Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2016
Sales and Use Tax Annotations
220.0000 "ENGAGED IN BUSINESS"
220.0249 Software Training Sessions. An out-of-state firm with no employees, inventory, or assets in California has sold less than 10 packages of software. One of the packages was sold to a California firm. The sale was generated through contacts at a trade show or through referrals by sales representatives of other software vendors. All property was delivered by common carrier. As part of the sale, the company sends an employee to the customer's place of business to conduct a two-day seminar.
The training seminar is a clear and definite presence in this state related to a specific sale of tangible personal property. The company is engaged in business in California within the meaning of section 6203(b). Also, it appears that the activities of the firm's representatives in this state on its behalf may be an independent basis for regarding the firm as engaged in business in California within the meaning of section 6203(b). 12/15/95.