NEW SALES & USE TAX EXEMPTIONS.

Gas finally gets a break. California's recently approved 2001-02 budget included a "budget trailer" bill that enacted a number of new sales and use tax exemptions.

Beginning Sept 1, sales and purchases of liquefied petroleum gas liquefied petroleum gas or LPG, mixture of gases, chiefly propane and butane, produced commercially from petroleum and stored under pressure to keep it in a liquid state. The boiling point of liquefied petroleum gas varies from about −44°C; to 0°C; (−47°F; to 32°F;), so that the pressure required to liquefy it is considerable and the containers for it must be of heavy steel. for household use or for producing and harvesting agricultural products may qualify for an exemption from the California sales and use tax.

Also beginning Sept. 1, new partial sales and use tax exemptions go into effect for certain sales and purchases of: farm equipment and machinery; commercial timber harvesting equipment and machinery; diesel fuel used for farming, food processing and transportation to the market place; and racehorse breeding stock.

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Title Annotation:	California's petroleum price policy
Publication:	California CPA
Article Type:	Brief Article
Geographic Code:	1U9CA
Date:	Sep 1, 2001
Words:	105
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Topics:	Petroleum Prices and rates Petroleum industry Political aspects

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