1      BEFORE THE CALIFORNIA STATE BOARD OF EQUALIZATION

            2                        450 N STREET

            3                   SACRAMENTO, CALIFORNIA

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            8                    REPORTER'S TRANSCRIPT

            9                        JUNE 14, 2016

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           11    

           12                           ITEM F

           13                      PUBLIC HEARINGS 

           14                           ITEM F2

           15    PROPOSED AMENDMENTS TO SALES AND USE TAX REGULATION 

           16              1590, NEWSPAPERS AND PERIODICALS

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           27                      REPORTED BY:  Kathleen Skidgel 

           28                                     CSR NO. 9039




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            1                        P R E S E N T

            2             

            3    For the Board               
                 of Equalization:           Fiona Ma, CPA
            4                               Chairwoman
                 
            5                               Diane L. Harkey
                                            Vice Chair
            6    
                                            Jerome E. Horton
            7                               Member
                 
            8                               Sen. George Runner (Ret.)
                                            Member                  
            9    
                                            Yvette Stowers 
           10                               Appearing for Betty T. 
                                            Yee, State Controller 
           11                               (per Government Code 
                                            Section 7.9)
           12    
                                            Joann Richmond 
           13                               Chief 
                                            Board Proceedings      
           14                               Division
                 
           15    

           16    For Board of
                 Equalization Staff:        Scott Claremon
           17                               Tax Counsel III
                                            Legal Department
           18    
                                            Bradley Heller
           19                               Tax Counsel IV
                                            Legal Department
           20    

           21                          ---oOo---

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            1                               450 N STREET

            2                               SACRAMENTO, CALIFORNIA

            3                               JUNE 14, 2016

            4                          ---oOo--- 

            5             MS. MA:  Next item, Ms. Richmond?  

            6             MS. RICHMOND:  Our next item is Item F2 

            7    Proposed Amendments to Sales and Use Tax Regulation 

            8    1590, Newspapers and Periodicals.  

            9             MS. MA:  Okay.  Thank you very much.  

           10             Gentlemen, if you could please introduce 

           11    yourself for the record.  

           12             MR. CLAREMON:  Good morning, Chairwoman Ma, 

           13    Members of the Board.  I'm Scott Claremon from the 

           14    Legal Department.  With me is Bradley Heller.  

           15             We are requesting that the Board vote to 

           16    adopt the proposed amendments to Regulation 1590, 

           17    Newspapers and Periodicals.  

           18             The proposed amendments clarify the 

           19    application of tax to lump sum charges for mixed 

           20    newspaper subscriptions and establish a presumption 

           21    that 53 percent of such a charge is for the 

           22    nontaxable digital content.  

           23             MS. MA:  Any questions, Members?  

           24             Any speakers?  

           25             Seeing none, is there a motion?  

           26             MS. STOWERS:  Move to adopt the 

           27    amendments.  

           28             MS. HARKEY:  Second.  




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            1             MS. MA:  Ms. Stowers moves to adopt staff 

            2    recommendation?  

            3             MS. STOWERS:  Yes.  

            4             MS. MA:  Okay.  Ms. Harkey seconds.  

            5             Without objection, motion carries.  

            6             Thank you, gentlemen.  

            7                          ---oOo---

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            1                   REPORTER'S CERTIFICATE

            2    

            3    State of California    )

            4                           )  ss

            5    County of Sacramento   )

            6    

            7             I, Kathleen Skidgel, Hearing Reporter for 

            8    the California State Board of Equalization certify 

            9    that on June 14, 2016 I recorded verbatim, in 

           10    shorthand, to the best of my ability, the 

           11    proceedings in the above-entitled hearing; that I 

           12    transcribed the shorthand writing into typewriting; 

           13    and that the preceding pages 1 through 4 constitute 

           14    a complete and accurate transcription of the 

           15    shorthand writing.

           16    

           17    Dated:  June 27, 2016

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           20                           ____________________________

           21                           KATHLEEN SKIDGEL, CSR #9039

           22                           Hearing Reporter

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