1. (a) The inspection tonnage tax on packaged commercial feed sold or distributed in California shall be paid by the licensee whose name appears on the label as the manufacturer, guarantor, or distributor. The inspection tonnage tax on bulk commercial feed sold or distributed in California shall be paid by the last licensee selling or distributing the commercial feed to a consumer buyer.

2. (b) Reports of taxable sales shall be made quarterly to the director not later than one calendar month after March 31, June 30, September 30, and December 31 on a form furnished by the director. Quarterly reports and payments become delinquent on May 1, August 1, November 1, and February 1, for the respective preceding quarter.

   1. (1) Delinquent reports shall be subject to the following late fees based on the amount of tonnage sold or distributed during the quarter.

      1. (A) Delinquent reports for zero tons sold or distributed shall be subject to a late fee of $100.
      2. (B) Delinquent reports for less than 10,000 tons sold or distributed shall be subject to a late fee of $200.
      3. (C) Delinquent reports for greater than or equal to 10,000 tons sold or distributed shall be subject to a late fee of $500
   2. (2) Delinquent payments shall be subject to a late fee of 15 percent of the amount past due. Payments more than 12 months delinquent shall be assessed an additional late fee of one percent per month of the amount past due.
3. (c) A completed tax report must be filed for each quarter whether or not taxable sales have been made in that period.
4. (d) Each licensee shall keep accurate records of sales of commercial feed which shall be available for examination by the director and shall include the date of sale, to whom sold, the name and net weight of the product sold. The records shall be maintained to support the reports for the previous three (3) years.

5. (e) Eligible human food by-products that are diverted to animal feed without further manufacturing/processing beyond what is stated in the ingredient definition are subject to reduced inspection tonnage tax set by the Secretary. Firms shall be exempt from paying inspection tonnage tax on the first one thousand (1,000) tons of human food by-products diverted to animal feed during the license period as defined in Section 15054 of the Food and Agricultural Code.

   1. (1) Eligible human food by-products include the following recognized official names of ingredients as defined in Article 14 of this subchapter:

      1. (A) Brewers Products: Brewers Wet Grains and Brewers Liquid Yeast.
      2. (B) Human Food By-products: Cereal Food Fines, Cull Fruit or Vegetables, Dried Bakery Product, Wet Food Processing Waste, Restaurant Food Waste, and Recovered Retail Food.
      3. (C) Milk Products: Condensed Whey Permeate, Condensed Whey Product, Condensed Delactosed Whey Permeate, Dairy Food By-products, and Whey.

Note: Authority cited: Sections 407 and 14902, Food and Agricultural Code. Reference: Sections 15061 and 15062, Food and Agricultural Code.

History

1. Amendment of subsection (b), repealer of subsection (c), and relettering of subsections (d) and (e) to subsections (c) and (d) filed 7-2-82; effective thirtieth day thereafter (Register 82, No. 27).

2. Editorial correction of Note filed 8-17-82 (Register 82, No. 34).

3. New subsection (c), subsection relettering, and amendment of newly designated subsection (d) filed 7-17-97; operative 8-16-97 (Register 97, No. 29).

4. Amendment of subsection (a), repealer of subsection (c), subsection relettering, amendment of newly designated subsections (c)-(d) and new subsection (e) filed 3-29-2022; operative 3-29-2022 pursuant to Government Code section 11343.4(b)(3) (Register 2022, No. 13). Filing deadline specified in Government Code section 11349.3(a) extended 60 calendar days pursuant to Executive Order N-40-20 and an additional 60 calendar days pursuant to Executive Order N-71-20.

5. Amendment filed 7-18-2024; operative 10-1-2024 (Register 2024, No. 29).

6. Amendment of subsection (e) and new subsections (e)(1)-(e)(1)(C) filed 11-12-2024 as an emergency; operative 11-12-2024 (Register 2024, No. 46). A Certificate of Compliance must be transmitted to OAL by 5-12-2025 or emergency language will be repealed by operation of law on the following day.

7. Amendment of subsection (e) and new subsections (e)(1)-(e)(1)(C) refiled 5-12-2025 as an emergency; operative 5-12-2025 (Register 2025, No. 20). A Certificate of Compliance must be transmitted to OAL by 8-6-2025 or emergency language will be repealed by operation of law on the following day.

8. Certificate of Compliance as to 5-12-2025 order transmitted to OAL 6-10-2025 and filed 7-1-2025 (Register 2025, No. 27).