California – Proposed Bill No. AB 1562: Exemption – Disaster Preparedness Products

SALT Report 3760 – Introduced by Assembly Member Kim on January 4, 2016.  This bill proposes to exempt from those taxes the gross receipts from the sale of, and the storage, use, or other consumption of, qualified disaster preparedness products sold or purchased during a 2-day period beginning at 12:01 a.m. on the 2nd Saturday in October, 2017, and ending at 12:00 midnight the following Sunday, or for which an order is placed, a layaway agreement is entered into, a rain check is issued or other specified orders are placed, during this period, as specified

According to the proposed bill (Section 6380.2(b)(2)) “Qualified disaster preparedness product” means any of the following tangible personal property:

(A) A portable self-powered light source, if the gross receipts or sales price from the sale or purchase of the product is thirty dollars ($30) or less.

(B) A portable self-powered radio, two-way radio, or weather-band radio, if the gross receipts or sales price from the sale or purchase of the product is sixty dollars ($60) or less.

(C) A preassembled first-aid kit, if the gross receipts or sales price from the sale or purchase of the product is thirty dollars ($30) or less.

(D) A gas or diesel fuel tank, if the gross receipts or sales price from the sale or purchase of the product is twenty-five dollars ($25) or less.

(E) A package of AA cell, C cell, D cell, 6 volt, or 9 volt batteries, but not automobile or boat batteries, if the gross receipts or sales price from the sale or purchase of the product is thirty dollars ($30) or less.

(F) A nonelectric food storage cooler, if the gross receipts or sales price from the sale or purchase of the product is thirty dollars ($30) or less.

(G) A portable generator that is used to provide light or communications or preserve food in the event of a power outage, if the gross receipts or sales price from the sale or purchase of the product is seven hundred fifty dollars ($750) or less.

(H) A water purification system, if the gross receipts or sales price from the sale or purchase of the product is forty dollars ($40) or less.

(I) A battery-operated emergency beacon, if the gross receipts or sales price from the sale or purchase of the product is fifty dollars ($50) or less.

(J) Emergency flares, if the gross receipts or sales price from the sale or purchase of the product is twenty dollars ($20) or less.

For further Information:

Bill Number 1562-Introduced