2000 Legislation
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HOUSE BILL NO. 689 – Sales tax, exmpt, hlth-related assn


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Daily Data Tracking History

H0689...............................................by REVENUE AND TAXATION
SALES TAX - Amends existing law to change the Idaho Heart Association to
the American Heart Association and Idaho Special Olympics to Special
Olympics Idaho in the list of health-related entities exempt from sales
02/24    House intro - 1st rdg - to printing
02/25    Rpt prt - to Rev/Tax
03/07    Rpt out - rec d/p - to 2nd rdg
03/08    2nd rdg - to 3rd rdg
03/14    3rd rdg - PASSED - 66-0-4
      AYES -- Alltus, Barraclough, Barrett, Bell, Bieter, Boe, Bruneel,
      Callister, Campbell, Chase, Cheirrett, Clark, Crow, Cuddy, Denney,
      Field(13), Field(20), Gagner, Geddes, Gould, Hadley, Hammond,
      Hansen(23), Hansen(29), Henbest, Hornbeck, Jaquet, Jones, Judd,
      Kellogg, Kempton, Kendell, Kunz, Lake, Linford, Loertscher, Mader,
      Marley, McKague, Meyer, Montgomery, Mortensen, Moss, Moyle, Pearce,
      Pischner, Pomeroy, Reynolds, Ridinger, Ringo, Robison, Sali,
      Schaefer, Sellman, Shepherd, Smylie, Stevenson, Stoicheff, Stone,
      Taylor, Tilman, Trail, Wheeler, Wood, Zimmermann, Mr Speaker
      NAYS -- None
      Absent and excused -- Black, Deal, Ellsworth, Smith
    Floor Sponsor - Shepherd
    Title apvd - to Senate
03/15    Senate intro - 1st rdg - to Loc Gov
03/23    Rpt out - rec d/p - to 2nd rdg
03/24    2nd rdg - to 3rd rdg
04/05    To enrol - rpt enrol - Sp signed - Pres signed
04/06    To Governor
04/14    Governor signed
         Session Law Chapter 348
         Effective: 07/01/00

Bill Text

  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-fifth Legislature                  Second Regular Session - 2000
                              IN THE HOUSE OF REPRESENTATIVES
                                     HOUSE BILL NO. 689
                             BY REVENUE AND TAXATION COMMITTEE
  1                                        AN ACT
  5    Be It Enacted by the Legislature of the State of Idaho:
  6        SECTION 1.  That Section 63-3622O, Idaho Code, be, and the same is  hereby
  7    amended to read as follows:
  8        63-3622O.  EXEMPT PRIVATE AND PUBLIC ORGANIZATIONS. (1) There are exempted
  9    from the taxes imposed by this chapter:
 10        (a)  Sales  to  or purchases by hospitals, health-related entities, educa-
 11        tional institutions, forest protective associations  and  canal  companies
 12        which are nonprofit organizations; and
 13        (b)  Donations  to,  sales  to,  and purchases by the Idaho Foodbank Ware-
 14        house, Inc.; and
 15        (c)  Donations to, sales to, and purchases by food banks or soup  kitchens
 16        of  food  or  other  tangible personal property used by food banks or soup
 17        kitchens in the growing, storage, preparation or service of food, but  not
 18        including motor vehicles or trailers; and
 19        (d)  Sales  of  clothes  to,  donations  of  clothes  to, and purchases of
 20        clothes by nonsale clothiers; and
 21        (e)  Sales to or purchases by centers for independent living; and
 22        (f)  Sales to or purchases by the state of Idaho and its agencies and  its
 23        political subdivisions.
 24        (2)  As  used  in this section, these words shall have the following mean-
 25    ings:
 26        (a)  "Educational institution" shall mean  nonprofit  colleges,  universi-
 27        ties,  public  charter schools organized pursuant to chapter 52, title 33,
 28        Idaho Code, and other  primary and secondary schools, the income of  which
 29        is  devoted solely to education and in which systematic instruction in the
 30        usual branches of learning is given.  This  definition  does  not  include
 31        schools  primarily teaching business, dancing, dramatics, music, cosmetol-
 32        ogy, writing, gymnastics, exercise and other special  accomplishments  nor
 33        parent-teacher  associations,  parent  groups,  alumni  or other auxiliary
 34        organizations with purposes related to  the  educational  function  of  an
 35        institution or collective group of institutions.
 36        (b)  "Hospital" shall include nonprofit institutions licensed by the state
 37        for the care of ill persons. It shall not extend to nursing homes or simi-
 38        lar institutions.
 39        (c)  "Health-related  entities" shall mean the Idaho Cystic Fibrosis Foun-
 40        dation, Idaho Epilepsy League, Idaho Lung  Association,  March  of  Dimes,
 41        American   Cancer   Society,  Mental  Health  Association,  The  Arc,  The
 42        Children's Home Society of Idaho, Idaho American Heart Association,  Idaho
 43        Ronald McDonald House, United Cerebral Palsy, Arthritis Foundation, Muscu-
  1        lar Dystrophy Foundation, National Multiple Sclerosis Society, Rocky Moun-
  2        tain  Kidney  Association,  American  Diabetes  Association, Easter Seals,
  3        Idaho Community Action Agencies, Idaho Primary Care Association and commu-
  4        nity health centers who are members of the Idaho Primary Care  Association
  5        and  Idaho  Special  Olympics Idaho, together with said entities' local or
  6        regional chapters or divisions.
  7        (d)  "Canal companies" shall  include  nonprofit  corporations  which  are
  8        incorporated  solely  for the purpose of operating and maintaining and are
  9        engaged solely in operation  and maintenance of dams, reservoirs,  canals,
 10        lateral and drainage ditches, pumps or pumping plants.
 11        (e)  "Forest  protective  associations" shall mean associations whose pur-
 12        pose is the furnishing, operating and maintaining of a  protective  system
 13        for  the  detection,  prevention and suppression of forest or range fires.
 14        Forest protective associations shall include only those associations  with
 15        which  the state of Idaho has contracted or become a member of pursuant to
 16        chapter 1, title 38, Idaho Code.
 17        (f)  "Food banks or soup kitchens" shall mean any nonprofit corporation or
 18        association, other than the Idaho Foodbank Warehouse, Inc., one  of  whose
 19        regular activities is the furnishing or providing of food or food products
 20        to others without charge.
 21        (g)  "Nonsale  clothier"  shall mean any nonprofit corporation or associa-
 22        tion one of whose primary purposes  is  the  furnishing  or  providing  of
 23        clothes to others without charge.
 24        (h)  "Clothes"  shall mean garments in general, designed or intended to be
 25        worn by humans and shall include footwear in addition to wearing apparel.
 26        (i)  "Center for independent living" shall mean a private, nonprofit, non-
 27        residential nonresidential organization in which at least  fifty-one  per-
 28        cent  (51%)  of  the  principal  governing board, management and staff are
 29        individuals with disabilities and that:
 30             (i)   Is designed and operated within a local community by  individu-
 31             als with disabilities;
 32             (ii)  Provides  an array of independent living services and programs;
 33             and
 34             (iii) Is cross-disability.
 35        (j)  "Political subdivision" means:
 36             (i)    A governmental organization which:
 37                  1.  Embraces a certain territory,
 38                  2.  Is organized for public advantage and not in the interest of
 39                  private individuals or classes,
 40                  3.  Has been delegated functions of government, and
 41                  4.  Has the statutory power to levy taxes; or
 42             (ii)   A public health district  created  by  section  39-408,  Idaho
 43             Code; or
 44             (iii)  A  soil  conservation  district as defined in section 22-2717,
 45             Idaho Code; or
 46             (iv)   A drainage district created pursuant to chapter 29, title  42,
 47             Idaho Code; or
 48             (v)    An  irrigation  district  created  pursuant to title 43, Idaho
 49             Code; or
 50             (vi)   A state grazing board created by section 57-1204, Idaho  Code;
 51             or
 52             (vii)  A  water  measurement  district  created  pursuant  to section
 53             42-705 or 42-706, Idaho Code; or
 54             (viii) A ground water management district created pursuant to chapter
 55             51, title 42, Idaho Code.
  1        (k)  "Agency of the state of Idaho" shall mean an office  or  organization
  2        created  by  the constitution or statutes of this state and constituting a
  3        component part of the executive, judicial or  legislative  branch  of  the
  4        government of this state.
  5        (3)  The  exemption  granted by subsection (1)(f) of this section does not
  6    include any association or other organization whose members are political sub-
  7    divisions or state agencies unless the organization is expressly created under
  8    the joint powers provision of sections 67-2328 through 67-2333, Idaho Code.
  9        (4)  The exemptions granted by subsection  (1)  of  this  section  do  not
 10    include  the use of tangible personal property by a contractor used to improve
 11    real property of  an exempt entity when such use is within the definition pro-
 12    vided by section 63-3615(b), Idaho Code, whether  the  use  tax  liability  is
 13    included in a contract total  or stated separately in a contract.
 14        (5)  There is exempted from the taxes imposed in this chapter, the renting
 15    of a place to sleep to an individual by the Idaho Ronald McDonald House.

Statement of Purpose / Fiscal Impact

                STATEMENT OF PURPOSE 
     Idaho    Code   63-36220    exempts    certain    non-profit organizations,
     including "health-related entities" from state sales tax.   One of the health-related
     entities defined in this statute is the Idaho Heart Association. Prior to 1995, the
     Idaho Heart Association was an independent Idaho non-profit corporation and an
     affiliate of the American Heart Association. In 1995, the Idaho Heart Association
     merged into the American Heart Association.    This bill is a housekeeping bill
     that simply follows the merger and name change from the "Idaho Heart
     Association" to the "American Heart Association" and insures that the sales tax
     exemption continues to apply to the same "Heart Association". 
                     FISCAL NOTE 
     There is no impact to the general fund. 
               CONTACT:  Ronald L. Williams 344-6633
               Senator Jack Riggs 332-1307 
                                             STATEMENT OF PURPOSE/ FISCAL IMPACT                    H 689