Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
395.0000 OCCASIONAL SALES—SALE OF A BUSINESS—BUSINESS REORGANIZATION—Regulation 1595
(g) "SUBSTANTIALLY ALL THE PROPERTY"—TRANSFER OF
395.1381 Part of Property or Segment of Business Transferred. The term "substantially all the property" as used in subdivision (b) of section 6006.5 of the Revenue and Taxation Code means all property, not just the property held in the course of a single activity which requires the holding of a seller's permit. Accordingly, a business which sells merchandise to two classes of clientele (such as wholesale customers and retail customers) is engaged in one activity. Even if one were to accept the argument that it constituted two activities, section 6006.5 requires the transfer of all or substantially all the assets used in all selling activities. 5/13/74.