1 BEFORE THE CALIFORNIA STATE BOARD OF EQUALIZATION 2 450 N STREET 3 SACRAMENTO, CALIFORNIA 4 5 6 7 8 REPORTER'S TRANSCRIPT 9 DECEMBER 17, 2013 10 11 12 13 14 15 FINAL ACTIONS 16 17 18 19 20 21 22 23 24 25 26 27 REPORTED BY: Kathleen Skidgel 28 CSR NO. 9039 1 1 P R E S E N T 2 3 For the Board Jerome E. Horton of Equalization: Chairman 4 5 Michelle Steel Vice-Chairwoman 6 7 Betty T. Yee Member 8 9 George Runner Member 10 11 Marcy Jo Mandel Appearing for John 12 Chiang, State Controller (per Government Code 13 Section 7.9) 14 Joann Richmond 15 Chief Board Proceedings 16 Division 17 For the Board of 18 Equalization Staff: Deborah Cumins Business Taxes 19 Specialist III Legal Department 20 21 ---oOo--- 22 23 24 25 26 27 28 2 1 450 N STREET 2 SACRAMENTO, CALIFORNIA 3 DECEMBER 17, 2013 4 ---oOo--- 5 MS. RICHMOND: There are no items for 6 closed session. Our only matters remaining or those 7 that were taken under submission. 8 B2 Mason Jared Harrison. 9 ---oOo--- 10 B2 MASON JARED HARRISON 11 NO. 623855 12 ---oOo--- 13 MR. HORTON: Members? 14 MS. STEEL: Grant the petition. 15 MR. RUNNER: Second. 16 MR. HORTON: Rock and roll, guys. 17 Member Steel has moved to grant the 18 petition. Second by Member Runner. 19 Discussion, Members? Any objections? 20 Hearing none, such will be the order. 21 ---oOo--- 22 23 24 25 26 27 28 3 1 MR. HORTON: Ms. Richmond. 2 MS. RICHMOND: Item B3 Astra Oil Company, 3 Inc. 4 ---oOo--- 5 B3 ASTRA OIL COMPANY, INC 6 NO. 609368 7 ---oOo--- 8 MR. HORTON: Discussion, Members? 9 MS. STEEL: Sustain the Franchise Tax 10 Board. 11 MS. YEE: Second. 12 MR. HORTON: Member Steel moves to sustain 13 the Franchise Tax Board. Second by Member Yee. 14 Without objection, Members, such will be 15 the order. 16 ---oOo--- 17 18 19 20 21 22 23 24 25 26 27 28 4 1 MR. HORTON: Ms. Richmond. 2 MS. RICHMOND: C1 Florinda Garcia-San 3 Antonio. 4 ---oOo--- 5 C1 FLORINDA GARCIA-SAN ANTONIO 6 NO. 573678 (BH) 7 ---oOo--- 8 MS. STEEL: From the taxable -- 9 Am I doing the motion okay? I think I'm 10 doing too many motions here. 11 MR. HORTON: No. 12 MR. RUNNER: Go for it. 13 MS. STEEL: We want -- we want to remove 14 the 15 days of sales because of that her husband was 15 sick, and remove negligence penalty and sustain rest 16 of it -- what is it -- the, um -- the staff 17 recommendation. 18 MR. HORTON: Member Steel moves to amend 19 staff recommendation pursuant to the 15-day period 20 in which the husband was ill with cancer and to 21 remove the penalty such that -- 22 MS. STEEL: Oh, and then Offer in 23 Compromise. 24 MR. HORTON: And recommend this to Offer in 25 Compromise. 26 MR. RUNNER: Second. 27 MR. HORTON: Second by Member -- 28 MR. RUNNER: The 15 -- just to -- just 5 1 to -- the 15 days were those 15 days during that -- 2 during that -- what was it -- a two-, three-month 3 period or something? 4 MS. STEEL: Right, right. 5 MR. RUNNER: Right. 6 MS. STEEL: The three-month period. 7 MR. RUNNER: She wasn't as open as much 8 and, uh -- and the way that we -- and the way the 9 staff figured out, uhm -- 10 MR. HORTON: I think -- 11 MR. RUNNER: -- the liability was assuming 12 that those days were all open during that full 13 period of time. 14 Okay, thank you. 15 MR. HORTON: That -- are -- are we 16 suggesting that we -- we -- 17 I was okay with removing it altogether, but 18 your comments -- I just want clarification. The 19 taxpayer testified that it was five days versus ten, 20 or at least I thought. 21 MS. STEEL: Those three months. 22 MS. MANDEL: Three months. 23 MS. YEE: Three months at five days. 24 MS. STEEL: Five times three months, so 25 it's 15 days. 26 MR. HORTON: Okay. 27 MS. CUMINS: She said -- I think she said 28 January, February, March. 6 1 MS. STEEL: Right. 2 MR. RUNNER: Five days each. 3 MR. HORTON: Total of -- total of 15 days? 4 MR. RUNNER: Mm-hmm. 5 MS. CUMINS: So five days a month. 6 MR. HORTON: So moved. 7 Objection, Members? 8 Hearing none, such will be the order. 9 ---oOo--- 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 7 1 MR. HORTON: Ms. Richmond. 2 MS. RICHMOND: C2 Charles Hahn 3 Entertainment, LLC. This was a waived appearance. 4 ---oOo--- 5 C2 CHARLES HAHN ENTERTAINMENT, LLC 6 NO. 539706 (CH) 7 ---oOo--- 8 MR. HORTON: Members? 9 MS. YEE: Move to adopt the staff 10 recommendation. 11 MR. HORTON: Member Yee moves to adopt 12 staff recommendation. Second by Member Mandel. 13 Objection, Members? 14 Hearing none, such will be the order. 15 ---oOo--- 16 17 18 19 20 21 22 23 24 25 26 27 28 8 1 MR. HORTON: Ms. Richmond. 2 MS. RICHMOND: Our last item is C3 Andy's 3 BP, Inc. This is also a waived appearance. 4 ---oOo--- 5 C3 ANDY'S BP, INC. 6 No. 546362 (BH) 7 ---oOo--- 8 MR. HORTON: Member Yee moves to adopt 9 staff recommendation. Second by Member Mandel. 10 Without objection, Members, such will be 11 the order. 12 ---oOo--- 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 9 1 REPORTER'S CERTIFICATE 2 3 State of California ) 4 ) ss 5 County of Sacramento ) 6 7 I, KATHLEEN SKIDGEL, Hearing Reporter for 8 the California State Board of Equalization certify 9 that on December 17, 2013 I recorded verbatim, in 10 shorthand, to the best of my ability, the 11 proceedings in the above-entitled hearing; that I 12 transcribed the shorthand writing into typewriting; 13 and that the preceding pages 1 through 9 constitute 14 a complete and accurate transcription of the 15 shorthand writing. 16 17 Dated: January 10, 2014 18 19 20 ____________________________ 21 KATHLEEN SKIDGEL, CSR #9039 22 Hearing Reporter 23 24 25 26 27 28 10