California Code of Regulations › Title 18 - Public Revenues › Division 2 - California Department of Tax and Fee Administration- Business Taxes (State Board of Equalization- Business Taxes, See Ch. 6 and 9.9) › Chapter 4 - Sales and Use Tax › Article 2 - Contractors and Subcontractors › Section 1521.4 - Factory-Built Housing

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a)
				  General. "Gross receipts" from the sale of factory-built housing, and the
				  "sales price" of factory-built housing, sold or stored, used, or otherwise
				  consumed in this state shall be 40 percent of the sales price of the
				  factory-built housing to the consumer.
(b) Definitions.
(1) Factory-built housing includes only those
				  particular models or units that are approved by the Department of Housing and
				  Community Development of the State of California (Department) or by the local
				  building authority under contract with the Department as factory-built housing
				  within Section
				  19971
				  of the Health and Safety Code. Those models or units approved as factory-built
				  housing by the Department or local building authority bear an insignia of
				  approval issued by the Department under Section
				  19980
				  of the Health and Safety Code and attached at the factory before shipment.
Such models or units include:
(A) A residential building, dwelling unit, or
				  an individual dwelling room or combination of rooms thereof, or building
				  component, assembly, or system, so manufactured that all of its parts cannot be
				  inspected prior to affixation to realty without disassembly, damage, or
				  destruction, including units designed for use as part of an institution for
				  resident or patient care, which is either wholly manufactured or is in
				  substantial part manufactured at an offsite location to be wholly or partially
				  assembled onsite in accordance with regulations adopted by the Commissioner of
				  Housing and Community Development of the State of California or in accordance
				  with applicable local building requirements if such factory-built housing is
				  inspected and approved by the local enforcement agency at the place and time of
				  manufacture pursuant to Section
				  19990
				  of the Health and Safety Code.
(B)
				  "Modular housing," which is a three dimensional box or cube-shaped structure or
				  structures making up one or more rooms of a residential building, or an
				  institution or part thereof for resident or patient care.
(C) "Sectionalized housing," which generally
				  consists of two modules which form a total living unit of a residential
				  building, or an institution or part thereof for resident or patient
				  care.
(D) "Modular," "utility," or
				  "wet cores," which are three-dimensional habitable rooms or modules and which
				  are generally comprised of a kitchen or a bathroom or bathrooms of a
				  residential building, or an institution or part thereof for resident or patient
				  care.
(E) "Fixtures" and
				  "materials," as defined in regulation 1521, which were included as items sold
				  or purchased as a part of the factory-built housing package and installed in
				  the resulting structure.