No. 27072 (Amendment): R865-19S-30. Purchase Price or Sales Price Defined Pursuant to Utah Code Ann. Sections 59-12-102 and 59-12-104

DAR File No.: 27072
Filed: 04/12/2004, 09:12
Received by: NL

 

RULE ANALYSIS

Purpose of the rule or reason for the change:

Subsections 59-12-104 (13) and (18) provide that the sale of a vehicle or vessel by a person not regularly engaged in business is subject to sales tax.

 

Summary of the rule or change:

The proposed amendment deletes the definition of purchase price and sale price, as those terms are defined in statute; deletes reference to a section that has been deleted; and places in the section the substance of the language in the section that was repealed.

 

State statutory or constitutional authorization for this rule:

Sections 59-12-102 and 59-12-104

 

Anticipated cost or savings to:

the state budget:

None--The proposed amendments are not substantive.

 

local governments:

None--The proposed amendments are not substantive.

 

other persons:

None--The proposed amendments are not substantive.

 

Compliance costs for affected persons:

None--The proposed amendments are technical in nature and have no substantive effect in the determination of sales tax due on a vehicle or vessel by a person not regularly engaged in business.

 

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

None--The proposed amendment has no substantive impact.

 

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.

R865-19S. Sales and Use Tax.

R865-19S-30. [Purchase Price or Sales Price Defined]Sale of a Vehicle or Vessel by a Person Not Regularly Engaged in Business Pursuant to Utah Code Ann. [Sections 59-12-102 and]Section 59-12-104.

[A. Fair market value for purposes of Sections 59-12-104(14) and 59-12-104(19) shall be determined in accordance with the provisions of Tax Commission Rule R884-24P-46.

B. "Purchase price" and "sales price" may be used interchangeably.]A. This rule provides guidance on the sale of a vehicle or vessel by a person not regularly engaged in business for purposes of Subsections 59-12-104(13) and (18).

[C.]B. For purposes of calculating sales and use tax on the sale of a vehicle where no trade in was involved, the bill of sale or other written evidence of value shall contain the names and addresses of the purchaser and the seller, and the sales price and vehicle identification number of the vehicle.

[D.]C. For purposes of calculating sales and use tax on the sale of a vehicle when the seller has received a trade-in vehicle as payment or partial payment, the bill of sale or other written evidence of value shall contain all of the following:

1. the names and addresses of the buyer and the seller;

2. the purchase price of the vehicle;

3. the value allowed for the trade-in vehicle;

4. the net difference between the vehicle traded and the vehicle purchased;

5. the signature of the seller; and

6. the vehicle identification numbers of the vehicle traded in and the vehicle purchased.

D. In the absence of a bill of sale or other written evidence of value, the fair market value of the vehicle or vessel shall be determined by industry accepted vehicle pricing guides.

 

KEY: charities, tax exemptions, religious activities, sales tax

[October 29, 2003]2004

Notice of Continuation April 5, 2002

59-12-102

59-12-104