Jurris.COM
Article 4. Inclusion Of Support Services In Sales Tax of California Revenue And Taxation Code >> Division 2. >> Part 1. >> Chapter 2. >> Article 4.
For purposes of this article, notwithstanding any provision
of Chapter 1 (commencing with Section 6001), the following words have
the following meanings in extending the sales tax to support
services:
(a) "County" means a county, city and county, or a public authority or nonprofit consortium, as defined in Section 12301.6 of the Welfare and Institutions Code.
(b) "Gross receipts" means the total amount of the sales of a provider, valued in money, whether paid in money or otherwise, without any deduction for the cost of materials used, any costs of transportation of the provider, or any other expenses. "Gross receipts" shall not include a supplementary payment received by a provider pursuant to Section 12306.6 of the Welfare and Institutions Code.
(c) "Personal care services" means (1) assistance with ambulation, (2) bathing, oral hygiene, and grooming, (3) dressing, (4) care and assistance with prosthetic devices, (5) bowel, bladder, and menstrual care, (6) repositioning, skin care, range of motion exercises, and transfers, (7) feeding and assurance of adequate fluid intake, (8) respiration, and (9) assistance with self-administration of medications.
(d) (1) "Provider" means a natural person who is authorized by law to provide all of the support services defined in subdivision (i) and who makes a retail sale.
(2) "Provider" also means a nongovernmental person that arranges for the retail sale of all support services defined in subdivision (i). When this definition applies, any natural person described by paragraph (1) who provides services under the direction of the nongovernmental person is not a provider.
(e) "Recipient" means a natural person who receives support services.
(f) "Retail sale" means a sale to a recipient.
(g) "Sale" means the furnishing of support services for a consideration.
(h) "Seller" includes the State Department of Social Services in its capacity as the state agency that oversees the In-Home Supportive Services program, or a county in which county staff serve as homemakers pursuant to Section 12302 of the Welfare and Institutions Code in those instances where the department is not the seller, or a county that contracts with a nongovernmental contractor to arrange for the retail sale of support services to eligible recipients pursuant to Section 12301.6 or 12302 of the Welfare and Institutions Code, or any other nongovernmental person that arranges for the retail sale of support services, wherever located.
(i) "Support services" means the following services provided by a provider:
(1) Domestic services and services related to domestic services.
(2) Heavy cleaning.
(3) Personal care services, as defined in subdivision (c).
(4) Accompaniment when needed during necessary travel to health-related appointments or to alternative resource sites.
(5) Yard hazard abatement.
(6) Protective supervision.
(7) Teaching and demonstration directed at reducing the need for other supportive services.
(8) Paramedical services that make it possible for the recipient to establish and maintain an independent living arrangement, including those necessary paramedical services that are ordered by a licensed health care professional who is lawfully authorized to do so, which persons could provide for themselves but for their functional limitations. Paramedical services include the administration of medications, puncturing the skin, or inserting a medical device into a body orifice, activities requiring sterile procedures, or other activities requiring judgment based on training given by a licensed health care professional.
(a) "County" means a county, city and county, or a public authority or nonprofit consortium, as defined in Section 12301.6 of the Welfare and Institutions Code.
(b) "Gross receipts" means the total amount of the sales of a provider, valued in money, whether paid in money or otherwise, without any deduction for the cost of materials used, any costs of transportation of the provider, or any other expenses. "Gross receipts" shall not include a supplementary payment received by a provider pursuant to Section 12306.6 of the Welfare and Institutions Code.
(c) "Personal care services" means (1) assistance with ambulation, (2) bathing, oral hygiene, and grooming, (3) dressing, (4) care and assistance with prosthetic devices, (5) bowel, bladder, and menstrual care, (6) repositioning, skin care, range of motion exercises, and transfers, (7) feeding and assurance of adequate fluid intake, (8) respiration, and (9) assistance with self-administration of medications.
(d) (1) "Provider" means a natural person who is authorized by law to provide all of the support services defined in subdivision (i) and who makes a retail sale.
(2) "Provider" also means a nongovernmental person that arranges for the retail sale of all support services defined in subdivision (i). When this definition applies, any natural person described by paragraph (1) who provides services under the direction of the nongovernmental person is not a provider.
(e) "Recipient" means a natural person who receives support services.
(f) "Retail sale" means a sale to a recipient.
(g) "Sale" means the furnishing of support services for a consideration.
(h) "Seller" includes the State Department of Social Services in its capacity as the state agency that oversees the In-Home Supportive Services program, or a county in which county staff serve as homemakers pursuant to Section 12302 of the Welfare and Institutions Code in those instances where the department is not the seller, or a county that contracts with a nongovernmental contractor to arrange for the retail sale of support services to eligible recipients pursuant to Section 12301.6 or 12302 of the Welfare and Institutions Code, or any other nongovernmental person that arranges for the retail sale of support services, wherever located.
(i) "Support services" means the following services provided by a provider:
(1) Domestic services and services related to domestic services.
(2) Heavy cleaning.
(3) Personal care services, as defined in subdivision (c).
(4) Accompaniment when needed during necessary travel to health-related appointments or to alternative resource sites.
(5) Yard hazard abatement.
(6) Protective supervision.
(7) Teaching and demonstration directed at reducing the need for other supportive services.
(8) Paramedical services that make it possible for the recipient to establish and maintain an independent living arrangement, including those necessary paramedical services that are ordered by a licensed health care professional who is lawfully authorized to do so, which persons could provide for themselves but for their functional limitations. Paramedical services include the administration of medications, puncturing the skin, or inserting a medical device into a body orifice, activities requiring sterile procedures, or other activities requiring judgment based on training given by a licensed health care professional.
(a) Beginning on the date for which the federal Centers for
Medicare and Medicaid Services approves implementation of the state
plan amendment described in subdivision (c) of Section 12306.6 of the
Welfare and Institutions Code, but no earlier than January 1, 2012,
for the privilege of selling support services at retail, the sales
tax is hereby extended to all providers at the rate, as described in
subdivision (b), of the gross receipts of any provider from the sale
of all support services sold at retail in this state.
(b) The rate extended by subdivision (a) is the rate, as may be amended from time to time, imposed by Article 1 (commencing with Section 6051) plus the rate imposed by Section 35 of Article XIII of the California Constitution for the privilege of selling tangible personal property at retail in this state.
(c) Notwithstanding the implementation date of this article as provided for in subdivision (a), no tax shall be collected pursuant to this article prior to the receipt of approval by the federal Centers for Medicare and Medicaid Services of the implementation of Section 12306.6 of the Welfare and Institutions Code.
(b) The rate extended by subdivision (a) is the rate, as may be amended from time to time, imposed by Article 1 (commencing with Section 6051) plus the rate imposed by Section 35 of Article XIII of the California Constitution for the privilege of selling tangible personal property at retail in this state.
(c) Notwithstanding the implementation date of this article as provided for in subdivision (a), no tax shall be collected pursuant to this article prior to the receipt of approval by the federal Centers for Medicare and Medicaid Services of the implementation of Section 12306.6 of the Welfare and Institutions Code.
For the efficient administration of this article and the
collection of tax from providers, a seller shall register with the
board, collect the tax from the provider, and report and pay the tax
to the board.
For the efficient administration of this article and the
collection of tax from providers, Article 1.1 (commencing with
Section 6470) of Chapter 5, pertaining to prepayment of taxes, shall
not apply to sellers until no later than three months after the date
that federal approval is obtained pursuant to subdivision (c) of
Section 12306.6 of the Welfare and Institutions Code.
A seller shall file with the board an application pursuant to
Section 6066, which shall state that the applicant will actively
engage in arranging for the retail sale of support services.
After compliance by the seller with Section 6156 and by the
seller and the board with Section 6067, the board shall grant and
issue a permit or permits to each applicant pursuant to Section 6067,
except that the board shall grant and issue a single permit to the
State Department of Social Services without regard to its multiple
places of business.
A permit issued pursuant to this article shall be held only
by a seller that is actively engaged in arranging for the retail sale
of support services. Any seller not so engaged shall forthwith
surrender its permit to the board for cancellation. The board may
revoke the permit of a seller found to be not actively engaged in
arranging for the retail sale of support services.
For purposes of Section 6486, a seller is a retailer.
Every provider and seller shall keep any records, receipts,
invoices, and other pertinent papers in such form as the board may
require.
The board, or any person authorized in writing by the board,
may examine the books, papers, records, and equipment of any seller
or provider, and may investigate the character of the business of the
seller, pursuant to Section 7054.
Notwithstanding Section 7101, all revenues, less refunds,
derived from the taxes extended by this article shall be deposited in
the State Treasury to the credit of the Personal Care IHSS Quality
Assurance Revenue Fund, which is hereby created. Notwithstanding
Section 13340 of the Government Code, the money in the fund is
continuously appropriated, without regard to fiscal years, to the
State Department of Social Services for disbursement in the manner,
and for the purposes, set forth in Section 12306.6 of the Welfare and
Institutions Code. All interest or other increment resulting from
investment or deposit of moneys in the fund shall be deposited in the
fund, notwithstanding Section 16305.7 of the Government Code.
(a) (1) This article shall become operative only if federal
Medicaid approval sought by the Director of Health Care Services
pursuant to paragraph (1) of subdivision (c) of Section 12306.6 of
the Welfare and Institutions Code is granted.
(2) If approval is granted as described in paragraph (1), within 10 days of that approval the Director of Health Care Services shall notify the State Board of Equalization, and the fiscal and appropriate policy committees of the Legislature, of the approval pursuant to paragraph (3) of subdivision (c) of Section 12306.6 of the Welfare and Institutions Code.
(b) The Department of Finance shall notify the board, within 10 days of the final decision, of a final decision by the California Supreme Court or any California Court of Appeal that the revenues collected pursuant to this article that are deposited in the Personal Care IHSS Quality Assurance Revenue Fund are "General Fund revenues which may be appropriated pursuant to Article XIII B" or "General Fund proceeds of taxes appropriated pursuant to Article XIII B" as used in subdivision (b) of Section 8 of Article XVI of the California Constitution, without regard to the validity of this section. This article shall become inoperative on the first day of the next calendar quarter following 30 days after the date of that final decision.
(2) If approval is granted as described in paragraph (1), within 10 days of that approval the Director of Health Care Services shall notify the State Board of Equalization, and the fiscal and appropriate policy committees of the Legislature, of the approval pursuant to paragraph (3) of subdivision (c) of Section 12306.6 of the Welfare and Institutions Code.
(b) The Department of Finance shall notify the board, within 10 days of the final decision, of a final decision by the California Supreme Court or any California Court of Appeal that the revenues collected pursuant to this article that are deposited in the Personal Care IHSS Quality Assurance Revenue Fund are "General Fund revenues which may be appropriated pursuant to Article XIII B" or "General Fund proceeds of taxes appropriated pursuant to Article XIII B" as used in subdivision (b) of Section 8 of Article XVI of the California Constitution, without regard to the validity of this section. This article shall become inoperative on the first day of the next calendar quarter following 30 days after the date of that final decision.
This article shall remain in effect only until the January 1
following the date the tax extended by this article becomes
inoperative pursuant to subdivision (b) of Section 6170, and as of
that date is repealed.
