CA AB1126

Reduces the transaction tax rate imposed on retailers selling tangible personal property at retail from 1/4 of 1% to 1/8 of 1% of gross receipts.

Reduces the complementary use tax rate on storage, use, or consumption of tangible personal property from 1/4 of 1% to 1/8 of 1% of the sales price.

Amends Sections 7261 and 7262 of the Revenue and Taxation Code governing local district transaction and use tax ordinances.

Maintains all existing exemptions and provisions, including exemptions for aircraft operators, out-of-district deliveries, and property sold under pre-existing contracts.