Democratic Senator Kevin de Leon is authoring the bill in response to the shootings at Sandy Hook Elementary in Connecticut.
He says he has no intention of stopping law abiding citizens from purchasing ammunition.
DELEON:"But the question must be asked especially in light of the tragedy just a few days ago, must we allow either criminals or gang members, or in this case the mentally ill to purchase ammunition by the pallet, no questions asked."
The estimated cost of the proposed ammunition permit would be 50-dollars.
A similar law passed in 2009 would have required a permit and background check for anyone purchasing handgun ammunition.
That law was challenged by the National Rifle Association which argued that there is no such thing as handgun ammunition.
It's now in the appeals process.
De Leon says if passed the new legislation would render the lawsuit moot.