CA SB1312

Exempts vehicle rental brokers from being classified as "marketplace facilitators" under California's Sales and Use Tax Law when facilitating passenger vehicle rentals for a commission or fee on behalf of unrelated rental companies.

Defines "vehicle rental broker" as a person facilitating passenger vehicle rentals through an online marketplace they own, operate, or control.

Defines "passenger vehicle rental" to include leases of passenger vehicles and optional accessories (child seats, GPS systems, snow chains, ski racks) that are classified as continuing sales and purchases.

Requires rental companies to be registered with the Department of Tax and Fee Administration and not be related persons to the broker for the exemption to apply.

Became effective August 29, 2022.