SB-87 • 2026

Sales and Use Tax Law: consumer designation: all-volunteer fire departments.

Budget Taxes

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Seyarto
Last action: 2025-10-01
Official status: Chaptered by Secretary of State. Chapter 212, Statutes of 2025.
Effective date: Not listed

Plain English Breakdown

The official source material does not provide specific details on how the profits will be used or the long-term effects on tax revenues, leaving these points as limits and unknowns.

Sales Tax Exemption Extension for Volunteer Fire Departments

The law extends the sales and use tax exemption for all-volunteer fire departments until January 1, 2031.

What This Bill Does

Extends the current sales and use tax exemption for all-volunteer fire departments until January 1, 2031.

Who It Names or Affects

All-volunteer fire departments that sell tangible personal property and use profits for their purposes.
Local governments that collect sales taxes.

Terms To Know

all-volunteer fire department: A fire department made up entirely of volunteers who do not receive a salary or other compensation from the government.
tangible personal property: Physical items that can be touched, like furniture or equipment.

Limits and Unknowns

The bill does not specify how volunteer fire departments will use their profits.
It is unclear if the extension of the exemption until January 1, 2031, will have any long-term effects on local tax revenues.

Bill History

2025-10-01 California Legislative Information
Chaptered by Secretary of State. Chapter 212, Statutes of 2025.
2025-10-01 California Legislative Information
Approved by the Governor.
2025-09-09 California Legislative Information
Enrolled and presented to the Governor at 2 p.m.
2025-09-03 California Legislative Information
Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2467.) Ordered to engrossing and enrolling.
2025-08-28 California Legislative Information
In Senate. Concurrence in Assembly amendments pending.
2025-08-28 California Legislative Information
Read third time. Passed. (Ayes 75. Noes 0. Page 2767.) Ordered to the Senate.
2025-07-03 California Legislative Information
Read second time. Ordered to third reading.
2025-07-02 California Legislative Information
From committee: Do pass. (Ayes 14. Noes 0.) (July 2).
2025-06-24 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 0.) (June 23). Re-referred to Com. on APPR.
2025-06-12 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on REV. & TAX.
2025-06-05 California Legislative Information
Referred to Com. on REV. & TAX.
2025-05-29 California Legislative Information
In Assembly. Read first time. Held at Desk.
2025-05-29 California Legislative Information
Read third time. Passed. (Ayes 38. Noes 0. Page 1323.) Ordered to the Assembly.
2025-05-27 California Legislative Information
Ordered to special consent calendar.
2025-05-23 California Legislative Information
Read second time. Ordered to third reading.
2025-05-23 California Legislative Information
From committee: Do pass. (Ayes 6. Noes 0. Page 1191.) (May 23).
2025-05-16 California Legislative Information
Set for hearing May 23.
2025-04-07 California Legislative Information
April 7 hearing: Placed on APPR. suspense file.
2025-03-28 California Legislative Information
Set for hearing April 7.
2025-03-12 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 5. Noes 0.) (March 12). Re-referred to Com. on APPR.
2025-02-26 California Legislative Information
Set for hearing March 12.
2025-02-24 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on REV. & TAX.
2025-01-29 California Legislative Information
Referred to Com. on REV. & TAX.
2025-01-22 California Legislative Information
From printer. May be acted upon on or after February 21.
2025-01-21 California Legislative Information
Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 87, Seyarto.
Sales and Use Tax Law: consumer designation: all-volunteer fire departments.
Existing sales and use tax laws, among other things, impose a tax on retailers measured by the gross receipts from their sales of tangible personal property sold at retail in this state. The Sales and Use Tax Law makes certain sellers of tangible personal property consumers, and not retailers, of the tangible personal property they sell, including, until January 1, 2026, an all-volunteer fire department, as defined, if the profits are used solely and exclusively in furtherance of the purposes of the all-volunteer fire department, as prescribed.
This bill would extend the sunset
described above until January 1, 2031.
Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
The bill also would include additional information required for any bill authorizing a new tax expenditure.
The Bradley-Burns Uniform Local Sales and Use Tax Law authorizes counties and cities to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and existing laws authorize 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. Amendments to the Sales and Use Tax Law are automatically incorporated into the local tax laws.
Existing law requires the state to reimburse counties and cities for revenue losses caused by the enactment of sales and use tax exemptions.
This bill would provide that, notwithstanding Section 2230 of the Revenue and Taxation Code, no appropriation is made and the state shall not reimburse any local agencies for sales and use tax revenues lost by them pursuant to this bill.
This bill would take effect immediately as a tax levy.

Current Bill Text

Read the full stored bill text

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