06/29/2017 13:55 to 01/01/2018 17:00 Important Message! Effective July 1, 2017 the State Board of Equalization has been restructured to better serve taxpayers. Learn more about the restructuring
(a) When purchasing from retailers engaged in business in this state or authorized by the board to collect the tax:
(1) The consumer must at the time of the sale or making of lease payments pay the tax to the retailer and obtain a receipt therefor, which receipt should be retained by the consumer.
(2) If the consumer neglects or refuses to pay the tax imposed by the act to such retailer, a determination of the amount of tax due may be levied against the consumer and a 10-percent penalty added thereto.
(b) When purchasing or leasing from retailers not engaged in business in this state or not authorized by the board to collect the tax, use tax must be reported in one of the following ways:
(c) All sellers of certain mobilehomes, vehicles, vessels, and aircraft are retailers unless another person is the retailer as provided under Sec. 6275(b). Consumers purchasing vehicles from persons or firms other than manufacturers, remanufacturers, dealers, dismantlers or lessor-retailers certificated and licensed under the Vehicle Code may be liable for use tax unless the transaction comes within some exemption provided in the law. If the tax is due, it will be collected by the Department of Motor Vehicles at the time the taxpayer registers his vehicle in California.
(d) Consumers purchasing a vessel or aircraft, unless exempt or purchased from a retailer to whom tax was paid and a receipt obtained, are liable for use tax measured by the purchase price of the vessel or aircraft. The Department of Motor Vehicles collects the use tax on sales of undocumented vessels required to be registered under the Vehicle Code.