Bill To Add 11% Tax On Firearms & Ammunition Passes In Senate

A bill to add an 11% tax on firearms and ammunition in order to fund school safety measures and violence prevention programs was passed in the Senate on Thursday with the required 2/3rd votes.

Assembly Bill 28, authored by Assemblyman Jesse Gabriel (D-Woodland Hills), would impose an excise tax in the amount of 11% of the gross receipts from the retail sale in this state of a firearm, firearm precursor part, and ammunition beginning on July 1, 2024. The bill, also known as the Gun Violence Prevention and School Safety Act, would then send all collected revenues to the Gun Violence Prevention, Healing, and Recovery Fund, which would be set up in the California Treasury. From there, funds would then be divested to fund various gun violence prevention, education, research, response, and investigation programs.

Overall, the tax under AB 28 would bring in an estimated $160 million a year. Programs that would be funded by the tax specifically named by Assemblyman Gabriel would include the California Violence Intervention and Prevention Grant Program,  school mental health services and safety measures, firearm investigation and clearance rate initiatives, firearm relinquishment programs for domestic abusers and other prohibited persons, trauma-informed services for victims of gun violence, and firearm safety education.

Since AB 28 is a tax increase, the bill will needed to be approved by a 2/3rds majority in both houses, rather than a simple majority required of most bills.

Assemblyman Gabriel authored the bill earlier this year largely to help improve safety in schools and the improve firearm safety in California by having firearms owners and buyers foot the bill. He also specifically references the rise of firearms injuries, as well as other states previously enacting “longstanding commercial, occupational, or other taxes on those selling, purchasing, or possessing firearms and other dangerous weapons.” This was in addition to previous comments by Gabriel on “record profit” by gun and ammunition manufacturers while many high profile shooting incidents like Monterey Park and Half Moon Bay have taken place in California, the bill will not go after those behind the mass shootings, and instead go after legal gun owners and buyers in California, many of whom are protecting themselves from such incidents.

AB 28 passes in the Senate

Despite heavy opposition from firearms groups, the bill received enough support to climb through the state legislature. In May, the bill passed the Assembly in a 56-17 vote with 7 abstaining, strictly across party lines. The party line held through the Senate Committee votes and into the Senate vote on Thursday, where it passed with the 2/3rds needed to reach the Governor.

“I am grateful that a supermajority of the Legislature voted today to fund critical programs that will save lives and protect communities across the State of California,” said Assemblyman Jesse Gabriel on Thursday. “It’s beyond shameful that gun manufacturers are reaping record profits at the same time that gun violence has become the leading cause of death for kids in the United States. The Gun Violence Prevention and School Safety Act will help to ensure that we have the tools and resources necessary to better protect our kids and our communities.”

Former Arizona Congresswoman Gabby Giffords, who was shot in an assassination attempt in 2011 and has since become a gun control advocate, added, “California has a long history of paving the way for effective methods of reducing gun violence. It’s an undisputed leader in the fight for gun safety, and I am proud GIFFORDS has worked alongside gun violence prevention groups across the state and members of the legislature, including Assemblymember Gabriel, to help advocate for the state’s latest effort. We urge Governor Newsom to prioritize the safety of California’s kids and communities and sign The Gun Violence Prevention and School Safety Act, a top priority for the gun violence prevention movement.”

Opponents to the bill said on Thursday that if Newsom signs the bill later this month, it would only create a larger market for people buying out of state and create a more thriving black market as a result.

“This is one of those bills, that on the surface, seems good,” said Nathan Hollier, a lawyer in California who has represented many gun owners in the past. “I mean, increased gun safety and more money going to school safety fixtures seems great. But the backers of this bill have been focusing way too much on the positives, because there are a lot of negatives here we have to worry about.”

“11% is a lot all things considered, and that’s enough to get people to buy through alternate means. That means out of state, so Arizona, Nevada, Oregon and other states will see a bump in business. From LA, the Nevada border is less than four hours away. It’s been illegal to do so since 2018, but it has also been very loosely enforced. If this bill is passed and that 11% goes into effect, I suspect that bill backers will suddenly have a very hard time explaining why the estimates aren’t being met for revenue because of more people going out of state.”

“This has already been happening in a lot of places. Look at the aluminum scrap metal market between Nevada and California. Illegal, but a lot of people do it. Same for marijuana. The black market is going gangbusters and the legal market in California is eroding. Plus, there’s that old adage. If people really want to get guns and ammo, they’ll find ways to get it. Look at how many people bought guns because of the George Floyd riots in 2020. This isn’t exactly a safety backstop.”

AB 28 is expected to be signed by Governor Newsom.