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H0400aaS............................................by REVENUE AND TAXATION
SALES TAX - Adds to existing law to impose a six percent sales and use tax
from May 1, 2003, until July 1, 2005.
04/02 House intro - 1st rdg - to printing
04/03 Rpt prt - to 2nd rdg
04/04 2nd rdg - to 3rd rdg
04/07 3rd rdg - PASSED - 39-31-0
AYES -- Andersen, Bieter, Black, Block, Boe, Bolz, Bradford(Larsen),
Cannon, Cuddy, Deal, Douglas, Field(18), Gagner, Garrett, Henbest,
Jaquet, Jones, Kellogg, Langhorst, Martinez, Meyer, Miller, Mitchell,
Naccarato, Ridinger, Ring, Ringo, Robison, Rydalch, Sayler, Shepherd,
Shirley, Smith(30), Smith(24), Smylie, Snodgrass, Trail(Young),
Wills, Mr. Speaker
NAYS -- Barraclough, Barrett, Bauer, Bedke, Bell, Campbell, Clark,
Collins, Crow, Denney, Eberle, Edmunson, Ellsworth, Eskridge,
Field(23), Harwood, Kulczyk, Lake, Langford, McGeachin, McKague,
Moyle, Nielsen, Raybould, Roberts, Sali, Schaefer, Skippen,
Stevenson, Tilman, Wood
Absent and excused -- None
Floor Sponsor - Smith(24)
Title apvd - to Senate
04/07 Senate intro - 1st rdg - to Loc Gov
04/09 Rpt out - to 14th Ord
04/15 Rpt out amen - to 1st rdg as amen
Rls susp - PASSED - 19-16-0
AYES -- Andreason, Bailey, Brandt, Bunderson, Cameron, Compton,
Darrington, Davis, Gannon, Goedde, Hill, Ingram, Keough, Little,
McWilliams, Noh, Schroeder, Sorensen, Stegner
NAYS -- Burkett, Burtenshaw, Calabretta, Geddes, Kennedy, Lodge,
Malepeai, Marley, McKenzie, Noble, Pearce, Richardson, Stennett,
Sweet, Werk, Williams
Absent and excused -- None
Floor Sponsor - Bunderson
Title apvd - to House
04/16 Held at Desk
04/17 House concurred in Senate amens - to engros
Rpt engros - 1st rdg - to 2nd rdg as amen
Rls susp - PASSED - 37-32-1
AYES -- Andersen, Black, Campbell, Cannon, Cuddy, Deal, Douglas,
Edmunson, Field(18), Field(23), Gagner, Garrett, Henbest, Jaquet,
Jones, Kellogg, Meyer, Miller, Mitchell, Raybould, Ridinger,
Ring(Roberge), Ringo, Robison, Rydalch, Sayler, Shepherd, Shirley,
Skippen, Smith(30), Smith(24)(Frost), Smylie, Snodgrass, Stevenson,
Trail(Young), Wills, Mr. Speaker.
NAYS -- Barraclough, Barrett, Bauer, Bedke, Bell, Bieter, Block, Boe,
Bolz, Bradford(Larsen), Clark, Collins, Crow, Denney, Eberle,
Ellsworth, Eskridge, Harwood, Kulczyk, Lake, Langford, Langhorst,
Martinez, McGeachin, McKague, Moyle, Nielsen, Roberts, Sali,
Schaefer, Tilman, Wood
Absent and excused -- Naccarato
Floor Sponsor - Mr. Speaker
Title apvd - to enrol
04/18 Rpt enrol - Sp signed - Pres signed
04/21 To Governor
04/25 Governor signed
Session Law Chapter 318
Effective: 05/01/03 Secs 1, 2, 3 and 10;
06/01/03 Sec 4;
07/01/05 Secs 5, 7 and 8;
08/01/05 Secs 6 and 9
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-seventh Legislature First Regular Session - 2003
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 400
BY REVENUE AND TAXATION COMMITTEE
1 AN ACT
2 RELATING TO STATE SALES AND USE TAX; AMENDING CHAPTER 36, TITLE 63, IDAHO
3 CODE, BY THE ADDITION OF A NEW SECTION 63-3640, IDAHO CODE, TO IMPOSE AN
4 ADDITIONAL ONE-HALF OF ONE PERCENT SALES AND USE TAX AND TO PROVIDE FOR
5 STATE TAX COMMISSION AUTHORITY; AND PROVIDING A SUNSET DATE.
6 Be It Enacted by the Legislature of the State of Idaho:
7 SECTION 1. That Chapter 36, Title 63, Idaho Code, be, and the same is
8 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
9 ignated as Section 63-3640, Idaho Code, and to read as follows:
10 63-3640. IMPOSITION AND RATE OF ADDITIONAL TAX. (1) On and after July 1,
11 2003, in addition to the taxes imposed by sections 63-3619 and 63-3621, Idaho
12 Code, there is hereby imposed a tax of one-half of one percent (0.5%) upon the
13 same sales and upon the same use, storage or other consumption as are taxed
14 under sections 63-3619 and 63-3621, Idaho Code. The additional tax shall be
15 collected at the same time and in the same manner as taxes imposed under sec-
16 tions 63-3619 and 63-3621, Idaho Code, and shall be subject to all the collec-
17 tion, enforcement and administrative provisions of chapter 36, title 63, Idaho
18 Code.
19 (2) All taxes collected under this section, together with all interest,
20 penalties or other amounts relating to such taxes, shall not be subject to the
21 distribution provisions of section 63-3638, Idaho Code, but shall be deposited
22 in the general fund.
23 SECTION 2. The provisions of this act shall be null, void and of no force
24 and effect on and after July 1, 2004.
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-seventh Legislature First Regular Session - 2003
Moved by Bunderson
Seconded by Davis
IN THE SENATE
SENATE AMENDMENT TO H.B. NO. 400
1 AMENDMENT TO THE BILL
2 On page 1 of the printed bill, delete lines 7 through 24 and insert:
3 "SECTION 1. SHORT TITLE. This act shall be known and may be cited as the
4 "2003 Economic Recovery and Stabilization Act."
5 SECTION 2. That Section 63-3619, Idaho Code, be, and the same is hereby
6 amended to read as follows:
7 63-3619. IMPOSITION AND RATE OF THE SALES TAX. An excise tax is hereby
8 imposed upon each sale at retail at the rate of five per cent six percent
9 (56%) of the sales price of all retail sales subject to taxation under this
10 chapter and such amount shall be computed monthly on all sales at retail
11 within the preceding month.
12 (a) The tax shall apply to, be computed on, and collected for all credit,
13 instalment installment, conditional or similar sales at the time of the sale
14 or, in the case of rentals, at the time the rental is charged.
15 (b) The tax hereby imposed shall be collected by the retailer from the
16 consumer.
17 (c) The state tax commission shall provide schedules for collection of
18 the tax on sales which involve a fraction of a dollar. The retailer shall cal-
19 culate the tax upon the entire amount of the purchases of the consumer made at
20 a particular time and not separately upon each item purchased. The retailer
21 may retain any amount collected under the bracket system prescribed which is
22 in excess of the amount of tax for which he is liable to the state during the
23 period as compensation for the work of collecting the tax.
24 (d) It is unlawful for any retailer to advertise or hold out or state to
25 the public or to any customer, directly or indirectly, that the tax or any
26 part thereof will be assumed or absorbed by the retailer or that it will not
27 be added to the selling price of the property sold or that if added it or any
28 part thereof will be refunded. Any person violating any provision of this sec-
29 tion is guilty of a misdemeanor.
30 (e) The tax commission may by rule provide that the amount collected by
31 the retailer from the customer in reimbursement of the tax be displayed sepa-
32 rately from the list price, the price advertised on the premises, the marked
33 price, or other price on the sales slip or other proof of sale.
34 (f) The taxes imposed by this chapter shall apply to the sales to con-
35 tractors purchasing for use in the performance of contracts with the United
36 States.
37 SECTION 3. That Section 63-3621, Idaho Code, be, and the same is hereby
38 amended to read as follows:
39 63-3621. IMPOSITION AND RATE OF THE USE TAX -- EXEMPTIONS. An excise tax
40 is hereby imposed on the storage, use, or other consumption in this state of
2
1 tangible personal property acquired on or after July May 1, 19652003, for
2 storage, use, or other consumption in this state at the rate of five six per-
3 cent (56%) of the value of the property, and a recent sales price shall be
4 presumptive evidence of the value of the property unless the property is wire-
5 less telecommunications equipment, in which case a recent sales price shall be
6 conclusive evidence of the value of the property.
7 (a) Every person storing, using, or otherwise consuming, in this state,
8 tangible personal property is liable for the tax. His liability is not extin-
9 guished until the tax has been paid to this state except that a receipt from a
10 retailer maintaining a place of business in this state or engaged in business
11 in this state given to the purchaser is sufficient to relieve the purchaser
12 from further liability for the tax to which the receipt refers. A retailer
13 shall not be considered to have stored, used or consumed wireless telecommuni-
14 cations equipment by virtue of giving, selling or otherwise transferring such
15 equipment at a discount as an inducement to a consumer to commence or continue
16 a contract for telecommunications service.
17 (b) Every retailer engaged in business in this state, and making sales of
18 tangible personal property for the storage, use, or other consumption in this
19 state, not exempted under section 63-3622, Idaho Code, shall, at the time of
20 making the sales or, if storage, use or other consumption of the tangible per-
21 sonal property is not then taxable hereunder, at the time the storage, use or
22 other consumption becomes taxable, collect the tax from the purchaser and give
23 to the purchaser a receipt therefor in the manner and form prescribed by the
24 state tax commission.
25 (c) The provisions of this section shall not apply when the retailer pays
26 sales tax on the transaction and collects reimbursement for such sales tax
27 from the customer.
28 (d) Every retailer engaged in business in this state or maintaining a
29 place of business in this state shall register with the state tax commission
30 and give the name and address of all agents operating in this state, the loca-
31 tion of all distributions or sales houses or offices or other places of busi-
32 ness in this state, and such other information as the state tax commission may
33 require.
34 (e) For the purpose of the proper administration of this act and to pre-
35 vent evasion of the use tax and the duty to collect the use tax, it shall be
36 presumed that tangible personal property sold by any person for delivery in
37 this state is sold for storage, use, or other consumption in this state. The
38 burden of proving the sale is tax exempt is upon the person who makes the sale
39 unless he obtains from the purchaser a resale certificate to the effect that
40 the property is purchased for resale or rental. It shall be presumed that
41 sales made to a person who has completed a resale certificate for the seller's
42 records are not taxable and the seller need not collect sales or use taxes
43 unless the tangible personal property purchased is taxable to the purchaser as
44 a matter of law in the particular instance claimed on the resale certificate.
45 A seller may accept a resale certificate from a purchaser prior to the
46 time of sale, at the time of sale, or at any reasonable time after the sale
47 when necessary to establish the privilege of the exemption. The resale certif-
48 icate relieves the person selling the property from the burden of proof only
49 if taken from a person who is engaged in the business of selling or renting
50 tangible personal property and who holds the permit provided for by section
51 63-3620, Idaho Code, or who is a retailer not engaged in business in this
52 state, and who, at the time of purchasing the tangible personal property,
53 intends to sell or rent it in the regular course of business or is unable to
54 ascertain at the time of purchase whether the property will be sold or will be
55 used for some other purpose. Other than as provided elsewhere in this section,
3
1 when a resale certificate, properly executed, is presented to the seller, the
2 seller has no duty or obligation to collect sales or use taxes in regard to
3 any sales transaction so documented regardless of whether the purchaser prop-
4 erly or improperly claimed an exemption. A seller so relieved of the obliga-
5 tion to collect tax is also relieved of any liability to the purchaser for
6 failure to collect tax or for making any report or disclosure of information
7 required or permitted under this chapter.
8 The resale certificate shall bear the name and address of the purchaser,
9 shall be signed by the purchaser or his agent, shall indicate the number of
10 the permit issued to the purchaser, or that the purchaser is an out-of-state
11 retailer, and shall indicate the general character of the tangible personal
12 property sold by the purchaser in the regular course of business. The certifi-
13 cate shall be substantially in such form as the state tax commission may pre-
14 scribe.
15 (f) If a purchaser who gives a resale certificate makes any storage or
16 use of the property other than retention, demonstration or display while hold-
17 ing it for sale in the regular course of business, the storage or use is tax-
18 able as of the time the property is first so stored or used.
19 (g) Any person violating any provision of this section is guilty of a
20 misdemeanor and punishable by a fine not in excess of one hundred dollars
21 ($100), and each violation shall constitute a separate offense.
22 (h) It shall be presumed that tangible personal property shipped or
23 brought to this state by the purchaser was purchased from a retailer, for
24 storage, use or other consumption in this state.
25 (i) It shall be presumed that tangible personal property delivered out-
26 side this state to a purchaser known by the retailer to be a resident of this
27 state was purchased from a retailer for storage, use, or other consumption in
28 this state. This presumption may be controverted by evidence satisfactory to
29 the state tax commission that the property was not purchased for storage, use,
30 or other consumption in this state.
31 (j) When the tangible personal property subject to use tax has been sub-
32 jected to a general retail sales or use tax by another state of the United
33 States in an amount equal to or greater than the amount of the Idaho tax, and
34 evidence can be given of such payment, the property will not be subject to
35 Idaho use tax. If the amount paid the other state was less, the property will
36 be subject to use tax to the extent that the Idaho tax exceeds the tax paid to
37 the other state. For the purposes of this subsection, a registration certifi-
38 cate or title issued by another state or subdivision thereof for a vehicle or
39 trailer or a vessel as defined in section 67-7003, Idaho Code, shall be suffi-
40 cient evidence of payment of a general retail sales or use tax.
41 (k) The use tax herein imposed shall not apply to the use by a nonresi-
42 dent of this state of a motor vehicle which is registered or licensed under
43 the laws of the state of his residence and is not used in this state more than
44 a cumulative period of time totaling ninety (90) days in any consecutive
45 twelve (12) months, and which is not required to be registered or licensed
46 under the laws of this state.
47 (l) The use tax herein imposed shall not apply to the use of household
48 goods, personal effects and personally owned motor vehicles by a resident of
49 this state, if such articles were acquired by such person in another state
50 while a resident of that state and primarily for use outside this state and if
51 such use was actual and substantial, but if an article was acquired less than
52 three (3) months prior to the time he entered this state, it will be presumed
53 that the article was acquired for use in this state and that its use outside
54 this state was not actual and substantial. For purposes of this subsection,
55 "resident" shall be as defined in section 63-3013 or 63-3013A, Idaho Code.
4
1 (m) The use tax herein imposed shall not apply to the storage, use or
2 other consumption of tangible personal property which is or will be incorpo-
3 rated into real property and which has been donated to and has become the
4 property of:
5 (1) A nonprofit organization as defined in section 63-3622O, Idaho Code;
6 or
7 (2) The state of Idaho; or
8 (3) Any political subdivision of the state.
9 This exemption applies whether the tangible personal property is incorporated
10 in real property by the donee, a contractor or subcontractor of the donee, or
11 any other person.
12 SECTION 4. That Section 63-3638, Idaho Code, be, and the same is hereby
13 amended to read as follows:
14 63-3638. SALES TAX -- DISTRIBUTION. All moneys collected under this chap-
15 ter, except as may otherwise be required in section 63-3203, Idaho Code, shall
16 be distributed by the tax commission as follows:
17 (1) An amount of money shall be distributed to the state refund account
18 sufficient to pay current refund claims. All refunds authorized under this
19 chapter by the commission shall be paid through the state refund account, and
20 those moneys are continuously appropriated.
21 (2) Five million dollars ($5,000,000) per year is continuously appropri-
22 ated and shall be distributed to the permanent building fund, provided by sec-
23 tion 57-1108, Idaho Code.
24 (3) Four million eight hundred thousand dollars ($4,800,000) per year is
25 continuously appropriated and shall be distributed to the water pollution con-
26 trol account established by section 39-3605, Idaho Code.
27 (4) An amount equal to the sum required to be certified by the chairman
28 of the Idaho housing and finance association to the state tax commission pur-
29 suant to section 67-6211, Idaho Code, in each year is continuously appropri-
30 ated and shall be paid to any capital reserve fund, established by the Idaho
31 housing and finance association pursuant to section 67-6211, Idaho Code. Such
32 amounts, if any, as may be appropriated hereunder to the capital reserve fund
33 of the Idaho housing and finance association shall be repaid for distribution
34 under the provisions of this section, subject to the provisions of section
35 67-6215, Idaho Code, by the Idaho housing and finance association, as soon as
36 possible, from any moneys available therefor and in excess of the amounts
37 which the association determines will keep it self-supporting.
38 (5) An amount equal to the sum required by the provisions of section
39 63-709, Idaho Code, is continuously appropriated and shall be paid as provided
40 by section 63-709, Idaho Code.
41 (6) An amount required by the provisions of chapter 53, title 33, Idaho
42 Code.
43 (7) An amount required by the provisions of chapter 87, title 67, Idaho
44 Code.
45 (8) One dollar ($1.00) on each application for certificate of title or
46 initial application for registration of a motor vehicle, snowmobile, all-
47 terrain vehicle or other vehicle processed by the county assessor or the Idaho
48 transportation department excepting those applications in which any sales or
49 use taxes due have been previously collected by a retailer, shall be a fee for
50 the services of the assessor of the county or the Idaho transportation depart-
51 ment in collecting such taxes, and shall be paid into the current expense fund
52 of the county or state highway account established in section 40-702, Idaho
53 Code.
5
1 (9) Thirteen and three-quarters Eleven and five-tenths percent
2 (13.7511.5%) is continuously appropriated and shall be distributed to the rev-
3 enue sharing account which is created in the state treasury, and the moneys in
4 the revenue sharing account will be paid in installments each calendar quarter
5 by the tax commission as follows:
6 (a) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
7 ious cities as follows:
8 (i) Fifty percent (50%) of such amount shall be paid to the various
9 cities, and each city shall be entitled to an amount in the propor-
10 tion that the population of that city bears to the population of all
11 cities within the state; and
12 (ii) Fifty percent (50%) of such amount shall be paid to the various
13 cities, and each city shall be entitled to an amount in the propor-
14 tion that the preceding year's market value for assessment purposes
15 for that city bears to the preceding year's market value for assess-
16 ment purposes for all cities within the state.
17 (b) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
18 ious counties as follows:
19 (i) One million three hundred twenty thousand dollars ($1,320,000)
20 annually shall be distributed one forty-fourth (1/44) to each of the
21 various counties; and
22 (ii) The balance of such amount shall be paid to the various coun-
23 ties, and each county shall be entitled to an amount in the propor-
24 tion that the population of that county bears to the population of
25 the state;
26 (c) Thirty-five and nine-tenths percent (35.9%) of the amount appropri-
27 ated in this subsection (9) shall be paid to the several counties for dis-
28 tribution to the cities and counties as follows:
29 (i) Each city and county which received a payment under the provi-
30 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
31 calendar year 1999, shall be entitled to a like amount during suc-
32 ceeding calendar quarters.
33 (ii) If the dollar amount of money available under this subsection
34 (9)(c) in any quarter does not equal the amount paid in the fourth
35 quarter of calendar year 1999, each city's and county's payment shall
36 be reduced proportionately.
37 (iii) If the dollar amount of money available under this subsection
38 (9)(c) in any quarter exceeds the amount paid in the fourth quarter
39 of calendar year 1999, each city and county shall be entitled to a
40 proportionately increased payment, but such increase shall not exceed
41 one hundred five percent (105%) of the total payment made in the
42 fourth quarter of calendar year 1999.
43 (iv) If the dollar amount of money available under this subsection
44 (9)(c) in any quarter exceeds one hundred five percent (105%) of the
45 total payment made in the fourth quarter of calendar year 1999, any
46 amount over and above such one hundred five percent (105%) shall be
47 paid fifty percent (50%) to the various cities in the proportion that
48 the population of the city bears to the population of all cities
49 within the state, and fifty percent (50%) to the various counties in
50 the proportion that the population of a county bears to the popula-
51 tion of the state; and
52 (d) Seven and seven-tenths percent (7.7%) of the amount appropriated in
53 this subsection (9) shall be paid to the several counties for distribution
54 to special purpose taxing districts as follows:
55 (i) Each such district which received a payment under the provi-
6
1 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
2 calendar year 1999, shall be entitled to a like amount during suc-
3 ceeding calendar quarters.
4 (ii) If the dollar amount of money available under this subsection
5 (89)(d) in any quarter does not equal the amount paid in the fourth
6 quarter of calendar year 1999, each special purpose taxing district's
7 payment shall be reduced proportionately.
8 (iii) If the dollar amount of money available under this subsection
9 (9)(d) in any quarter exceeds the amount distributed under paragraph
10 (i) of this subsection (9)(d), each special purpose taxing district
11 shall be entitled to a share of the excess based on the proportion
12 each such district's current property tax budget bears to the sum of
13 the current property tax budgets of all such districts in the state.
14 The state tax commission shall calculate district current property
15 tax budgets to include any unrecovered foregone amounts as deter-
16 mined under section 63-802(1)(e), Idaho Code. When a special purpose
17 taxing district is situated in more than one (1) county, the tax com-
18 mission shall determine the portion attributable to the special pur-
19 pose taxing district from each county in which it is situated.
20 (iv) If special purpose taxing districts are consolidated, the
21 resulting district is entitled to a base amount equal to the sum of
22 the base amounts which were received in the last calendar quarter by
23 each district prior to the consolidation.
24 (v) If a special purpose taxing district is dissolved or
25 disincorporated, the state tax commission shall continuously distrib-
26 ute to the board of county commissioners an amount equal to the last
27 quarter's distribution prior to dissolution or disincorporation. The
28 board of county commissioners shall determine any redistribution of
29 moneys so received.
30 (vi) Taxing districts formed after January 1, 2001, are not entitled
31 to a payment under the provisions of this subsection (9)(d).
32 (vii) For purposes of this subsection (9)(d), a special purpose tax-
33 ing district is any taxing district which is not a city, a county or
34 a school district.
35 (10) Any moneys remaining over and above those necessary to meet and
36 reserve for payments under other subsections of this section shall be distrib-
37 uted to the general fund.
38 SECTION 5. That Sections 63-3619 and 63-3621, Idaho Code, be, and the
39 same are hereby repealed.
40 SECTION 6. That Section 63-3638, Idaho Code, be, and the same is hereby
41 repealed.
42 SECTION 7. That Chapter 36, Title 63, Idaho Code, be, and the same is
43 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
44 ignated as Section 63-3619, Idaho Code, and to read as follows:
45 63-3619. IMPOSITION AND RATE OF THE SALES TAX. An excise tax is hereby
46 imposed upon each sale at retail at the rate of five percent (5%) of the sales
47 price of all retail sales subject to taxation under this chapter and such
48 amount shall be computed monthly on all sales at retail within the preceding
49 month.
50 (a) The tax shall apply to, be computed on, and collected for all credit,
51 installment, conditional or similar sales at the time of the sale or, in the
7
1 case of rentals, at the time the rental is charged.
2 (b) The tax hereby imposed shall be collected by the retailer from the
3 consumer.
4 (c) The state tax commission shall provide schedules for collection of
5 the tax on sales which involve a fraction of a dollar. The retailer shall cal-
6 culate the tax upon the entire amount of the purchases of the consumer made at
7 a particular time and not separately upon each item purchased. The retailer
8 may retain any amount collected under the bracket system prescribed which is
9 in excess of the amount of tax for which he is liable to the state during the
10 period as compensation for the work of collecting the tax.
11 (d) It is unlawful for any retailer to advertise or hold out or state to
12 the public or to any customer, directly or indirectly, that the tax or any
13 part thereof will be assumed or absorbed by the retailer or that it will not
14 be added to the selling price of the property sold or that if added it or any
15 part thereof will be refunded. Any person violating any provision of this sec-
16 tion is guilty of a misdemeanor.
17 (e) The tax commission may by rule provide that the amount collected by
18 the retailer from the customer in reimbursement of the tax be displayed sepa-
19 rately from the list price, the price advertised on the premises, the marked
20 price, or other price on the sales slip or other proof of sale.
21 (f) The taxes imposed by this chapter shall apply to the sales to con-
22 tractors purchasing for use in the performance of contracts with the United
23 States.
24 SECTION 8. That Chapter 36, Title 63, Idaho Code, be, and the same is
25 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
26 ignated as Section 63-3621, Idaho Code, and to read as follows:
27 63-3621. IMPOSITION AND RATE OF THE USE TAX -- EXEMPTIONS. An excise tax
28 is hereby imposed on the storage, use, or other consumption in this state of
29 tangible personal property acquired on or after July 1, 2005, for storage,
30 use, or other consumption in this state at the rate of five percent (5%) of
31 the value of the property, and a recent sales price shall be presumptive evi-
32 dence of the value of the property unless the property is wireless telecommu-
33 nications equipment, in which case a recent sales price shall be conclusive
34 evidence of the value of the property.
35 (a) Every person storing, using, or otherwise consuming, in this state,
36 tangible personal property is liable for the tax. His liability is not extin-
37 guished until the tax has been paid to this state except that a receipt from a
38 retailer maintaining a place of business in this state or engaged in business
39 in this state given to the purchaser is sufficient to relieve the purchaser
40 from further liability for the tax to which the receipt refers. A retailer
41 shall not be considered to have stored, used or consumed wireless telecommuni-
42 cations equipment by virtue of giving, selling or otherwise transferring such
43 equipment at a discount as an inducement to a consumer to commence or continue
44 a contract for telecommunications service.
45 (b) Every retailer engaged in business in this state, and making sales of
46 tangible personal property for the storage, use, or other consumption in this
47 state, not exempted under section 63-3622, Idaho Code, shall, at the time of
48 making the sales or, if storage, use or other consumption of the tangible per-
49 sonal property is not then taxable hereunder, at the time the storage, use or
50 other consumption becomes taxable, collect the tax from the purchaser and give
51 to the purchaser a receipt therefor in the manner and form prescribed by the
52 state tax commission.
53 (c) The provisions of this section shall not apply when the retailer pays
8
1 sales tax on the transaction and collects reimbursement for such sales tax
2 from the customer.
3 (d) Every retailer engaged in business in this state or maintaining a
4 place of business in this state shall register with the state tax commission
5 and give the name and address of all agents operating in this state, the loca-
6 tion of all distributions or sales houses or offices or other places of busi-
7 ness in this state, and such other information as the state tax commission may
8 require.
9 (e) For the purpose of the proper administration of this act and to pre-
10 vent evasion of the use tax and the duty to collect the use tax, it shall be
11 presumed that tangible personal property sold by any person for delivery in
12 this state is sold for storage, use, or other consumption in this state. The
13 burden of proving the sale is tax exempt is upon the person who makes the sale
14 unless he obtains from the purchaser a resale certificate to the effect that
15 the property is purchased for resale or rental. It shall be presumed that
16 sales made to a person who has completed a resale certificate for the
17 seller's records are not taxable and the seller need not collect sales or use
18 taxes unless the tangible personal property purchased is taxable to the pur-
19 chaser as a matter of law in the particular instance claimed on the resale
20 certificate.
21 A seller may accept a resale certificate from a purchaser prior to the
22 time of sale, at the time of sale, or at any reasonable time after the sale
23 when necessary to establish the privilege of the exemption. The resale certif-
24 icate relieves the person selling the property from the burden of proof only
25 if taken from a person who is engaged in the business of selling or renting
26 tangible personal property and who holds the permit provided for by section
27 63-3620, Idaho Code, or who is a retailer not engaged in business in this
28 state, and who, at the time of purchasing the tangible personal property,
29 intends to sell or rent it in the regular course of business or is unable to
30 ascertain at the time of purchase whether the property will be sold or will be
31 used for some other purpose. Other than as provided elsewhere in this section,
32 when a resale certificate, properly executed, is presented to the seller, the
33 seller has no duty or obligation to collect sales or use taxes in regard to
34 any sales transaction so documented regardless of whether the purchaser prop-
35 erly or improperly claimed an exemption. A seller so relieved of the obliga-
36 tion to collect tax is also relieved of any liability to the purchaser for
37 failure to collect tax or for making any report or disclosure of information
38 required or permitted under this chapter.
39 The resale certificate shall bear the name and address of the purchaser,
40 shall be signed by the purchaser or his agent, shall indicate the number of
41 the permit issued to the purchaser, or that the purchaser is an out-of-state
42 retailer, and shall indicate the general character of the tangible personal
43 property sold by the purchaser in the regular course of business. The certifi-
44 cate shall be substantially in such form as the state tax commission may pre-
45 scribe.
46 (f) If a purchaser who gives a resale certificate makes any storage or
47 use of the property other than retention, demonstration or display while hold-
48 ing it for sale in the regular course of business, the storage or use is tax-
49 able as of the time the property is first so stored or used.
50 (g) Any person violating any provision of this section is guilty of a
51 misdemeanor and punishable by a fine not in excess of one hundred dollars
52 ($100), and each violation shall constitute a separate offense.
53 (h) It shall be presumed that tangible personal property shipped or
54 brought to this state by the purchaser was purchased from a retailer, for
55 storage, use or other consumption in this state.
9
1 (i) It shall be presumed that tangible personal property delivered out-
2 side this state to a purchaser known by the retailer to be a resident of this
3 state was purchased from a retailer for storage, use, or other consumption in
4 this state. This presumption may be controverted by evidence satisfactory to
5 the state tax commission that the property was not purchased for storage, use,
6 or other consumption in this state.
7 (j) When the tangible personal property subject to use tax has been sub-
8 jected to a general retail sales or use tax by another state of the United
9 States in an amount equal to or greater than the amount of the Idaho tax, and
10 evidence can be given of such payment, the property will not be subject to
11 Idaho use tax. If the amount paid the other state was less, the property will
12 be subject to use tax to the extent that the Idaho tax exceeds the tax paid to
13 the other state. For the purposes of this subsection, a registration certifi-
14 cate or title issued by another state or subdivision thereof for a vehicle or
15 trailer or a vessel as defined in section 67-7003, Idaho Code, shall be suffi-
16 cient evidence of payment of a general retail sales or use tax.
17 (k) The use tax herein imposed shall not apply to the use by a nonresi-
18 dent of this state of a motor vehicle which is registered or licensed under
19 the laws of the state of his residence and is not used in this state more
20 than a cumulative period of time totaling ninety (90) days in any consecutive
21 twelve (12) months, and which is not required to be registered or licensed
22 under the laws of this state.
23 (l) The use tax herein imposed shall not apply to the use of household
24 goods, personal effects and personally owned motor vehicles by a resident of
25 this state, if such articles were acquired by such person in another state
26 while a resident of that state and primarily for use outside this state and if
27 such use was actual and substantial, but if an article was acquired less than
28 three (3) months prior to the time he entered this state, it will be presumed
29 that the article was acquired for use in this state and that its use outside
30 this state was not actual and substantial. For purposes of this subsection,
31 "resident" shall be as defined in section 63-3013 or 63-3013A, Idaho Code.
32 (m) The use tax herein imposed shall not apply to the storage, use or
33 other consumption of tangible personal property which is or will be incorpo-
34 rated into real property and which has been donated to and has become the
35 property of:
36 (1) A nonprofit organization as defined in section 63-3622O, Idaho Code;
37 or
38 (2) The state of Idaho; or
39 (3) Any political subdivision of the state.
40 This exemption applies whether the tangible personal property is incorporated
41 in real property by the donee, a contractor or subcontractor of the donee, or
42 any other person.
43 SECTION 9. That Chapter 36, Title 63, Idaho Code, be, and the same is
44 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
45 ignated as Section 63-3638, Idaho Code, and to read as follows:
46 63-3638. SALES TAX -- DISTRIBUTION. All moneys collected under this chap-
47 ter, except as may otherwise be required in section 63-3203, Idaho Code, shall
48 be distributed by the tax commission as follows:
49 (1) An amount of money shall be distributed to the state refund account
50 sufficient to pay current refund claims. All refunds authorized under this
51 chapter by the commission shall be paid through the state refund account, and
52 those moneys are continuously appropriated.
53 (2) Five million dollars ($5,000,000) per year is continuously appropri-
10
1 ated and shall be distributed to the permanent building fund, provided by sec-
2 tion 57-1108, Idaho Code.
3 (3) Four million eight hundred thousand dollars ($4,800,000) per year is
4 continuously appropriated and shall be distributed to the water pollution con-
5 trol account established by section 39-3605, Idaho Code.
6 (4) An amount equal to the sum required to be certified by the chairman
7 of the Idaho housing and finance association to the state tax commission pur-
8 suant to section 67-6211, Idaho Code, in each year is continuously appropri-
9 ated and shall be paid to any capital reserve fund, established by the Idaho
10 housing and finance association pursuant to section 67-6211, Idaho Code. Such
11 amounts, if any, as may be appropriated hereunder to the capital reserve fund
12 of the Idaho housing and finance association shall be repaid for distribution
13 under the provisions of this section, subject to the provisions of section
14 67-6215, Idaho Code, by the Idaho housing and finance association, as soon as
15 possible, from any moneys available therefor and in excess of the amounts
16 which the association determines will keep it self-supporting.
17 (5) An amount equal to the sum required by the provisions of section
18 63-709, Idaho Code, is continuously appropriated and shall be paid as pro-
19 vided by section 63-709, Idaho Code.
20 (6) An amount required by the provisions of chapter 53, title 33, Idaho
21 Code.
22 (7) An amount required by the provisions of chapter 87, title 67, Idaho
23 Code.
24 (8) One dollar ($1.00) on each application for certificate of title or
25 initial application for registration of a motor vehicle, snowmobile, all-
26 terrain vehicle or other vehicle processed by the county assessor or the Idaho
27 transportation department excepting those applications in which any sales or
28 use taxes due have been previously collected by a retailer, shall be a fee for
29 the services of the assessor of the county or the Idaho transportation depart-
30 ment in collecting such taxes, and shall be paid into the current expense fund
31 of the county or state highway account established in section 40-702, Idaho
32 Code.
33 (9) Thirteen and three-quarters percent (13.75%) is continuously appro-
34 priated and shall be distributed to the revenue sharing account which is cre-
35 ated in the state treasury, and the moneys in the revenue sharing account will
36 be paid in installments each calendar quarter by the tax commission as fol-
37 lows:
38 (a) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
39 ious cities as follows:
40 (i) Fifty percent (50%) of such amount shall be paid to the various
41 cities, and each city shall be entitled to an amount in the propor-
42 tion that the population of that city bears to the population of all
43 cities within the state; and
44 (ii) Fifty percent (50%) of such amount shall be paid to the various
45 cities, and each city shall be entitled to an amount in the propor-
46 tion that the preceding year's market value for assessment purposes
47 for that city bears to the preceding year's market value for assess-
48 ment purposes for all cities within the state.
49 (b) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
50 ious counties as follows:
51 (i) One million three hundred twenty thousand dollars ($1,320,000)
52 annually shall be distributed one forty-fourth (1/44) to each of the
53 various counties; and
54 (ii) The balance of such amount shall be paid to the various coun-
55 ties, and each county shall be entitled to an amount in the propor-
11
1 tion that the population of that county bears to the population of
2 the state;
3 (c) Thirty-five and nine-tenths percent (35.9%) of the amount appropri-
4 ated in this subsection (9) shall be paid to the several counties for dis-
5 tribution to the cities and counties as follows:
6 (i) Each city and county which received a payment under the provi-
7 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
8 calendar year 1999, shall be entitled to a like amount during suc-
9 ceeding calendar quarters.
10 (ii) If the dollar amount of money available under this subsection
11 (9)(c) in any quarter does not equal the amount paid in the fourth
12 quarter of calendar year 1999, each city's and county's payment shall
13 be reduced proportionately.
14 (iii) If the dollar amount of money available under this subsection
15 (9)(c) in any quarter exceeds the amount paid in the fourth quarter
16 of calendar year 1999, each city and county shall be entitled to a
17 proportionately increased payment, but such increase shall not exceed
18 one hundred five percent (105%) of the total payment made in the
19 fourth quarter of calendar year 1999.
20 (iv) If the dollar amount of money available under this subsection
21 (9)(c) in any quarter exceeds one hundred five percent (105%) of the
22 total payment made in the fourth quarter of calendar year 1999, any
23 amount over and above such one hundred five percent (105%) shall be
24 paid fifty percent (50%) to the various cities in the proportion that
25 the population of the city bears to the population of all cities
26 within the state, and fifty percent (50%) to the various counties in
27 the proportion that the population of a county bears to the popula-
28 tion of the state; and
29 (d) Seven and seven-tenths percent (7.7%) of the amount appropriated in
30 this subsection (9) shall be paid to the several counties for distribution
31 to special purpose taxing districts as follows:
32 (i) Each such district which received a payment under the provi-
33 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
34 calendar year 1999, shall be entitled to a like amount during suc-
35 ceeding calendar quarters.
36 (ii) If the dollar amount of money available under this subsection
37 (9)(d) in any quarter does not equal the amount paid in the fourth
38 quarter of calendar year 1999, each special purpose taxing district's
39 payment shall be reduced proportionately.
40 (iii) If the dollar amount of money available under this subsection
41 (9)(d) in any quarter exceeds the amount distributed under paragraph
42 (i) of this subsection (9)(d), each special purpose taxing district
43 shall be entitled to a share of the excess based on the proportion
44 each such district's current property tax budget bears to the sum of
45 the current property tax budgets of all such districts in the state.
46 The state tax commission shall calculate district current property
47 tax budgets to include any unrecovered foregone amounts as determined
48 under section 63-802(1)(e), Idaho Code. When a special purpose taxing
49 district is situated in more than one (1) county, the tax commission
50 shall determine the portion attributable to the special purpose tax-
51 ing district from each county in which it is situated.
52 (iv) If special purpose taxing districts are consolidated, the
53 resulting district is entitled to a base amount equal to the sum of
54 the base amounts which were received in the last calendar quarter by
55 each district prior to the consolidation.
12
1 (v) If a special purpose taxing district is dissolved or
2 disincorporated, the state tax commission shall continuously distrib-
3 ute to the board of county commissioners an amount equal to the last
4 quarter's distribution prior to dissolution or disincorporation. The
5 board of county commissioners shall determine any redistribution of
6 moneys so received.
7 (vi) Taxing districts formed after January 1, 2001, are not entitled
8 to a payment under the provisions of this subsection (9)(d).
9 (vii) For purposes of this subsection (9)(d), a special purpose tax-
10 ing district is any taxing district which is not a city, a county or
11 a school district.
12 (10) Any moneys remaining over and above those necessary to meet and
13 reserve for payments under other subsections of this section shall be distrib-
14 uted to the general fund.
15 SECTION 10. SEVERABILITY. The provisions of this act are hereby declared
16 to be severable and if any provision of this act or the application of such
17 provision to any person or circumstance is declared invalid for any reason,
18 such declaration shall not affect the validity of the remaining portions of
19 this act.
20 SECTION 11. An emergency existing therefor, which emergency is hereby
21 declared to exist, Sections 1, 2, 3 and 10 of this act shall be in full force
22 and effect on and after May 1, 2003; and Section 4 of this act shall be in
23 full force and effect on and after June 1, 2003. Sections 5, 7 and 8 of this
24 act shall be in full force and effect on and after July 1, 2005. Sections 6
25 and 9 of this act shall be in full force and effect on and after August 1,
26 2005.".
27 CORRECTION TO TITLE
28 On page 1, delete lines 2 through 5 and insert:
29 "RELATING TO TAXATION AND REVENUE; TO PROVIDE A SHORT TITLE; AMENDING SECTION
30 63-3619, IDAHO CODE, TO INCREASE THE RATE OF THE SALES TAX TO SIX PERCENT
31 AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 63-3621, IDAHO CODE,
32 TO INCREASE THE RATE OF THE USE TAX TO SIX PERCENT FOR PROPERTY ACQUIRED
33 ON AND AFTER MAY 1, 2003; AMENDING SECTION 63-3638, IDAHO CODE, TO REVISE
34 THE DISTRIBUTION FORMULA FOR DISTRIBUTION OF SALES TAX REVENUES AND TO
35 MAKE A TECHNICAL CORRECTION; REPEALING SECTIONS 63-3619 AND 63-3621, IDAHO
36 CODE; REPEALING SECTION 63-3638, IDAHO CODE; AMENDING CHAPTER 36, TITLE
37 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3619, IDAHO CODE, TO
38 PROVIDE A SALES TAX OF FIVE PERCENT; AMENDING CHAPTER 36, TITLE 63, IDAHO
39 CODE, BY THE ADDITION OF A NEW SECTION 63-3621, IDAHO CODE, TO PROVIDE
40 IMPOSITION OF A USE TAX RATE OF FIVE PERCENT; AMENDING CHAPTER 36, TITLE
41 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3638, IDAHO CODE, TO
42 PROVIDE DISTRIBUTION OF SALES TAX REVENUES; PROVIDING SEVERABILITY;
43 DECLARING AN EMERGENCY AND PROVIDING EFFECTIVE DATES.".
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-seventh Legislature First Regular Session - 2003
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 400, As Amended in the Senate
BY REVENUE AND TAXATION COMMITTEE
1 AN ACT
2 RELATING TO TAXATION AND REVENUE; TO PROVIDE A SHORT TITLE; AMENDING SECTION
3 63-3619, IDAHO CODE, TO INCREASE THE RATE OF THE SALES TAX TO SIX PERCENT
4 AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 63-3621, IDAHO CODE,
5 TO INCREASE THE RATE OF THE USE TAX TO SIX PERCENT FOR PROPERTY ACQUIRED
6 ON AND AFTER MAY 1, 2003; AMENDING SECTION 63-3638, IDAHO CODE, TO REVISE
7 THE DISTRIBUTION FORMULA FOR DISTRIBUTION OF SALES TAX REVENUES AND TO
8 MAKE A TECHNICAL CORRECTION; REPEALING SECTIONS 63-3619 AND 63-3621, IDAHO
9 CODE; REPEALING SECTION 63-3638, IDAHO CODE; AMENDING CHAPTER 36, TITLE
10 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3619, IDAHO CODE, TO
11 PROVIDE A SALES TAX OF FIVE PERCENT; AMENDING CHAPTER 36, TITLE 63, IDAHO
12 CODE, BY THE ADDITION OF A NEW SECTION 63-3621, IDAHO CODE, TO PROVIDE
13 IMPOSITION OF A USE TAX RATE OF FIVE PERCENT; AMENDING CHAPTER 36, TITLE
14 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3638, IDAHO CODE, TO
15 PROVIDE DISTRIBUTION OF SALES TAX REVENUES; PROVIDING SEVERABILITY;
16 DECLARING AN EMERGENCY AND PROVIDING EFFECTIVE DATES.
17 Be It Enacted by the Legislature of the State of Idaho:
18 SECTION 1. SHORT TITLE. This act shall be known and may be cited as the
19 "2003 Economic Recovery and Stabilization Act."
20 SECTION 2. That Section 63-3619, Idaho Code, be, and the same is hereby
21 amended to read as follows:
22 63-3619. IMPOSITION AND RATE OF THE SALES TAX. An excise tax is hereby
23 imposed upon each sale at retail at the rate of five per cent six percent
24 (56%) of the sales price of all retail sales subject to taxation under this
25 chapter and such amount shall be computed monthly on all sales at retail
26 within the preceding month.
27 (a) The tax shall apply to, be computed on, and collected for all credit,
28 instalment installment, conditional or similar sales at the time of the sale
29 or, in the case of rentals, at the time the rental is charged.
30 (b) The tax hereby imposed shall be collected by the retailer from the
31 consumer.
32 (c) The state tax commission shall provide schedules for collection of
33 the tax on sales which involve a fraction of a dollar. The retailer shall cal-
34 culate the tax upon the entire amount of the purchases of the consumer made at
35 a particular time and not separately upon each item purchased. The retailer
36 may retain any amount collected under the bracket system prescribed which is
37 in excess of the amount of tax for which he is liable to the state during the
38 period as compensation for the work of collecting the tax.
39 (d) It is unlawful for any retailer to advertise or hold out or state to
40 the public or to any customer, directly or indirectly, that the tax or any
41 part thereof will be assumed or absorbed by the retailer or that it will not
42 be added to the selling price of the property sold or that if added it or any
2
1 part thereof will be refunded. Any person violating any provision of this sec-
2 tion is guilty of a misdemeanor.
3 (e) The tax commission may by rule provide that the amount collected by
4 the retailer from the customer in reimbursement of the tax be displayed sepa-
5 rately from the list price, the price advertised on the premises, the marked
6 price, or other price on the sales slip or other proof of sale.
7 (f) The taxes imposed by this chapter shall apply to the sales to con-
8 tractors purchasing for use in the performance of contracts with the United
9 States.
10 SECTION 3. That Section 63-3621, Idaho Code, be, and the same is hereby
11 amended to read as follows:
12 63-3621. IMPOSITION AND RATE OF THE USE TAX -- EXEMPTIONS. An excise tax
13 is hereby imposed on the storage, use, or other consumption in this state of
14 tangible personal property acquired on or after July May 1, 19652003, for
15 storage, use, or other consumption in this state at the rate of five six per-
16 cent (56%) of the value of the property, and a recent sales price shall be
17 presumptive evidence of the value of the property unless the property is wire-
18 less telecommunications equipment, in which case a recent sales price shall be
19 conclusive evidence of the value of the property.
20 (a) Every person storing, using, or otherwise consuming, in this state,
21 tangible personal property is liable for the tax. His liability is not extin-
22 guished until the tax has been paid to this state except that a receipt from a
23 retailer maintaining a place of business in this state or engaged in business
24 in this state given to the purchaser is sufficient to relieve the purchaser
25 from further liability for the tax to which the receipt refers. A retailer
26 shall not be considered to have stored, used or consumed wireless telecommuni-
27 cations equipment by virtue of giving, selling or otherwise transferring such
28 equipment at a discount as an inducement to a consumer to commence or continue
29 a contract for telecommunications service.
30 (b) Every retailer engaged in business in this state, and making sales of
31 tangible personal property for the storage, use, or other consumption in this
32 state, not exempted under section 63-3622, Idaho Code, shall, at the time of
33 making the sales or, if storage, use or other consumption of the tangible per-
34 sonal property is not then taxable hereunder, at the time the storage, use or
35 other consumption becomes taxable, collect the tax from the purchaser and give
36 to the purchaser a receipt therefor in the manner and form prescribed by the
37 state tax commission.
38 (c) The provisions of this section shall not apply when the retailer pays
39 sales tax on the transaction and collects reimbursement for such sales tax
40 from the customer.
41 (d) Every retailer engaged in business in this state or maintaining a
42 place of business in this state shall register with the state tax commission
43 and give the name and address of all agents operating in this state, the loca-
44 tion of all distributions or sales houses or offices or other places of busi-
45 ness in this state, and such other information as the state tax commission may
46 require.
47 (e) For the purpose of the proper administration of this act and to pre-
48 vent evasion of the use tax and the duty to collect the use tax, it shall be
49 presumed that tangible personal property sold by any person for delivery in
50 this state is sold for storage, use, or other consumption in this state. The
51 burden of proving the sale is tax exempt is upon the person who makes the sale
52 unless he obtains from the purchaser a resale certificate to the effect that
53 the property is purchased for resale or rental. It shall be presumed that
3
1 sales made to a person who has completed a resale certificate for the seller's
2 records are not taxable and the seller need not collect sales or use taxes
3 unless the tangible personal property purchased is taxable to the purchaser as
4 a matter of law in the particular instance claimed on the resale certificate.
5 A seller may accept a resale certificate from a purchaser prior to the
6 time of sale, at the time of sale, or at any reasonable time after the sale
7 when necessary to establish the privilege of the exemption. The resale certif-
8 icate relieves the person selling the property from the burden of proof only
9 if taken from a person who is engaged in the business of selling or renting
10 tangible personal property and who holds the permit provided for by section
11 63-3620, Idaho Code, or who is a retailer not engaged in business in this
12 state, and who, at the time of purchasing the tangible personal property,
13 intends to sell or rent it in the regular course of business or is unable to
14 ascertain at the time of purchase whether the property will be sold or will be
15 used for some other purpose. Other than as provided elsewhere in this section,
16 when a resale certificate, properly executed, is presented to the seller, the
17 seller has no duty or obligation to collect sales or use taxes in regard to
18 any sales transaction so documented regardless of whether the purchaser prop-
19 erly or improperly claimed an exemption. A seller so relieved of the obliga-
20 tion to collect tax is also relieved of any liability to the purchaser for
21 failure to collect tax or for making any report or disclosure of information
22 required or permitted under this chapter.
23 The resale certificate shall bear the name and address of the purchaser,
24 shall be signed by the purchaser or his agent, shall indicate the number of
25 the permit issued to the purchaser, or that the purchaser is an out-of-state
26 retailer, and shall indicate the general character of the tangible personal
27 property sold by the purchaser in the regular course of business. The certifi-
28 cate shall be substantially in such form as the state tax commission may pre-
29 scribe.
30 (f) If a purchaser who gives a resale certificate makes any storage or
31 use of the property other than retention, demonstration or display while hold-
32 ing it for sale in the regular course of business, the storage or use is tax-
33 able as of the time the property is first so stored or used.
34 (g) Any person violating any provision of this section is guilty of a
35 misdemeanor and punishable by a fine not in excess of one hundred dollars
36 ($100), and each violation shall constitute a separate offense.
37 (h) It shall be presumed that tangible personal property shipped or
38 brought to this state by the purchaser was purchased from a retailer, for
39 storage, use or other consumption in this state.
40 (i) It shall be presumed that tangible personal property delivered out-
41 side this state to a purchaser known by the retailer to be a resident of this
42 state was purchased from a retailer for storage, use, or other consumption in
43 this state. This presumption may be controverted by evidence satisfactory to
44 the state tax commission that the property was not purchased for storage, use,
45 or other consumption in this state.
46 (j) When the tangible personal property subject to use tax has been sub-
47 jected to a general retail sales or use tax by another state of the United
48 States in an amount equal to or greater than the amount of the Idaho tax, and
49 evidence can be given of such payment, the property will not be subject to
50 Idaho use tax. If the amount paid the other state was less, the property will
51 be subject to use tax to the extent that the Idaho tax exceeds the tax paid to
52 the other state. For the purposes of this subsection, a registration certifi-
53 cate or title issued by another state or subdivision thereof for a vehicle or
54 trailer or a vessel as defined in section 67-7003, Idaho Code, shall be suffi-
55 cient evidence of payment of a general retail sales or use tax.
4
1 (k) The use tax herein imposed shall not apply to the use by a nonresi-
2 dent of this state of a motor vehicle which is registered or licensed under
3 the laws of the state of his residence and is not used in this state more than
4 a cumulative period of time totaling ninety (90) days in any consecutive
5 twelve (12) months, and which is not required to be registered or licensed
6 under the laws of this state.
7 (l) The use tax herein imposed shall not apply to the use of household
8 goods, personal effects and personally owned motor vehicles by a resident of
9 this state, if such articles were acquired by such person in another state
10 while a resident of that state and primarily for use outside this state and if
11 such use was actual and substantial, but if an article was acquired less than
12 three (3) months prior to the time he entered this state, it will be presumed
13 that the article was acquired for use in this state and that its use outside
14 this state was not actual and substantial. For purposes of this subsection,
15 "resident" shall be as defined in section 63-3013 or 63-3013A, Idaho Code.
16 (m) The use tax herein imposed shall not apply to the storage, use or
17 other consumption of tangible personal property which is or will be incorpo-
18 rated into real property and which has been donated to and has become the
19 property of:
20 (1) A nonprofit organization as defined in section 63-3622O, Idaho Code;
21 or
22 (2) The state of Idaho; or
23 (3) Any political subdivision of the state.
24 This exemption applies whether the tangible personal property is incorporated
25 in real property by the donee, a contractor or subcontractor of the donee, or
26 any other person.
27 SECTION 4. That Section 63-3638, Idaho Code, be, and the same is hereby
28 amended to read as follows:
29 63-3638. SALES TAX -- DISTRIBUTION. All moneys collected under this chap-
30 ter, except as may otherwise be required in section 63-3203, Idaho Code, shall
31 be distributed by the tax commission as follows:
32 (1) An amount of money shall be distributed to the state refund account
33 sufficient to pay current refund claims. All refunds authorized under this
34 chapter by the commission shall be paid through the state refund account, and
35 those moneys are continuously appropriated.
36 (2) Five million dollars ($5,000,000) per year is continuously appropri-
37 ated and shall be distributed to the permanent building fund, provided by sec-
38 tion 57-1108, Idaho Code.
39 (3) Four million eight hundred thousand dollars ($4,800,000) per year is
40 continuously appropriated and shall be distributed to the water pollution con-
41 trol account established by section 39-3605, Idaho Code.
42 (4) An amount equal to the sum required to be certified by the chairman
43 of the Idaho housing and finance association to the state tax commission pur-
44 suant to section 67-6211, Idaho Code, in each year is continuously appropri-
45 ated and shall be paid to any capital reserve fund, established by the Idaho
46 housing and finance association pursuant to section 67-6211, Idaho Code. Such
47 amounts, if any, as may be appropriated hereunder to the capital reserve fund
48 of the Idaho housing and finance association shall be repaid for distribution
49 under the provisions of this section, subject to the provisions of section
50 67-6215, Idaho Code, by the Idaho housing and finance association, as soon as
51 possible, from any moneys available therefor and in excess of the amounts
52 which the association determines will keep it self-supporting.
53 (5) An amount equal to the sum required by the provisions of section
5
1 63-709, Idaho Code, is continuously appropriated and shall be paid as provided
2 by section 63-709, Idaho Code.
3 (6) An amount required by the provisions of chapter 53, title 33, Idaho
4 Code.
5 (7) An amount required by the provisions of chapter 87, title 67, Idaho
6 Code.
7 (8) One dollar ($1.00) on each application for certificate of title or
8 initial application for registration of a motor vehicle, snowmobile, all-
9 terrain vehicle or other vehicle processed by the county assessor or the Idaho
10 transportation department excepting those applications in which any sales or
11 use taxes due have been previously collected by a retailer, shall be a fee for
12 the services of the assessor of the county or the Idaho transportation depart-
13 ment in collecting such taxes, and shall be paid into the current expense fund
14 of the county or state highway account established in section 40-702, Idaho
15 Code.
16 (9) Thirteen and three-quarters Eleven and five-tenths percent
17 (13.7511.5%) is continuously appropriated and shall be distributed to the rev-
18 enue sharing account which is created in the state treasury, and the moneys in
19 the revenue sharing account will be paid in installments each calendar quarter
20 by the tax commission as follows:
21 (a) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
22 ious cities as follows:
23 (i) Fifty percent (50%) of such amount shall be paid to the various
24 cities, and each city shall be entitled to an amount in the propor-
25 tion that the population of that city bears to the population of all
26 cities within the state; and
27 (ii) Fifty percent (50%) of such amount shall be paid to the various
28 cities, and each city shall be entitled to an amount in the propor-
29 tion that the preceding year's market value for assessment purposes
30 for that city bears to the preceding year's market value for assess-
31 ment purposes for all cities within the state.
32 (b) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
33 ious counties as follows:
34 (i) One million three hundred twenty thousand dollars ($1,320,000)
35 annually shall be distributed one forty-fourth (1/44) to each of the
36 various counties; and
37 (ii) The balance of such amount shall be paid to the various coun-
38 ties, and each county shall be entitled to an amount in the propor-
39 tion that the population of that county bears to the population of
40 the state;
41 (c) Thirty-five and nine-tenths percent (35.9%) of the amount appropri-
42 ated in this subsection (9) shall be paid to the several counties for dis-
43 tribution to the cities and counties as follows:
44 (i) Each city and county which received a payment under the provi-
45 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
46 calendar year 1999, shall be entitled to a like amount during suc-
47 ceeding calendar quarters.
48 (ii) If the dollar amount of money available under this subsection
49 (9)(c) in any quarter does not equal the amount paid in the fourth
50 quarter of calendar year 1999, each city's and county's payment shall
51 be reduced proportionately.
52 (iii) If the dollar amount of money available under this subsection
53 (9)(c) in any quarter exceeds the amount paid in the fourth quarter
54 of calendar year 1999, each city and county shall be entitled to a
55 proportionately increased payment, but such increase shall not exceed
6
1 one hundred five percent (105%) of the total payment made in the
2 fourth quarter of calendar year 1999.
3 (iv) If the dollar amount of money available under this subsection
4 (9)(c) in any quarter exceeds one hundred five percent (105%) of the
5 total payment made in the fourth quarter of calendar year 1999, any
6 amount over and above such one hundred five percent (105%) shall be
7 paid fifty percent (50%) to the various cities in the proportion that
8 the population of the city bears to the population of all cities
9 within the state, and fifty percent (50%) to the various counties in
10 the proportion that the population of a county bears to the popula-
11 tion of the state; and
12 (d) Seven and seven-tenths percent (7.7%) of the amount appropriated in
13 this subsection (9) shall be paid to the several counties for distribution
14 to special purpose taxing districts as follows:
15 (i) Each such district which received a payment under the provi-
16 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
17 calendar year 1999, shall be entitled to a like amount during suc-
18 ceeding calendar quarters.
19 (ii) If the dollar amount of money available under this subsection
20 (89)(d) in any quarter does not equal the amount paid in the fourth
21 quarter of calendar year 1999, each special purpose taxing district's
22 payment shall be reduced proportionately.
23 (iii) If the dollar amount of money available under this subsection
24 (9)(d) in any quarter exceeds the amount distributed under paragraph
25 (i) of this subsection (9)(d), each special purpose taxing district
26 shall be entitled to a share of the excess based on the proportion
27 each such district's current property tax budget bears to the sum of
28 the current property tax budgets of all such districts in the state.
29 The state tax commission shall calculate district current property
30 tax budgets to include any unrecovered foregone amounts as deter-
31 mined under section 63-802(1)(e), Idaho Code. When a special purpose
32 taxing district is situated in more than one (1) county, the tax com-
33 mission shall determine the portion attributable to the special pur-
34 pose taxing district from each county in which it is situated.
35 (iv) If special purpose taxing districts are consolidated, the
36 resulting district is entitled to a base amount equal to the sum of
37 the base amounts which were received in the last calendar quarter by
38 each district prior to the consolidation.
39 (v) If a special purpose taxing district is dissolved or
40 disincorporated, the state tax commission shall continuously distrib-
41 ute to the board of county commissioners an amount equal to the last
42 quarter's distribution prior to dissolution or disincorporation. The
43 board of county commissioners shall determine any redistribution of
44 moneys so received.
45 (vi) Taxing districts formed after January 1, 2001, are not entitled
46 to a payment under the provisions of this subsection (9)(d).
47 (vii) For purposes of this subsection (9)(d), a special purpose tax-
48 ing district is any taxing district which is not a city, a county or
49 a school district.
50 (10) Any moneys remaining over and above those necessary to meet and
51 reserve for payments under other subsections of this section shall be distrib-
52 uted to the general fund.
53 SECTION 5. That Sections 63-3619 and 63-3621, Idaho Code, be, and the
54 same are hereby repealed.
7
1 SECTION 6. That Section 63-3638, Idaho Code, be, and the same is hereby
2 repealed.
3 SECTION 7. That Chapter 36, Title 63, Idaho Code, be, and the same is
4 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
5 ignated as Section 63-3619, Idaho Code, and to read as follows:
6 63-3619. IMPOSITION AND RATE OF THE SALES TAX. An excise tax is hereby
7 imposed upon each sale at retail at the rate of five percent (5%) of the sales
8 price of all retail sales subject to taxation under this chapter and such
9 amount shall be computed monthly on all sales at retail within the preceding
10 month.
11 (a) The tax shall apply to, be computed on, and collected for all credit,
12 installment, conditional or similar sales at the time of the sale or, in the
13 case of rentals, at the time the rental is charged.
14 (b) The tax hereby imposed shall be collected by the retailer from the
15 consumer.
16 (c) The state tax commission shall provide schedules for collection of
17 the tax on sales which involve a fraction of a dollar. The retailer shall cal-
18 culate the tax upon the entire amount of the purchases of the consumer made at
19 a particular time and not separately upon each item purchased. The retailer
20 may retain any amount collected under the bracket system prescribed which is
21 in excess of the amount of tax for which he is liable to the state during the
22 period as compensation for the work of collecting the tax.
23 (d) It is unlawful for any retailer to advertise or hold out or state to
24 the public or to any customer, directly or indirectly, that the tax or any
25 part thereof will be assumed or absorbed by the retailer or that it will not
26 be added to the selling price of the property sold or that if added it or any
27 part thereof will be refunded. Any person violating any provision of this sec-
28 tion is guilty of a misdemeanor.
29 (e) The tax commission may by rule provide that the amount collected by
30 the retailer from the customer in reimbursement of the tax be displayed sepa-
31 rately from the list price, the price advertised on the premises, the marked
32 price, or other price on the sales slip or other proof of sale.
33 (f) The taxes imposed by this chapter shall apply to the sales to con-
34 tractors purchasing for use in the performance of contracts with the United
35 States.
36 SECTION 8. That Chapter 36, Title 63, Idaho Code, be, and the same is
37 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
38 ignated as Section 63-3621, Idaho Code, and to read as follows:
39 63-3621. IMPOSITION AND RATE OF THE USE TAX -- EXEMPTIONS. An excise tax
40 is hereby imposed on the storage, use, or other consumption in this state of
41 tangible personal property acquired on or after July 1, 2005, for storage,
42 use, or other consumption in this state at the rate of five percent (5%) of
43 the value of the property, and a recent sales price shall be presumptive evi-
44 dence of the value of the property unless the property is wireless telecommu-
45 nications equipment, in which case a recent sales price shall be conclusive
46 evidence of the value of the property.
47 (a) Every person storing, using, or otherwise consuming, in this state,
48 tangible personal property is liable for the tax. His liability is not extin-
49 guished until the tax has been paid to this state except that a receipt from a
50 retailer maintaining a place of business in this state or engaged in business
51 in this state given to the purchaser is sufficient to relieve the purchaser
8
1 from further liability for the tax to which the receipt refers. A retailer
2 shall not be considered to have stored, used or consumed wireless telecommuni-
3 cations equipment by virtue of giving, selling or otherwise transferring such
4 equipment at a discount as an inducement to a consumer to commence or continue
5 a contract for telecommunications service.
6 (b) Every retailer engaged in business in this state, and making sales of
7 tangible personal property for the storage, use, or other consumption in this
8 state, not exempted under section 63-3622, Idaho Code, shall, at the time of
9 making the sales or, if storage, use or other consumption of the tangible per-
10 sonal property is not then taxable hereunder, at the time the storage, use or
11 other consumption becomes taxable, collect the tax from the purchaser and give
12 to the purchaser a receipt therefor in the manner and form prescribed by the
13 state tax commission.
14 (c) The provisions of this section shall not apply when the retailer pays
15 sales tax on the transaction and collects reimbursement for such sales tax
16 from the customer.
17 (d) Every retailer engaged in business in this state or maintaining a
18 place of business in this state shall register with the state tax commission
19 and give the name and address of all agents operating in this state, the loca-
20 tion of all distributions or sales houses or offices or other places of busi-
21 ness in this state, and such other information as the state tax commission may
22 require.
23 (e) For the purpose of the proper administration of this act and to pre-
24 vent evasion of the use tax and the duty to collect the use tax, it shall be
25 presumed that tangible personal property sold by any person for delivery in
26 this state is sold for storage, use, or other consumption in this state. The
27 burden of proving the sale is tax exempt is upon the person who makes the sale
28 unless he obtains from the purchaser a resale certificate to the effect that
29 the property is purchased for resale or rental. It shall be presumed that
30 sales made to a person who has completed a resale certificate for the
31 seller's records are not taxable and the seller need not collect sales or use
32 taxes unless the tangible personal property purchased is taxable to the pur-
33 chaser as a matter of law in the particular instance claimed on the resale
34 certificate.
35 A seller may accept a resale certificate from a purchaser prior to the
36 time of sale, at the time of sale, or at any reasonable time after the sale
37 when necessary to establish the privilege of the exemption. The resale certif-
38 icate relieves the person selling the property from the burden of proof only
39 if taken from a person who is engaged in the business of selling or renting
40 tangible personal property and who holds the permit provided for by section
41 63-3620, Idaho Code, or who is a retailer not engaged in business in this
42 state, and who, at the time of purchasing the tangible personal property,
43 intends to sell or rent it in the regular course of business or is unable to
44 ascertain at the time of purchase whether the property will be sold or will be
45 used for some other purpose. Other than as provided elsewhere in this section,
46 when a resale certificate, properly executed, is presented to the seller, the
47 seller has no duty or obligation to collect sales or use taxes in regard to
48 any sales transaction so documented regardless of whether the purchaser prop-
49 erly or improperly claimed an exemption. A seller so relieved of the obliga-
50 tion to collect tax is also relieved of any liability to the purchaser for
51 failure to collect tax or for making any report or disclosure of information
52 required or permitted under this chapter.
53 The resale certificate shall bear the name and address of the purchaser,
54 shall be signed by the purchaser or his agent, shall indicate the number of
55 the permit issued to the purchaser, or that the purchaser is an out-of-state
9
1 retailer, and shall indicate the general character of the tangible personal
2 property sold by the purchaser in the regular course of business. The certifi-
3 cate shall be substantially in such form as the state tax commission may pre-
4 scribe.
5 (f) If a purchaser who gives a resale certificate makes any storage or
6 use of the property other than retention, demonstration or display while hold-
7 ing it for sale in the regular course of business, the storage or use is tax-
8 able as of the time the property is first so stored or used.
9 (g) Any person violating any provision of this section is guilty of a
10 misdemeanor and punishable by a fine not in excess of one hundred dollars
11 ($100), and each violation shall constitute a separate offense.
12 (h) It shall be presumed that tangible personal property shipped or
13 brought to this state by the purchaser was purchased from a retailer, for
14 storage, use or other consumption in this state.
15 (i) It shall be presumed that tangible personal property delivered out-
16 side this state to a purchaser known by the retailer to be a resident of this
17 state was purchased from a retailer for storage, use, or other consumption in
18 this state. This presumption may be controverted by evidence satisfactory to
19 the state tax commission that the property was not purchased for storage, use,
20 or other consumption in this state.
21 (j) When the tangible personal property subject to use tax has been sub-
22 jected to a general retail sales or use tax by another state of the United
23 States in an amount equal to or greater than the amount of the Idaho tax, and
24 evidence can be given of such payment, the property will not be subject to
25 Idaho use tax. If the amount paid the other state was less, the property will
26 be subject to use tax to the extent that the Idaho tax exceeds the tax paid to
27 the other state. For the purposes of this subsection, a registration certifi-
28 cate or title issued by another state or subdivision thereof for a vehicle or
29 trailer or a vessel as defined in section 67-7003, Idaho Code, shall be suffi-
30 cient evidence of payment of a general retail sales or use tax.
31 (k) The use tax herein imposed shall not apply to the use by a nonresi-
32 dent of this state of a motor vehicle which is registered or licensed under
33 the laws of the state of his residence and is not used in this state more
34 than a cumulative period of time totaling ninety (90) days in any consecutive
35 twelve (12) months, and which is not required to be registered or licensed
36 under the laws of this state.
37 (l) The use tax herein imposed shall not apply to the use of household
38 goods, personal effects and personally owned motor vehicles by a resident of
39 this state, if such articles were acquired by such person in another state
40 while a resident of that state and primarily for use outside this state and if
41 such use was actual and substantial, but if an article was acquired less than
42 three (3) months prior to the time he entered this state, it will be presumed
43 that the article was acquired for use in this state and that its use outside
44 this state was not actual and substantial. For purposes of this subsection,
45 "resident" shall be as defined in section 63-3013 or 63-3013A, Idaho Code.
46 (m) The use tax herein imposed shall not apply to the storage, use or
47 other consumption of tangible personal property which is or will be incorpo-
48 rated into real property and which has been donated to and has become the
49 property of:
50 (1) A nonprofit organization as defined in section 63-3622O, Idaho Code;
51 or
52 (2) The state of Idaho; or
53 (3) Any political subdivision of the state.
54 This exemption applies whether the tangible personal property is incorporated
55 in real property by the donee, a contractor or subcontractor of the donee, or
10
1 any other person.
2 SECTION 9. That Chapter 36, Title 63, Idaho Code, be, and the same is
3 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
4 ignated as Section 63-3638, Idaho Code, and to read as follows:
5 63-3638. SALES TAX -- DISTRIBUTION. All moneys collected under this chap-
6 ter, except as may otherwise be required in section 63-3203, Idaho Code, shall
7 be distributed by the tax commission as follows:
8 (1) An amount of money shall be distributed to the state refund account
9 sufficient to pay current refund claims. All refunds authorized under this
10 chapter by the commission shall be paid through the state refund account, and
11 those moneys are continuously appropriated.
12 (2) Five million dollars ($5,000,000) per year is continuously appropri-
13 ated and shall be distributed to the permanent building fund, provided by sec-
14 tion 57-1108, Idaho Code.
15 (3) Four million eight hundred thousand dollars ($4,800,000) per year is
16 continuously appropriated and shall be distributed to the water pollution con-
17 trol account established by section 39-3605, Idaho Code.
18 (4) An amount equal to the sum required to be certified by the chairman
19 of the Idaho housing and finance association to the state tax commission pur-
20 suant to section 67-6211, Idaho Code, in each year is continuously appropri-
21 ated and shall be paid to any capital reserve fund, established by the Idaho
22 housing and finance association pursuant to section 67-6211, Idaho Code. Such
23 amounts, if any, as may be appropriated hereunder to the capital reserve fund
24 of the Idaho housing and finance association shall be repaid for distribution
25 under the provisions of this section, subject to the provisions of section
26 67-6215, Idaho Code, by the Idaho housing and finance association, as soon as
27 possible, from any moneys available therefor and in excess of the amounts
28 which the association determines will keep it self-supporting.
29 (5) An amount equal to the sum required by the provisions of section
30 63-709, Idaho Code, is continuously appropriated and shall be paid as pro-
31 vided by section 63-709, Idaho Code.
32 (6) An amount required by the provisions of chapter 53, title 33, Idaho
33 Code.
34 (7) An amount required by the provisions of chapter 87, title 67, Idaho
35 Code.
36 (8) One dollar ($1.00) on each application for certificate of title or
37 initial application for registration of a motor vehicle, snowmobile, all-
38 terrain vehicle or other vehicle processed by the county assessor or the Idaho
39 transportation department excepting those applications in which any sales or
40 use taxes due have been previously collected by a retailer, shall be a fee for
41 the services of the assessor of the county or the Idaho transportation depart-
42 ment in collecting such taxes, and shall be paid into the current expense fund
43 of the county or state highway account established in section 40-702, Idaho
44 Code.
45 (9) Thirteen and three-quarters percent (13.75%) is continuously appro-
46 priated and shall be distributed to the revenue sharing account which is cre-
47 ated in the state treasury, and the moneys in the revenue sharing account will
48 be paid in installments each calendar quarter by the tax commission as fol-
49 lows:
50 (a) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
51 ious cities as follows:
52 (i) Fifty percent (50%) of such amount shall be paid to the various
53 cities, and each city shall be entitled to an amount in the propor-
11
1 tion that the population of that city bears to the population of all
2 cities within the state; and
3 (ii) Fifty percent (50%) of such amount shall be paid to the various
4 cities, and each city shall be entitled to an amount in the propor-
5 tion that the preceding year's market value for assessment purposes
6 for that city bears to the preceding year's market value for assess-
7 ment purposes for all cities within the state.
8 (b) Twenty-eight and two-tenths percent (28.2%) shall be paid to the var-
9 ious counties as follows:
10 (i) One million three hundred twenty thousand dollars ($1,320,000)
11 annually shall be distributed one forty-fourth (1/44) to each of the
12 various counties; and
13 (ii) The balance of such amount shall be paid to the various coun-
14 ties, and each county shall be entitled to an amount in the propor-
15 tion that the population of that county bears to the population of
16 the state;
17 (c) Thirty-five and nine-tenths percent (35.9%) of the amount appropri-
18 ated in this subsection (9) shall be paid to the several counties for dis-
19 tribution to the cities and counties as follows:
20 (i) Each city and county which received a payment under the provi-
21 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
22 calendar year 1999, shall be entitled to a like amount during suc-
23 ceeding calendar quarters.
24 (ii) If the dollar amount of money available under this subsection
25 (9)(c) in any quarter does not equal the amount paid in the fourth
26 quarter of calendar year 1999, each city's and county's payment shall
27 be reduced proportionately.
28 (iii) If the dollar amount of money available under this subsection
29 (9)(c) in any quarter exceeds the amount paid in the fourth quarter
30 of calendar year 1999, each city and county shall be entitled to a
31 proportionately increased payment, but such increase shall not exceed
32 one hundred five percent (105%) of the total payment made in the
33 fourth quarter of calendar year 1999.
34 (iv) If the dollar amount of money available under this subsection
35 (9)(c) in any quarter exceeds one hundred five percent (105%) of the
36 total payment made in the fourth quarter of calendar year 1999, any
37 amount over and above such one hundred five percent (105%) shall be
38 paid fifty percent (50%) to the various cities in the proportion that
39 the population of the city bears to the population of all cities
40 within the state, and fifty percent (50%) to the various counties in
41 the proportion that the population of a county bears to the popula-
42 tion of the state; and
43 (d) Seven and seven-tenths percent (7.7%) of the amount appropriated in
44 this subsection (9) shall be paid to the several counties for distribution
45 to special purpose taxing districts as follows:
46 (i) Each such district which received a payment under the provi-
47 sions of section 63-3638(e), Idaho Code, during the fourth quarter of
48 calendar year 1999, shall be entitled to a like amount during suc-
49 ceeding calendar quarters.
50 (ii) If the dollar amount of money available under this subsection
51 (9)(d) in any quarter does not equal the amount paid in the fourth
52 quarter of calendar year 1999, each special purpose taxing district's
53 payment shall be reduced proportionately.
54 (iii) If the dollar amount of money available under this subsection
55 (9)(d) in any quarter exceeds the amount distributed under paragraph
12
1 (i) of this subsection (9)(d), each special purpose taxing district
2 shall be entitled to a share of the excess based on the proportion
3 each such district's current property tax budget bears to the sum of
4 the current property tax budgets of all such districts in the state.
5 The state tax commission shall calculate district current property
6 tax budgets to include any unrecovered foregone amounts as determined
7 under section 63-802(1)(e), Idaho Code. When a special purpose taxing
8 district is situated in more than one (1) county, the tax commission
9 shall determine the portion attributable to the special purpose tax-
10 ing district from each county in which it is situated.
11 (iv) If special purpose taxing districts are consolidated, the
12 resulting district is entitled to a base amount equal to the sum of
13 the base amounts which were received in the last calendar quarter by
14 each district prior to the consolidation.
15 (v) If a special purpose taxing district is dissolved or
16 disincorporated, the state tax commission shall continuously distrib-
17 ute to the board of county commissioners an amount equal to the last
18 quarter's distribution prior to dissolution or disincorporation. The
19 board of county commissioners shall determine any redistribution of
20 moneys so received.
21 (vi) Taxing districts formed after January 1, 2001, are not entitled
22 to a payment under the provisions of this subsection (9)(d).
23 (vii) For purposes of this subsection (9)(d), a special purpose tax-
24 ing district is any taxing district which is not a city, a county or
25 a school district.
26 (10) Any moneys remaining over and above those necessary to meet and
27 reserve for payments under other subsections of this section shall be distrib-
28 uted to the general fund.
29 SECTION 10. SEVERABILITY. The provisions of this act are hereby declared
30 to be severable and if any provision of this act or the application of such
31 provision to any person or circumstance is declared invalid for any reason,
32 such declaration shall not affect the validity of the remaining portions of
33 this act.
34 SECTION 11. An emergency existing therefor, which emergency is hereby
35 declared to exist, Sections 1, 2, 3 and 10 of this act shall be in full force
36 and effect on and after May 1, 2003; and Section 4 of this act shall be in
37 full force and effect on and after June 1, 2003. Sections 5, 7 and 8 of this
38 act shall be in full force and effect on and after July 1, 2005. Sections 6
39 and 9 of this act shall be in full force and effect on and after August 1,
40 2005.
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STATEMENT OF PURPOSE
RS 13264
This legislation increases the sales tax from 5% to 6% for the
period May 1, 2003, through June 30, 2005.
FISCAL IMPACT
General Fund Revenues would be increased by $13 million in
FY 2003 and $160 million in FY 2004 and FY 2005.
Contact
Name: Senator Hal Bunderson
Phone: 208-332-1331
STATEMENT OF PURPOSE/FISCAL NOTE H 400AAS