Transparency for California Retailer Tax-Sharing Deals Advances

A bill requiring California cities to disclose how much sales tax revenue they give to retailers in exchange for the companies assigning online sales to their locations to boost revenue passed its first committee test Monday.

The state Assembly Revenue and Taxation Committee passed the bill (A.B. 2854) from Chair Jacqui Irwin (D) targeting the tax-sharing agreements between cities and companies with a 6-0 vote. It now moves to the Appropriations Committee.

The bill would apply to a few dozen cities that have agreements that send millions of dollars annually to some of the world’s largest retailers, including Apple ...