If any person liable for any amount under this part sells out his business or stock of goods or quits the business, his successors or assigns shall withhold sufficient of the purchase price to cover such amount until the former owner produces a receipt from the board showing that it has been paid or a certificate stating that no amount is due.
Cal. Rev. & Tax. Code § 6811
Payment on Termination of Business and Successor’s Liability
Applied in 2 court decisions — leading case 12 Cal. App. 3d 47 - Knudsen Dairy Products Co. v. State Board of Equalization (1970)
Most recently applied in Century Geophysical Corp. v. California Board of Equalization (November 1977)
Amended by Stats. 1963, Ch. 613.
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.