The people of the State of California do enact as follows:


SECTION 1.
Section 6292 of the Revenue and Taxation Code is amended to read:
6292.
(a) Except when the sale is by lease, when a mobilehome or commercial coach required to be registered annually under the Health and Safety Code or a vehicle required to be registered under the Vehicle Code is sold at retail by other than a person licensed or certificated pursuant to the Health and Safety Code or the Vehicle Code as a manufacturer, remanufacturer, dealer, dismantler, or lessor-retailer, subject to Section 11615.5 of the Vehicle Code, the retailer is not required or authorized to collect the use tax from the purchaser, but the purchaser of the vehicle shall pay the use tax to the Department of Housing and Community Development acting for and on behalf of the board pursuant to Section 18123 of the Health and Safety Code or to the Department of Motor Vehicles acting for and on behalf of the board pursuant to Section 4750.5 of the Vehicle Code.
(b) If the purchaser makes an application to either department that is not timely, and is subject to penalty because of delinquency in effecting registration or transfer of registration of the vehicle, he or she then becomes liable also for penalty as specified in Section 6591, but no interest shall accrue.
(c) Application to the appropriate department by the purchaser relieves the purchaser of the obligation to file a return with the board under Section 6452.
(d) If the purchaser does not make application to either department, or does not pay the amount of use tax due, or files a return with the board under Section 6455 that is not timely, interest and penalties shall apply with respect to the unpaid amount as provided in Chapter 5 (commencing with Section 6451).
(e) Use taxes collected by the Department of Motor Vehicles and transmitted to the board pursuant to Section 4750.5 of the Vehicle Code shall be allocated to the jurisdiction where the purchaser registers the purchased vehicle, by the
specific address
tax area code
data provided to the board by the Department of Motor Vehicles. The board shall reimburse the Department of Motor Vehicles as prescribed in subdivision (d) of Section 4750.5 of the Vehicle Code.
SEC. 2.
Section 6293 of the Revenue and Taxation Code is amended to read:
6293.
(a) Except when the sale is by lease, when a vehicle subject to identification under Division 16.5 (commencing with Section 38000) of the Vehicle Code or a vehicle that qualifies under the permanent trailer identification plate program pursuant to subdivision (a) of Section 5014.1 of the Vehicle Code, is sold at retail by other than a person licensed or certificated pursuant to the Vehicle Code as a manufacturer, remanufacturer, dealer, dismantler, or lessor-retailer, subject to Section 11615.5 of the Vehicle Code, or a person required to hold a seller’s permit pursuant to Article 2 (commencing with Section 6066) of Chapter 2 by reason of the number, scope, and character of his or her sales of those vehicles, the retailer is not required or authorized to collect the use tax from the purchaser, but the purchaser of the vehicle shall pay the use tax to the Department of Motor Vehicles acting for and on behalf of the board pursuant to Section 38211 of the Vehicle Code.
(b) If the purchaser makes an application to
that
the
department
which
that
is not timely, and is subject to penalty because of delinquency in effecting identification or transfer of ownership of the vehicle, he or she then becomes liable also for penalty as specified in Section 6591 of this code, but no interest shall accrue.
(c) Application to
that
the
department by the purchaser relieves the purchaser of the obligation to file a return with the board under Section 6452.
(d) If the purchaser does not make application to
that
the
department, or does not pay the amount of use tax due, or files a return with the board under Section 6455
which
that
is not timely, interest and penalties shall apply with respect to the unpaid amount as provided in Chapter 5 (commencing with Section 6451).
(e) Use taxes collected by the Department of Motor Vehicles and transmitted to the board pursuant to Section 38211 of the Vehicle Code shall be allocated to the jurisdiction where the purchaser registers the purchased vehicle, by the tax area code data provided to the board by the Department of Motor Vehicles. The board shall reimburse the Department of Motor Vehicles as prescribed in subdivision (d) of Section 38211 of the Vehicle Code.
SEC. 3.
Section 6294 of the Revenue and Taxation Code is amended to read:
6294.
(a) When an undocumented vessel required to be registered under the Vehicle Code is sold at retail by other than a person holding a seller’s permit and regularly engaged in the business of selling vessels, the retailer is not required or authorized to collect the use tax from the purchaser, but the purchaser of the vessel must pay the use tax to the Department of Motor Vehicles acting for, and on behalf of, the board pursuant to Section 9928 of the Vehicle Code.
(b) If the purchaser makes an application to the department that is not timely, and is subject to penalty because of delinquency in effecting registration or transfer of registration of the undocumented vessel, he or she then becomes liable also for penalty as specified in Section 6591, but no interest shall accrue.
(c) Application to the department by the purchaser shall relieve the purchaser of the obligation to file a return with the board under Section 6452.
(d) If the purchaser does not make application to either department, or does not pay the amount of use tax due, or files a return with the board under Section 6455 that is not timely, interest and penalties shall apply with respect to the unpaid amount as provided in Chapter 5 (commencing with Section 6451).
(e) Use taxes collected by the Department of Motor Vehicles and transmitted to the board pursuant to Section 9928 of the Vehicle Code shall be allocated to the jurisdiction where the purchaser registers the purchased vessel, by the
specific address
tax area code
data provided to the board by the Department of Motor Vehicles. The board shall reimburse the Department of Motor Vehicles as prescribed in subdivision (d) of Section 9928 of the Vehicle Code.
SEC. 4.
Section 4750.5 of the Vehicle Code is amended to read:
4750.5.
(a) The department shall withhold the registration or the transfer of registration of a vehicle sold at retail to an applicant by a person other than a vehicle manufacturer or dealer holding a license and certificate issued pursuant to Chapter 4 (commencing with Section 11700) of Division 5, or an automobile dismantler holding a license and certificate issued pursuant to Chapter 3 (commencing with Section 11500) of Division 5, or a lessor-retailer holding a license issued pursuant to Chapter 3.5 (commencing with Section 11600) of Division 5, and subject to the provisions of Section 11615.5, until the applicant pays to the department the use tax measured by the sales price of the vehicle as required by the Sales and Use Tax Law (Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code), together with penalty, if any, unless the State Board of Equalization finds that no use tax is due. If the applicant so desires, he or she may pay the use tax and penalty, if any, to the department so as to secure immediate action upon his or her application for registration or transfer of registration, and thereafter he or she may apply through the Department of Motor Vehicles to the State Board of Equalization under the Sales and Use Tax Law for a refund of the amount paid.
(b) (1) If applicable, the department shall determine all local use taxes that the applicant is responsible to pay by specific address data provided by the applicant and to which the vehicle shall be registered.
The department shall utilize all available tools, including those available through the State Board of Equalization, to determine the correct use tax rates to apply to the applicant.
(2) Using the specific address data provided by the applicant and to which the vehicle shall be registered, the department shall identify the correct tax area code for the applicable local jurisdiction to which the vehicle shall be registered and to which the local use tax shall be allocated. The State Board of Equalization shall provide a list of state tax area codes applicable to each jurisdiction for purposes of allocating the local use taxes directly, pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) and the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code).
(c) The department shall transmit all collections of use tax and penalty made under this section to the State Board of Equalization. The department also shall
collect and transmit to the board specific address data provided by applicants upon application and to which a purchased vehicle will be registered, for proper allocation of use tax collections. The transmitted data shall be subject to the requirements of Section 7056 of the Revenue and Taxation Code.
transmit the tax area codes and the amount of local use tax and penalty collections attributable to those tax area codes to the board for the proper direct allocation of local use tax collections.
This transmittal shall be made at least monthly, accompanied by a schedule in the form that the department and board may prescribe.
(d) The State Board of Equalization shall reimburse the department for its costs incurred in carrying out the provisions of this section. The reimbursement shall be effected under agreement between the agencies, approved by the Department of Finance.
(e) In computing any use tax or penalty under this section, dollar fractions shall be disregarded in the manner specified in Section 9559. Payment of tax and penalty on this basis shall be deemed full compliance with the requirements of the Sales and Use Tax Law and local transaction and use tax law insofar as they are applicable to the use of vehicles to which this section relates.
(f) It is the intent of the Legislature that the department and the State Board of Equalization administer this part in a manner that ensures that applicable Bradley-Burns uniform local
sales
use
taxes and local transaction and use taxes are collected and then remitted to the specific jurisdiction where the vehicle is registered.
SEC. 5.
Section 9928 of the Vehicle Code is amended to read:
9928.
(a) The department shall withhold the certificate of number or the transfer of registration of a vessel sold at retail to an applicant by a person other than a person holding a seller’s permit pursuant to Section 6066 of the Revenue and Taxation Code, and regularly engaged in the business of selling vessels, until the applicant pays to the department the use tax measured by the sales price of the vessel as required by the Sales and Use Tax Law (Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code), together with penalty, if any, unless the State Board of Equalization finds that no use tax is due. If the applicant so desires, he or she may pay the use tax and penalty, if any, to the department so as to secure immediate action upon his or her application for registration or transfer of registration and thereafter he or she may apply through the Department of Motor Vehicles to the State Board of Equalization under the Sales and Use Tax Law for a refund of the amount paid.
(b) (1) If applicable, the department shall determine all local use taxes that the applicant is responsible to pay by specific address data provided by the applicant and to which the vessel shall be registered.
The department shall utilize all available tools, including those available through the State Board of Equalization, to determine the correct use tax rates to apply to the applicant.
(2) Using the specific address data provided by the applicant and to which the vehicle shall be registered, the department shall identify the correct tax area code for the applicable local jurisdiction to which the vessel shall be registered and to which the local use tax shall be allocated. The State Board of Equalization shall provide a list of state tax area codes applicable to each jurisdiction for purposes of allocating the local use taxes directly, pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) and the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code).
(c) The department shall transmit all collections of the use tax and penalty made under this section to the State Board of Equalization. The department also shall
collect and transmit to the board specific address data provided by applicants upon application and to which a purchased vessel will be registered, for proper allocation of use tax collections. The transmitted data shall be subject to the requirements of Section 7056 of the Revenue and Taxation Code.
transmit the tax area codes and the amount of local use tax and penalty collections attributable to those tax area codes to the board for the proper direct allocation of local use tax collections.
This transmittal shall be made at least monthly, accompanied by a schedule in the form that the department and board may prescribe.
(d) The State Board of Equalization shall reimburse the department for its costs incurred in carrying out the provisions of this section.
(e) In computing any use tax or penalty under this section, dollar fractions shall be disregarded in the manner specified in Section 9559. Payment of tax and penalty on this basis shall be deemed full compliance with the requirements of the Sales and Use Tax Law and local transaction and use tax law insofar as they are applicable to the use of vessels to which this section relates.
(f) The department and the State Board of Equalization shall enter into an agreement for the collection of the use tax pursuant to this section and Section 6294 of the Revenue and Taxation Code. The agreement shall specify the procedures agreed upon by the department and the board for collection of the tax and the reimbursement provided for in subdivision (d). The agreement shall be approved by the Department of Finance.
(g) It is the intent of the Legislature that the department and the State Board of Equalization administer this part in a manner that ensures that applicable Bradley-Burns uniform local
sales
use
taxes and local transaction and use taxes are collected and then remitted to the specific jurisdiction where the vessel is registered.
SEC. 6.
Section 38211 of the Vehicle Code is amended to read:
38211.
(a) The department shall withhold identification of or the transfer of ownership of a vehicle subject to identification under this division until the applicant pays to the department the use tax measured by the sales price of the vehicle as required by the Sales and Use Tax Law, together with penalty, if any, unless the purchaser presents evidence on a form prescribed by the State Board of Equalization that sales tax will be paid by the seller or that use tax has been collected by the seller or that the State Board of Equalization finds that no use tax is due. If the applicant so desires, he or she may pay the use tax and penalty, if any, to the department so as to secure immediate action upon his or her application for identification or transfer of ownership, and thereafter he or she may apply through the Department of Motor Vehicles to the State Board of Equalization under the Sales and Use Tax Law for a refund of the amount paid.
(b) (1) If applicable, the department shall determine all local use taxes that the applicant is responsible to pay by specific address data provided by the applicant and to which the vehicle shall be registered.
The department shall utilize all available tools, including those available through the State Board of Equalization, to determine the correct use tax rates to apply to the applicant.
(2) Using the specific address data provided by the applicant and to which the vehicle shall be registered, the department shall identify the correct tax area code for the applicable local jurisdiction to which the vehicle shall be registered and to which the local use tax shall be allocated. The State Board of Equalization shall provide a list of state tax area codes applicable to each jurisdiction for purposes of allocating the local use taxes directly, pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) and the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code).
(c) The department shall transmit all collections of use tax and penalty made under this section to the State Board of Equalization. The department also shall
collect and transmit to the board specific address data provided by applicants upon application and to which a purchased vehicle will be registered, for proper allocation of use tax collections. The transmitted data shall be subject to the requirements of Section 7056 of the Revenue and Taxation Code.
transmit the tax area codes and the amount of local use tax and penalty collections attributable to those tax area codes to the board for the proper direct allocation of local use tax collections.
This transmittal shall be made at least monthly, accompanied by a schedule in the form that the department and board may prescribe.
(d) The State Board of Equalization shall reimburse the department for its costs incurred in carrying out the provisions of this section. The reimbursement shall be effected under agreement between the agencies, approved by the Department of Finance.
(e) In computing any use tax or penalty under this section, dollar fractions shall be disregarded in the manner specified in Section 9559. Payment of tax and penalty on this basis shall be deemed full compliance with the requirements of the Sales and Use Tax Law and local transaction and use tax law insofar as they are applicable to the use of vehicles to which this section relates.
(f) It is the intent of the Legislature that the department and the State Board of Equalization administer this part in a manner that ensures that applicable Bradley-Burns uniform local
sales
use
taxes and local transaction and use taxes are collected and then remitted to the specific jurisdiction where the vehicle is registered.
Existing law requires the Department of Motor Vehicles to withhold the registration or the transfer of registration of any vehicle or vessel, and to withhold identification or transfer of ownership of any off-highway vehicle subject to identification, until the applicant for registration or identification pays to the department the use tax measured by the sales price of the vehicle or vessel as required by the Sales and Use Tax Law, together with penalty, except as specified. Existing law requires the department to transmit all collections of use tax and penalty to the State Board of Equalization.
This bill would require, in addition, that the department determine all local use taxes the applicant is responsible to pay by specific address data provided by the applicant, and where the vehicle or vessel is to be registered. The bill would require the department to transmit the
address data to the board, and would make the data subject to specified information sharing provisions.
tax area codes and the amount of local use tax and penalty collections attributable to those tax area codes to the board.
This bill would require the board to allocate the use taxes transmitted by the department to the jurisdiction where the purchaser registers the purchased vehicle or vessel by the
specific address
tax area code
data provided to the board by the department.
This bill would declare the intent of the Legislature that the department and the board administer the provisions relating to registration of vehicles and vessels and identification of off-highway vehicles for these purposes in a manner that ensures that applicable local sales taxes and local transaction and use taxes are collected and then remitted to the specific jurisdiction where the vehicle or vessel is registered.
An act to amend Sections 6292, 6293, and 6294 of the Revenue and Taxation Code, and to amend Sections 4750.5, 9928, and 38211 of the Vehicle Code, relating to vehicles.