Sales and use tax exclusion: income taxes credits: electric vehicle infrastructure.

(1) 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, measured by sales price. The Sales and Use Tax Law defines the terms "gross receipts" and "sales price." This bill, on and after January 1, 2017, and before January 1, 2020, would exclude from the terms "gross receipts" and "sales price" 10% of the gross receipts or sales price of electric vehicle infrastructure, as defined, purchased for use at a qualified dwelling, as defined. The bill would limit this exclusion to that amount of gross receipts or sales price that does not exceed $400,000. The Bradley-Burns Uniform Local Sales and Use Tax Law authorizes cities and counties to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and existing law authorizes districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Exemptions from state sales and use taxes are incorporated into these laws. This bill would specify that this exclusion does not apply to local sales and use taxes or transactions and use taxes. (2) The Personal Income Tax Law and the Corporation Tax Law allow various credits against the taxes imposed by those laws. This bill would allow a credit against those taxes for each taxable year beginning on or after January 1, 2017, and before January 1, 2020, in an amount equal to 10% of the costs paid or incurred by the taxpayer for the purchase of electric vehicle infrastructure, as defined, during the taxable year for use at a qualified dwelling, as defined, not to exceed $2,500, as specified. (3) This bill would take effect immediately as a tax levy.