View Bill Status
View Bill Text
View Statement of Purpose / Fiscal Impact
H0469...............................................by REVENUE AND TAXATION PERSONAL PROPERTY TAX - Adds to existing law to provide that the sales and use tax does not apply to charges for personal property tax added to the rent for leases of tangible personal property if certain circumstances occur. 02/06 House intro - 1st rdg - to printing 02/07 Rpt prt - to Rev/Tax 02/12 Rpt out - rec d/p - to 2nd rdg 02/13 2nd rdg - to 3rd rdg 02/18 3rd rdg - PASSED - 69-0-1 AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Black, Block, Bock, Boe, Bolz, Bowers, Brackett, Bradford, Chadderdon, Chavez, Chew, Clark, Collins, Crane, Durst, Eskridge, Hagedorn, Hart, Harwood, Henbest(Burgoyne), Henderson, Jaquet, Killen, King, Kren, Labrador, Lake, LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin, Mortimer, Moyle, Nielsen, Nonini, Pasley-Stuart, Patrick, Pence, Raybould, Ringo(Cooke), Roberts, Ruchti, Rusche, Sayler, Schaefer, Shepherd(02), Shepherd(08), Shirley, Shively, Smith(24), Snodgrass, Stevenson, Thayn, Thomas, Trail, Vander Woude, Wills, Wood(27), Wood(35), Mr. Speaker NAYS -- None Absent and excused -- Smith(30) Floor Sponsor - Clark Title apvd - to Senate 02/19 Senate intro - 1st rdg - to Loc Gov 02/27 Rpt out - rec d/p - to 2nd rdg 02/28 2nd rdg - to 3rd rdg 03/04 3rd rdg - PASSED - 33-0-2 AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett, Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Geddes, Goedde, Hammond, Heinrich, Hill, Kelly, Keough, Langhorst, Little, Lodge, Malepeai(Sagness), McGee, McKague, McKenzie, Pearce, Richardson, Schroeder, Siddoway, Stegner, Stennett, Werk NAYS -- None Absent and excused -- Gannon, Jorgenson Floor Sponsor - Hill Title apvd - to House 03/05 To enrol 03/06 Rpt enrol - Sp signed 03/07 Pres signed 03/10 To Governor 03/14 Governor signed Session Law Chapter 92 Effective: 07/01/08
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-ninth Legislature Second Regular Session - 2008IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 469 BY REVENUE AND TAXATION COMMITTEE 1 AN ACT 2 RELATING TO SALES AND USE TAX EXEMPTIONS; AMENDING CHAPTER 36, TITLE 63, IDAHO 3 CODE, BY THE ADDITION OF A NEW SECTION 63-3622UU, IDAHO CODE, TO PROVIDE 4 THAT THE SALES AND USE TAX DOES NOT APPLY TO CHARGES FOR PERSONAL PROPERTY 5 TAX ADDED TO THE RENT FOR LEASES OF TANGIBLE PERSONAL PROPERTY IF CERTAIN 6 CIRCUMSTANCES OCCUR. 7 Be It Enacted by the Legislature of the State of Idaho: 8 SECTION 1. That Chapter 36, Title 63, Idaho Code, be, and the same is 9 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 10 ignated as Section 63-3622UU, Idaho Code, and to read as follows: 11 63-3622UU. PERSONAL PROPERTY TAX ON RENTALS. The taxes imposed by this 12 chapter do not apply to charges for personal property tax added to the rent 13 paid for leases of tangible personal property. This exemption applies if: 14 (1) The lessor separately states the charge for property tax to the les- 15 see; and 16 (2) The amount charged to the lessee is not more than the property tax 17 actually paid by the lessor; and 18 (3) The lease agreement is for an initial period of one (1) year or 19 longer.
STATEMENT OF PURPOSE RS 17512 Current Idaho law appears to charge sales tax on personal property tax if paid through a lease. This legislation provides that charges for personal property tax added to the rents paid by a lessee of tangible personal property are not subject to sales tax as long as the lease period is at least one year and the property tax is separately stated. FISCAL NOTE The fiscal impact on the general fund is difficult to determine with accuracy, but it is estimated that sales tax receipts will decrease by approximately $400,000. Contact Name: Senator Brent Hill Phone: 332-1316 Senator Bart Davis Phone: 332-1305 STATEMENT OF PURPOSE/FISCAL NOTE H 469