referred to Com. on REV. & TAX.Minor
- Jul 7
- Vote recorded Do pass and be re-referred to the Committee on [Revenue and Taxation]. Result: pass.Lower
- Jun 19Re-referred to Coms. on TRANS. and REV. & TAX. pursuant to Assembly Rule 96.Minor
- Jun 16Referred to Coms. on REV. & TAX. and TRANS.Minor
- Jun 5In Assembly. Read first time. Held at Desk.Minor
- Jun 4Read third time. Passed. (Ayes 39. Noes 0. Page 1521.) Ordered to the Assembly.Passed Senate
- Vote recorded Special Consent SB86 McNerney et al. Result: pass.Upper
- Jun 2Ordered to special consent calendar.
- May 27Read second time. Ordered to third reading.Minor
- May 23Read second time and amended. Ordered to second reading.Major
- Vote recorded Do pass as amended. Result: pass.Upper
- May 23From committee: Do pass as amended. (Ayes 6. Noes 0. Page 1191.) (May 23).Major
- May 16Set for hearing May 23.
- Apr 7April 7 hearing: Placed on APPR. suspense file.
- Vote recorded Placed on suspense file. Result: pass.Upper
- Mar 28Set for hearing April 7.
- Mar 26From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 0. Page 568.) (March 26). Re-referred to Com. on APPR.Minor
- Vote recorded Do pass, but first be re-referred to the Committee on [Appropriations]. Result: pass.Upper
- Mar 18Set for hearing March 26.
- Jan 29Referred to Com. on REV. & TAX.Minor
- Jan 22From printer. May be acted upon on or after February 21.
- Jan 21Introduced. Read first time. To Com. on RLS. for assignment. To print.Introduced