CA SB38

Extends the consumer designation for all volunteer fire departments under sales and use tax law until January 1, 2026 (previously set to expire January 1, 2021)

Allows all volunteer fire departments to sell tangible personal property including food and clothing without being classified as retailers, provided profits are used solely for department purposes

Exemption does not apply if an all volunteer fire department has gross receipts from sales of $100,000 or more in each of the two preceding calendar years

Requires the California Department of Tax and Fee Administration to annually estimate revenue loss from this tax expenditure and report findings to the Legislature before January 1, 2023, 2024, 2025, and 2026

Clarifies that the state shall not reimburse local agencies for sales and use tax revenue losses resulting from this provision