No. 27060 (Amendment): R865-12L-15. Resort Communities' Tax Pursuant to Utah Code Ann. Section 59-12-401

DAR File No.: 27060
Filed: 04/07/2004, 02:26
Received by: NL

 

RULE ANALYSIS

Purpose of the rule or reason for the change:

This section is deleted in part because some of the language has been made obsolete by changes to the resort communities tax under S.B. 147 (2003), and in part because the language currently appears in statute. (DAR NOTE: S.B. 147 is found at UT L 2003 Ch 312, and will be effective July 1, 2004.)

 

Summary of the rule or change:

This section is deleted in its entirety.

 

State statutory or constitutional authorization for this rule:

Section 59-12-401

 

Anticipated cost or savings to:

the state budget:

None--The substantive change to the imposition of the resort communities tax by S.B. 147 (2003) was taken into account by that bill. Other changes are nonsubstantive and have no impact on collections of the tax.

 

local governments:

None--The substantive change to the imposition of the resort communities tax by S.B. 147 (2003) was taken into account by that bill. Other changes are nonsubstantive and have no impact on collections of the tax.

 

other persons:

None--The substantive change to the imposition of the resort communities tax by S.B. 147 (2003) was taken into account by that bill. Other changes are nonsubstantive and have no impact on collections of the tax.

 

Compliance costs for affected persons:

More purchases made in a resort community will now be subject to the resort communities tax.

 

Comments by the department head on the fiscal impact the rule may have on businesses:

None--More purchases made in a resort community will now be subject to the resort communities tax since the $2,500 threshold for the tax has been repealed.

 

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Tax Commission
Auditing
210 N 1950 W
SALT LAKE CITY UT 84134

 

Direct questions regarding this rule to:

Cheryl Lee at the above address, by phone at 801-297-3900, by FAX at 801-297-3919, or by Internet E-mail at [e-mail]

 

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

06/01/2004

 

This rule may become effective on:

06/02/2004

 

Authorized by:

Pam Hendrickson, Commissioner

 

 

RULE TEXT

R865. Tax Commission, Auditing.

R865-12L. Local Sales and Use Tax.

[R865-12L-15. Resort Communities' Tax Pursuant to Utah Code Ann. Section 59-12-401.

A. The exemption from the resort communities sales tax is for sales of $2,500 or more, before any trade-in allowance. The item sold must be a single item of merchandise, a single charge for a specific repair, renovation or installation to tangible personal property, or a periodic rental of tangible personal property. Charges for admissions, transient room accommodations and services, or utility services are not eligible for this exemption.

B. Municipalities must submit a copy of their local tax ordinance and certification of facts establishing eligibility to impose the resort communities tax to the Tax Commission at least 30 days before the beginning of the calendar quarter when the tax is proposed to become effective.

C. If the initial tax rate adopted is less than the maximum permitted by law, and the community increases the rate, a copy of the new or amended ordinance must be sent to the Tax Commission at least 30 days prior to the beginning of the calendar quarter when the increase is proposed to become effective.

]

KEY: taxation, sales tax, restaurants, collections[*]

[June 21, 2000]2004

Notice of Continuation April 16, 2002

59-12-401