Utah Department of Administrative Services Office of Administrative Rules

File No. 33292

This notice was published in the January 15, 2010, issue (Vol. 2010, No. 2) of the Utah State Bulletin.

Tax Commission, Auditing

Rule R865-16R

Severance Tax

Five-Year Notice of Review and Statement of Continuation

DAR File No.: 33292
Filed: 12/29/2009 12:18:45 PM


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

Section 59-2-203 indicates how taxable value shall be determined for purposes of imposing the mining severance tax of 2.6% of taxable value. The section requires the Tax Commission to establish a rule setting forth an established authority for market prices of metals, and a process for determining the value of metals sold between affiliated companies where a bona fide sale has not taken place.

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

No written comments have been received.

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

The rule establishes authority and promulgates processes both required by statute and necessary in the determination of fair market value. The rule is necessary to ensure that the measurement of taxable value is consistent among the different taxpayers, thereby ensuring that all pay their fair share of tax. 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:

Tax Commission
210 N 1950 W

Direct questions regarding this rule to:

  • D'Arcy Dixon at the above address, by phone at 801-297-3906, by FAX at 801-297-3901, or by Internet E-mail at ddixon@utah.gov



Authorized by:

D'Arcy Dixon, Commissioner

Additional Information

The Portable Document Format (PDF) version of the Bulletin is the official version. The PDF version of this issue is available at http://www.rules.utah.gov/publicat/bull-pdf/2010/b20100115.pdf. The HTML edition of the Bulletin is a convenience copy. Any discrepancy between the PDF version and HTML version is resolved in favor of the PDF version.

For questions regarding the content or application of this rule, please contact D'Arcy Dixon at the above address, by phone at 801-297-3906, by FAX at 801-297-3901, or by Internet E-mail at ddixon@utah.gov.