Business Taxes Committee Unit
The Business Taxes Committee Unit (BTC) considers issues relating to the sales and use tax laws and special taxes and fees laws. To receive future distributions of BTC materials, you may request to be added to the BTC All Topics mailing list or indicate a specific topic's mailing list by emailing your contact information to: BTFD-BTC.InformationRequests@cdtfa.ca.gov.
Current Informal Rulemaking Topics
The BTC team address topics via an informal rulemaking process, by providing a forum for interested parties to discuss issues and present any additional suggestions or comments. Below is a listing of the BTC team's current topics.
| Topic | Upcoming Meetings | Notice/Information |
|---|---|---|
| "Tax Revenue Sharing Agreement Reporting and Penalty" – The Department is considering drafting an emergency regulation to address the local tax revenue sharing agreement reporting and publication requirements and clarify the imposition of the penalty provided by Revenue and Taxation Code (RTC) section 7213, as added by Assembly Bill No. 2854. This meeting will provide an opportunity to discuss and receive input on the assorted issues related to RTC section 7213. | December 16, 2024 Meeting Agenda |
Discussion Paper |
| "Technology Transfer Agreements Workshop" – A third workshop to discuss and receive input on technology transfer agreements (TTAs). The workshop will provide an opportunity to discuss and receive input on three main proposals and any other TTA related topics raised by the participants. |
Workshop held on December 9, 2024 Technology Transfer Agreements Workshop |
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| "Proposed certification of emergency Regulation 3802, Gross Receipts from Sales of Cannabis and Cannabis Products" – Regulation 3802 clarifies what is included in gross receipts subject to the cannabis excise tax as provided in Revenue and Taxation Code Section 34011.2. | Interested parties meeting held August 29, 2024 Discussion Paper |
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| "Revisions to Hazardous Substances Tax Regulations 3000, Generator of Hazardous Waste, and 3021, Relief from Liability, and new Hazardous Substances Tax Regulation 3001, Generation and Handling of Hazardous Waste Fee Operative on and after January 1, 2022" — Proposed amendments and new regulation to implement, interpret, and make specific the amendments made to the Hazardous Substances Tax Law (Rev. & Tax. Code section 43001 et seq.) and chapter 6.5, Hazardous Waste Control Law, of division 20 of the Health and Safety Code by Senate Bill No. 158 (Stats. 2021, ch. 73). | Interested parties meeting held April 18, 2024 Discussion Paper |
Completed Informal Rulemaking Topics
When topics have completed the informal rulemaking process, CDTFA begins preparing the formal rulemaking documents to submit the proposed regulations or regulatory amendments to the Office of Administrative Law. Below is a listing of topics that have completed informal rulemaking.
| Topic | Upcoming Meetings | Notice/Information |
|---|---|---|
| "Proposed certification of emergency amendments to Cannabis Tax Regulation 3700, Cannabis Excise and Cultivation Taxes; Proposed certification of emergency Cannabis Tax Regulations 3703, Excess Cannabis Tax, 3800, Cannabis Excise Tax and Cannabis Retailer Excise Tax Permit, renumbered as Regulation 3801 with amendments, 3805, Cannabis Excise Tax Credit, 3810, Vendor Compensation with amendments; Proposed Cannabis Tax Regulations 3800, Application of Chapter and Definitions, and 3820, Responsible Person Liability; and Proposed amendments to Fee Collection Procedures Law Regulation 3501, Records" – Proposed rulemaking to implement, interpret, and make specific the provisions of the Cannabis Tax Law as it was amended by Assembly Bill No. 195. | See Status of Proposed Rules and Regulations | |
| "Revisions to the Emergency Telephone Users Surcharge (ETUS) regulations and Prepaid Mobile Telephony Services (MTS) regulations" – Proposed amendments and regulations conform with the provisions of the ETUS Act as provided by Senate Bill 96 and Assembly Bill 988. Proposed amendments to the Prepaid MTS regulations are necessary as the Prepaid MTS Surcharge Collection Act was repealed on January 1, 2020, and the Local Prepaid MTS Collection Act was amended by Senate Bill 1441. | Interested parties meeting held November 30, 2023 Discussion Paper |
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| “Revisions to Regulation 1685.5, Calculation of Estimated Use Tax – Use Tax Table” – Proposed amendments are to clarify the regulation, delete outdated provisions, and update the data sources used to compute the percentage of income spent on taxable purchases. | Interested parties meeting held August 23, 2023 Discussion Paper |
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| “Revisions to Regulation 1620.1, Sales of Certain Vehicles and Trailers for Use in Interstate or Out-of-State Commerce and newly proposed Regulation 1620.15, Sales of Vehicles for Use Exclusively Out-of-State or in Interstate or Foreign Commerce” – Proposed amendments to Regulation 1620.1, Sales of Certain Vehicles and Trailers for Use in Interstate or Out-of-State Commerce, and proposed new Regulation 1620.15, Sales of Vehicles for Use Exclusively Out-of-State or in Interstate or Foreign Commerce, to implement, interpret, and make specific the exemptions from sales and use tax provided by Revenue and Taxation Code (RTC) sections 6388 and 6388.5. | Interested parties meeting held June 8, 2023 Discussion Paper |