No. 30890: R590-157. Surplus Lines Insurance Premium Tax and Stamping Fee

DAR File No.: 30890
Filed: 01/10/2008, 11:26
Received by: NL

NOTICE OF REVIEW AND STATEMENT OF CONTINUATION

Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

Section 31A-2-201 gives the commissioner the authority to write rules to implement the provisions of Title 31A. Subsection 31A-3-303(2) prescribes accounting and reporting forms and procedures to be used in calculating and paying the surplus lines premium tax. Subsection 31A-15-103(11)(d) specifies the stamping fee amount and how it is to be collected.

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

The department received one written comment during the past five years. The comment came from the Surplus Lines Association suggesting changes. Two of those changes were not included in the original change request given to the department. The department inserted these changes and refiled the rule for an additional comment period. No further comments were received.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

This rule provides procedures and reporting forms to be used by insurers, brokers and policyholders in calculating the tax due. As a result of the regulation, all who charge the tax use the same calculation to determine the amount. It makes the payment uniform and fair. Therefore, this rule should be continued.

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

Insurance
Administration
Room 3110 STATE OFFICE BLDG
450 N MAIN ST
SALT LAKE CITY UT 84114-1201

Direct questions regarding this rule to:

Jilene Whitby at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at [e-mail]

Authorized by:

Jilene Whitby, Information Specialist