DAR File No. 27825

Tax Commission, Auditing

R865-19S-52

Federal, State and Local Taxes Pursuant to Utah Code Ann. Section 59-12-102

NOTICE OF PROPOSED RULE

DAR File No.: 27825
Filed: 04/15/2005, 01:59
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

As a result of S.B. 147 (2003), the definition of purchase price in Section 59-12-102 now indicates that a tax imposed on the seller is subject to sales tax. Thus, this section is no longer necessary. (DAR NOTE: S.B. 147 is found at UT L 2003 Ch 312, and was effective 07/01/2004.)

Summary of the rule or change:

The section is removed.

State statutory or constitutional authorization for this rule:

Section 59-12-102

Anticipated cost or savings to:

the state budget:

None--Any impact would have been taken into account in S.B. 147 (2003).

local governments:

None--Any impact would have been taken into account in S.B. 147 (2003).

other persons:

None--Any impact would have been taken into account in S.B. 147 (2003).

Compliance costs for affected persons:

None--The substance of the rule has been codified in statute.

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

None--The substance of the rule has been codified. Pam Hendrickson, Commission Chair

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

Direct questions regarding this rule to:

Sheri McFall at the above address, by phone at 801-297-3901, by FAX at 801-297-3919, or by Internet E-mail at sherimcfall@utah.gov

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:

06/01/2005

This rule may become effective on:

06/02/2005

Authorized by:

Pam Hendrickson, Commissioner

RULE TEXT

R865. Tax Commission, Auditing.

R865-19S. Sales and Use Tax.

[R865-19S-52. Federal, State and Local Taxes Pursuant to Utah Code Ann. Section 59-12-102.

A. Federal excise tax involved in a transaction which is subject to sales or use tax is exempt from sales and use tax provided the federal tax is separately stated on the invoice or sales ticket and collected from the purchaser.

B. State and local taxes are taxable as a part of the sales price of an article if the tax is levied on the manufacturer or the seller.

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

[December 21, 2004]2005

Notice of Continuation April 5, 2002

59-12-102

ADDITIONAL INFORMATION

PLEASE NOTE:

• Text to be deleted is struck through and surrounded by brackets (e.g., [example]). Text to be added is underlined (e.g., example). Some browsers may not depict some or any of these attributes on the screen or when the document is printed.
• Please see the DISCLAIMER regarding information available from state web pages.

For questions regarding the content or application of this rule, please contact Sheri McFall at the above address, by phone at 801-297-3901, by FAX at 801-297-3919, or by Internet E-mail at sherimcfall@utah.gov

For questions about the rulemaking process, please contact the Division of Administrative Rules (801-538-3764). Please Note: The Division of Administrative Rules is NOT able to answer questions about the content or application of these administrative rules.