Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
(e) RETAIL SALE OR SALE FOR RESALE—DELIVERY BY OWNER, FORMER OWNER, FACTOR OR AGENT
495.0920 Out-of-State Delivery for Resale. Where a California seller sells trucks to an out-of-state dealer for resale purposes, and seller's driver drives the truck to the buyer's place of business without the aid of any employee or representative of the buyer, the seller does not incur tax liability under the second paragraph of section 6007. This would also be true if the ultimate consumer reimburses the out-of-state dealer for fuel and other operating expenses including wages, meals and hotel accommodations of the driver, provided the driver is in no sense the consumer's agent. Likewise, no tax liability would accrue as to parts sold to such out-of-state dealer for resale and delivered in the same truck. 3/30/55.