BILL NUMBER: AB 1220	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Harper

                        FEBRUARY 27, 2015

   An act to add Section 7282.1 to the Revenue and Taxation Code,
relating to local government.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1220, as introduced, Harper. Transient occupancy taxes:
residential short-term rentals units.
   Existing law authorizes the legislative body of a city or county
to levy a tax on the privilege of occupying a room or other living
space in a hotel, inn, tourist home or house, motel, or other lodging
unless the occupancy is for a period of more than 30 days, as
provided. The California Constitution also provides that a charter
city may levy local taxes to raise revenues for local purposes,
subject to restrictions imposed by that city's charter or preemption
in matters of statewide concern.
   This bill would prohibit a legislative body of a local agency,
defined to mean any city, county, city and county, including any
chartered city, county, or city and county, from levying a tax on the
privilege of occupying a residential short-term rental unit, as
defined.
   This bill would make legislative findings and declarations
regarding the statewide concern of excluding the occupancy of a
residential short-term rental unit from local transient occupancy
taxes to ensure statewide uniformity and fairness in how those taxes
are applied.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares that ordinary people
who want to earn additional income through home-sharing arrangements
should not be burdened with the collection of, and compliance with,
local transient occupancy taxes. Excluding the occupancy of a
residential short-term rental unit from local transient occupancy
taxes will ensure statewide uniformity and fairness in how those
taxes are applied, and therefore is a matter of statewide concern,
not a municipal affair, as that term is used in Section 5 of Article
XI of the California Constitution.
  SEC. 2.  Section 7282.1 is added to the Revenue and Taxation Code,
to read:
   7282.1.  (a) Notwithstanding any other law, no legislative body of
a local agency may levy a tax on the privilege of occupying a
residential short-term rental unit.
   (b) For purposes of this section:
   (1) "Local agency" means any city, county, city and county,
including any chartered city, county, or city and county.
   (2) "Residential short-term rental unit" means a residential
dwelling unit, including single-family residence, apartment,
residential condominium unit, or other residential real estate
improvement, in which members of the public, for consideration,
obtain sleeping accommodations for less than 90 days.