California's New Partial Tax Exemption For Manufacturing and Research & Development

The Bloomberg BNA Tax Management Weekly State Tax Report filters through current state developments and analyzes those critical to multistate tax planning.

A.B. 93 and S.B. 90, new partial sales and use tax exemptions, recently became available in California. Taxpayers in the state can now save approximately $8 million annually if they are involved in manufacturing or research and development activities. In this article, authors Karri Rozario and Hal S. Kessler give an overview of the new partial exemption and discuss key definitions within it.