Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 30 Fourth Substitute (2021GS)

Sponsor

Rep. Barlow, S.

Final action

Governor Signed 3/22/2021

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• addresses the State Tax Commission's authority to provide tax collection data to counties, cities, towns, metro townships, and the military installation development authority;
• clarifies the signature requirements for the form a new owner of residential property uses to declare that the residential property qualifies for the primary residential exemption;
• amends the calculation of certain tax credits to match the applicable income tax rate;
• integrates the income tax code provisions from 2020 Third Special Session, H.B. 3003, Income Tax Revisions, into the Utah Code;
• integrates the sales tax code provisions from 2020 Fourth Special Session, H.B. 4002, Rail Fuel Sales Tax Amendments, into the Utah Code; and
• makes technical corrections, including eliminating references to repealed provisions, eliminating redundant or obsolete language, and updating cross-references.

Every vote on this bill

Bill text

TAX MODIFICATIONS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Stewart E. Barlow
Senate Sponsor: 
Luz Escamilla
Cosponsor:
Travis M. Seegmiller
LONG TITLE
General Description:
This bill modifies provisions related to tax.
Highlighted Provisions:
This bill:
▸ addresses the State Tax Commission's authority to provide tax collection data to
counties, cities, towns, metro townships, and the military installation development
authority;
▸ clarifies the signature requirements for the form a new owner of residential property
uses to declare that the residential property qualifies for the primary residential
exemption;
▸ amends the calculation of certain tax credits to match the applicable income tax
rate;
▸ integrates the income tax code provisions from 2020 Third Special Session, H.B.
3003, Income Tax Revisions, into the Utah Code;
▸ integrates the sales tax code provisions from 2020 Fourth Special Session, H.B.
4002, Rail Fuel Sales Tax Amendments, into the Utah Code; and
▸ makes technical corrections, including eliminating references to repealed
provisions, eliminating redundant or obsolete language, and updating
cross-references.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides retrospective operation.
This bill provides coordination clauses.
Utah Code Sections Affected:
AMENDS:
11-41-102
, as last amended by Laws of Utah 2016, Chapter 176
19-3-106
, as last amended by Laws of Utah 2018, Chapter 376
26-36b-208
, as last amended by Laws of Utah 2019, Chapters 1 and 393
35A-8-308
, as last amended by Laws of Utah 2017, Chapters 181 and 421
35A-8-309
, as last amended by Laws of Utah 2019, Chapter 493
59-1-401
, as last amended by Laws of Utah 2020, Chapter 294
59-1-403
, as last amended by Laws of Utah 2020, Chapter 294
59-1-403.1
, as enacted by Laws of Utah 2018, Chapter 4
59-1-404
, as last amended by Laws of Utah 2018, Chapter 368
59-2-103.5
, as last amended by Laws of Utah 2020, Chapter 78
59-2-1007
, as last amended by Laws of Utah 2018, Chapter 368
59-2-1602
, as last amended by Laws of Utah 2020, Chapter 447
59-7-118
, as last amended by Laws of Utah 2019, Chapter 11
59-7-159
, as last amended by Laws of Utah 2019, Chapters 247 and 465
59-7-504
, as last amended by Laws of Utah 1995, Chapter 311
59-7-505
, as last amended by Laws of Utah 1997, Chapter 332
59-7-507
, as last amended by Laws of Utah 2007, Chapter 269
59-7-610
, as last amended by Laws of Utah 2020, Chapters 82, 354, 360 and last
amended by Coordination Clause, Laws of Utah 2020, Chapter 360
59-7-619
, as last amended by Laws of Utah 2016, Third Special Session, Chapter 1
59-7-620
, as last amended by Laws of Utah 2020, Chapter 46
59-10-103
, as last amended by Laws of Utah 2020, Sixth Special Session, Chapter 15
59-10-114
, as last amended by Laws of Utah 2020, Sixth Special Session, Chapter 15
59-10-137
, as last amended by Laws of Utah 2019, Chapters 247 and 465
59-10-507
, as last amended by Laws of Utah 2016, Chapter 87
59-10-514
, as last amended by Laws of Utah 2016, Chapter 87
59-10-516
, as last amended by Laws of Utah 2010, Chapter 271
59-10-522
, as renumbered and amended by Laws of Utah 1987, Chapter 2
59-10-1007
, as last amended by Laws of Utah 2020, Chapters 82, 354, 360 and last
amended by Coordination Clause, Laws of Utah 2020, Chapter 360
59-10-1017
, as last amended by Laws of Utah 2017, Chapter 389
59-10-1017.1
, as enacted by Laws of Utah 2017, Chapter 389
59-10-1022
, as enacted by Laws of Utah 2008, Chapter 389
59-10-1023
, as enacted by Laws of Utah 2008, Chapter 389
59-10-1028
, as last amended by Laws of Utah 2012, Chapter 399
59-10-1035
, as last amended by Laws of Utah 2017, Chapter 222
59-10-1036
, as enacted by Laws of Utah 2016, Chapter 55
59-10-1403
, as last amended by Laws of Utah 2017, Chapter 270
59-10-1403.3
, as enacted by Laws of Utah 2017, Chapter 270
59-12-102
, as last amended by Laws of Utah 2020, Chapters 354, 365, and 438
59-12-103
, as last amended by Laws of Utah 2020, Fifth Special Session, Chapter 20
59-12-104
, as last amended by Laws of Utah 2020, Chapters 44, 91, 354, 412, and 438
59-12-209
, as last amended by Laws of Utah 2009, Chapters 212 and 240
59-12-210
, as last amended by Laws of Utah 2009, Chapter 240
59-14-212
, as last amended by Laws of Utah 2007, Chapter 322
62A-11-328
, as last amended by Laws of Utah 2009, Chapter 31
63G-2-302
, as last amended by Laws of Utah 2020, Fifth Special Session, Chapter 4
REPEALS:
59-7-118.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-7-504.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-7-505.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-7-507.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-103.2
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-114.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-514.2
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-516.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-522.1
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-10-1403.4
, as enacted by Laws of Utah 2020, Third Special Session, Chapter 4
59-12-103.3
, as enacted by Laws of Utah 2020, Fourth Special Session, Chapter 2
Utah Code Sections Affected by Coordination Clause:
10-1-304
, as last amended by Laws of Utah 2012, Chapter 410
10-3c-204
, as enacted by Laws of Utah 2015, Chapter 352
59-12-102
, as last amended by Laws of Utah 2020, Chapters 354, 365, and 438
59-12-209
, as last amended by Laws of Utah 2009, Chapters 212 and 240
59-12-210
, as last amended by Laws of Utah 2009, Chapter 240
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
11-41-102
 is amended to read:
11-41-102.
Definitions.
As used in this chapter:
(1) "Agreement" means an oral or written agreement between a:
(a) (i) county; or
(ii) municipality; and
(b) person.
(2) "Municipality" means a:
(a) city;
(b) town; or
(c) metro township.
(3) "Payment" includes:
(a) a payment;
(b) a rebate;
(c) a refund; or
(d) an amount similar to Subsections (3)(a) through (c).
(4) "Regional retail business" means a:
(a) retail business that occupies a floor area of more than 80,000 square feet;
(b) dealer as defined in Section 
41-1a-102
;
(c) retail shopping facility that has at least two anchor tenants if the total number of
anchor tenants in the shopping facility occupy a total floor area of more than 150,000 square
feet; or
(d) grocery store that occupies a floor area of more than 30,000 square feet.
(5) (a) "Sales and use tax" means a tax:
(i) imposed on transactions within a:
(A) county; or
(B) municipality; and
(ii) except as provided in Subsection (5)(b), authorized under Title 59, Chapter 12,
Sales and Use Tax Act.
(b) [
Notwithstanding Subsection (5)(a)(ii), "sales
] 
"Sales
 and use tax" does not include
a tax authorized under:
(i) Subsection 
59-12-103
(2)(a)(i);
(ii) Subsection 
59-12-103
(2)(b)(i);
(iii) Subsection 
59-12-103
(2)(c)(i);
(iv) Subsection 
59-12-103
(2)(d);
[
(iv)
] 
(v)
 Subsection 
59-12-103
(2)[
(d)
]
(e)
(i)(A);
[
(v)
] 
(vi)
 Section 
59-12-301
;
[
(vi)
] 
(vii)
 Section 
59-12-352
;
[
(vii)
] 
(viii)
 Section 
59-12-353
;
[
(viii)
] 
(ix)
 Section 
59-12-603
; or
[
(ix)
] 
(x)
 Section 
59-12-1201
.
(6) (a) "Sales and use tax incentive payment" means a payment of revenues:
(i) to a person;
(ii) by a:
(A) county; or
(B) municipality;
(iii) to induce the person to locate or relocate a regional retail business within the:
(A) county; or
(B) municipality; and
(iv) that are derived from a sales and use tax.
(b) "Sales and use tax incentive payment" does not include funding for public
infrastructure.
Section 2. Section 
19-3-106
 is amended to read:
19-3-106.
Fee for commercial radioactive waste disposal or treatment.
(1) (a) An owner or operator of a commercial radioactive waste treatment or disposal
facility that receives radioactive waste shall pay a fee as provided in Subsection (1)(b).
(b) (i) On or after July 1, 2011, the fee shall be established by the department in
accordance with Section 
63J-1-504
.
(ii) In the development of a fee schedule prepared under Subsection (1)(b)(i), the
department may conduct by no later than July 1, 2011, a review of the program costs and
indirect costs of regulating radioactive waste in the state.
(iii) In addition to the process required by Section 
63J-1-504
, the department shall
establish a fee that:
(A) is a flat fee, not based on the amount of waste treated or disposed of;
(B) provides for reasonable and timely oversight of radioactive waste by the
department; and
(C) adequately meets the needs of industry and the department, including allowing for
the department to employ qualified personnel to appropriately oversee industry regulation.
(2) (a) The owner or operator shall remit the fees imposed under this section to the
department on or before the 15th day of the month following the month in which the fee
accrued.
(b) The department shall deposit the fees received under this section into the
Environmental Quality Restricted Account created in Section 
19-1-108
.
(3) (a) The annual fee required under Subsection (1)(a) shall be reduced by the amount
paid in tax annually by the owner or operator under Section 
59-24-103.5
.
(b) Beginning June 2018, the State Tax Commission shall provide annually on or
before June 1 the tax information described in Subsection 
59-1-403
[
(3)
]
(4)
(v) indicating the
amount of tax paid for the previous calendar year under Section 
59-24-103.5
.
(c) The department shall apply the tax amount established in Subsection (3)(b) to
reduce the fee paid during the upcoming fiscal year, beginning fiscal year 2019, by the owner
or operator under Subsection (1)(a).
(4) The Legislature shall appropriate the fully burdened cost as determined by the
annual fee set under Subsection (1)(b) to the Environmental Quality Restricted Account created
in Section 
19-1-108
 from the General Fund for the regulation of radioactive waste treatment
and disposal.
(5) If the Legislature fails to appropriate adequate funds to cover the fully burdened
cost as determined by the annual fee set under Subsection (1)(b), the owner or operator shall
pay the balance. 
(6) Radioactive waste that is subject to a fee under this section is not subject to a fee
under Section 
19-6-119
.
Section 3. Section 
26-36b-208
 is amended to read:
26-36b-208.
Medicaid Expansion Fund.
(1) There is created an expendable special revenue fund known as the Medicaid
Expansion Fund.
(2) The fund consists of:
(a) assessments collected under this chapter;
(b) intergovernmental transfers under Section 
26-36b-206
;
(c) savings attributable to the health coverage improvement program as determined by
the department;
(d) savings attributable to the enhancement waiver program as determined by the
department;
(e) savings attributable to the Medicaid waiver expansion as determined by the
department;
(f) savings attributable to the inclusion of psychotropic drugs on the preferred drug list
under Subsection 
26-18-2.4
(3) as determined by the department;
(g) revenues collected from the sales tax described in Subsection 
59-12-103
[
(13)
]
(12)
;
(h) gifts, grants, donations, or any other conveyance of money that may be made to the
fund from private sources;
(i) interest earned on money in the fund; and
(j) additional amounts as appropriated by the Legislature.
(3) (a) The fund shall earn interest.
(b) All interest earned on fund money shall be deposited into the fund.
(4) (a) A state agency administering the provisions of this chapter may use money from
the fund to pay the costs, not otherwise paid for with federal funds or other revenue sources, of:
(i) the health coverage improvement program;
(ii) the enhancement waiver program;
(iii) a Medicaid waiver expansion; and
(iv) the outpatient upper payment limit supplemental payments under Section
26-36b-210
.
(b) A state agency administering the provisions of this chapter may not use:
(i) funds described in Subsection (2)(b) to pay the cost of private outpatient upper
payment limit supplemental payments; or
(ii) money in the fund for any purpose not described in Subsection (4)(a).
Section 4. Section 
35A-8-308
 is amended to read:
35A-8-308.
Throughput Infrastructure Fund.
(1) There is created an enterprise fund known as the Throughput Infrastructure Fund.
(2) The fund consists of money generated from the following revenue sources:
(a) all amounts transferred to the fund [
under Subsection 
59-12-103
(12)
] 
by statute
;
(b) any voluntary contributions received;
(c) appropriations made to the fund by the Legislature; and
(d) all amounts received from the repayment of loans made by the impact board under
Section 
35A-8-309
.
(3) The state treasurer shall:
(a) invest the money in the fund by following the procedures and requirements of Title
51, Chapter 7, State Money Management Act; and
(b) deposit all interest or other earnings derived from those investments into the fund.
Section 5. Section 
35A-8-309
 is amended to read:
35A-8-309.
Throughput Infrastructure Fund administered by impact board --
Uses -- Review by board -- Annual report -- First project.
(1) The impact board shall:
(a) make grants and loans from the Throughput Infrastructure Fund created in Section
35A-8-308
 for a throughput infrastructure project;
(b) use money transferred to the Throughput Infrastructure Fund in accordance with
[
Subsection 
59-12-103
(12)
] 
statute
 to provide a loan or grant to finance the cost of acquisition
or construction of a throughput infrastructure project to one or more local political
subdivisions, including a Utah interlocal agency created under Title 11, Chapter 13, Interlocal
Cooperation Act;
(c) administer the Throughput Infrastructure Fund in a manner that will keep a portion
of the fund revolving;
(d) determine provisions for repayment of loans;
(e) establish criteria for awarding loans and grants; and
(f) establish criteria for determining eligibility for assistance under this section.
(2) The cost of acquisition or construction of a throughput infrastructure project
includes amounts for working capital, reserves, transaction costs, and other amounts
determined by the impact board to be allocable to a throughput infrastructure project.
(3) The impact board may restructure or forgive all or part of a local political
subdivision's or interlocal agency's obligation to repay loans for extenuating circumstances.
(4) To receive assistance under this section, a local political subdivision or an
interlocal agency shall submit a formal application containing the information that the impact
board requires.
(5) (a) The impact board shall:
(i) review the proposed uses of the Throughput Infrastructure Fund for a loan or grant
before approving the loan or grant and may condition its approval on whatever assurances the
impact board considers necessary to ensure that proceeds of the loan or grant will be used in
accordance with this section;
(ii) ensure that each loan specifies terms for interest deferments, accruals, and
scheduled principal repayment; and
(iii) ensure that repayment terms are evidenced by bonds, notes, or other obligations of
the appropriate local political subdivision or interlocal agency issued to the impact board and
payable from the net revenues of a throughput infrastructure project.
(b) An instrument described in Subsection (5)(a)(iii) may be:
(i) non-recourse to the local political subdivision or interlocal agency; and
(ii) limited to a pledge of the net revenues from a throughput infrastructure project.
(6) (a) Subject to the restriction in Subsection (6)(b), the impact board shall allocate
from the Throughput Infrastructure Fund to the board those amounts that are appropriated by
the Legislature for the administration of the Throughput Infrastructure Fund.
(b) The amount described in Subsection (6)(a) may not exceed 2% of the annual
receipts to the fund.
(7) The board shall include in the annual written report described in Section
35A-1-109
:
(a) the number and type of loans and grants made under this section; and
(b) a list of local political subdivisions or interlocal agencies that received assistance
under this section.
(8) (a) The first throughput infrastructure project considered by the impact board shall
be a bulk commodities ocean terminal project.
(b) Upon receipt of an application from an interlocal agency created for the sole
purpose of undertaking a throughput infrastructure project that is a bulk commodities ocean
terminal project, the impact board shall:
(i) grant up to 2% of the money in the Throughput Infrastructure Fund to the interlocal
agency to pay or reimburse costs incurred by the interlocal agency preliminary to its acquisition
of the throughput infrastructure project; and
(ii) fund the interlocal agency's application if the application meets all criteria
established by the impact board.
Section 6. Section 
59-1-401
 is amended to read:
59-1-401.
Definitions -- Offenses and penalties -- Rulemaking authority -- Statute
of limitations -- Commission authority to waive, reduce, or compromise penalty or
interest.
(1) As used in this section:
(a) "Activated tax, fee, or charge" means a tax, fee, or charge with respect to which the
commission:
(i) has implemented the commission's GenTax system; and
(ii) at least 30 days before implementing the commission's GenTax system as described
in Subsection (1)(a)(i), has provided notice in a conspicuous place on the commission's website
stating:
(A) the date the commission will implement the GenTax system with respect to the tax,
fee, or charge; and
(B) that, at the time the commission implements the GenTax system with respect to the
tax, fee, or charge:
(I) a person that files a return after the due date as described in Subsection (2)(a) is
subject to the penalty described in Subsection (2)(c)(ii); and
(II) a person that fails to pay the tax, fee, or charge as described in Subsection (3)(a) is
subject to the penalty described in Subsection (3)(b)(ii).
(b) "Activation date for a tax, fee, or charge" means with respect to a tax, fee, or
charge, the later of:
(i) the date on which the commission implements the commission's GenTax system
with respect to the tax, fee, or charge; or
(ii) 30 days after the date the commission provides the notice described in Subsection
(1)(a)(ii) with respect to the tax, fee, or charge.
(c) (i) Except as provided in Subsection (1)(c)(ii), "tax, fee, or charge" means:
(A) a tax, fee, or charge the commission administers under:
(I) this title;
(II) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
(III) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
(IV) Section 
19-6-410.5
;
(V) Section 
19-6-714
;
(VI) Section 
19-6-805
;
(VII) Section 
34A-2-202
;
(VIII) Section 
40-6-14
; or
(IX) Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service
Charges; or
(B) another amount that by statute is subject to a penalty imposed under this section.
(ii) "Tax, fee, or charge" does not include a tax, fee, or charge imposed under:
(A) Title 41, Chapter 1a, Motor Vehicle Act, except for Section 
41-1a-301
;
(B) Title 41, Chapter 3, Motor Vehicle Business Regulation Act;
(C) Chapter 2, Property Tax Act, except for Section 
59-2-1309
;
(D) Chapter 3, Tax Equivalent Property Act; or
(E) Chapter 4, Privilege Tax.
(d) "Unactivated tax, fee, or charge" means a tax, fee, or charge except for an activated
tax, fee, or charge.
(2) (a) The due date for filing a return is:
(i) if the person filing the return is not allowed by law an extension of time for filing
the return, the day on which the return is due as provided by law; or
(ii) if the person filing the return is allowed by law an extension of time for filing the
return, the earlier of:
(A) the date the person files the return; or
(B) the last day of that extension of time as allowed by law.
(b) A penalty in the amount described in Subsection (2)(c) is imposed if a person files a
return after the due date described in Subsection (2)(a).
(c) For purposes of Subsection (2)(b), the penalty is an amount equal to the greater of:
(i) if the return described in Subsection (2)(b) is filed with respect to an unactivated
tax, fee, or charge:
(A) $20; or
(B) 10% of the unpaid unactivated tax, fee, or charge due on the return; or
(ii) if the return described in Subsection (2)(b) is filed with respect to an activated tax,
fee, or charge, beginning on the activation date for the tax, fee, or charge:
(A) $20; or
(B) (I) 2% of the unpaid activated tax, fee, or charge due on the return if the return is
filed no later than five days after the due date described in Subsection (2)(a);
(II) 5% of the unpaid activated tax, fee, or charge due on the return if the return is filed
more than five days after the due date but no later than 15 days after the due date described in
Subsection (2)(a); or
(III) 10% of the unpaid activated tax, fee, or charge due on the return if the return is
filed more than 15 days after the due date described in Subsection (2)(a).
(d) This Subsection (2) does not apply to:
(i) an amended return; or
(ii) a return with no tax due.
(3) (a) A person is subject to a penalty for failure to pay a tax, fee, or charge if:
(i) the person files a return on or before the due date for filing a return described in
Subsection (2)(a), but fails to pay the tax, fee, or charge due on the return on or before that due
date;
(ii) the person:
(A) is subject to a penalty under Subsection (2)(b); and
(B) fails to pay the tax, fee, or charge due on a return within a 90-day period after the
due date for filing a return described in Subsection (2)(a);
(iii) (A) the person is subject to a penalty under Subsection (2)(b); and
(B) the commission estimates an amount of tax due for that person in accordance with
Subsection 
59-1-1406
(2);
(iv) the person:
(A) is mailed a notice of deficiency; and
(B) within a 30-day period after the day on which the notice of deficiency described in
Subsection (3)(a)(iv)(A) is mailed:
(I) does not file a petition for redetermination or a request for agency action; and
(II) fails to pay the tax, fee, or charge due on a return;
(v) (A) the commission:
(I) issues an order constituting final agency action resulting from a timely filed petition
for redetermination or a timely filed request for agency action; or
(II) is considered to have denied a request for reconsideration under Subsection
63G-4-302
(3)(b) resulting from a timely filed petition for redetermination or a timely filed
request for agency action; and
(B) the person fails to pay the tax, fee, or charge due on a return within a 30-day period
after the date the commission:
(I) issues the order constituting final agency action described in Subsection
(3)(a)(v)(A)(I); or
(II) is considered to have denied the request for reconsideration described in
Subsection (3)(a)(v)(A)(II); or
(vi) the person fails to pay the tax, fee, or charge within a 30-day period after the date
of a final judicial decision resulting from a timely filed petition for judicial review.
(b) For purposes of Subsection (3)(a), the penalty is an amount equal to the greater of:
(i) if the failure to pay a tax, fee, or charge as described in Subsection (3)(a) is with
respect to an unactivated tax, fee, or charge:
(A) $20; or
(B) 10% of the unpaid unactivated tax, fee, or charge due on the return; or
(ii) if the failure to pay a tax, fee, or charge as described in Subsection (3)(a) is with
respect to an activated tax, fee, or charge, beginning on the activation date:
(A) $20; or
(B) (I) 2% of the unpaid activated tax, fee, or charge due on the return if the activated
tax, fee, or charge due on the return is paid no later than five days after the due date for filing a
return described in Subsection (2)(a);
(II) 5% of the unpaid activated tax, fee, or charge due on the return if the activated tax,
fee, or charge due on the return is paid more than five days after the due date for filing a return
described in Subsection (2)(a) but no later than 15 days after that due date; or
(III) 10% of the unpaid activated tax, fee, or charge due on the return if the activated
tax, fee, or charge due on the return is paid more than 15 days after the due date for filing a
return described in Subsection (2)(a).
(4) (a) Beginning January 1, 1995, in the case of any underpayment of estimated tax or
quarterly installments required by Sections 
59-5-107
, 
59-5-207
, 
59-7-504
, and 
59-9-104
, there
shall be added a penalty in an amount determined by applying the interest rate provided under
Section 
59-1-402
 plus four percentage points to the amount of the underpayment for the period
of the underpayment.
(b) (i) For purposes of Subsection (4)(a), the amount of the underpayment shall be the
excess of the required installment over the amount, if any, of the installment paid on or before
the due date for the installment.
(ii) The period of the underpayment shall run from the due date for the installment to
whichever of the following dates is the earlier:
(A) the original due date of the tax return, without extensions, for the taxable year; or
(B) with respect to any portion of the underpayment, the date on which that portion is
paid.
(iii) For purposes of this Subsection (4), a payment of estimated tax shall be credited
against unpaid required installments in the order in which the installments are required to be
paid.
(5) (a) Notwithstanding Subsection (2) and except as provided in Subsection (6), a
person allowed by law an extension of time for filing a corporate franchise or income tax return
under Chapter 7, Corporate Franchise and Income Taxes, or an individual income tax return
under Chapter 10, Individual Income Tax Act, is subject to a penalty in the amount described in
Subsection (5)(b) if, on or before the day on which the return is due as provided by law, not
including the extension of time, the person fails to pay:
(i) for a person filing a corporate franchise or income tax return under Chapter 7,
Corporate Franchise and Income Taxes, the payment required by Subsection 
59-7-507
(1)(b); or
(ii) for a person filing an individual income tax return under Chapter 10, Individual
Income Tax Act, the payment required by Subsection 
59-10-516
(2).
(b) For purposes of Subsection (5)(a), the penalty per month during the period of the
extension of time for filing the return is an amount equal to 2% of the tax due on the return,
unpaid as of the day on which the return is due as provided by law.
(6) If a person does not file a return within an extension of time allowed by Section
59-7-505
 or 
59-10-516
, the person:
(a) is not subject to a penalty in the amount described in Subsection (5)(b); and
(b) is subject to a penalty in an amount equal to the sum of:
(i) a late file penalty in an amount equal to the greater of:
(A) $20; or
(B) 10% of the tax due on the return, unpaid as of the day on which the return is due as
provided by law, not including the extension of time; and
(ii) a late pay penalty in an amount equal to the greater of:
(A) $20; or
(B) 10% of the unpaid tax due on the return, unpaid as of the day on which the return is
due as provided by law, not including the extension of time.
(7) (a) Additional penalties for an underpayment of a tax, fee, or charge are as provided
in this Subsection (7)(a).
(i) Except as provided in Subsection (7)(c), if any portion of an underpayment of a tax,
fee, or charge is due to negligence, the penalty is 10% of the portion of the underpayment that
is due to negligence.
(ii) Except as provided in Subsection (7)(d), if any portion of an underpayment of a
tax, fee, or charge is due to intentional disregard of law or rule, the penalty is 15% of the entire
underpayment.
(iii) If any portion of an underpayment is due to an intent to evade a tax, fee, or charge,
the penalty is the greater of $500 per period or 50% of the entire underpayment.
(iv) If any portion of an underpayment is due to fraud with intent to evade a tax, fee, or
charge, the penalty is the greater of $500 per period or 100% of the entire underpayment.
(b) If the commission determines that a person is liable for a penalty imposed under
Subsection (7)(a)(ii), (iii), or (iv), the commission shall notify the person of the proposed
penalty.
(i) The notice of proposed penalty shall:
(A) set forth the basis of the assessment; and
(B) be mailed by certified mail, postage prepaid, to the person's last-known address.
(ii) Upon receipt of the notice of proposed penalty, the person against whom the
penalty is proposed may:
(A) pay the amount of the proposed penalty at the place and time stated in the notice;
or
(B) proceed in accordance with the review procedures of Subsection (7)(b)(iii).
(iii) A person against whom a penalty is proposed in accordance with this Subsection
(7) may contest the proposed penalty by filing a petition for an adjudicative proceeding with
the commission.
(iv) (A) If the commission determines that a person is liable for a penalty under this
Subsection (7), the commission shall assess the penalty and give notice and demand for
payment.
(B) The commission shall mail the notice and demand for payment described in
Subsection (7)(b)(iv)(A):
(I) to the person's last-known address; and
(II) in accordance with Section 
59-1-1404
.
(c) A seller that voluntarily collects a tax under Subsection 
59-12-107
(2)(d) is not
subject to the penalty under Subsection (7)(a)(i) if on or after July 1, 2001:
(i) a court of competent jurisdiction issues a final unappealable judgment or order
determining that:
(A) the seller meets one or more of the criteria described in Subsection 
59-12-107
(2)(a)
or is a seller required to pay or collect and remit sales and use taxes under Subsection
59-12-107
(2)(b) or (2)(c); and
(B) the commission or a county, city, or town may require the seller to collect a tax
under Subsections 
59-12-103
(2)(a) through [
(d)
] 
(e)
; or
(ii) the commission issues a final unappealable administrative order determining that:
(A) the seller meets one or more of the criteria described in Subsection 
59-12-107
(2)(a)
or is a seller required to pay or collect and remit sales and use taxes under Subsection
59-12-107
(2)(b) or (2)(c); and
(B) the commission or a county, city, or town may require the seller to collect a tax
under Subsections 
59-12-103
(2)(a) through [
(d)
] 
(e)
.
(d) A seller that voluntarily collects a tax under Subsection 
59-12-107
(2)(d) is not
subject to the penalty under Subsection (7)(a)(ii) if:
(i) (A) a court of competent jurisdiction issues a final unappealable judgment or order
determining that:
(I) the seller meets one or more of the criteria described in Subsection 
59-12-107
(2)(a)
or is a seller required to pay or collect and remit sales and use taxes under Subsection
59-12-107
(2)(b) or (2)(c); and
(II) the commission or a county, city, or town may require the seller to collect a tax
under Subsections 
59-12-103
(2)(a) through [
(d)
] 
(e)
; or
(B) the commission issues a final unappealable administrative order determining that:
(I) the seller meets one or more of the criteria described in Subsection 
59-12-107
(2)(a)
or is a seller required to pay or collect and remit sales and use taxes under Subsection
59-12-107
(2)(b) or (2)(c); and
(II) the commission or a county, city, or town may require the seller to collect a tax
under Subsections 
59-12-103
(2)(a) through [
(d)
] 
(e)
; and
(ii) the seller's intentional disregard of law or rule is warranted by existing law or by a
nonfrivolous argument for the extension, modification, or reversal of existing law or the
establishment of new law.
(8) (a) Subject to Subsections (8)(b) and (c), the penalty for failure to file an
information return, information report, or a complete supporting schedule is $50 for each
information return, information report, or supporting schedule up to a maximum of $1,000.
(b) If an employer is subject to a penalty under Subsection (13), the employer may not
be subject to a penalty under Subsection (8)(a).
(c) If an employer is subject to a penalty under this Subsection (8) for failure to file a
return in accordance with Subsection 
59-10-406
(3) on or before the due date described in
Subsection 
59-10-406
(3)(b)(ii), the commission may not impose a penalty under this
Subsection (8) unless the return is filed more than 14 days after the due date described in
Subsection 
59-10-406
(3)(b)(ii).
(9) If a person, in furtherance of a frivolous position, has a prima facie intent to delay
or impede administration of a law relating to a tax, fee, or charge and files a purported return
that fails to contain information from which the correctness of reported tax, fee, or charge
liability can be determined or that clearly indicates that the tax, fee, or charge liability shown is
substantially incorrect, the penalty is $500.
(10) (a) A seller that fails to remit a tax, fee, or charge monthly as required by
Subsection 
59-12-108
(1)(a):
(i) is subject to a penalty described in Subsection (2); and
(ii) may not retain the percentage of sales and use taxes that would otherwise be
allowable under Subsection 
59-12-108
(2).
(b) A seller that fails to remit a tax, fee, or charge by electronic funds transfer as
required by Subsection 
59-12-108
(1)(a)(ii)(B):
(i) is subject to a penalty described in Subsection (2); and
(ii) may not retain the percentage of sales and use taxes that would otherwise be
allowable under Subsection 
59-12-108
(2).
(11) (a) A person is subject to the penalty provided in Subsection (11)(c) if that person:
(i) commits an act described in Subsection (11)(b) with respect to one or more of the
following documents:
(A) a return;
(B) an affidavit;
(C) a claim; or
(D) a document similar to Subsections (11)(a)(i)(A) through (C);
(ii) knows or has reason to believe that the document described in Subsection (11)(a)(i)
will be used in connection with any material matter administered by the commission; and
(iii) knows that the document described in Subsection (11)(a)(i), if used in connection
with any material matter administered by the commission, would result in an understatement of
another person's liability for a tax, fee, or charge.
(b) The following acts apply to Subsection (11)(a)(i):
(i) preparing any portion of a document described in Subsection (11)(a)(i);
(ii) presenting any portion of a document described in Subsection (11)(a)(i);
(iii) procuring any portion of a document described in Subsection (11)(a)(i);
(iv) advising in the preparation or presentation of any portion of a document described
in Subsection (11)(a)(i);
(v) aiding in the preparation or presentation of any portion of a document described in
Subsection (11)(a)(i);
(vi) assisting in the preparation or presentation of any portion of a document described
in Subsection (11)(a)(i); or
(vii) counseling in the preparation or presentation of any portion of a document
described in Subsection (11)(a)(i).
(c) For purposes of Subsection (11)(a), the penalty:
(i) shall be imposed by the commission;
(ii) is $500 for each document described in Subsection (11)(a)(i) with respect to which
the person described in Subsection (11)(a) meets the requirements of Subsection (11)(a); and
(iii) is in addition to any other penalty provided by law.
(d) The commission may seek a court order to enjoin a person from engaging in
conduct that is subject to a penalty under this Subsection (11).
(e) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules prescribing the documents that are similar to Subsections
(11)(a)(i)(A) through (C).
(12) (a) As provided in Section 
76-8-1101
, criminal offenses and penalties are as
provided in Subsections (12)(b) through (e).
(b) (i) A person who is required by this title or any laws the commission administers or
regulates to register with or obtain a license or permit from the commission, who operates
without having registered or secured a license or permit, or who operates when the registration,
license, or permit is expired or not current, is guilty of a class B misdemeanor.
(ii) Notwithstanding Section 
76-3-301
, for purposes of Subsection (12)(b)(i), the
penalty may not:
(A) be less than $500; or
(B) exceed $1,000.
(c) (i) With respect to a tax, fee, or charge, a person who knowingly and intentionally,
and without a reasonable good faith basis, fails to make, render, sign, or verify a return within
the time required by law or to supply information within the time required by law, or who
makes, renders, signs, or verifies a false or fraudulent return or statement, or who supplies false
or fraudulent information, is guilty of a third degree felony.
(ii) Notwithstanding Section 
76-3-301
, for purposes of Subsection (12)(c)(i), the
penalty may not:
(A) be less than $1,000; or
(B) exceed $5,000.
(d) (i) A person who intentionally or willfully attempts to evade or defeat a tax, fee, or
charge or the payment of a tax, fee, or charge is, in addition to other penalties provided by law,
guilty of a second degree felony.
(ii) Notwithstanding Section 
76-3-301
, for purposes of Subsection (12)(d)(i), the
penalty may not:
(A) be less than $1,500; or
(B) exceed $25,000.
(e) (i) A person is guilty of a second degree felony if that person commits an act:
(A) described in Subsection (12)(e)(ii) with respect to one or more of the following
documents:
(I) a return;
(II) an affidavit;
(III) a claim; or
(IV) a document similar to Subsections (12)(e)(i)(A)(I) through (III); and
(B) subject to Subsection (12)(e)(iii), with knowledge that the document described in
Subsection (12)(e)(i)(A):
(I) is false or fraudulent as to any material matter; and
(II) could be used in connection with any material matter administered by the
commission.
(ii) The following acts apply to Subsection (12)(e)(i):
(A) preparing any portion of a document described in Subsection (12)(e)(i)(A);
(B) presenting any portion of a document described in Subsection (12)(e)(i)(A);
(C) procuring any portion of a document described in Subsection (12)(e)(i)(A);
(D) advising in the preparation or presentation of any portion of a document described
in Subsection (12)(e)(i)(A);
(E) aiding in the preparation or presentation of any portion of a document described in
Subsection (12)(e)(i)(A);
(F) assisting in the preparation or presentation of any portion of a document described
in Subsection (12)(e)(i)(A); or
(G) counseling in the preparation or presentation of any portion of a document
described in Subsection (12)(e)(i)(A).
(iii) This Subsection (12)(e) applies:
(A) regardless of whether the person for which the document described in Subsection
(12)(e)(i)(A) is prepared or presented:
(I) knew of the falsity of the document described in Subsection (12)(e)(i)(A); or
(II) consented to the falsity of the document described in Subsection (12)(e)(i)(A); and
(B) in addition to any other penalty provided by law.
(iv) Notwithstanding Section 
76-3-301
, for purposes of this Subsection (12)(e), the
penalty may not:
(A) be less than $1,500; or
(B) exceed $25,000.
(v) The commission may seek a court order to enjoin a person from engaging in
conduct that is subject to a penalty under this Subsection (12)(e).
(vi) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the commission may make rules prescribing the documents that are similar to Subsections
(12)(e)(i)(A)(I) through (III).
(f) The statute of limitations for prosecution for a violation of this Subsection (12) is
the later of six years:
(i) from the date the tax should have been remitted; or
(ii) after the day on which the person commits the criminal offense.
(13) (a) Subject to Subsection (13)(b), an employer that is required to file a form with
the commission in accordance with Subsection 
59-10-406
(8) is subject to a penalty described
in Subsection (13)(b) if the employer:
(i) fails to file the form with the commission in an electronic format approved by the
commission as required by Subsection 
59-10-406
(8);
(ii) fails to file the form on or before the due date provided in Subsection 
59-10-406
(8);
(iii) fails to provide accurate information on the form; or
(iv) fails to provide all of the information required by the Internal Revenue Service to
be contained on the form.
(b) For purposes of Subsection (13)(a), the penalty is:
(i) $30 per form, not to exceed $75,000 in a calendar year, if the employer files the
form in accordance with Subsection 
59-10-406
(8), more than 14 days after the due date
provided in Subsection 
59-10-406
(8) but no later than 30 days after the due date provided in
Subsection 
59-10-406
(8);
(ii) $60 per form, not to exceed $200,000 in a calendar year, if the employer files the
form in accordance with Subsection 
59-10-406
(8), more than 30 days after the due date
provided in Subsection 
59-10-406
(8) but on or before June 1; or
(iii) $100 per form, not to exceed $500,000 in a calendar year, if the employer:
(A) files the form in accordance with Subsection 
59-10-406
(8) after June 1; or
(B) fails to file the form.
(14) Upon making a record of its actions, and upon reasonable cause shown, the
commission may waive, reduce, or compromise any of the penalties or interest imposed under
this part.
Section 7. Section 
59-1-403
 is amended to read:
59-1-403.
Confidentiality -- Exceptions -- Penalty -- Application to property tax.
(1) As used in this section:
(a) "Distributed tax, fee, or charge" means a tax, fee, or charge:
(i) the commission administers under:
(A) this title, other than a tax under Chapter 12, Part 2, Local Sales and Use Tax Act;
(B) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
(C) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
(D) Section 
19-6-805
;
(E) Section 
63H-1-205
; or
(F) Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service Charges;
and
(ii) with respect to which the commission distributes the revenue collected from the
tax, fee, or charge to a qualifying jurisdiction.
(b) "Qualifying jurisdiction" means:
(i) a county, city, town, or metro township; or
(ii) the military installation development authority created in Section 
63H-1-201
.
[
(1)
] 
(2)
 (a) Any of the following may not divulge or make known in any manner any
information gained by that person from any return filed with the commission:
(i) a tax commissioner;
(ii) an agent, clerk, or other officer or employee of the commission; or
(iii) a representative, agent, clerk, or other officer or employee of any county, city, or
town.
(b) An official charged with the custody of a return filed with the commission is not
required to produce the return or evidence of anything contained in the return in any action or
proceeding in any court, except:
(i) in accordance with judicial order;
(ii) on behalf of the commission in any action or proceeding under:
(A) this title; or
(B) other law under which persons are required to file returns with the commission;
(iii) on behalf of the commission in any action or proceeding to which the commission
is a party; or
(iv) on behalf of any party to any action or proceeding under this title if the report or
facts shown by the return are directly involved in the action or proceeding.
(c) Notwithstanding Subsection [
(1)
] 
(2)
(b), a court may require the production of, and
may admit in evidence, any portion of a return or of the facts shown by the return, as are
specifically pertinent to the action or proceeding.
[
(2)
] 
(3)
 This section does not prohibit:
(a) a person or that person's duly authorized representative from receiving a copy of
any return or report filed in connection with that person's own tax;
(b) the publication of statistics as long as the statistics are classified to prevent the
identification of particular reports or returns; and
(c) the inspection by the attorney general or other legal representative of the state of the
report or return of any taxpayer:
(i) who brings action to set aside or review a tax based on the report or return;
(ii) against whom an action or proceeding is contemplated or has been instituted under
this title; or
(iii) against whom the state has an unsatisfied money judgment.
[
(3)
] 
(4)
 (a) Notwithstanding Subsection [
(1)
] 
(2)
 and for purposes of administration,
the commission may by rule, made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, provide for a reciprocal exchange of information with:
(i) the United States Internal Revenue Service; or
(ii) the revenue service of any other state.
(b) Notwithstanding Subsection [
(1)
] 
(2)
 and for all taxes except individual income tax
and corporate franchise tax, the commission may by rule, made in accordance with Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, share information gathered from returns and
other written statements with the federal government, any other state, any of the political
subdivisions of another state, or any political subdivision of this state, except as limited by
Sections 
59-12-209
 and 
59-12-210
, if the political subdivision, other state, or the federal
government grant substantially similar privileges to this state.
(c) Notwithstanding Subsection [
(1)
] 
(2)
 and for all taxes except individual income tax
and corporate franchise tax, the commission may by rule, in accordance with Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, provide for the issuance of information
concerning the identity and other information of taxpayers who have failed to file tax returns or
to pay any tax due.
(d) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide to the director
of the Division of Environmental Response and Remediation, as defined in Section 
19-6-402
,
as requested by the director of the Division of Environmental Response and Remediation, any
records, returns, or other information filed with the commission under Chapter 13, Motor and
Special Fuel Tax Act, or Section 
19-6-410.5
 regarding the environmental assurance program
participation fee.
(e) Notwithstanding Subsection [
(1)
] 
(2)
, at the request of any person the commission
shall provide that person sales and purchase volume data reported to the commission on a
report, return, or other information filed with the commission under:
(i) Chapter 13, Part 2, Motor Fuel; or
(ii) Chapter 13, Part 4, Aviation Fuel.
(f) Notwithstanding Subsection [
(1)
] 
(2)
, upon request from a tobacco product
manufacturer, as defined in Section 
59-22-202
, the commission shall report to the
manufacturer:
(i) the quantity of cigarettes, as defined in Section 
59-22-202
, produced by the
manufacturer and reported to the commission for the previous calendar year under Section
59-14-407
; and
(ii) the quantity of cigarettes, as defined in Section 
59-22-202
, produced by the
manufacturer for which a tax refund was granted during the previous calendar year under
Section 
59-14-401
 and reported to the commission under Subsection 
59-14-401
(1)(a)(v).
(g) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall notify manufacturers,
distributors, wholesalers, and retail dealers of a tobacco product manufacturer that is prohibited
from selling cigarettes to consumers within the state under Subsection 
59-14-210
(2).
(h) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may:
(i) provide to the Division of Consumer Protection within the Department of
Commerce and the attorney general data:
(A) reported to the commission under Section 
59-14-212
; or
(B) related to a violation under Section 
59-14-211
; and
(ii) upon request, provide to any person data reported to the commission under
Subsections 
59-14-212
(1)(a) through (c) and Subsection 
59-14-212
(1)(g).
(i) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall, at the request of a
committee of the Legislature, the Office of the Legislative Fiscal Analyst, or the Governor's
Office of Management and Budget, provide to the committee or office the total amount of
revenues collected by the commission under Chapter 24, Radioactive Waste Facility Tax Act,
for the time period specified by the committee or office.
(j) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall make the directory
required by Section 
59-14-603
 available for public inspection.
(k) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may share information with
federal, state, or local agencies as provided in Subsection 
59-14-606
(3).
(l) (i) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide the Office of
Recovery Services within the Department of Human Services any relevant information
obtained from a return filed under Chapter 10, Individual Income Tax Act, regarding a taxpayer
who has become obligated to the Office of Recovery Services.
(ii) The information described in Subsection [
(3)
] 
(4)
(l)(i) may be provided by the
Office of Recovery Services to any other state's child support collection agency involved in
enforcing that support obligation.
(m) (i) Notwithstanding Subsection [
(1)
] 
(2)
, upon request from the state court
administrator, the commission shall provide to the state court administrator, the name, address,
telephone number, county of residence, and social security number on resident returns filed
under Chapter 10, Individual Income Tax Act.
(ii) The state court administrator may use the information described in Subsection [
(3)
]
(4)
(m)(i) only as a source list for the master jury list described in Section 
78B-1-106
.
(n) (i) As used in this Subsection [
(3)
] 
(4)
(n):
(A) "GOED" means the Governor's Office of Economic Development created in
Section 
63N-1-201
.
(B) "Income tax information" means information gained by the commission that is
required to be attached to or included in a return filed with the commission under Chapter 7,
Corporate Franchise and Income Taxes, or Chapter 10, Individual Income Tax Act.
(C) "Other tax information" means information gained by the commission that is
required to be attached to or included in a return filed with the commission except for a return
filed under Chapter 7, Corporate Franchise and Income Taxes, or Chapter 10, Individual
Income Tax Act.
(D) "Tax information" means income tax information or other tax information.
(ii) (A) Notwithstanding Subsection [
(1)
] 
(2)
 and except as provided in Subsection
[
(3)
] 
(4)
(n)(ii)(B) or (C), the commission shall at the request of GOED provide to GOED all
income tax information.
(B) For purposes of a request for income tax information made under Subsection [
(3)
]
(4)
(n)(ii)(A), GOED may not request and the commission may not provide to GOED a person's
address, name, social security number, or taxpayer identification number.
(C) In providing income tax information to GOED, the commission shall in all
instances protect the privacy of a person as required by Subsection [
(3)
] 
(4)
(n)(ii)(B).
(iii) (A) Notwithstanding Subsection [
(1)
] 
(2)
 and except as provided in Subsection
[
(3)
] 
(4)
(n)(iii)(B), the commission shall at the request of GOED provide to GOED other tax
information.
(B) Before providing other tax information to GOED, the commission shall redact or
remove any name, address, social security number, or taxpayer identification number.
(iv) GOED may provide tax information received from the commission in accordance
with this Subsection [
(3)
] 
(4)
(n) only:
(A) as a fiscal estimate, fiscal note information, or statistical information; and
(B) if the tax information is classified to prevent the identification of a particular
return.
(v) (A) A person may not request tax information from GOED under Title 63G,
Chapter 2, Government Records Access and Management Act, or this section, if GOED
received the tax information from the commission in accordance with this Subsection [
(3)
]
(4)
(n).
(B) GOED may not provide to a person that requests tax information in accordance
with Subsection [
(3)
] 
(4)
(n)(v)(A) any tax information other than the tax information GOED
provides in accordance with Subsection [
(3)
] 
(4)
(n)(iv).
(o) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may provide to the
governing board of the agreement or a taxing official of another state, the District of Columbia,
the United States, or a territory of the United States:
(i) the following relating to an agreement sales and use tax:
(A) information contained in a return filed with the commission;
(B) information contained in a report filed with the commission;
(C) a schedule related to Subsection [
(3)
] 
(4)
(o)(i)(A) or (B); or
(D) a document filed with the commission; or
(ii) a report of an audit or investigation made with respect to an agreement sales and
use tax.
(p) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may provide information
concerning a taxpayer's state income tax return or state income tax withholding information to
the Driver License Division if the Driver License Division:
(i) requests the information; and
(ii) provides the commission with a signed release form from the taxpayer allowing the
Driver License Division access to the information.
(q) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide to the Utah
Communications Authority, or a division of the Utah Communications Authority, the
information requested by the authority under Sections 
63H-7a-302
, 
63H-7a-402
, and
63H-7a-502
.
(r) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide to the Utah
Educational Savings Plan information related to a resident or nonresident individual's
contribution to a Utah Educational Savings Plan account as designated on the resident or
nonresident's individual income tax return as provided under Section 
59-10-1313
.
(s) Notwithstanding Subsection [
(1)
] 
(2)
, for the purpose of verifying eligibility under
Sections 
26-18-2.5
 and 
26-40-105
, the commission shall provide an eligibility worker with the
Department of Health or its designee with the adjusted gross income of an individual if:
(i) an eligibility worker with the Department of Health or its designee requests the
information from the commission; and
(ii) the eligibility worker has complied with the identity verification and consent
provisions of Sections 
26-18-2.5
 and 
26-40-105
.
(t) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may provide to a county, as
determined by the commission, information declared on an individual income tax return in
accordance with Section 
59-10-103.1
 that relates to eligibility to claim a residential exemption
authorized under Section 
59-2-103
.
(u) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide a report
regarding any access line provider that is over 90 days delinquent in payment to the
commission of amounts the access line provider owes under Title 69, Chapter 2, Part 4,
Prepaid Wireless Telecommunications Service Charges, to the board of the Utah
Communications Authority created in Section 
63H-7a-201
.
(v) Notwithstanding Subsection [
(1)
] 
(2)
, the commission shall provide the Department
of Environmental Quality a report on the amount of tax paid by a radioactive waste facility for
the previous calendar year under Section 
59-24-103.5
.
(w) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may, upon request, provide
to the Department of Workforce Services any information received under Chapter 10, Part 4,
Withholding of Tax, that is relevant to the duties of the Department of Workforce Services.
(x) Notwithstanding Subsection [
(1)
] 
(2)
, the commission may provide the Public
Service Commission or the Division of Public Utilities information related to a seller that
collects and remits to the commission a charge described in Subsection 
69-2-405
(2), including
the seller's identity and the number of charges described in Subsection 
69-2-405
(2) that the
seller collects.
(y) (i) Notwithstanding Subsection (2), the commission shall provide to each qualifying
jurisdiction the collection data necessary to verify the revenue collected by the commission for
a distributed tax, fee, or charge collected within the qualifying jurisdiction.
(ii) In addition to the information provided under Subsection (4)(y)(i), the commission
shall provide a qualifying jurisdiction with copies of returns and other information relating to a
distributed tax, fee, or charge collected within the qualifying jurisdiction.
(iii) (A) To obtain the information described in Subsection (4)(y)(ii), the chief
executive officer or the chief executive officer's designee of the qualifying jurisdiction shall
submit a written request to the commission that states the specific information sought and how
the qualifying jurisdiction intends to use the information.
(B) The information described in Subsection (4)(y)(ii) is available only in official
matters of the qualifying jurisdiction.
(iv) Information that a qualifying jurisdiction receives in response to a request under
this subsection is:
(A) classified as a private record under Title 63G, Chapter 2, Government Records
Access and Management Act; and
(B) subject to the confidentiality requirements of this section.
[
(4)
] 
(5)
 (a) Each report and return shall be preserved for at least three years.
(b) After the three-year period provided in Subsection [
(4)
] 
(5)
(a) the commission may
destroy a report or return.
[
(5)
] 
(6)
 (a) Any individual who violates this section is guilty of a class A
misdemeanor.
(b) If the individual described in Subsection [
(5)
] 
(6)
(a) is an officer or employee of the
state, the individual shall be dismissed from office and be disqualified from holding public
office in this state for a period of five years thereafter.
(c) Notwithstanding Subsection [
(5)
] 
(6)
(a) or (b), GOED, when requesting
information in accordance with Subsection [
(3)
] 
(4)
(n)(iii), or an individual who requests
information in accordance with Subsection [
(3)
] 
(4)
(n)(v):
(i) is not guilty of a class A misdemeanor; and
(ii) is not subject to:
(A) dismissal from office in accordance with Subsection [
(5)
] 
(6)
(b); or
(B) disqualification from holding public office in accordance with Subsection [
(5)
]
(6)
(b).
[
(6)
] 
(7)
 Except as provided in Section 
59-1-404
, this part does not apply to the
property tax.
Section 8. Section 
59-1-403.1
 is amended to read:
59-1-403.1.
Disclosure of return information.
(1) As used in this section:
(a) "Office" means:
(i) the Office of the Legislative Fiscal Analyst, established in Section 
36-12-13
;
(ii) the Office of Legislative Research and General Counsel, established in Section
36-12-12
; or
(iii) the Governor's Office of Management and Budget, created in Section 
63J-4-201
.
(b) (i) "Return information" means information gained by the commission that is
required to be attached to or included in a return filed with the commission.
(ii) "Return information" does not include information that the commission is
prohibited from disclosing by federal law, federal regulation, or federal publication.
(2) (a) Notwithstanding Subsection 
59-1-403
[
(1)
]
(2)
, the commission, at the request of
an office, shall provide to the office all return information with the items described in
Subsection (2)(b) removed.
(b) For purposes of a request for return information made under Subsection (2)(a), the
commission shall redact or remove any name, address, social security number, or taxpayer
identification number.
(3) (a) An office may disclose return information received from the commission in
accordance with this section only:
(i) (A) as a fiscal estimate, fiscal note information, or statistical information; and
(B) in a manner that reasonably protects the identification of a particular taxpayer; or
(ii) to another office.
(b) A person may not request return information, other than the return information that
the office discloses in accordance with Subsection (3)(a), from an office under Title 63G,
Chapter 2, Government Records Access and Management Act, or this section, if that office
received the return information from the commission in accordance with this section.
(c) An office may not disclose to a person that requests return information any return
information other than the return information that the office discloses in accordance with
Subsection (3)(a).
(4) Any individual who violates Subsection (3)(a):
(a) is guilty of a class A misdemeanor; and
(b) shall be:
(i) dismissed from office; and
(ii) disqualified from holding public office in this state for a period of five years after
dismissal.
(5) (a) An office and the commission may enter into an agreement specifying the
procedures for accessing, storing, and destroying return information requested in accordance
with this section.
(b) An office's access to return information is governed by this section, and except as
provided in Subsection (5)(a), may not be limited by any agreement.
Section 9. Section 
59-1-404
 is amended to read:
59-1-404.
Definitions -- Confidentiality of commercial information obtained from
a property taxpayer or derived from the commercial information -- Rulemaking
authority -- Exceptions -- Written explanation -- Signature requirements -- Retention of
signed explanation by employer -- Penalty.
(1) As used in this section:
(a) "Appraiser" means an individual who holds an appraiser's certificate or license
issued by the Division of Real Estate under Title 61, Chapter 2g, Real Estate Appraiser
Licensing and Certification Act and includes an individual associated with an appraiser who
assists the appraiser in preparing an appraisal.
(b) "Appraisal" is as defined in Section 
61-2g-102
.
(c) (i) "Commercial information" means:
(A) information of a commercial nature obtained from a property taxpayer regarding
the property taxpayer's property; or
(B) information derived from the information described in this Subsection (1)(c)(i).
(ii) (A) "Commercial information" does not include information regarding a property
taxpayer's property if the information is intended for public use.
(B) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, for
purposes of Subsection (1)(c)(ii)(A), the commission may by rule prescribe the circumstances
under which information is intended for public use.
(d) "Consultation service" is as defined in Section 
61-2g-102
.
(e) "Locally assessed property" means property that is assessed by a county assessor in
accordance with Chapter 2, Part 3, County Assessment.
(f) "Property taxpayer" means a person that:
(i) is a property owner; or
(ii) has in effect a contract with a property owner to:
(A) make filings on behalf of the property owner;
(B) process appeals on behalf of the property owner; or
(C) pay a tax under Chapter 2, Property Tax Act, on the property owner's property.
(g) "Property taxpayer's property" means property with respect to which a property
taxpayer:
(i) owns the property;
(ii) makes filings relating to the property;
(iii) processes appeals relating to the property; or
(iv) pays a tax under Chapter 2, Property Tax Act, on the property.
(h) "Protected commercial information" means commercial information that:
(i) identifies a specific property taxpayer; or
(ii) would reasonably lead to the identity of a specific property taxpayer.
(2) An individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) may not disclose
commercial information:
(a) obtained in the course of performing any duty that the individual listed under
Subsection 
59-1-403
[
(1)
]
(2)
(a) performs under Chapter 2, Property Tax Act; or
(b) relating to an action or proceeding:
(i) with respect to a tax imposed on property in accordance with Chapter 2, Property
Tax Act; and
(ii) that is filed in accordance with:
(A) this chapter;
(B) Chapter 2, Property Tax Act; or
(C) this chapter and Chapter 2, Property Tax Act.
(3) (a) Notwithstanding Subsection (2) and subject to Subsection (3)(c), an individual
listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) may disclose the following information:
(i) the assessed value of property;
(ii) the tax rate imposed on property;
(iii) a legal description of property;
(iv) the physical description or characteristics of property, including a street address or
parcel number for the property;
(v) the square footage or acreage of property;
(vi) the square footage of improvements on property;
(vii) the name of a property taxpayer;
(viii) the mailing address of a property taxpayer;
(ix) the amount of a property tax:
(A) assessed on property;
(B) due on property;
(C) collected on property;
(D) abated on property; or
(E) deferred on property;
(x) the amount of the following relating to property taxes due on property:
(A) interest;
(B) costs; or
(C) other charges;
(xi) the tax status of property, including:
(A) an exemption;
(B) a property classification;
(C) a bankruptcy filing; or
(D) whether the property is the subject of an action or proceeding under this title;
(xii) information relating to a tax sale of property; or
(xiii) information relating to single-family residential property.
(b) Notwithstanding Subsection (2) and subject to Subsection (3)(c), an individual
listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) shall disclose, upon request, the information
described in Subsection 
59-2-1007
(9).
(c) (i) Subject to Subsection (3)(c)(ii), a person may receive the information described
in Subsection (3)(a) or (b) in written format.
(ii) The following may charge a reasonable fee to cover the actual cost of providing the
information described in Subsection (3)(a) or (b) in written format:
(A) the commission;
(B) a county;
(C) a city; or
(D) a town.
(4) (a) Notwithstanding Subsection (2) and except as provided in Subsection (4)(c), an
individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) shall disclose commercial information:
(i) in accordance with judicial order;
(ii) on behalf of the commission in any action or proceeding:
(A) under this title;
(B) under another law under which a property taxpayer is required to disclose
commercial information; or
(C) to which the commission is a party;
(iii) on behalf of any party to any action or proceeding under this title if the commercial
information is directly involved in the action or proceeding; or
(iv) if the requirements of Subsection (4)(b) are met, that is:
(A) relevant to an action or proceeding:
(I) filed in accordance with this title; and
(II) involving property; or
(B) in preparation for an action or proceeding involving property.
(b) Commercial information shall be disclosed in accordance with Subsection
(4)(a)(iv):
(i) if the commercial information is obtained from:
(A) a real estate agent if the real estate agent is not a property taxpayer of the property
that is the subject of the action or proceeding;
(B) an appraiser if the appraiser:
(I) is not a property taxpayer of the property that is the subject of the action or
proceeding; and
(II) did not receive the commercial information pursuant to Subsection (8);
(C) a property manager if the property manager is not a property taxpayer of the
property that is the subject of the action or proceeding; or
(D) a property taxpayer other than a property taxpayer of the property that is the subject
of the action or proceeding;
(ii) regardless of whether the commercial information is disclosed in more than one
action or proceeding; and
(iii) (A) if a county board of equalization conducts the action or proceeding, the county
board of equalization takes action to provide that any commercial information disclosed during
the action or proceeding may not be disclosed by any person conducting or participating in the
action or proceeding except as specifically allowed by this section;
(B) if the commission conducts the action or proceeding, the commission enters a
protective order or, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
Act, makes rules specifying that any commercial information disclosed during the action or
proceeding may not be disclosed by any person conducting or participating in the action or
proceeding except as specifically allowed by this section; or
(C) if a court of competent jurisdiction conducts the action or proceeding, the court
enters a protective order specifying that any commercial information disclosed during the
action or proceeding may not be disclosed by any person conducting or participating in the
action or proceeding except as specifically allowed by this section.
(c) Notwithstanding Subsection (4)(a), a court may require the production of, and may
admit in evidence, commercial information that is specifically pertinent to the action or
proceeding.
(5) Notwithstanding Subsection (2), this section does not prohibit:
(a) the following from receiving a copy of any commercial information relating to the
basis for assessing a tax that is charged to a property taxpayer:
(i) the property taxpayer;
(ii) a duly authorized representative of the property taxpayer;
(iii) a person that has in effect a contract with the property taxpayer to:
(A) make filings on behalf of the property taxpayer;
(B) process appeals on behalf of the property taxpayer; or
(C) pay a tax under Chapter 2, Property Tax Act, on the property taxpayer's property;
(iv) a property taxpayer that purchases property from another property taxpayer; or
(v) a person that the property taxpayer designates in writing as being authorized to
receive the commercial information;
(b) the publication of statistics as long as the statistics are classified to prevent the
identification of a particular property taxpayer's commercial information; or
(c) the inspection by the attorney general or other legal representative of the state or a
legal representative of a political subdivision of the state of the commercial information of a
property taxpayer:
(i) that brings action to set aside or review a tax or property valuation based on the
commercial information;
(ii) against which an action or proceeding is contemplated or has been instituted under
this title; or
(iii) against which the state or a political subdivision of the state has an unsatisfied
money judgment.
(6) Notwithstanding Subsection (2), in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, the commission may by rule establish standards authorizing
an individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) to disclose commercial information:
(a) (i) in a published decision; or
(ii) in carrying out official duties; and
(b) if that individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) consults with the
property taxpayer that provided the commercial information.
(7) Notwithstanding Subsection (2):
(a) an individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) may share commercial
information with the following:
(i) another individual listed in Subsection 
59-1-403
[
(1)
]
(2)
(a)(i) or (ii); or
(ii) a representative, agent, clerk, or other officer or employee of a county as required
to fulfill an obligation created by Chapter 2, Property Tax Act;
(b) an individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a) may perform the
following to fulfill an obligation created by Chapter 2, Property Tax Act:
(i) publish notice;
(ii) provide notice; or
(iii) file a lien; or
(c) the commission may by rule, made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, share commercial information gathered from returns and other
written statements with the federal government, any other state, any of the political
subdivisions of another state, or any political subdivision of this state, if these political
subdivisions or the federal government grant substantially similar privileges to this state.
(8) Notwithstanding Subsection (2):
(a) subject to the limitations in this section, an individual described in Subsection
59-1-403
[
(1)
]
(2)
(a) may share the following commercial information with an appraiser:
(i) the sales price of locally assessed property and the related financing terms;
(ii) capitalization rates and related rates and ratios related to the valuation of locally
assessed property; and
(iii) income and expense information related to the valuation of locally assessed
property; and
(b) except as provided in Subsection (4), an appraiser who receives commercial
information:
(i) may disclose the commercial information:
(A) to an individual described in Subsection 
59-1-403
[
(1)
]
(2)
(a);
(B) to an appraiser;
(C) in an appraisal if protected commercial information is removed to protect its
confidential nature; or
(D) in performing a consultation service if protected commercial information is not
disclosed; and
(ii) may not use the commercial information:
(A) for a purpose other than to prepare an appraisal or perform a consultation service;
or
(B) for a purpose intended to be, or which could reasonably be foreseen to be,
anti-competitive to a property taxpayer.
(9) (a) The commission shall:
(i) prepare a written explanation of this section; and
(ii) make the written explanation described in Subsection (9)(a)(i) available to the
public.
(b) An employer of a person described in Subsection 
59-1-403
[
(1)
]
(2)
(a) shall:
(i) provide the written explanation described in Subsection (9)(a)(i) to each person
described in Subsection 
59-1-403
[
(1)
]
(2)
(a) who is reasonably likely to receive commercial
information;
(ii) require each person who receives a written explanation in accordance with
Subsection (9)(b)(i) to:
(A) read the written explanation; and
(B) sign the written explanation; and
(iii) retain each written explanation that is signed in accordance with Subsection
(9)(b)(ii) for a time period:
(A) beginning on the day on which a person signs the written explanation in
accordance with Subsection (9)(b)(ii); and
(B) ending six years after the day on which the employment of the person described in
Subsection (9)(b)(iii)(A) by the employer terminates.
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission shall by rule define "employer."
(10) (a) An individual described in Subsection (1)(a) or 
59-1-403
[
(1)
]
(2)
(a), or an
individual that violates a protective order or similar limitation entered pursuant to Subsection
(4)(b)(iii), is guilty of a class A misdemeanor if that person:
(i) intentionally discloses commercial information in violation of this section; and
(ii) knows that the disclosure described in Subsection (10)(a)(i) is prohibited by this
section.
(b) If the individual described in Subsection (10)(a) is an officer or employee of the
state or a county and is convicted of violating this section, the individual shall be dismissed
from office and be disqualified from holding public office in this state for a period of five years
thereafter.
(c) If the individual described in Subsection (10)(a) is an appraiser, the appraiser shall
forfeit any certification or license received under Title 61, Chapter 2g, Real Estate Appraiser
Licensing and Certification Act, for a period of five years.
(d) If the individual described in Subsection (10)(a) is an individual associated with an
appraiser who assists the appraiser in preparing appraisals, the individual shall be prohibited
from becoming licensed or certified under Title 61, Chapter 2g, Real Estate Appraiser
Licensing and Certification Act, for a period of five years.
Section 10. Section 
59-2-103.5
 is amended to read:
59-2-103.5.
Procedures to obtain an exemption for residential property --
Procedure if property owner or property no longer qualifies to receive a residential
exemption.
(1) Subject to Subsection (8), for residential property other than part-year residential
property, a county legislative body may adopt an ordinance that requires an owner to file an
application with the county board of equalization before a residential exemption under Section
59-2-103
 may be applied to the value of the residential property if:
(a) the residential property was ineligible for the residential exemption during the
calendar year immediately preceding the calendar year for which the owner is seeking to have
the residential exemption applied to the value of the residential property;
(b) an ownership interest in the residential property changes; or
(c) the county board of equalization determines that there is reason to believe that the
residential property no longer qualifies for the residential exemption.
(2) (a) The application described in Subsection (1):
(i) shall be on a form the commission prescribes by rule and makes available to the
counties;
(ii) shall be signed by the owner of the residential property; and
(iii) may not request the sales price of the residential property.
(b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules prescribing the contents of the form described in Subsection
(2)(a).
(c) For purposes of the application described in Subsection (1), a county may not
request information from an owner of a residential property beyond the information provided in
the form prescribed by the commission under this Subsection (2).
(3) (a) Regardless of whether a county legislative body adopts an ordinance described
in Subsection (1), before a residential exemption may be applied to the value of part-year
residential property, an owner of the property shall:
(i) file the application described in Subsection (2)(a) with the county board of
equalization; and
(ii) include as part of the application described in Subsection (2)(a) a statement that
certifies:
(A) the date the part-year residential property became residential property;
(B) that the part-year residential property will be used as residential property for 183 or
more consecutive calendar days during the calendar year for which the owner seeks to obtain
the residential exemption; and
(C) that the owner, or a member of the owner's household, may not claim a residential
exemption for any property for the calendar year for which the owner seeks to obtain the
residential exemption, other than the part-year residential property, or as allowed under Section
59-2-103
 with respect to the primary residence or household furnishings, furniture, and
equipment of the owner's tenant.
(b) An owner may not obtain a residential exemption for part-year residential property
unless the owner files an application under this Subsection (3) on or before November 30 of the
calendar year for which the owner seeks to obtain the residential exemption.
(c) If an owner files an application under this Subsection (3) on or after May 1 of the
calendar year for which the owner seeks to obtain the residential exemption, the county board
of equalization may require the owner to pay an application fee of not to exceed $50.
(4) Except as provided in Subsection (5), if a property owner no longer qualifies to
receive a residential exemption authorized under Section 
59-2-103
 for the property owner's
primary residence, the property owner shall:
(a) file a written statement with the county board of equalization of the county in which
the property is located:
(i) on a form provided by the county board of equalization; and
(ii) notifying the county board of equalization that the property owner no longer
qualifies to receive a residential exemption authorized under Section 
59-2-103
 for the property
owner's primary residence; and
(b) declare on the property owner's individual income tax return under Chapter 10,
Individual Income Tax Act, for the taxable year for which the property owner no longer
qualifies to receive a residential exemption authorized under Section 
59-2-103
 for the property
owner's primary residence, that the property owner no longer qualifies to receive a residential
exemption authorized under Section 
59-2-103
 for the property owner's primary residence.
(5) A property owner is not required to file a written statement or make the declaration
described in Subsection (4) if the property owner:
(a) changes primary residences;
(b) qualified to receive a residential exemption authorized under Section 
59-2-103
 for
the residence that was the property owner's former primary residence; and
(c) qualifies to receive a residential exemption authorized under Section 
59-2-103
 for
the residence that is the property owner's current primary residence.
(6) Subsections (2) through (5) do not apply to qualifying exempt primary residential
rental personal property.
(7) (a) Subject to Subsection (8), for the first calendar year in which a property owner
qualifies to receive a residential exemption under Section 
59-2-103
, a county assessor may
require the property owner to file a signed statement described in Section 
59-2-306
.
(b) Subject to Subsection (8) and notwithstanding Section 
59-2-306
, for a calendar year
after the calendar year described in Subsection (7)(a) in which a property owner qualifies for an
exemption described in Subsection 
59-2-1115
(2) for qualifying exempt primary residential
rental personal property, a signed statement described in Section 
59-2-306
 with respect to the
qualifying exempt primary residential rental personal property may only require the property
owner to certify, under penalty of perjury, that the property owner qualifies for the exemption
under Subsection 
59-2-1115
(2).
(8) (a) Subject to the requirements of this Subsection (8) and except as provided in
Subsection (8)(b), on or before May 1, 2020, a county assessor shall:
(i) notify each owner of residential property that the owner is required to submit a
written declaration described in Subsection (8)(d) within 30 days after the day on which the
county assessor mails the notice under this Subsection (8)(a); and
(ii) provide each owner with a form described in Subsection (8)(e) to make the written
declaration described in Subsection (8)(d).
(b) A county assessor is not required to provide a notice to an owner of residential
property under Subsection (8)(a) if the situs address of the residential property is the same as
any one of the following:
(i) the mailing address of the residential property owner or the tenant of the residential
property;
(ii) the address listed on the:
(A) residential property owner's driver license; or
(B) tenant of the residential property's driver license; or
(iii) the address listed on the:
(A) residential property owner's voter registration; or
(B) tenant of the residential property's voter registration.
(c) After an ownership interest in residential property changes, the county assessor
shall:
(i) notify the owner of the residential property that the owner is required to submit a
written declaration described in Subsection (8)(d) within 90 days after the day on which the
owner receives notice under this Subsection (8)(c); and
(ii) provide the owner of the residential property with the form described in Subsection
(8)(e) to make the written declaration described in Subsection (8)(d).
(d) An owner of residential property that receives a notice described in Subsection
(8)(a) or (c) shall submit a written declaration to the county assessor under penalty of perjury
certifying the information contained in the form provided in Subsection (8)(e).
(e) The written declaration required by Subsection (8)(d) shall be:
(i) signed by the owner of the residential property; and
(ii) in substantially the following form:
"Residential Property Declaration
This form must be submitted to the County Assessor's office where your new residential
property is located within 90 days of receipt. Failure to do so will result in the county assessor
taking action that could result in the withdrawal of the primary residential exemption from your
residential property.
Residential Property Owner Information
Name(s):__________________________________________________
Home Phone:_______________________________________________
Work Phone:_______________________________________________
Mailing Address:____________________________________________
Residential Property Information
Physical Address:___________________________________________
Certification
1. Is this property used as a primary residential property or part-year residential
property for you or another person?
"Part-year residential property" means owned property that is not residential property on
January 1 of a calendar year but becomes residential property after January 1 of the calendar
year.
Yes No
2. Will this primary residential property or part-year residential property be occupied
for 183 or more consecutive calendar days by the owner or another person?
A part-year residential property occupied for 183 or more consecutive calendar days in
a calendar year by the owner(s) or a tenant is eligible for the exemption.
Yes No
If a property owner or a property owner's spouse claims a residential exemption under
Utah Code Ann. § 
59-2-103
 for property in this state that is the primary residence of the
property owner or the property owner's spouse, that claim of a residential exemption creates a
rebuttable presumption that the property owner and the property owner's spouse have domicile
in Utah for income tax purposes. The rebuttable presumption of domicile does not apply if the
residential property is the primary residence of a tenant of the property owner or the property
owner's spouse.
Signature
[
This form must be signed by all owners of the property.
]
Under penalties of perjury, I declare to the best of my knowledge and belief, this
declaration and accompanying pages are true, correct, and complete.
__________________(Owner signature) _____________________Date (mm/dd/yyyy)
__________________(Owner printed name)
"
(f) For purposes of a written declaration described in this Subsection (8), a county may
not request information from a property owner beyond the information described in the form
provided in Subsection (8)(e).
(g) (i) If, after receiving a written declaration filed under Subsection (8)(d), the county
determines that the property has been incorrectly qualified or disqualified to receive a
residential exemption, the county shall:
(A) redetermine the property's qualification to receive a residential exemption; and
(B) notify the claimant of the redetermination and its reason for the redetermination.
(ii) The redetermination provided in Subsection (8)(g)(i)(A) is final unless appealed
within 30 days after the notice required by Subsection (8)(g)(i)(B).
(h) (i) If a residential property owner fails to file a written declaration required by
Subsection (8)(d), the county assessor shall mail to the owner of the residential property a
notice that:
(A) the property owner failed to file a written declaration as required by Subsection
(8)(d); and
(B) the property owner will no longer qualify to receive the residential exemption
authorized under Section 
59-2-103
 for the property that is the subject of the written declaration
if the property owner does not file the written declaration required by Subsection (8)(d) within
30 days after the day on which the county assessor mails the notice under this Subsection
(8)(h)(i).
(ii) If a property owner fails to file a written declaration required by Subsection (8)(d)
after receiving the notice described in Subsection (8)(h)(i), the property owner no longer
qualifies to receive the residential exemption authorized under Section 
59-2-103
 in the calendar
year for the property that is the subject of the written declaration.
(iii) A property owner that is disqualified to receive the residential exemption under
Subsection (8)(h)(ii) may file an application described in Subsection (1) to determine whether
the owner is eligible to receive the residential exemption.
(i) The requirements of this Subsection (8) do not apply to a county assessor in a
county that has, for the five calendar years prior to 2019, had in place and enforced an
ordinance described in Subsection (1).
Section 11. Section 
59-2-1007
 is amended to read:
59-2-1007.
Objection to assessment by commission -- Application -- Contents of
application -- Amending an application -- Information provided by the commission --
Hearings -- Appeals.
(1) (a) Subject to the other provisions of this section, if the owner of property assessed
by the commission objects to the assessment, the owner may apply to the commission for a
hearing on the objection on or before the later of:
(i) August 1; or
(ii) 90 days after the day on which the commission mails the notice of assessment in
accordance with Section 
59-2-201
.
(b) The commission shall allow an owner that meets the requirements of Subsection
(1)(a) to be a party at a hearing under this section.
(2) Subject to the other provisions of this section, a county that objects to the
assessment of property assessed by the commission may apply to the commission for a hearing
on the objection:
(a) for an assessment with respect to which the owner has applied to the commission
for a hearing on the objection under Subsection (1), if the county applies to the commission to
become a party to the hearing on the objection no later than 60 days after the day on which the
owner applied to the commission for the hearing on the objection; or
(b) for an assessment with respect to which the owner has not applied to the
commission for a hearing on the objection under Subsection (1), if the county:
(i) reasonably believes that the commission should have assessed the property for the
current calendar year at a fair market value that is at least the lesser of an amount that is:
(A) 50% greater than the value at which the commission is assessing the property for
the current calendar year; or
(B) 50% greater than the value at which the commission assessed the property for the
prior calendar year; and
(ii) applies to the commission for a hearing on the objection no later than 60 days after
the last day on which the owner could have applied to the commission for a hearing on the
objection under Subsection (1).
(3) Before a county may apply to the commission for a hearing under this section on an
objection to an assessment, a majority of the members of the county legislative body shall
approve filing an application under this section.
(4) (a) The commission shall allow a county that meets the requirements of
Subsections (2) and (3) to be a party at a hearing under this section.
(b) The commission shall allow an owner to be a party at a hearing under this section
on an objection to an assessment a county files in accordance with Subsection (2)(b).
(5) An owner or a county shall include in an application under this section:
(a) a written statement:
(i) setting forth the known facts and legal basis supporting a different fair market value
than the value assessed by the commission; and
(ii) for an assessment described in Subsection (2)(b), establishing the county's
reasonable belief that the commission should have assessed the property for the current
calendar year at a fair market value that is at least the lesser of an amount that is:
(A) 50% greater than the value at which the commission is assessing the property for
the current calendar year; or
(B) 50% greater than the value at which the commission assessed the property for the
prior calendar year; and
(b) the owner's or county's estimate of the fair market value of the property.
(6) (a) Except as provided in Subsection (6)(b), an owner or a county assessor may
amend an estimate on an application under this section of the fair market value of the property
prior to the hearing as provided by rule.
(b) A county may not amend the fair market value of property under this Subsection (6)
to equal an amount that is less than the lesser of:
(i) the value at which the commission is assessing the property for the current calendar
year plus 50%; or
(ii) the value at which the commission assessed the property for the prior calendar year
plus 50%.
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules governing the procedures for amending an estimate of fair market
value under this Subsection (6).
(7) In applying to the commission for a hearing on an objection under this section:
(a) a county may estimate the fair market value of the property using a valuation
methodology the county considers to be appropriate, regardless of:
(i) the valuation methodology used previously in valuing the property; or
(ii) the valuation methodology an owner asserts; and
(b) an owner may estimate the fair market value of the property using a valuation
methodology the owner considers to be appropriate, regardless of:
(i) the valuation methodology used previously in valuing the property; or
(ii) the valuation methodology a county asserts.
(8) (a) An owner who applies to the commission for a hearing in accordance with
Subsection (1) shall, for the property for which the owner objects to the commission's
assessment, file a copy of the application with the county auditor of each county in which the
property is located.
(b) A county auditor who receives a copy of an application in accordance with
Subsection (8)(a) shall provide a copy of the application to the county:
(i) assessor;
(ii) attorney;
(iii) legislative body; and
(iv) treasurer.
(9) (a) Upon request, the commission shall provide to a nonprofit organization that
represents counties in the state the following information regarding an appeal filed under this
section:
(i) the name of the property owner filing the appeal;
(ii) each year at issue in the appeal;
(iii) the value assessed by the commission for the property that is the subject of the
appeal; and
(iv) the owner's estimate of value for the property that is the subject of the appeal as
submitted under Subsection (5)(b).
(b) (i) Except as provided in Subsection (9)(b)(ii), a nonprofit organization may not
disclose the information described in Subsection (9)(a)(iv).
(ii) A nonprofit organization may disclose information described in Subsection
(9)(a)(iv) to an individual listed under Subsection 
59-1-403
[
(1)
]
(2)
(a).
(10) (a) On or before November 15, the commission shall conduct a scheduling
conference with all parties to a hearing under this section.
(b) At the scheduling conference under Subsection (10)(a), the commission shall
establish dates for:
(i) the completion of discovery;
(ii) the filing of prehearing motions; and
(iii) conducting a hearing on the objection to the assessment.
(11) (a) The commission shall issue a written decision no later than 120 days after the
later of the day on which:
(i) the commission completes the hearing under this section; or
(ii) the parties submit all posthearing briefs.
(b) If the commission does not issue a written decision on an objection to an
assessment under this section within a two-year period after the date an application under this
section is filed, the objection is considered to be denied, unless the parties stipulate to a
different time period for resolving the objection.
(c) A party may appeal to the district court in accordance with Section 
59-1-601
 within
30 days after the day on which an objection is considered to be denied.
(12) At the hearing on an objection under this section, the commission may increase,
lower, or sustain the assessment if:
(a) the commission finds an error in the assessment; or
(b) the commission determines that increasing, lowering, or sustaining the assessment
is necessary to equalize the assessment with other similarly assessed property.
(13) (a) The commission shall send notice of a commission action under Subsection
(12) to a county auditor if:
(i) the commission proposes to adjust an assessment the commission made in
accordance with Section 
59-2-201
;
(ii) the county's tax revenues may be affected by the commission's decision; and
(iii) the county is not a party to the hearing under this section.
(b) The written notice described in Subsection (13)(a):
(i) may be sent by:
(A) any form of electronic communication;
(B) first class mail; or
(C) private carrier; and
(ii) shall request the county to show good cause why the commission should not adjust
the assessment by requesting the county to provide to the commission a written statement
setting forth the known facts and legal basis for not adjusting the assessment within 30 days
after the day on which the commission sends the written notice.
(c) If a county provides a written statement described in Subsection (13)(b) to the
commission, the commission shall:
(i) hold a hearing or take other appropriate action to consider the good cause the county
provides in the written statement; and
(ii) issue a written decision increasing, lowering, or sustaining the assessment.
(d) If a county does not provide a written statement described in Subsection (13)(b) to
the commission within 30 days after the day on which the commission sends the notice
described in Subsection (13)(a), the commission shall adjust the assessment and send a copy of
the commission's written decision to the county.
(14) Subsection (13) does not limit the rights of a county as provided in Subsections
(2) and (4)(a).
Section 12. Section 
59-2-1602
 is amended to read:
59-2-1602.
Property Tax Valuation Agency Fund -- Creation -- Statewide levy --
Additional county levy.
(1) (a) There is created an agency fund known as the "Property Tax Valuation Agency
Fund."
(b) The fund consists of:
(i) deposits made and penalties received under Subsection (3); and
(ii) interest on money deposited into the fund.
(c) Deposits, penalties, and interest described in Subsection (1)(b) shall be disbursed
and used as provided in Section 
59-2-1603
.
(2) (a) Each county shall annually impose a multicounty assessing and collecting levy
as provided in this Subsection (2).
(b) The tax rate of the multicounty assessing and collecting levy is:
(i) for a calendar year beginning on or after January 1, 2020, and before January 1,
2025, .000012; and
(ii) for a calendar year beginning on or after January 1, 2025, the certified revenue levy.
(c) The state treasurer shall allocate revenue collected from the multicounty assessing
and collecting levy as follows:
(i) 18% of the revenue collected [
from the base rate
] shall be deposited into the
Property Tax Valuation Agency Fund, up to $500,000 annually; and
(ii) after the deposit described in Subsection (2)(c)(i), all remaining revenue collected
from the multicounty assessing and collecting levy shall be deposited into the Multicounty
Appraisal Trust.
(3) (a) The multicounty assessing and collecting levy imposed under Subsection (2)
shall be separately stated on the tax notice as a multicounty assessing and collecting levy.
(b) The multicounty assessing and collecting levy is:
(i) exempt from Sections 
17C-1-403
 through 
17C-1-406
;
(ii) in addition to and exempt from the maximum levies allowable under Section
59-2-908
; and
(iii) exempt from the notice and public hearing requirements of Section 
59-2-919
.
(c) (i) Each county shall transmit quarterly to the state treasurer the revenue collected
from the multicounty assessing and collecting levy.
(ii) The revenue transmitted under Subsection (3)(c)(i) shall be transmitted no later
than the tenth day of the month following the end of the quarter in which the revenue is
collected.
(iii) If revenue transmitted under Subsection (3)(c)(i) is transmitted after the tenth day
of the month following the end of the quarter in which the revenue is collected, the county shall
pay an interest penalty at the rate of 10% each year until the revenue is transmitted.
(d) The state treasurer shall allocate the penalties received under this Subsection (3) in
the same manner as revenue is allocated under Subsection (2)(c).
(4) (a) A county may levy a county additional property tax in accordance with this
Subsection (4).
(b) The county additional property tax:
(i) shall be separately stated on the tax notice as a county assessing and collecting levy;
(ii) may not be incorporated into the rate of any other levy;
(iii) is exempt from Sections 
17C-1-403
 through 
17C-1-406
; and
(iv) is in addition to and exempt from the maximum levies allowable under Section
59-2-908
.
(c) Revenue collected from the county additional property tax shall be used to:
(i) promote the accurate valuation and uniform assessment levels of property as
required by Section 
59-2-103
;
(ii) promote the efficient administration of the property tax system, including the costs
of assessment, collection, and distribution of property taxes;
(iii) fund state mandated actions to meet legislative mandates or judicial or
administrative orders that relate to promoting:
(A) the accurate valuation of property; and
(B) the establishment and maintenance of uniform assessment levels within and among
counties; and
(iv) establish reappraisal programs that:
(A) are adopted by a resolution or ordinance of the county legislative body; and
(B) conform to rules the commission makes in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act.
Section 13. Section 
59-7-118
 is amended to read:
59-7-118.
Section 965, Internal Revenue Code -- Installment payments.
(1) Subject to the other provisions of this section, a corporation may pay in
installments the tax owed under this chapter on deferred foreign income described in Section
965, Internal Revenue Code.
(2) Subsection (1) applies:
(a) to a corporation that:
(i) is authorized to make an election under Section 965(h), Internal Revenue Code; and
(ii) apportions deferred foreign income described in Section 965, Internal Revenue
Code, to this state; and
(b) for a tax year in which a corporation makes an election under Section 965(h),
Internal Revenue Code, for purposes of the corporation's federal income tax.
(3) (a) Except as provided in Subsection (3)(b), the same provisions that apply to an
election made under Section 965(h), Internal Revenue Code, for federal purposes apply to an
installment payment made under this section.
(b) A corporation shall make:
(i) the first installment under this section on or before the due date[
, including any
extension,
] of the tax return filed under this chapter for the first taxable year in which the
corporation reports deferred foreign income described in Section 965, Internal Revenue Code;
and
(ii) a subsequent installment on or before the due date[
, including any extension,
] of
the tax return filed under this chapter in each of the following seven years. 
Section 14. Section 
59-7-159
 is amended to read:
59-7-159.
Review of credits allowed under this chapter.
(1) As used in this section, "committee" means the Revenue and Taxation Interim
Committee.
(2) (a) The committee shall review the tax credits described in this chapter as provided
in Subsection (3) and make recommendations concerning whether the tax credits should be
continued, modified, or repealed.
(b) In conducting the review required under Subsection (2)(a), the committee shall:
(i) schedule time on at least one committee agenda to conduct the review;
(ii) invite state agencies, individuals, and organizations concerned with the tax credit
under review to provide testimony;
(iii) (A) invite the Governor's Office of Economic Development to present a summary
and analysis of the information for each tax credit regarding which the Governor's Office of
Economic Development is required to make a report under this chapter; and
(B) invite the Office of the Legislative Fiscal Analyst to present a summary and
analysis of the information for each tax credit regarding which the Office of the Legislative
Fiscal Analyst is required to make a report under this chapter;
(iv) ensure that the committee's recommendations described in this section include an
evaluation of:
(A) the cost of the tax credit to the state;
(B) the purpose and effectiveness of the tax credit; and
(C) the extent to which the state benefits from the tax credit; and
(v) undertake other review efforts as determined by the committee chairs or as
otherwise required by law.
(3) (a) On or before November 30, 2017, and every three years after 2017, the
committee shall conduct the review required under Subsection (2) of the tax credits allowed
under the following sections:
(i) Section 
59-7-601
;
(ii) Section 
59-7-607
;
(iii) Section 
59-7-612
;
(iv) Section 
59-7-614.1
; and
(v) Section 
59-7-614.5
.
(b) On or before November 30, 2018, and every three years after 2018, the committee
shall conduct the review required under Subsection (2) of the tax credits allowed under the
following sections:
(i) Section 
59-7-609
;
(ii) Section 
59-7-614.2
;
(iii) Section 
59-7-614.10
;
(iv) Section 
59-7-619
;
(v) Section 
59-7-620
; and
(vi) Section 
59-7-624
.
(c) On or before November 30, 2019, and every three years after 2019, the committee
shall conduct the review required under Subsection (2) of the tax credits allowed under the
following sections:
(i) Section 
59-7-610
;
(ii) Section 
59-7-614
; 
and
(iii) Section 
59-7-614.7
[
; and
]
.
[
(iv) Section 
59-7-618
.
]
(d) (i) In addition to the reviews described in this Subsection (3), the committee shall
conduct a review of a tax credit described in this chapter that is enacted on or after January 1,
2017.
(ii) The committee shall complete a review described in this Subsection (3)(d) three
years after the effective date of the tax credit and every three years after the initial review date.
Section 15. Section 
59-7-504
 is amended to read:
59-7-504.
Estimated tax payments -- Penalty -- Waiver.
(1) Except as [
otherwise provided in this section, each
] 
provided in Subsection (2), a
corporation subject to taxation under this chapter [
having
] 
that has
 a tax liability of $3,000 or
more in 
either
 the current tax year[
, or which had a tax liability of $3,000 or more in the
previous tax year, shall make payments of estimated tax at the same time and using any method
provided under Section 6655, Internal Revenue Code
] 
or the previous tax year shall make a
payment of an estimated tax on or before the day on which the corporation is required to make
a payment of an estimated tax for the same time period to the federal government
.
[
(2) The following are modifications or exceptions to the provisions of Section 6655,
Internal Revenue Code:
]
(2) The provisions of Section 6655, Internal Revenue Code, shall govern the payment
described in Subsection (1), except that:
(a) for the first year a corporation is required to file a return in Utah, that corporation is
not subject to Subsection (1) if [
it
] 
the corporation
 makes a payment on or before the due date
of the return, without extensions, equal to or greater than the minimum tax required under
Section 
59-7-104
 or 
59-7-201
;
(b) the applicable percentage of the required annual payment, as defined in Section
6655, Internal Revenue Code, for annualized income installments, adjusted seasonal
installments, and those estimated tax payments based on the current year tax liability shall be:
Installment
Percentage
1st
22.5
2nd
45.0
3rd
67.5
4th
90.0
(c) 
a
 large [
corporations
] 
corporation
 shall be treated as any other corporation for
purposes of this section; [
and
]
(d) if a taxpayer elects a different annualization period than the one used for federal
purposes, the taxpayer shall make an election with the [
Tax Commission
] 
commission
 at the
same time as provided under Section 6655, Internal Revenue Code[
.
]
; and
(e) the due date shall be superseded by the due date for federal estimated payments if
modified by other federal action.
(3) A penalty shall be added as provided in Section 
59-1-401
 for any quarterly
estimated tax payment [
which
] 
that
 is not made in accordance with this section.
(4) There shall be no interest added to any estimated tax payments subject to a penalty
under this section.
Section 16. Section 
59-7-505
 is amended to read:
59-7-505.
Returns required -- When due -- Extension of time -- Exemption from
filing.
(1) Each corporation subject to taxation under this chapter shall make a return, except
that a group of corporations filing a combined report under Part 4, Combined Reporting, shall
file one combined report.
(a) The return shall be signed by a responsible officer of the corporation, the signature
of whom need not be notarized but when signed shall be considered as made under oath.
(b) (i) In cases where receivers, trustees in bankruptcy, or assignees are operating the
property or business of corporations, those receivers, trustees, or assignees shall make returns
for such corporations in the same manner and form as corporations are required to make
returns.
(ii) Any tax due on the basis of such returns made by receivers, trustees, or assignees
shall be collected in the same manner as if collected from the corporations of whose business
or property they have custody and control.
[
(2) Returns shall be made on or before the 15th day of the fourth month following the
close of the taxable year.
]
(2) (a) A corporation required to make a return under this chapter shall make a return
on or before the later of:
(i) the 15th day of the fourth month following the close of the taxable year; or
(ii) the day on which the corporation is required to file a federal income tax return.
(b) Interest accrues from the day on which a return is due under this Subsection (2).
(3) (a) The commission shall allow a taxpayer an extension of time for filing [
returns
] 
a
return
.
[
(b) The extension under Subsection (3)(a) may not exceed six months.
]
(b) Except as provided in Subsection (3)(c), the extension described in Subsection
(3)(a) may be for up to six months.
(c) For a taxable year beginning on or after January 1, 2019, but beginning on or before
December 31, 2019, a taxpayer may receive an extension described in Subsection (3)(a) for the
time period that ends on the last day of the extension to file the taxpayer's federal income tax
return.
(4) Each return shall be made to the commission.
(5) A corporation incorporated or qualified to do business in this state [
prior to
] 
before
January 1, 1973, is not liable for filing a return or paying tax measured by income for the
taxable year in which [
it
] 
the corporation
 legally terminates [
its
] 
the corporation's
 existence.
(6) A corporation incorporated or qualified to do business or [
which had its
] 
that had
the corporation's
 authority to do business reinstated on or after January 1, 1973, shall file a
return and pay the tax measured by income for each period during which [
it
] 
the corporation
had the right to do business in this state, and the return shall be filed and the tax paid within
three months and 15 days after the close of this period.
(7) If a corporation terminates [
its
] 
the corporation's
 existence under Section
16-10a-1401
, [
no returns are required to be filed if a statement is furnished
] 
the corporation is
not required to file a return if the corporation provides a statement
 to the commission that no
business has been conducted during that period.
(8) (a) A corporation commencing to do business in Utah after qualification or
incorporation with the Division of Corporations and Commercial Code is not required to file a
return for the period commencing with the date of incorporation or qualification and ending on
the last day of the same month, if that corporation was not doing business in and received no
income from sources in the state during such period.
(b) In determining whether a corporation comes within the provisions of this chapter,
affidavits on behalf of the corporation that it did no business in and received no income from
sources in Utah during such period shall be filed with the commission.
Section 17. Section 
59-7-507
 is amended to read:
59-7-507.
Payment of tax.
(1) (a) If [
quarterly estimated payments are
] 
an estimated payment is
 not made as
provided in Section 
59-7-504
, the amount of tax imposed by this chapter shall be paid no later
than the [
original
] due date of the return 
described in Subsection 59-7-505(2)
.
[
(b) If an extension of time is necessary for filing a return, as provided in Subsection
59-7-505
(3) or Section 
59-7-803
, payment must be made no later than the original due date of
the return in an amount equal to the lesser of:
]
(b) If a taxpayer needs an extension of time to file a return, as provided in Section
59-7-505
 or 
59-7-803
, a taxpayer shall pay, no later than the due date of the return described in
Subsection 
59-7-505
(2), an amount equal to the lesser of:
(i) [
The
] 
the
 greater of:
(A) 90% of the total tax reported on the return for the current taxable year; or
(B) 100% of the minimum tax described in Section 
59-7-104
; or
(ii) 100% of the total tax liability for the taxable year immediately preceding the
current taxable year.
(c) If payment is not made as provided in Subsection (1)(b), the commission shall add
an extension penalty as provided in Section 
59-1-401
, until the tax is paid during the period of
extension.
(2) (a) For a taxable year beginning on or after January 1, 2019, but beginning on or
before December 31, 2019, a taxpayer shall receive an extension of time for the payment of the
amount determined as the tax of the taxpayer, or any part of that amount, for the time period
that ends on the last day of the extension to pay the taxpayer's federal income tax.
[
(2) (a) At
] 
(b) (i) For a taxable year beginning on or after January 1, 2020, at
 the
request of the taxpayer, the commission may extend the time for payment of the amount
determined as the tax by the taxpayer, or any part of that amount, for a period not to exceed six
months from the date prescribed for the payment of the tax.
[
(b) For purposes of Subsection (2)(a), the amount in respect of which the extension is
granted shall be paid on or before the date of the expiration of the period of the extension.
]
(ii) For purposes of Subsection (2)(b)(i), the taxpayer shall pay the amount for which
the extension is granted on or before the day on which the period of the extension expires.
Section 18. Section 
59-7-610
 is amended to read:
59-7-610.
Recycling market development zones tax credits.
(1) Subject to other provisions of this section, a taxpayer that is a business operating in
a recycling market development zone as defined in Section 
19-13-102
 may claim the following
nonrefundable tax credits:
(a) a tax credit [
of 5% of
] 
equal to the product of the percentage listed in Subsection
59-7-104
(2) and
 the purchase price paid for machinery and equipment used directly in:
(i) commercial composting; or
(ii) manufacturing facilities or plant units that:
(A) manufacture, process, compound, or produce recycled items of tangible personal
property for sale; or
(B) reduce or reuse postconsumer waste material; and
(b) a tax credit equal to the lesser of:
(i) 20% of net expenditures to third parties for rent, wages, supplies, tools, test
inventory, and utilities made by the taxpayer for establishing and operating recycling or
composting technology in the state; and
(ii) $2,000.
(2) (a) To claim a tax credit described in Subsection (1), the taxpayer shall receive
from the Department of Environmental Quality a written certification, on a form approved by
the commission, that includes:
(i) a statement that the taxpayer is operating a business within the boundaries of a
recycling market development zone;
(ii) for a claim of the tax credit described in Subsection (1)(a):
(A) the type of the machinery and equipment that the taxpayer purchased;
(B) the date that the taxpayer purchased the machinery and equipment;
(C) the purchase price for the machinery and equipment;
(D) the total purchase price for all machinery and equipment for which the taxpayer is
claiming a tax credit;
(E) a statement that the machinery and equipment are integral to the composting or
recycling process; and
(F) the amount of the taxpayer's tax credit; and
(iii) for a claim of the tax credit described in Subsection (1)(b):
(A) the type of net expenditure that the taxpayer made to a third party;
(B) the date that the taxpayer made the payment to a third party;
(C) the amount that the taxpayer paid to each third party;
(D) the total amount that the taxpayer paid to all third parties;
(E) a statement that the net expenditures support the establishment and operation of
recycling or composting technology in the state; and
(F) the amount of the taxpayer's tax credit.
(b) (i) The Department of Environmental Quality shall provide a taxpayer seeking to
claim a tax credit under Subsection (1) with a copy of the written certification.
(ii) The taxpayer shall retain a copy of the written certification for the same period of
time that a person is required to keep books and records under Section 
59-1-1406
.
(c) The Department of Environmental Quality shall submit to the commission an
electronic list that includes:
(i) the name and identifying information of each taxpayer to which the Department of
Environmental Quality issues a written certification; and
(ii) for each taxpayer, the amount of each tax credit listed on the written certification.
(3) A taxpayer may not claim a tax credit under Subsection (1)(a), Subsection (1)(b), or
both that exceeds 40% of the taxpayer's state income tax liability as the tax liability is
calculated:
(a) for the taxable year in which the taxpayer made the purchases or payments;
(b) before any other tax credits the taxpayer may claim for the taxable year; and
(c) before the taxpayer claims a tax credit authorized by this section.
(4) The commission shall make rules governing what information a taxpayer shall file
with the commission to verify the entitlement to and amount of a tax credit.
(5) Except as provided in Subsections (6) through (8), a taxpayer may carry forward, to
the next three taxable years, the amount of a tax credit described in Subsection (1)(a) that the
taxpayer does not use for the taxable year.
(6) A taxpayer may not claim or carry forward a tax credit described in Subsection
(1)(a) in a taxable year during which the taxpayer claims or carries forward a tax credit under
Section 
63N-2-213
.
(7) A taxpayer may not claim a tax credit described in Subsection (1)(b) in a taxable
year during which the taxpayer claims or carries forward a tax credit under Section 
63N-2-213
.
(8) A taxpayer may not claim or carry forward a tax credit under this section for a
taxable year during which the taxpayer claims the targeted business income tax credit under
Section 
59-7-624
.
Section 19. Section 
59-7-619
 is amended to read:
59-7-619.
Nonrefundable high cost infrastructure development tax credit.
(1) As used in this section:
(a) "High cost infrastructure project" means the same as that term is defined in Section
63M-4-602
.
(b) "Infrastructure cost-burdened entity" means the same as that term is defined in
Section 
63M-4-602
.
(c) "Infrastructure-related revenue" means the same as that term is defined in Section
63M-4-602
.
(d) "Office" means the Office of Energy Development created in Section 
63M-4-401
.
(2) Subject to the other provisions of this section, a corporation that is an infrastructure
cost-burdened entity may claim a nonrefundable tax credit for development of a high cost
infrastructure project as provided in this section.
(3) The tax credit under this section is the amount listed as the tax credit amount on a
tax credit certificate that the office issues under Title 63M, Chapter 4, Part 6, High Cost
Infrastructure Development Tax Credit Act, to the infrastructure cost-burdened entity for the
taxable year.
(4) An infrastructure cost-burdened entity may carry forward a tax credit under this
section for a period that does not exceed the next seven taxable years if:
(a) the infrastructure cost-burdened entity is allowed to claim a tax credit under this
section for a taxable year; and
(b) the amount of the tax credit exceeds the infrastructure cost-burdened entity's tax
liability under this chapter for that taxable year.
(5) (a) In accordance with Section 
59-7-159
, the Revenue and Taxation Interim
Committee shall study the tax credit allowed by this section and make recommendations
concerning whether the tax credit should be continued, modified, or repealed.
(b) (i) Except as provided in Subsection (5)(b)(ii), for purposes of the study required by
this Subsection (5), the office shall provide the following information, if available to the office,
to the Office of the Legislative Fiscal Analyst:
(A) the amount of tax credit that the office grants to each infrastructure cost-burdened
entity for each taxable year;
(B) the infrastructure-related revenue generated by each high cost infrastructure
project;
(C) the information contained in the office's latest report under Section [
63M-4-505
]
63M-4-605
; and
(D) any other information that the Office of the Legislative Fiscal Analyst requests.
(ii) (A) In providing the information described in Subsection (5)(b)(i), the office shall
redact information that identifies a recipient of a tax credit under this section.
(B) If, notwithstanding the redactions made under Subsection (5)(b)(ii)(A), reporting
the information described in Subsection (5)(b)(i) might disclose the identity of a recipient of a
tax credit, the office may file a request with the Revenue and Taxation Interim Committee to
provide the information described in Subsection (5)(b)(i) in the aggregate for all infrastructure
cost-burdened entities that receive the tax credit under this section.
(c) As part of the study required by this Subsection (5), the Office of the Legislative
Fiscal Analyst shall report to the Revenue and Taxation Interim Committee a summary and
analysis of the information provided to the Office of the Legislative Fiscal Analyst by the
office under Subsection (5)(b).
(d) The Revenue and Taxation Interim Committee shall ensure that the
recommendations described in Subsection (5)(a) include an evaluation of:
(i) the cost of the tax credit to the state;
(ii) the purpose and effectiveness of the tax credit; and
(iii) the extent to which the state benefits from the tax credit.
Section 20. Section 
59-7-620
 is amended to read:
59-7-620.
Nonrefundable tax credit for contribution to state Achieving a Better
Life Experience Program account.
(1) As used in this section:
(a) "Account" means an account in a qualified ABLE program where the designated
beneficiary of the account is a resident of this state.
(b) "Contributor" means a corporation that:
(i) makes a contribution to an account; and
(ii) receives a statement from the qualified ABLE program itemizing the contribution.
(c) "Designated beneficiary" means the same as that term is defined in 26 U.S.C. Sec.
529A.
(d) "Qualified ABLE program" means the same as that term is defined in Section
35A-12-102
.
(2) For a taxable year beginning on or after January 1, 2020, but beginning on or before
December 31, 2020, a contributor to an account may claim a nonrefundable tax credit as
provided in this section.
(3) Subject to the other provisions of this section, the tax credit is equal to the product
of:
(a) [
5%
] 
the percentage listed in Subsection 
59-7-104
(2)
; and
(b) the total amount of contributions:
(i) the contributor makes for the taxable year; and
(ii) for which the contributor receives a statement from the qualified ABLE program
itemizing the contributions.
(4) A contributor may not claim a tax credit under this section:
(a) for an amount of excess contribution to an account that is returned to the
contributor; or
(b) with respect to an amount the contributor deducts on a federal income tax return.
(5) A tax credit under this section may not be carried forward or carried back.
Section 21. Section 
59-10-103
 is amended to read:
59-10-103.
Definitions.
(1) As used in this chapter:
(a) (i) "Adjusted gross income":
(A) for a resident or nonresident individual, means the same as that term is defined in
Section 62, Internal Revenue Code; or
(B) for a resident or nonresident estate or trust, is as calculated in Section 67(e),
Internal Revenue Code.
(ii) "Adjusted gross income" does not include:
(A) income received from a loan forgiven in accordance with 15 U.S.C. Sec. 636(a)
(36), to the extent that a deduction for the expenditures paid with the loan is disallowed, or a
similar paycheck protection loan that is authorized by the federal government, provided in
response to COVID-19, forgiven if the borrower meets the expenditure requirements, and
exempt from federal income tax, to the extent that a deduction for the expenditures paid with
the loan is disallowed; or
(B) an amount that an individual receives in accordance with Section 6428, Internal
Revenue Code, or an amount that an individual receives that is authorized by the federal
government as a tax credit for the 2020 tax year, provided in response to COVID-19, paid in
advance of the filing of the individual's 2020 federal income tax return, and exempt from
federal income tax.
(b) "Corporation" includes:
(i) an association;
(ii) a joint stock company; and
(iii) an insurance company.
(c) "COVID-19" means:
(i) the severe acute respiratory syndrome coronavirus 2; or
(ii) the disease caused by severe acute respiratory syndrome coronavirus 2.
(d) "Distributable net income" means the same as that term is defined in Section 643,
Internal Revenue Code.
(e) "Employee" means the same as that term is defined in Section 
59-10-401
.
(f) "Employer" means the same as that term is defined in Section 
59-10-401
.
(g) "Federal taxable income":
(i) for a resident or nonresident individual, means taxable income as defined by Section
63, Internal Revenue Code; or
(ii) for a resident or nonresident estate or trust, is as calculated in Section 641(a) and
(b), Internal Revenue Code.
(h) "Fiduciary" means:
(i) a guardian;
(ii) a trustee;
(iii) an executor;
(iv) an administrator;
(v) a receiver;
(vi) a conservator; or
(vii) any person acting in any fiduciary capacity for any individual.
(i) "Guaranteed annuity interest" means the same as that term is defined in 26 C.F.R.
Sec. 1.170A-6(c)(2).
(j) "Homesteaded land diminished from the Uintah and Ouray Reservation" means the
homesteaded land that was held to have been diminished from the Uintah and Ouray
Reservation in Hagen v. Utah, 510 U.S. 399 (1994).
(k) "Individual" means a natural person and includes aliens and minors.
(l) "Irrevocable trust" means a trust in which the settlor may not revoke or terminate all
or part of the trust without the consent of a person who has a substantial beneficial interest in
the trust and the interest would be adversely affected by the exercise of the settlor's power to
revoke or terminate all or part of the trust.
(m) "Military service" means the same as that term is defined in Pub. L. No. 108-189,
Sec. 101.
(n) "Nonresident individual" means an individual who is not a resident of this state.
(o) "Nonresident trust" or "nonresident estate" means a trust or estate which is not a
resident estate or trust.
(p) (i) "Partnership" includes a syndicate, group, pool, joint venture, or other
unincorporated organization:
(A) through or by means of which any business, financial operation, or venture is
carried on; and
(B) that is not, within the meaning of this chapter, a trust, an estate, or a corporation.
(ii) "Partnership" does not include any organization not included under the definition of
"partnership" in Section 761, Internal Revenue Code.
(iii) "Partner" includes a member in a syndicate, group, pool, joint venture, or
organization described in Subsection (1)(p)(i).
(q) "Pass-through entity" means the same as that term is defined in Section
59-10-1402
.
(r) "Pass-through entity taxpayer" means the same as that term is defined in Section
59-10-1402
.
[
(q)
] 
(s)
 "Qualified nongrantor charitable lead trust" means a trust:
(i) that is irrevocable;
(ii) that has a trust term measured by:
(A) a fixed term of years; or
(B) the life of a person living on the day on which the trust is created;
(iii) under which:
(A) a portion of the value of the trust assets is distributed during the trust term:
(I) to an organization described in Section 170(c), Internal Revenue Code; and
(II) as a guaranteed annuity interest or a unitrust interest; and
(B) assets remaining in the trust at the termination of the trust term are distributed to a
beneficiary:
(I) designated in the trust; and
(II) that is not an organization described in Section 170(c), Internal Revenue Code;
(iv) for which the trust is allowed a deduction under Section 642(c), Internal Revenue
Code; and
(v) under which the grantor of the trust is not treated as the owner of any portion of the
trust for federal income tax purposes.
[
(r)
] 
(t)
 "Resident individual" means an individual who is domiciled in this state for
any period of time during the taxable year, but only for the duration of the period during which
the individual is domiciled in this state.
[
(s)
] 
(u)
 "Resident estate" or "resident trust" means the same as that term is defined in
Section 
75-7-103
.
[
(t)
] 
(v)
 "Servicemember" means the same as that term is defined in Pub. L. No.
108-189, Sec. 101.
[
(u)
] 
(w)
 "State income tax percentage for a nonresident estate or trust" means a
percentage equal to a nonresident estate's or trust's state taxable income for the taxable year
divided by the nonresident estate's or trust's total adjusted gross income for that taxable year
after making the adjustments required by:
(i) Section 
59-10-202
;
(ii) Section 
59-10-207
;
(iii) Section 
59-10-209.1
; or
(iv) Section 
59-10-210
.
[
(v)
] 
(x)
 "State income tax percentage for a nonresident individual" means a percentage
equal to a nonresident individual's state taxable income for the taxable year divided by the
difference between:
(i) subject to Section 
59-10-1405
, the nonresident individual's total adjusted gross
income for that taxable year, after making the:
(A) additions and subtractions required by Section 
59-10-114
; and
(B) adjustments required by Section 
59-10-115
; and
(ii) if the nonresident individual described in Subsection (1)[
(v)
]
(x)
(i) is a
servicemember, the compensation the servicemember receives for military service if the
servicemember is serving in compliance with military orders.
[
(w)
] 
(y)
 "State income tax percentage for a part-year resident individual" means, for a
taxable year, a fraction:
(i) the numerator of which is the sum of:
(A) subject to Section 
59-10-1404.5
, for the time period during the taxable year that the
part-year resident individual is a resident, the part-year resident individual's total adjusted gross
income for that time period, after making the:
(I) additions and subtractions required by Section 
59-10-114
; and
(II) adjustments required by Section 
59-10-115
; and
(B) for the time period during the taxable year that the part-year resident individual is a
nonresident, an amount calculated by:
(I) determining the part-year resident individual's adjusted gross income for that time
period, after making the:
(Aa) additions and subtractions required by Section 
59-10-114
; and
(Bb) adjustments required by Section 
59-10-115
; and
(II) calculating the portion of the amount determined under Subsection
(1)[
(w)
]
(y)
(i)(B)(I) that is derived from Utah sources in accordance with Section 
59-10-117
;
and
(ii) the denominator of which is the difference between:
(A) the part-year resident individual's total adjusted gross income for that taxable year,
after making the:
(I) additions and subtractions required by Section 
59-10-114
; and
(II) adjustments required by Section 
59-10-115
; and
(B) if the part-year resident individual is a servicemember, any compensation the
servicemember receives for military service during the portion of the taxable year that the
servicemember is a nonresident if the servicemember is serving in compliance with military
orders.
[
(x)
] 
(z)
 "Taxable income" or "state taxable income":
(i) subject to Section 
59-10-1404.5
, for a resident individual, means the resident
individual's adjusted gross income after making the:
(A) additions and subtractions required by Section 
59-10-114
; and
(B) adjustments required by Section 
59-10-115
;
(ii) for a nonresident individual, is an amount calculated by:
(A) determining the nonresident individual's adjusted gross income for the taxable
year, after making the:
(I) additions and subtractions required by Section 
59-10-114
; and
(II) adjustments required by Section 
59-10-115
; and
(B) calculating the portion of the amount determined under Subsection
(1)[
(x)
]
(z)
(ii)(A) that is derived from Utah sources in accordance with Section 
59-10-117
;
(iii) for a resident estate or trust, is as calculated under Section 
59-10-201.1
; and
(iv) for a nonresident estate or trust, is as calculated under Section 
59-10-204
.
[
(y)
] 
(aa)
 "Taxpayer" means any [
individual, estate, trust, or beneficiary of an estate or
trust,
] 
of the following
 that has income subject in whole or part to the tax imposed by this
chapter[
.
]
:
(i) an individual;
(ii) an estate, a trust, or a beneficiary of an estate or a trust that is not a pass-through
entity or a pass-through entity taxpayer;
(iii) a pass-through entity; or
(iv) a pass-through entity taxpayer.
[
(z)
] 
(bb)
 "Trust term" means a time period:
(i) beginning on the day on which a qualified nongrantor charitable lead trust is
created; and
(ii) ending on the day on which the qualified nongrantor charitable lead trust described
in Subsection (1)[
(z)
]
(bb)
(i) terminates.
[
(aa)
] 
(cc)
 "Uintah and Ouray Reservation" means the lands recognized as being
included within the Uintah and Ouray Reservation in:
(i) Hagen v. Utah, 510 U.S. 399 (1994); and
(ii) Ute Indian Tribe v. Utah, 114 F.3d 1513 (10th Cir. 1997).
[
(bb)
] 
(dd)
 "Unadjusted income" means an amount equal to the difference between:
(i) the total income required to be reported by a resident or nonresident estate or trust
on the resident or nonresident estate's or trust's federal income tax return for estates and trusts
for the taxable year; and
(ii) the sum of the following:
(A) fees paid or incurred to the fiduciary of a resident or nonresident estate or trust:
(I) for administering the resident or nonresident estate or trust; and
(II) that the resident or nonresident estate or trust deducts as allowed on the resident or
nonresident estate's or trust's federal income tax return for estates and trusts for the taxable
year;
(B) the income distribution deduction that a resident or nonresident estate or trust
deducts under Section 651 or 661, Internal Revenue Code, as allowed on the resident or
nonresident estate's or trust's federal income tax return for estates and trusts for the taxable
year;
(C) the amount that a resident or nonresident estate or trust deducts as a deduction for
estate tax or generation skipping transfer tax under Section 691(c), Internal Revenue Code, as
allowed on the resident or nonresident estate's or trust's federal income tax return for estates
and trusts for the taxable year; and
(D) the amount that a resident or nonresident estate or trust deducts as a personal
exemption under Section 642(b), Internal Revenue Code, as allowed on the resident or
nonresident estate's or trust's federal income tax return for estates and trusts for the taxable
year.
[
(cc)
] 
(ee)
 "Unitrust interest" means the same as that term is defined in 26 C.F.R. Sec.
1.170A-6(c)(2).
[
(dd)
] 
(ff)
 "Ute tribal member" means an individual who is enrolled as a member of the
Ute Indian Tribe of the Uintah and Ouray Reservation.
[
(ee)
] 
(gg)
 "Ute tribe" means the Ute Indian Tribe of the Uintah and Ouray
Reservation.
[
(ff)
] 
(hh)
 "Wages" means the same as that term is defined in Section 
59-10-401
.
(2) (a) Any term used in this chapter has the same meaning as when used in
comparable context in the laws of the United States relating to federal income taxes unless a
different meaning is clearly required.
(b) Any reference to the Internal Revenue Code or to the laws of the United States shall
mean the Internal Revenue Code or other provisions of the laws of the United States relating to
federal income taxes that are in effect for the taxable year.
(c) Any reference to a specific section of the Internal Revenue Code or other provision
of the laws of the United States relating to federal income taxes shall include any
corresponding or comparable provisions of the Internal Revenue Code as amended,
redesignated, or reenacted.
Section 22. Section 
59-10-114
 is amended to read:
59-10-114.
Additions to and subtractions from adjusted gross income of an
individual.
(1) There shall be added to adjusted gross income of a resident or nonresident
individual:
(a) a lump sum distribution that the taxpayer does not include in adjusted gross income
on the taxpayer's federal individual income tax return for the taxable year;
(b) the amount of a child's income calculated under Subsection (4) that:
(i) a parent elects to report on the parent's federal individual income tax return for the
taxable year; and
(ii) the parent does not include in adjusted gross income on the parent's federal
individual income tax return for the taxable year;
(c) (i) a withdrawal from a medical care savings account and any penalty imposed for
the taxable year if:
(A) the resident or nonresident individual does not deduct the amounts on the resident
or nonresident individual's federal individual income tax return under Section 220, Internal
Revenue Code;
(B) the withdrawal is subject to Subsections 
31A-32a-105
(1) and (2); and
(C) the withdrawal is subtracted on, or used as the basis for claiming a tax credit on, a
return the resident or nonresident individual files under this chapter;
(ii) a disbursement required to be added to adjusted gross income in accordance with
Subsection 
31A-32a-105
(3); or
(iii) an amount required to be added to adjusted gross income in accordance with
Subsection 
31A-32a-105
(5)(c);
(d) the amount withdrawn under Title 53B, Chapter 8a, Utah Educational Savings Plan,
from the account of a resident or nonresident individual who is an account owner as defined in
Section 
53B-8a-102
, for the taxable year for which the amount is withdrawn, if that amount
withdrawn from the account of the resident or nonresident individual who is the account
owner:
(i) is not expended for:
(A) higher education costs as defined in Section 
53B-8a-102.5
; or
(B) a payment or distribution that qualifies as an exception to the additional tax for
distributions not used for educational expenses provided in Sections 529(c) and 530(d),
Internal Revenue Code; and
(ii) is:
(A) subtracted by the resident or nonresident individual:
(I) who is the account owner; and
(II) on the resident or nonresident individual's return filed under this chapter for a
taxable year beginning on or before December 31, 2007; or
(B) used as the basis for the resident or nonresident individual who is the account
owner to claim a tax credit under Section 
59-10-1017
;
(e) except as provided in Subsection (5), for bonds, notes, and other evidences of
indebtedness acquired on or after January 1, 2003, the interest from bonds, notes, and other
evidences of indebtedness:
(i) issued by one or more of the following entities:
(A) a state other than this state;
(B) the District of Columbia;
(C) a political subdivision of a state other than this state; or
(D) an agency or instrumentality of an entity described in Subsections (1)(e)(i)(A)
through (C); and
(ii) to the extent the interest is not included in adjusted gross income on the taxpayer's
federal income tax return for the taxable year;
(f) subject to Subsection (2)(c), any distribution received by a resident beneficiary of a
resident trust of income that was taxed at the trust level for federal tax purposes, but was
subtracted from state taxable income of the trust pursuant to Subsection 
59-10-202
(2)(b);
(g) any distribution received by a resident beneficiary of a nonresident trust of
undistributed distributable net income realized by the trust on or after January 1, 2004, if that
undistributed distributable net income was taxed at the trust level for federal tax purposes, but
was not taxed at the trust level by any state, with undistributed distributable net income
considered to be distributed from the most recently accumulated undistributed distributable net
income; and
(h) any adoption expense:
(i) for which a resident or nonresident individual receives reimbursement from another
person; and
(ii) to the extent to which the resident or nonresident individual subtracts that adoption
expense:
(A) on a return filed under this chapter for a taxable year beginning on or before
December 31, 2007; or
(B) from federal taxable income on a federal individual income tax return.
(2) There shall be subtracted from adjusted gross income of a resident or nonresident
individual:
(a) the difference between:
(i) the interest or a dividend on an obligation or security of the United States or an
authority, commission, instrumentality, or possession of the United States, to the extent that
interest or dividend is:
(A) included in adjusted gross income for federal income tax purposes for the taxable
year; and
(B) exempt from state income taxes under the laws of the United States; and
(ii) any interest on indebtedness incurred or continued to purchase or carry the
obligation or security described in Subsection (2)(a)(i);
(b) [
for taxable years beginning on or after January 1, 2000,
] if the conditions of
Subsection (3)(a) are met, the amount of income derived by a Ute tribal member:
(i) during a time period that the Ute tribal member resides on homesteaded land
diminished from the Uintah and Ouray Reservation; and
(ii) from a source within the Uintah and Ouray Reservation;
(c) an amount received by a resident or nonresident individual or distribution received
by a resident or nonresident beneficiary of a resident trust:
(i) if that amount or distribution constitutes a refund of taxes imposed by:
(A) a state; or
(B) the District of Columbia; and
(ii) to the extent that amount or distribution is included in adjusted gross income for
that taxable year on the federal individual income tax return of the resident or nonresident
individual or resident or nonresident beneficiary of a resident trust;
(d) the amount of a railroad retirement benefit:
(i) paid:
(A) in accordance with The Railroad Retirement Act of 1974, 45 U.S.C. Sec. 231 et
seq.;
(B) to a resident or nonresident individual; and
(C) for the taxable year; and
(ii) to the extent that railroad retirement benefit is included in adjusted gross income on
that resident or nonresident individual's federal individual income tax return for that taxable
year;
(e) an amount:
(i) received by an enrolled member of an American Indian tribe; and
(ii) to the extent that the state is not authorized or permitted to impose a tax under this
part on that amount in accordance with:
(A) federal law;
(B) a treaty; or
(C) a final decision issued by a court of competent jurisdiction;
(f) an amount received:
(i) for the interest on a bond, note, or other obligation issued by an entity for which
state statute provides an exemption of interest on its bonds from state individual income tax;
(ii) by a resident or nonresident individual;
(iii) for the taxable year; and
(iv) to the extent the amount is included in adjusted gross income on the taxpayer's
federal income tax return for the taxable year;
(g) the amount of all income, including income apportioned to another state, of a
nonmilitary spouse of an active duty military member if:
(i) both the nonmilitary spouse and the active duty military member are nonresident
individuals;
(ii) the active duty military member is stationed in Utah;
(iii) the nonmilitary spouse is subject to the residency provisions of 50 U.S.C. Sec.
4001(a)(2); and
(iv) the income is included in adjusted gross income for federal income tax purposes
for the taxable year;
(h) for a taxable year beginning on or after January 1, 2019, but beginning on or before
December 31, 2019, only:
(i) the amount of any FDIC premium paid or incurred by the taxpayer that is
disallowed as a deduction for federal income tax purposes under Section 162(r), Internal
Revenue Code, on the taxpayer's 2018 federal income tax return; plus
(ii) the amount of any FDIC premium paid or incurred by the taxpayer that is
disallowed as a deduction for federal income tax purposes under Section 162(r), Internal
Revenue Code, for the taxable year;
(i) for a taxable year beginning on or after January 1, 2020, the amount of any FDIC
premium paid or incurred by the taxpayer that is disallowed as a deduction for federal income
tax purposes under Section 162(r), Internal Revenue Code, for the taxable year; [
and
]
(j) for a taxable year beginning on or after January 1, 2020, but beginning on or before
December 31, 2020, the amount:
(i) of a paycheck protection loan similar to a loan forgiven in accordance with 15
U.S.C. Sec. 636(a)(36) that is:
(A) authorized by the federal government;
(B) provided in response to COVID-19;
(C) forgiven if the borrower meets the expenditure requirements; and
(D) subject to federal income tax, to the extent that a deduction for the expenditures
paid with the loan is disallowed;
(ii) that a resident or a nonresident individual receives that is:
(A) authorized by the federal government as a tax credit for the 2020 tax year;
(B) provided in response to COVID-19;
(C) paid in advance of the filing of the individual's 2020 federal income tax return; and
(D) subject to federal income tax; and
(iii) of any grant funds or forgiven loans that:
(A) the resident or nonresident individual receives from the state, a county within the
state, or a municipality within the state in response to COVID-19;
(B) are funded by using federal revenue received by the state, the county, or the
municipality to respond to COVID-19; and
(C) are included in adjusted gross income[
.
]
; and
(k) an amount of a distribution from a qualified retirement plan under Section 401(a),
Internal Revenue Code, if:
(i) the amount of the distribution is included in adjusted gross income on the resident
or nonresident individual's federal individual income tax return for the taxable year; and
(ii) for the taxable year when the amount of the distribution was contributed to the
qualified retirement plan, the amount of the distribution:
(A) was not included in adjusted gross income on the resident or nonresident
individual's federal individual income tax return for the taxable year; and
(B) was taxed by another state of the United States, the District of Columbia, or a
possession of the United States.
(3) (a) A subtraction for an amount described in Subsection (2)(b) is allowed only if:
(i) the taxpayer is a Ute tribal member; and
(ii) the governor and the Ute tribe execute and maintain an agreement meeting the
requirements of this Subsection (3).
(b) The agreement described in Subsection (3)(a):
(i) may not:
(A) authorize the state to impose a tax in addition to a tax imposed under this chapter;
(B) provide a subtraction under this section greater than or different from the
subtraction described in Subsection (2)(b); or
(C) affect the power of the state to establish rates of taxation; and
(ii) shall:
(A) provide for the implementation of the subtraction described in Subsection (2)(b);
(B) be in writing;
(C) be signed by:
(I) the governor; and
(II) the chair of the Business Committee of the Ute tribe;
(D) be conditioned on obtaining any approval required by federal law; and
(E) state the effective date of the agreement.
(c) (i) The governor shall report to the commission by no later than February 1 of each
year regarding whether or not an agreement meeting the requirements of this Subsection (3) is
in effect.
(ii) If an agreement meeting the requirements of this Subsection (3) is terminated, the
subtraction permitted under Subsection (2)(b) is not allowed for taxable years beginning on or
after the January 1 following the termination of the agreement.
(d) For purposes of Subsection (2)(b) and in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, the commission may make rules:
(i) for determining whether income is derived from a source within the Uintah and
Ouray Reservation; and
(ii) that are substantially similar to how adjusted gross income derived from Utah
sources is determined under Section 
59-10-117
.
(4) (a) For purposes of this Subsection (4), "Form 8814" means:
(i) the federal individual income tax Form 8814, Parents' Election To Report Child's
Interest and Dividends; or
(ii) (A) a form designated by the commission in accordance with Subsection
(4)(a)(ii)(B) as being substantially similar to 2000 Form 8814 if for purposes of federal
individual income taxes the information contained on 2000 Form 8814 is reported on a form
other than Form 8814; and
(B) for purposes of Subsection (4)(a)(ii)(A) and in accordance with Title 63G, Chapter
3, Utah Administrative Rulemaking Act, the commission may make rules designating a form as
being substantially similar to 2000 Form 8814 if for purposes of federal individual income
taxes the information contained on 2000 Form 8814 is reported on a form other than Form
8814.
(b) The amount of a child's income added to adjusted gross income under Subsection
(1)(b) is equal to the difference between:
(i) the lesser of:
(A) the base amount specified on Form 8814; and
(B) the sum of the following reported on Form 8814:
(I) the child's taxable interest;
(II) the child's ordinary dividends; and
(III) the child's capital gain distributions; and
(ii) the amount not taxed that is specified on Form 8814.
(5) Notwithstanding Subsection (1)(e), interest from bonds, notes, and other evidences
of indebtedness issued by an entity described in Subsections (1)(e)(i)(A) through (D) may not
be added to adjusted gross income of a resident or nonresident individual if, as annually
determined by the commission:
(a) for an entity described in Subsection (1)(e)(i)(A) or (B), the entity and all of the
political subdivisions, agencies, or instrumentalities of the entity do not impose a tax based on
income on any part of the bonds, notes, and other evidences of indebtedness of this state; or
(b) for an entity described in Subsection (1)(e)(i)(C) or (D), the following do not
impose a tax based on income on any part of the bonds, notes, and other evidences of
indebtedness of this state:
(i) the entity; or
(ii) (A) the state in which the entity is located; or
(B) the District of Columbia, if the entity is located within the District of Columbia.
Section 23. Section 
59-10-137
 is amended to read:
59-10-137.
Review of credits allowed under this chapter.
(1) As used in this section, "committee" means the Revenue and Taxation Interim
Committee.
(2) (a) The committee shall review the tax credits described in this chapter as provided
in Subsection (3) and make recommendations concerning whether the tax credits should be
continued, modified, or repealed.
(b) In conducting the review required under Subsection (2)(a), the committee shall:
(i) schedule time on at least one committee agenda to conduct the review;
(ii) invite state agencies, individuals, and organizations concerned with the tax credit
under review to provide testimony;
(iii) (A) invite the Governor's Office of Economic Development to present a summary
and analysis of the information for each tax credit regarding which the Governor's Office of
Economic Development is required to make a report under this chapter; and
(B) invite the Office of the Legislative Fiscal Analyst to present a summary and
analysis of the information for each tax credit regarding which the Office of the Legislative
Fiscal Analyst is required to make a report under this chapter;
(iv) ensure that the committee's recommendations described in this section include an
evaluation of:
(A) the cost of the tax credit to the state;
(B) the purpose and effectiveness of the tax credit; and
(C) the extent to which the state benefits from the tax credit; and
(v) undertake other review efforts as determined by the committee chairs or as
otherwise required by law.
(3) (a) On or before November 30, 2017, and every three years after 2017, the
committee shall conduct the review required under Subsection (2) of the tax credits allowed
under the following sections:
(i) Section 
59-10-1004
;
(ii) Section 
59-10-1010
;
(iii) Section 
59-10-1015
;
(iv) Section 
59-10-1025
;
(v) Section 
59-10-1027
;
(vi) Section 
59-10-1031
;
(vii) Section 
59-10-1032
;
(viii) Section 
59-10-1035
;
(ix) Section 
59-10-1104
;
(x) Section 
59-10-1105
; and
(xi) Section 
59-10-1108
.
(b) On or before November 30, 2018, and every three years after 2018, the committee
shall conduct the review required under Subsection (2) of the tax credits allowed under the
following sections:
(i) Section 
59-10-1005
;
(ii) Section 
59-10-1006
;
(iii) Section 
59-10-1012
;
(iv) Section 
59-10-1022
;
(v) Section 
59-10-1023
;
(vi) Section 
59-10-1028
;
(vii) Section 
59-10-1034
;
(viii) Section 
59-10-1037
;
(ix) Section 
59-10-1107
; and
(x) Section 
59-10-1112
.
(c) On or before November 30, 2019, and every three years after 2019, the committee
shall conduct the review required under Subsection (2) of the tax credits allowed under the
following sections:
(i) Section 
59-10-1007
;
(ii) Section 
59-10-1014
;
(iii) Section 
59-10-1017
;
(iv) Section 
59-10-1018
;
(v) Section 
59-10-1019
;
(vi) Section 
59-10-1024
;
(vii) Section 
59-10-1029
;
[
(viii) Section 
59-10-1033
;
]
[
(ix)
] 
(viii)
 Section 
59-10-1036
;
[
(x)
] 
(ix)
 Section 
59-10-1106
; and
[
(xi)
] 
(x)
 Section 
59-10-1111
.
(d) (i) In addition to the reviews described in this Subsection (3), the committee shall
conduct a review of a tax credit described in this chapter that is enacted on or after January 1,
2017.
(ii) The committee shall complete a review described in this Subsection (3)(d) three
years after the effective date of the tax credit and every three years after the initial review date.
Section 24. Section 
59-10-507
 is amended to read:
59-10-507.
Return by a pass-through entity.
[
(1) As used in this section:
]
[
(a) "Pass-through entity" is as defined in Section 
59-10-1402
.
]
[
(b) "Taxable
] 
(1) As used in this section, "taxable
 year" means a year or other time
period that would be a taxable year of a pass-through entity if the pass-through entity were
subject to taxation under this chapter.
(2) A pass-through entity having any income derived from or connected with Utah
sources shall make a return for the taxable year in accordance with Section 
59-10-514
.
Section 25. Section 
59-10-514
 is amended to read:
59-10-514.
Return filing requirements -- Rulemaking authority.
(1) 
(a)
 Subject to Subsection (3) and Section 
59-10-518
:
[
(a)
] 
(i)
 an individual income tax return filed for a tax imposed in accordance with Part
1, Determination and Reporting of Tax Liability and Information, shall be filed with the
commission on or before the day on which a federal individual income tax return is due [
under
the Internal Revenue Code
];
[
(b)
] 
(ii)
 a fiduciary income tax return filed for a tax imposed in accordance with Part
2, Trusts and Estates, shall be filed with the commission on or before the day on which a
federal return for estates and trusts is due [
under the Internal Revenue Code
]; or
[
(c)
] 
(iii)
 a return filed in accordance with Section 
59-10-507
 shall be filed with the
commission on or before 
the later of:
(A)
 the 15th day of the fourth month following the last day of the taxpayer's taxable
year[
.
]
; or
(B) the day on which the taxpayer is required to file a federal income tax return.
(b) Interest accrues from the day on which a return is due under this Subsection (1).
(2) A person required to make and file a return under this chapter shall, without
assessment, notice, or demand, pay any tax due:
(a) to the commission; and
(b) before the due date for filing the return, without regard to any extension of time for
filing the return.
(3) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules prescribing what constitutes filing a return with the commission.
Section 26. Section 
59-10-516
 is amended to read:
59-10-516.
Filing extension -- Payment of tax -- Penalty -- Foreign residency.
(1) (a) The commission shall allow a taxpayer an extension of time for filing a return.
(b) 
Except as provided in Subsection (1)(c):
(i) [
For
] 
for
 a return filed by a taxpayer except for a partnership, the extension [
under
]
described in
 Subsection (1)(a) may [
not exceed
] 
be up to
 six months[
.
]
; and
(ii) [
For
] 
for
 a return filed by a partnership, the extension [
under
] 
described in
Subsection (1)(a) may [
not exceed
] 
be up to
 five months.
[
(2) (a) Except as provided in Subsection (2)(b), the commission may not impose on a
taxpayer during the extension period prescribed under Subsection (1) a penalty under Section
59-1-401
 if the taxpayer pays, on or before the 15th day of the fourth month following the close
of the taxpayer's taxable year, the lesser of:
]
(c) For a taxable year beginning on or after January 1, 2019, but beginning on or before
December 31, 2019, a taxpayer may receive an extension described in Subsection (1)(a) for the
time period that ends on the last day of the extension to file the taxpayer's federal income tax
return.
(2) The commission may not impose a penalty under Section 
59-1-401
 during the
extension period described in Subsection (1) on:
(a) a pass-through entity, if the pass-through entity, on or before the return due date
described in Section 
59-10-514
, pays or withholds the tax on behalf of a pass-through entity
taxpayer; or
(b) a taxpayer other than a taxpayer described in Subsection (2)(a), if the taxpayer pays,
on or before the return due date described in Section 
59-10-514
, an amount equal to the lesser
of:
(i) 90% of the total tax reported on the return for the current taxable year; or
(ii) 100% of the total tax liability for the taxable year immediately preceding the current
taxable year.
[
(b)
] 
(3)
 If a taxpayer fails to meet the requirements of Subsection (2)[
(a)
], the
commission may apply to the total balance due a penalty as provided in Section 
59-1-401
.
[
(3)
] 
(4)
 If a federal income tax return filing is lawfully delayed pending a
determination of qualification for a federal tax exemption due to residency outside of the
United States, a taxpayer shall file a return within 30 days after that determination is made.
Section 27. Section 
59-10-522
 is amended to read:
59-10-522.
Extension of time for paying tax.
(1) (a) For a taxable year beginning on or after January 1, 2019, but beginning on or
before December 31, 2019, a taxpayer shall receive an extension of time for the payment of the
amount determined as the tax of the taxpayer, or any part of that amount, for the time period
that ends on the last day of the extension to pay the taxpayer's federal income tax.
[
(1) The
] 
(b) (i) For a taxable year beginning on or after January 1, 2020, the
commission, except as otherwise provided by this chapter, may extend the time for payment of
the amount shown, or required to be shown, on any return required under authority of this
chapter (or any installment thereof), for a reasonable period not to exceed six months from the
date fixed for payment thereof.
(ii)
 [
Such
] 
The
 extension may exceed six months in the cases of taxpayers who are
outside the states of the union and the District of Columbia.
(2) 
(a)
 Under rules prescribed by the commission, the time for payment of the amount
determined as a deficiency may be extended for a period not to exceed 18 months from the date
fixed for payment of the deficiency, and, in exceptional cases, for a further period not to exceed
12 months.
(b)
 An extension under this subsection may be granted only where it is shown to the
satisfaction of the commission that the payment of a deficiency upon the date fixed for the
payment thereof will result in undue hardship to the taxpayer.
(c)
 No extension may be granted if the deficiency is due to negligence, to intentional
disregard of rules, or to fraud with intent to evade tax.
(3) [
Extensions
] 
An extension
 of time for payment of any portion of a claim for 
an
unpaid
 tax under this chapter, allowed in bankruptcy or receivership proceedings, [
which is
unpaid,
] may be had in the same manner and subject to the same provisions and limitations as
provided in Subsection (2) [
in respect of a deficiency in tax
].
Section 28. Section 
59-10-1007
 is amended to read:
59-10-1007.
Recycling market development zones tax credits.
(1) Subject to other provisions of this section, a claimant, estate, or trust in a recycling
market development zone as defined in Section 
19-13-102
 may claim the following
nonrefundable tax credits:
(a) a tax credit [
of 5% of
] 
equal to the product of the percentage listed in Subsection
59-10-104
(2) and
 the purchase price paid for machinery and equipment used directly in:
(i) commercial composting; or
(ii) manufacturing facilities or plant units that:
(A) manufacture, process, compound, or produce recycled items of tangible personal
property for sale; or
(B) reduce or reuse postconsumer waste material; and
(b) a tax credit equal to the lesser of:
(i) 20% of net expenditures to third parties for rent, wages, supplies, tools, test
inventory, and utilities made by the claimant, estate, or trust for establishing and operating
recycling or composting technology in the state; and
(ii) $2,000.
(2) (a) To claim a tax credit described in Subsection (1), the claimant, estate, or trust
shall receive from the Department of Environmental Quality a written certification, on a form
approved by the commission, that includes:
(i) a statement that the claimant, estate, or trust is operating within the boundaries of a
recycling market development zone;
(ii) for a claim of the tax credit described in Subsection (1)(a):
(A) the type of the machinery and equipment that the claimant, estate, or trust
purchased;
(B) the date that the claimant, estate, or trust purchased the machinery and equipment;
(C) the purchase price for the machinery and equipment;
(D) the total purchase price for all machinery and equipment for which the claimant,
estate, or trust is claiming a tax credit;
(E) the amount of the claimant's, estate's, or trust's tax credit; and
(F) a statement that the machinery and equipment are integral to the composting or
recycling process; and
(iii) for a claim of the tax credit described in Subsection (1)(b):
(A) the type of net expenditure that the claimant, estate, or trust made to a third party;
(B) the date that the claimant, estate, or trust made the payment to a third party;
(C) the amount that the claimant, estate, or trust paid to each third party;
(D) the total amount that the claimant, estate, or trust paid to all third parties;
(E) a statement that the net expenditures support the establishment and operation of
recycling or composting technology in the state; and
(F) the amount of the claimant's, estate's, or trust's tax credit.
(b) (i) The Department of Environmental Quality shall provide a claimant, estate, or
trust seeking to claim a tax credit under Subsection (1) with a copy of the written certification.
(ii) The claimant, estate, or trust shall retain a copy of the written certification for the
same period of time that a person is required to keep books and records under Section
59-1-1406
.
(c) The Department of Environmental Quality shall submit to the commission an
electronic list that includes:
(i) the name and identifying information of each claimant, estate, or trust to which the
Department of Environmental Quality issues a written certification; and
(ii) for each claimant, estate, or trust, the amount of each tax credit listed on the written
certification.
(3) A claimant, estate, or trust may not claim a tax credit under Subsection (1)(a),
Subsection (1)(b), or both that exceeds 40% of the claimant's, estate's, or trust's state income
tax liability as the tax liability is calculated:
(a) for the taxable year in which the claimant, estate, or trust made the purchases or
payments;
(b) before any other tax credits the claimant, estate, or trust may claim for the taxable
year; and
(c) before the claimant, estate, or trust claims a tax credit authorized by this section.
(4) The commission shall make rules governing what information a claimant, estate, or
trust shall file with the commission to verify the entitlement to and amount of a tax credit.
(5) Except as provided in Subsections (6) through (8), a claimant, estate, or trust may
carry forward, to the next three taxable years, the amount of a tax credit described in
Subsection (1)(a) that the claimant, estate, or trust does not use for the taxable year.
(6) A claimant, estate, or trust may not claim or carry forward a tax credit described in
Subsection (1)(a) in a taxable year during which the claimant, estate, or trust claims or carries
forward a tax credit under Section 
63N-2-213
.
(7) A claimant, estate, or trust may not claim a tax credit described in Subsection (1)(b)
in a taxable year during which the claimant, estate, or trust claims or carries forward a tax
credit under Section 
63N-2-213
.
(8) A claimant, estate, or trust may not claim or carry forward a tax credit under this
section for a taxable year during which the claimant, estate, or trust claims the targeted
business income tax credit under Section 
59-10-1112
.
Section 29. Section 
59-10-1017
 is amended to read:
59-10-1017.
Utah Educational Savings Plan tax credit.
(1) As used in this section:
(a) "Account owner" means the same as that term is defined in Section 
53B-8a-102
.
(b) "Grantor trust" means the same as that term is defined in Section 
53B-8a-102.5
.
(c) "Higher education costs" means the same as that term is defined in Section
53B-8a-102.5
.
(d) "Maximum amount of a qualified investment for the taxable year" means, for a
taxable year, the product of [
5%
] 
the percentage listed in Subsection 
59-10-104
(2)
 and:
(i) subject to Subsection (1)(d)(iii), for a claimant, estate, or trust that is an account
owner, if that claimant, estate, or trust is other than husband and wife account owners who file
a single return jointly, the maximum amount of a qualified investment:
(A) listed in Subsection 
53B-8a-106
(1)(e)(ii); and
(B) increased or kept for that taxable year in accordance with Subsections
53B-8a-106
(1)(f) and (g);
(ii) subject to Subsection (1)(d)(iii), for claimants who are husband and wife account
owners who file a single return jointly, the maximum amount of a qualified investment:
(A) listed in Subsection 
53B-8a-106
(1)(e)(iii); and
(B) increased or kept for that taxable year in accordance with Subsections
53B-8a-106
(1)(f) and (g); or
(iii) for a grantor trust:
(A) if the owner of the grantor trust has a single filing status or head of household
filing status as defined in Section 
59-10-1018
, the amount described in Subsection (1)(d)(i); or
(B) if the owner of the grantor trust has a joint filing status as defined in Section
59-10-1018
, the amount described in Subsection (1)(d)(ii).
(e) "Owner of the grantor trust" means the same as that term is defined in Section
53B-8a-102.5
.
(f) "Qualified investment" means the same as that term is defined in Section
53B-8a-102.5
.
(2) Except as provided in Section 
59-10-1002.2
 and subject to the other provisions of
this section, a claimant, estate, or trust that is an account owner may claim a nonrefundable tax
credit equal to the product of:
(a) the amount of a qualified investment made:
(i) during the taxable year; and
(ii) into an account owned by the claimant, estate, or trust; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(3) A claimant, estate, or trust, or a person other than the claimant, estate, or trust, may
make a qualified investment described in Subsection (2).
(4) A claimant, estate, or trust that is an account owner may not claim a tax credit
under this section with respect to any portion of a qualified investment described in Subsection
(2) that a claimant, estate, trust, or person described in Subsection (3) deducts on a federal
income tax return.
(5) A tax credit under this section may not exceed the maximum amount of a qualified
investment for the taxable year.
(6) A claimant, estate, or trust that is an account owner may not carry forward or carry
back the tax credit under this section.
(7) A claimant, estate, or trust may claim a tax credit under this section in addition to
the tax credit described in Section 
59-10-1017.1
.
Section 30. Section 
59-10-1017.1
 is amended to read:
59-10-1017.1.
Student Prosperity Savings Program tax credit.
(1) As used in this section, "qualified donation" means an amount donated, in
accordance with Section 
53B-8a-203
, to the Student Prosperity Savings Program created in
Section 
53B-8a-202
.
(2) A claimant, estate, or trust may claim a nonrefundable tax credit for a qualified
donation.
(3) The tax credit equals the product of:
(a) the qualified donation; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(4) A claimant, estate, or trust may not claim a tax credit under this section with
respect to any portion of a qualified donation that a claimant, estate, or trust deducts on a
federal income tax return.
(5) A claimant, estate, or trust may not carry forward or carry back the portion of the
tax credit allowed by this section that exceeds the claimant's, estate's, or trust's tax liability for
the taxable year in which the claimant, estate, or trust claims the tax credit.
(6) A claimant, estate, or trust may claim a tax credit under this section in addition to
the tax credit described in Section 
59-10-1017
.
Section 31. Section 
59-10-1022
 is amended to read:
59-10-1022.
Nonrefundable tax credit for capital gain transactions.
(1) As used in this section:
(a) (i) "Capital gain transaction" means a transaction that results in a:
(A) short-term capital gain; or
(B) long-term capital gain.
(ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define the term "transaction."
(b) "Commercial domicile" means the principal place from which the trade or business
of a Utah small business corporation is directed or managed.
(c) "Long-term capital gain" is as defined in Section 1222, Internal Revenue Code.
(d) "Qualifying stock" means stock that is:
(i) (A) common; or
(B) preferred;
(ii) as defined by the commission by rule made in accordance with Title 63G, Chapter
3, Utah Administrative Rulemaking Act, originally issued to:
(A) a claimant, estate, or trust; or
(B) a partnership if the claimant, estate, or trust that claims a tax credit under this
section:
(I) was a partner on the day on which the stock was issued; and
(II) remains a partner until the last day of the taxable year for which the claimant,
estate, or trust claims a tax credit under this section; and
(iii) issued:
(A) by a Utah small business corporation;
(B) on or after January 1, 2008; and
(C) for:
(I) money; or
(II) other property, except for stock or securities.
(e) "Short-term capital gain" is as defined in Section 1222, Internal Revenue Code.
(f) (i) "Utah small business corporation" means a corporation that:
(A) except as provided in Subsection (1)(f)(ii), is a small business corporation as
defined in Section 1244(c)(3), Internal Revenue Code;
(B) except as provided in Subsection (1)(f)(iii), meets the requirements of Section
1244(c)(1)(C), Internal Revenue Code; and
(C) has its commercial domicile in this state.
(ii) The dollar amount listed in Section 1244(c)(3)(A) is considered to be $2,500,000.
(iii) The phrase "the date the loss on such stock was sustained" in Sections
1244(c)(1)(C) and 1244(c)(2), Internal Revenue Code, is considered to be "the last day of the
taxable year for which the claimant, estate, or trust claims a tax credit under this section."
(2) For taxable years beginning on or after January 1, 2008, a claimant, estate, or trust
that meets the requirements of Subsection (3) may claim a nonrefundable tax credit equal to the
product of:
(a) the total amount of the claimant's, estate's, or trust's short-term capital gain or
long-term capital gain on a capital gain transaction that occurs on or after January 1, 2008; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(3) For purposes of Subsection (2), a claimant, estate, or trust may claim the
nonrefundable tax credit allowed by Subsection (2) if:
(a) 70% or more of the gross proceeds of the capital gain transaction are expended:
(i) to purchase qualifying stock in a Utah small business corporation; and
(ii) within a 12-month period after the day on which the capital gain transaction occurs;
and
(b) prior to the purchase of the qualifying stock described in Subsection (3)(a)(i), the
claimant, estate, or trust did not have an ownership interest in the Utah small business
corporation that issued the qualifying stock.
(4) A claimant, estate, or trust may not carry forward or carry back a tax credit under
this section.
(5) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules:
(a) defining the term "gross proceeds"; and
(b) prescribing the circumstances under which a claimant, estate, or trust has an
ownership interest in a Utah small business corporation.
Section 32. Section 
59-10-1023
 is amended to read:
59-10-1023.
Nonrefundable tax credit for amounts paid under a health benefit
plan.
(1) As used in this section:
(a) "Claimant with dependents" means a claimant:
(i) regardless of the claimant's filing status for purposes of filing a federal individual
income tax return for the taxable year; and
(ii) who claims one or more dependents under Section 151, Internal Revenue Code, as
allowed on the claimant's federal individual income tax return for the taxable year.
(b) "Eligible insured individual" means:
(i) the claimant who is insured under a health benefit plan;
(ii) the spouse of the claimant described in Subsection (1)(b)(i) if:
(A) the claimant files a single return jointly under this chapter with the claimant's
spouse for the taxable year; and
(B) the spouse is insured under the health benefit plan described in Subsection
(1)(b)(i); or
(iii) a dependent of the claimant described in Subsection (1)(b)(i) if:
(A) the claimant claims the dependent under Section 151, Internal Revenue Code, as
allowed on the claimant's federal individual income tax return for the taxable year; and
(B) the dependent is insured under the health benefit plan described in Subsection
(1)(b)(i).
(c) "Excluded expenses" means an amount a claimant pays for insurance offered under
a health benefit plan for a taxable year if:
(i) the claimant claims a tax credit for that amount under Section 35, Internal Revenue
Code:
(A) on the claimant's federal individual income tax return for the taxable year; and
(B) with respect to an eligible insured individual;
(ii) the claimant deducts that amount under Section 162 or 213, Internal Revenue
Code:
(A) on the claimant's federal individual income tax return for the taxable year; and
(B) with respect to an eligible insured individual; or
(iii) the claimant excludes that amount from gross income under Section 106 or 125,
Internal Revenue Code, with respect to an eligible insured individual.
(d) (i) "Health benefit plan" is as defined in Section 
31A-1-301
.
(ii) "Health benefit plan" does not include equivalent self-insurance as defined by the
Insurance Department by rule made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act.
(e) "Joint claimant with no dependents" means a husband and wife who:
(i) file a single return jointly under this chapter for the taxable year; and
(ii) do not claim a dependent under Section 151, Internal Revenue Code, on the
husband's and wife's federal individual income tax return for the taxable year.
(f) "Single claimant with no dependents" means:
(i) a single individual who:
(A) files a single federal individual income tax return for the taxable year; and
(B) does not claim a dependent under Section 151, Internal Revenue Code, on the
single individual's federal individual income tax return for the taxable year;
(ii) a head of household:
(A) as defined in Section 2(b), Internal Revenue Code, who files a single federal
individual income tax return for the taxable year; and
(B) who does not claim a dependent under Section 151, Internal Revenue Code, on the
head of household's federal individual income tax return for the taxable year; or
(iii) a married individual who:
(A) does not file a single federal individual income tax return jointly with that married
individual's spouse for the taxable year; and
(B) does not claim a dependent under Section 151, Internal Revenue Code, on that
married individual's federal individual income tax return for the taxable year.
(2) Subject to Subsection (3), and except as provided in Subsection (4), for taxable
years beginning on or after January 1, 2009, a claimant may claim a nonrefundable tax credit
equal to the product of:
(a) the difference between:
(i) the total amount the claimant pays during the taxable year for:
(A) insurance offered under a health benefit plan; and
(B) an eligible insured individual; and
(ii) excluded expenses; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(3) The maximum amount of a tax credit described in Subsection (2) a claimant may
claim on a return for a taxable year is:
(a) for a single claimant with no dependents, $300;
(b) for a joint claimant with no dependents, $600; or
(c) for a claimant with dependents, $900.
(4) A claimant may not claim a tax credit under this section if the claimant is eligible to
participate in insurance offered under a health benefit plan maintained and funded in whole or
in part by:
(a) the claimant's employer; or
(b) another person's employer.
(5) A claimant may not carry forward or carry back a tax credit under this section.
Section 33. Section 
59-10-1028
 is amended to read:
59-10-1028.
Nonrefundable tax credit for capital gain transactions on the
exchange of one form of legal tender for another form of legal tender.
(1) As used in this section:
(a) "Capital gain transaction" means a transaction that results in a:
(i) short-term capital gain; or
(ii) long-term capital gain.
(b) "Long-term capital gain" is as defined in Section 1222, Internal Revenue Code.
(c) "Long-term capital loss" is as defined in Section 1222, Internal Revenue Code.
(d) "Net capital gain" means the amount by which the sum of long-term capital gains
and short-term capital gains on a claimant's, estate's, or trust's transactions from exchanges
made for a taxable year of one form of legal tender for another form of legal tender exceeds the
sum of long-term capital losses and short-term capital losses on those transactions for that
taxable year.
(e) "Short-term capital loss" is as defined in Section 1222, Internal Revenue Code.
(f) "Short-term capital gain" is as defined in Section 1222, Internal Revenue Code.
(2) Except as provided in Section 
59-10-1002.2
, for taxable years beginning on or after
January 1, 2012, a claimant, estate, or trust may claim a nonrefundable tax credit equal to the
product of:
(a) to the extent a net capital gain is included in taxable income, the amount of the
claimant's, estate's, or trust's net capital gain on capital gain transactions from exchanges made
on or after January 1, 2012, for a taxable year, of one form of legal tender for another form of
legal tender; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(3) A claimant, estate, or trust may not carry forward or carry back a tax credit under
this section.
(4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules to implement this section.
Section 34. Section 
59-10-1035
 is amended to read:
59-10-1035.
Nonrefundable tax credit for contribution to state Achieving a Better
Life Experience Program account.
(1) As used in this section:
(a) "Account" means an account in a qualified ABLE program where the designated
beneficiary of the account is a resident of this state.
(b) "Contributor" means a claimant, estate, or trust that:
(i) makes a contribution to an account; and
(ii) receives a statement from the qualified ABLE program itemizing the contribution.
(c) "Designated beneficiary" means the same as that term is defined in 26 U.S.C. Sec.
529A.
(d) "Qualified ABLE program" means the same as that term is defined in Section
35A-12-102
.
(2) A contributor to an account may claim a nonrefundable tax credit as provided in
this section.
(3) Subject to the other provisions of this section, the tax credit is equal to the product
of:
[
(a) 5%; and
]
(a) the percentage listed in Subsection 
59-10-104
(2); and
(b) the total amount of contributions:
(i) the contributor makes for the taxable year; and
(ii) for which the contributor receives a statement from the qualified ABLE program
itemizing the contributions.
(4) A contributor may not claim a tax credit under this section:
(a) for an amount of excess contribution to an account that is returned to the
contributor; or
(b) with respect to an amount the contributor deducts on a federal income tax return.
(5) A tax credit under this section may not be carried forward or carried back.
Section 35. Section 
59-10-1036
 is amended to read:
59-10-1036.
Nonrefundable tax credit for military survivor benefits.
(1) As used in this section:
(a) "Dependent child" means the same as that term is defined in 10 U.S.C. Sec. 1447.
(b) "Reserve components" means the same as that term is described in 10 U.S.C. Sec.
10101.
(c) "Surviving spouse" means the same as that term is defined in 10 U.S.C. Sec. 1447.
(d) "Survivor benefits" means the amount paid by the federal government in
accordance with 10 U.S.C. Secs. 1447 through 1455.
(2) A surviving spouse or dependent child may claim a nonrefundable tax credit for
survivor benefits if the benefits are paid due to:
(a) the death of a member of the armed forces or reserve components while on active
duty; or
(b) the death of a member of the reserve components that results from a
service-connected cause while performing inactive duty training.
(3) The tax credit described in Subsection (2) is equal to the product of:
(a) the amount of survivor benefits that the surviving spouse or dependent child
received during the taxable year; and
[
(b) 5%.
]
(b) the percentage listed in Subsection 
59-10-104
(2).
(4) The tax credit described in Subsection (2):
(a) may not be carried forward or carried back; and
(b) applies to a taxable year beginning on or after January 1, 2017.
Section 36. Section 
59-10-1403
 is amended to read:
59-10-1403.
Income tax treatment of a pass-through entity -- Returns --
Classification same as under Internal Revenue Code.
(1) Subject to Subsection (3), a pass-through entity is not subject to a tax imposed by
this chapter.
(2) Except as provided in Section 
59-10-1403.3
, the income, gain, loss, deduction, or
credit of a pass-through entity shall be passed through to one or more pass-through entity
taxpayers as provided in this part.
(3) A pass-through entity is subject to the return filing requirements of Sections
59-10-507
 [
and
]
,
59-10-514
, and 
59-10-516
.
(4) For purposes of taxation under this title, a pass-through entity that transacts
business in the state shall be classified in the same manner as the pass-through entity is
classified for federal income tax purposes.
Section 37. Section 
59-10-1403.3
 is amended to read:
59-10-1403.3.
Refund of amounts paid or withheld for a pass-through entity.
(1) As used in this section:
(a) "Committee" means the Revenue and Taxation Interim Committee.
(b) "Qualifying excess withholding" means an amount that:
(i) is paid or withheld:
(A) by a pass-through entity that has a different taxable year than the pass-through
entity that requests a refund under this section; and
(B) on behalf of the pass-through entity that requests the refund, if the pass-through
entity that requests the refund also is a pass-through entity taxpayer; and
(ii) is equal to the difference between:
(A) the amount paid or withheld for the taxable year on behalf of the pass-through
entity that requests the refund; and
(B) the product of [
5%
] 
the percentage listed in Subsection 
59-10-104
(2)
 and the
income, described in Subsection 
59-10-1403.2
(1)(a)(i), of the pass-through entity that requests
the refund.
(2) For a taxable year ending on or after July 1, 2017, a pass-through entity may claim
a refund of qualifying excess withholding, if the amount of the qualifying excess withholding is
equal to or greater than $250,000.
(3) A pass-through entity that requests a refund of qualifying excess withholding under
this section shall:
(a) apply to the commission for a refund on or, subject to Subsection (4), after the day
on which the pass-through entity files the pass-through entity's income tax return; and
(b) provide any information that the commission may require to determine that the
pass-through entity is eligible to receive the refund.
(4) A pass-through entity shall claim a refund of qualifying excess withholding under
this section within 30 days after the earlier of the day on which:
(a) the pass-through entity files an income tax return; or
(b) the pass-through entity's income tax return is due, including any extension of due
date authorized in statute.
(5) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules establishing the information that a pass-through entity shall
provide to the commission to obtain a refund of qualifying excess withholding under this
section.
(6) (a) On or before November 30, 2018, the committee shall review the $250,000
threshold described in Subsection (2) for the purpose of assessing whether the threshold
amount should be maintained, increased, or decreased.
(b) To assist the committee in conducting the review described in Subsection (6)(a),
the commission shall provide the committee with:
(i) the total number of refund requests made under this section;
(ii) the total costs of any refunds issued under this section;
(iii) the costs of any audits conducted on refund requests made under this section; and
(iv) an estimation of:
(A) the number of refund requests the commission expects to receive if the Legislature
increases the threshold;
(B) the number of refund requests the commission expects to receive if the Legislature
decreases the threshold; and
(C) the costs of any audits the commission would conduct if the Legislature increases
or decreases the threshold.
Section 38. Section 
59-12-102
 is amended to read:
59-12-102.
Definitions.
As used in this chapter:
(1) "800 service" means a telecommunications service that:
(a) allows a caller to dial a toll-free number without incurring a charge for the call; and
(b) is typically marketed:
(i) under the name 800 toll-free calling;
(ii) under the name 855 toll-free calling;
(iii) under the name 866 toll-free calling;
(iv) under the name 877 toll-free calling;
(v) under the name 888 toll-free calling; or
(vi) under a name similar to Subsections (1)(b)(i) through (v) as designated by the
Federal Communications Commission.
(2) (a) "900 service" means an inbound toll telecommunications service that:
(i) a subscriber purchases;
(ii) allows a customer of the subscriber described in Subsection (2)(a)(i) to call in to
the subscriber's:
(A) prerecorded announcement; or
(B) live service; and
(iii) is typically marketed:
(A) under the name 900 service; or
(B) under a name similar to Subsection (2)(a)(iii)(A) as designated by the Federal
Communications Commission.
(b) "900 service" does not include a charge for:
(i) a collection service a seller of a telecommunications service provides to a
subscriber; or
(ii) the following a subscriber sells to the subscriber's customer:
(A) a product; or
(B) a service.
(3) (a) "Admission or user fees" includes season passes.
(b) "Admission or user fees" does not include:
(i) annual membership dues to private organizations; or
(ii) a lesson, including a lesson that involves as part of the lesson equipment or a
facility listed in Subsection 
59-12-103
(1)(f).
(4) "Affiliate" or "affiliated person" means a person that, with respect to another
person:
(a) has an ownership interest of more than 5%, whether direct or indirect, in that other
person; or
(b) is related to the other person because a third person, or a group of third persons who
are affiliated persons with respect to each other, holds an ownership interest of more than 5%,
whether direct or indirect, in the related persons.
(5) "Agreement" means the Streamlined Sales and Use Tax Agreement adopted on
November 12, 2002, including amendments made to the Streamlined Sales and Use Tax
Agreement after November 12, 2002.
(6) "Agreement combined tax rate" means the sum of the tax rates:
(a) listed under Subsection (7); and
(b) that are imposed within a local taxing jurisdiction.
(7) "Agreement sales and use tax" means a tax imposed under:
(a) Subsection 
59-12-103
(2)(a)(i)(A);
(b) Subsection 
59-12-103
(2)(b)(i);
(c) Subsection 
59-12-103
(2)(c)(i);
(d) Subsection 
59-12-103
(2)(d);
[
(d)
] 
(e)
 Subsection 
59-12-103
(2)[
(d)
]
(e)
(i)(A)(I);
[
(e)
] 
(f)
 Section 
59-12-204
;
[
(f)
] 
(g)
 Section 
59-12-401
;
[
(g)
] 
(h)
 Section 
59-12-402
;
[
(h)
] 
(i)
 Section 
59-12-402.1
;
[
(i)
] 
(j)
 Section 
59-12-703
;
[
(j)
] 
(k)
 Section 
59-12-802
;
[
(k)
] 
(l)
 Section 
59-12-804
;
[
(l)
] 
(m)
 Section 
59-12-1102
;
[
(m)
] 
(n)
 Section 
59-12-1302
;
[
(n)
] 
(o)
 Section 
59-12-1402
;
[
(o)
] 
(p)
 Section 
59-12-1802
;
[
(p)
] 
(q)
 Section 
59-12-2003
;
[
(q)
] 
(r)
 Section 
59-12-2103
;
[
(r)
] 
(s)
 Section 
59-12-2213
;
[
(s)
] 
(t)
 Section 
59-12-2214
;
[
(t)
] 
(u)
 Section 
59-12-2215
;
[
(u)
] 
(v)
 Section 
59-12-2216
;
[
(v)
] 
(w)
 Section 
59-12-2217
;
[
(w)
] 
(x)
 Section 
59-12-2218
;
[
(x)
] 
(y)
 Section 
59-12-2219
; or
[
(y)
] 
(z)
 Section 
59-12-2220
.
(8) "Aircraft" means the same as that term is defined in Section 
72-10-102
.
(9) "Aircraft maintenance, repair, and overhaul provider" means a business entity:
(a) except for:
(i) an airline as defined in Section 
59-2-102
; or
(ii) an affiliated group, as defined in Section 
59-7-101
, except that "affiliated group"
includes a corporation that is qualified to do business but is not otherwise doing business in the
state, of an airline; and
(b) that has the workers, expertise, and facilities to perform the following, regardless of
whether the business entity performs the following in this state:
(i) check, diagnose, overhaul, and repair:
(A) an onboard system of a fixed wing turbine powered aircraft; and
(B) the parts that comprise an onboard system of a fixed wing turbine powered aircraft;
(ii) assemble, change, dismantle, inspect, and test a fixed wing turbine powered aircraft
engine;
(iii) perform at least the following maintenance on a fixed wing turbine powered
aircraft:
(A) an inspection;
(B) a repair, including a structural repair or modification;
(C) changing landing gear; and
(D) addressing issues related to an aging fixed wing turbine powered aircraft;
(iv) completely remove the existing paint of a fixed wing turbine powered aircraft and
completely apply new paint to the fixed wing turbine powered aircraft; and
(v) refurbish the interior of a fixed wing turbine powered aircraft in a manner that
results in a change in the fixed wing turbine powered aircraft's certification requirements by the
authority that certifies the fixed wing turbine powered aircraft.
(10) "Alcoholic beverage" means a beverage that:
(a) is suitable for human consumption; and
(b) contains .5% or more alcohol by volume.
(11) "Alternative energy" means:
(a) biomass energy;
(b) geothermal energy;
(c) hydroelectric energy;
(d) solar energy;
(e) wind energy; or
(f) energy that is derived from:
(i) coal-to-liquids;
(ii) nuclear fuel;
(iii) oil-impregnated diatomaceous earth;
(iv) oil sands;
(v) oil shale;
(vi) petroleum coke; or
(vii) waste heat from:
(A) an industrial facility; or
(B) a power station in which an electric generator is driven through a process in which
water is heated, turns into steam, and spins a steam turbine.
(12) (a) Subject to Subsection (12)(b), "alternative energy electricity production
facility" means a facility that:
(i) uses alternative energy to produce electricity; and
(ii) has a production capacity of two megawatts or greater.
(b) A facility is an alternative energy electricity production facility regardless of
whether the facility is:
(i) connected to an electric grid; or
(ii) located on the premises of an electricity consumer.
(13) (a) "Ancillary service" means a service associated with, or incidental to, the
provision of telecommunications service.
(b) "Ancillary service" includes:
(i) a conference bridging service;
(ii) a detailed communications billing service;
(iii) directory assistance;
(iv) a vertical service; or
(v) a voice mail service.
(14) "Area agency on aging" means the same as that term is defined in Section
62A-3-101
.
(15) "Assisted amusement device" means an amusement device, skill device, or ride
device that is started and stopped by an individual:
(a) who is not the purchaser or renter of the right to use or operate the amusement
device, skill device, or ride device; and
(b) at the direction of the seller of the right to use the amusement device, skill device,
or ride device.
(16) "Assisted cleaning or washing of tangible personal property" means cleaning or
washing of tangible personal property if the cleaning or washing labor is primarily performed
by an individual:
(a) who is not the purchaser of the cleaning or washing of the tangible personal
property; and
(b) at the direction of the seller of the cleaning or washing of the tangible personal
property.
(17) "Authorized carrier" means:
(a) in the case of vehicles operated over public highways, the holder of credentials
indicating that the vehicle is or will be operated pursuant to both the International Registration
Plan and the International Fuel Tax Agreement;
(b) in the case of aircraft, the holder of a Federal Aviation Administration operating
certificate or air carrier's operating certificate; or
(c) in the case of locomotives, freight cars, railroad work equipment, or other rolling
stock, a person who uses locomotives, freight cars, railroad work equipment, or other rolling
stock in more than one state.
(18) (a) Except as provided in Subsection (18)(b), "biomass energy" means any of the
following that is used as the primary source of energy to produce fuel or electricity:
(i) material from a plant or tree; or
(ii) other organic matter that is available on a renewable basis, including:
(A) slash and brush from forests and woodlands;
(B) animal waste;
(C) waste vegetable oil;
(D) methane or synthetic gas produced at a landfill, as a byproduct of the treatment of
wastewater residuals, or through the conversion of a waste material through a nonincineration,
thermal conversion process;
(E) aquatic plants; and
(F) agricultural products.
(b) "Biomass energy" does not include:
(i) black liquor; or
(ii) treated woods.
(19) (a) "Bundled transaction" means the sale of two or more items of tangible personal
property, products, or services if the tangible personal property, products, or services are:
(i) distinct and identifiable; and
(ii) sold for one nonitemized price.
(b) "Bundled transaction" does not include:
(i) the sale of tangible personal property if the sales price varies, or is negotiable, on
the basis of the selection by the purchaser of the items of tangible personal property included in
the transaction;
(ii) the sale of real property;
(iii) the sale of services to real property;
(iv) the retail sale of tangible personal property and a service if:
(A) the tangible personal property:
(I) is essential to the use of the service; and
(II) is provided exclusively in connection with the service; and
(B) the service is the true object of the transaction;
(v) the retail sale of two services if:
(A) one service is provided that is essential to the use or receipt of a second service;
(B) the first service is provided exclusively in connection with the second service; and
(C) the second service is the true object of the transaction;
(vi) a transaction that includes tangible personal property or a product subject to
taxation under this chapter and tangible personal property or a product that is not subject to
taxation under this chapter if the:
(A) seller's purchase price of the tangible personal property or product subject to
taxation under this chapter is de minimis; or
(B) seller's sales price of the tangible personal property or product subject to taxation
under this chapter is de minimis; and
(vii) the retail sale of tangible personal property that is not subject to taxation under
this chapter and tangible personal property that is subject to taxation under this chapter if:
(A) that retail sale includes:
(I) food and food ingredients;
(II) a drug;
(III) durable medical equipment;
(IV) mobility enhancing equipment;
(V) an over-the-counter drug;
(VI) a prosthetic device; or
(VII) a medical supply; and
(B) subject to Subsection (19)(f):
(I) the seller's purchase price of the tangible personal property subject to taxation under
this chapter is 50% or less of the seller's total purchase price of that retail sale; or
(II) the seller's sales price of the tangible personal property subject to taxation under
this chapter is 50% or less of the seller's total sales price of that retail sale.
(c) (i) For purposes of Subsection (19)(a)(i), tangible personal property, a product, or a
service that is distinct and identifiable does not include:
(A) packaging that:
(I) accompanies the sale of the tangible personal property, product, or service; and
(II) is incidental or immaterial to the sale of the tangible personal property, product, or
service;
(B) tangible personal property, a product, or a service provided free of charge with the
purchase of another item of tangible personal property, a product, or a service; or
(C) an item of tangible personal property, a product, or a service included in the
definition of "purchase price."
(ii) For purposes of Subsection (19)(c)(i)(B), an item of tangible personal property, a
product, or a service is provided free of charge with the purchase of another item of tangible
personal property, a product, or a service if the sales price of the purchased item of tangible
personal property, product, or service does not vary depending on the inclusion of the tangible
personal property, product, or service provided free of charge.
(d) (i) For purposes of Subsection (19)(a)(ii), property sold for one nonitemized price
does not include a price that is separately identified by tangible personal property, product, or
service on the following, regardless of whether the following is in paper format or electronic
format:
(A) a binding sales document; or
(B) another supporting sales-related document that is available to a purchaser.
(ii) For purposes of Subsection (19)(d)(i), a binding sales document or another
supporting sales-related document that is available to a purchaser includes:
(A) a bill of sale;
(B) a contract;
(C) an invoice;
(D) a lease agreement;
(E) a periodic notice of rates and services;
(F) a price list;
(G) a rate card;
(H) a receipt; or
(I) a service agreement.
(e) (i) For purposes of Subsection (19)(b)(vi), the sales price of tangible personal
property or a product subject to taxation under this chapter is de minimis if:
(A) the seller's purchase price of the tangible personal property or product is 10% or
less of the seller's total purchase price of the bundled transaction; or
(B) the seller's sales price of the tangible personal property or product is 10% or less of
the seller's total sales price of the bundled transaction.
(ii) For purposes of Subsection (19)(b)(vi), a seller:
(A) shall use the seller's purchase price or the seller's sales price to determine if the
purchase price or sales price of the tangible personal property or product subject to taxation
under this chapter is de minimis; and
(B) may not use a combination of the seller's purchase price and the seller's sales price
to determine if the purchase price or sales price of the tangible personal property or product
subject to taxation under this chapter is de minimis.
(iii) For purposes of Subsection (19)(b)(vi), a seller shall use the full term of a service
contract to determine if the sales price of tangible personal property or a product is de minimis.
(f) For purposes of Subsection (19)(b)(vii)(B), a seller may not use a combination of
the seller's purchase price and the seller's sales price to determine if tangible personal property
subject to taxation under this chapter is 50% or less of the seller's total purchase price or sales
price of that retail sale.
(20) "Certified automated system" means software certified by the governing board of
the agreement that:
(a) calculates the agreement sales and use tax imposed within a local taxing
jurisdiction:
(i) on a transaction; and
(ii) in the states that are members of the agreement;
(b) determines the amount of agreement sales and use tax to remit to a state that is a
member of the agreement; and
(c) maintains a record of the transaction described in Subsection (20)(a)(i).
(21) "Certified service provider" means an agent certified:
(a) by the governing board of the agreement; and
(b) to perform a seller's sales and use tax functions for an agreement sales and use tax,
as outlined in the contract between the governing board of the agreement and the certified
service provider, other than the seller's obligation under Section 
59-12-124
 to remit a tax on the
seller's own purchases.
(22) (a) Subject to Subsection (22)(b), "clothing" means all human wearing apparel
suitable for general use.
(b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission shall make rules:
(i) listing the items that constitute "clothing"; and
(ii) that are consistent with the list of items that constitute "clothing" under the
agreement.
(23) "Coal-to-liquid" means the process of converting coal into a liquid synthetic fuel.
(24) "Commercial use" means the use of gas, electricity, heat, coal, fuel oil, or other
fuels that does not constitute industrial use under Subsection (57) or residential use under
Subsection (112).
(25) (a) "Common carrier" means a person engaged in or transacting the business of
transporting passengers, freight, merchandise, or other property for hire within this state.
(b) (i) "Common carrier" does not include a person that, at the time the person is
traveling to or from that person's place of employment, transports a passenger to or from the
passenger's place of employment.
(ii) For purposes of Subsection (25)(b)(i), in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, the commission may make rules defining what
constitutes a person's place of employment.
(c) "Common carrier" does not include a person that provides transportation network
services, as defined in Section 
13-51-102
.
(26) "Component part" includes:
(a) poultry, dairy, and other livestock feed, and their components;
(b) baling ties and twine used in the baling of hay and straw;
(c) fuel used for providing temperature control of orchards and commercial
greenhouses doing a majority of their business in wholesale sales, and for providing power for
off-highway type farm machinery; and
(d) feed, seeds, and seedlings.
(27) "Computer" means an electronic device that accepts information:
(a) (i) in digital form; or
(ii) in a form similar to digital form; and
(b) manipulates that information for a result based on a sequence of instructions.
(28) "Computer software" means a set of coded instructions designed to cause:
(a) a computer to perform a task; or
(b) automatic data processing equipment to perform a task.
(29) "Computer software maintenance contract" means a contract that obligates a seller
of computer software to provide a customer with:
(a) future updates or upgrades to computer software;
(b) support services with respect to computer software; or
(c) a combination of Subsections (29)(a) and (b).
(30) (a) "Conference bridging service" means an ancillary service that links two or
more participants of an audio conference call or video conference call.
(b) "Conference bridging service" may include providing a telephone number as part of
the ancillary service described in Subsection (30)(a).
(c) "Conference bridging service" does not include a telecommunications service used
to reach the ancillary service described in Subsection (30)(a).
(31) "Construction materials" means any tangible personal property that will be
converted into real property.
(32) "Delivered electronically" means delivered to a purchaser by means other than
tangible storage media.
(33) (a) "Delivery charge" means a charge:
(i) by a seller of:
(A) tangible personal property;
(B) a product transferred electronically; or
(C) a service; and
(ii) for preparation and delivery of the tangible personal property, product transferred
electronically, or services described in Subsection (33)(a)(i) to a location designated by the
purchaser.
(b) "Delivery charge" includes a charge for the following:
(i) transportation;
(ii) shipping;
(iii) postage;
(iv) handling;
(v) crating; or
(vi) packing.
(34) "Detailed telecommunications billing service" means an ancillary service of
separately stating information pertaining to individual calls on a customer's billing statement.
(35) "Dietary supplement" means a product, other than tobacco, that:
(a) is intended to supplement the diet;
(b) contains one or more of the following dietary ingredients:
(i) a vitamin;
(ii) a mineral;
(iii) an herb or other botanical;
(iv) an amino acid;
(v) a dietary substance for use by humans to supplement the diet by increasing the total
dietary intake; or
(vi) a concentrate, metabolite, constituent, extract, or combination of any ingredient
described in Subsections (35)(b)(i) through (v);
(c) (i) except as provided in Subsection (35)(c)(ii), is intended for ingestion in:
(A) tablet form;
(B) capsule form;
(C) powder form;
(D) softgel form;
(E) gelcap form; or
(F) liquid form; or
(ii) if the product is not intended for ingestion in a form described in Subsections
(35)(c)(i)(A) through (F), is not represented:
(A) as conventional food; and
(B) for use as a sole item of:
(I) a meal; or
(II) the diet; and
(d) is required to be labeled as a dietary supplement:
(i) identifiable by the "Supplemental Facts" box found on the label; and
(ii) as required by 21 C.F.R. Sec. 101.36.
(36) (a) "Digital audio work" means a work that results from the fixation of a series of
musical, spoken, or other sounds.
(b) "Digital audio work" includes a ringtone.
(37) "Digital audio-visual work" means a series of related images which, when shown
in succession, imparts an impression of motion, together with accompanying sounds, if any.
(38) "Digital book" means a work that is generally recognized in the ordinary and usual
sense as a book.
(39) (a) "Direct mail" means printed material delivered or distributed by United States
mail or other delivery service:
(i) to:
(A) a mass audience; or
(B) addressees on a mailing list provided:
(I) by a purchaser of the mailing list; or
(II) at the discretion of the purchaser of the mailing list; and
(ii) if the cost of the printed material is not billed directly to the recipients.
(b) "Direct mail" includes tangible personal property supplied directly or indirectly by a
purchaser to a seller of direct mail for inclusion in a package containing the printed material.
(c) "Direct mail" does not include multiple items of printed material delivered to a
single address.
(40) "Directory assistance" means an ancillary service of providing:
(a) address information; or
(b) telephone number information.
(41) (a) "Disposable home medical equipment or supplies" means medical equipment
or supplies that:
(i) cannot withstand repeated use; and
(ii) are purchased by, for, or on behalf of a person other than:
(A) a health care facility as defined in Section 
26-21-2
;
(B) a health care provider as defined in Section 
78B-3-403
;
(C) an office of a health care provider described in Subsection (41)(a)(ii)(B); or
(D) a person similar to a person described in Subsections (41)(a)(ii)(A) through (C).
(b) "Disposable home medical equipment or supplies" does not include:
(i) a drug;
(ii) durable medical equipment;
(iii) a hearing aid;
(iv) a hearing aid accessory;
(v) mobility enhancing equipment; or
(vi) tangible personal property used to correct impaired vision, including:
(A) eyeglasses; or
(B) contact lenses.
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define what constitutes medical equipment or supplies.
(42) "Drilling equipment manufacturer" means a facility:
(a) located in the state;
(b) with respect to which 51% or more of the manufacturing activities of the facility
consist of manufacturing component parts of drilling equipment;
(c) that uses pressure of 800,000 or more pounds per square inch as part of the
manufacturing process; and
(d) that uses a temperature of 2,000 or more degrees Fahrenheit as part of the
manufacturing process.
(43) (a) "Drug" means a compound, substance, or preparation, or a component of a
compound, substance, or preparation that is:
(i) recognized in:
(A) the official United States Pharmacopoeia;
(B) the official Homeopathic Pharmacopoeia of the United States;
(C) the official National Formulary; or
(D) a supplement to a publication listed in Subsections (43)(a)(i)(A) through (C);
(ii) intended for use in the:
(A) diagnosis of disease;
(B) cure of disease;
(C) mitigation of disease;
(D) treatment of disease; or
(E) prevention of disease; or
(iii) intended to affect:
(A) the structure of the body; or
(B) any function of the body.
(b) "Drug" does not include:
(i) food and food ingredients;
(ii) a dietary supplement;
(iii) an alcoholic beverage; or
(iv) a prosthetic device.
(44) (a) Except as provided in Subsection (44)(c), "durable medical equipment" means
equipment that:
(i) can withstand repeated use;
(ii) is primarily and customarily used to serve a medical purpose;
(iii) generally is not useful to a person in the absence of illness or injury; and
(iv) is not worn in or on the body.
(b) "Durable medical equipment" includes parts used in the repair or replacement of the
equipment described in Subsection (44)(a).
(c) "Durable medical equipment" does not include mobility enhancing equipment.
(45) "Electronic" means:
(a) relating to technology; and
(b) having:
(i) electrical capabilities;
(ii) digital capabilities;
(iii) magnetic capabilities;
(iv) wireless capabilities;
(v) optical capabilities;
(vi) electromagnetic capabilities; or
(vii) capabilities similar to Subsections (45)(b)(i) through (vi).
(46) "Electronic financial payment service" means an establishment:
(a) within NAICS Code 522320, Financial Transactions Processing, Reserve, and
Clearinghouse Activities, of the 2012 North American Industry Classification System of the
federal Executive Office of the President, Office of Management and Budget; and
(b) that performs electronic financial payment services.
(47) "Employee" means the same as that term is defined in Section 
59-10-401
.
(48) "Fixed guideway" means a public transit facility that uses and occupies:
(a) rail for the use of public transit; or
(b) a separate right-of-way for the use of public transit.
(49) "Fixed wing turbine powered aircraft" means an aircraft that:
(a) is powered by turbine engines;
(b) operates on jet fuel; and
(c) has wings that are permanently attached to the fuselage of the aircraft.
(50) "Fixed wireless service" means a telecommunications service that provides radio
communication between fixed points.
(51) (a) "Food and food ingredients" means substances:
(i) regardless of whether the substances are in:
(A) liquid form;
(B) concentrated form;
(C) solid form;
(D) frozen form;
(E) dried form; or
(F) dehydrated form; and
(ii) that are:
(A) sold for:
(I) ingestion by humans; or
(II) chewing by humans; and
(B) consumed for the substance's:
(I) taste; or
(II) nutritional value.
(b) "Food and food ingredients" includes an item described in Subsection (96)(b)(iii).
(c) "Food and food ingredients" does not include:
(i) an alcoholic beverage;
(ii) tobacco; or
(iii) prepared food.
(52) (a) "Fundraising sales" means sales:
(i) (A) made by a school; or
(B) made by a school student;
(ii) that are for the purpose of raising funds for the school to purchase equipment,
materials, or provide transportation; and
(iii) that are part of an officially sanctioned school activity.
(b) For purposes of Subsection (52)(a)(iii), "officially sanctioned school activity"
means a school activity:
(i) that is conducted in accordance with a formal policy adopted by the school or school
district governing the authorization and supervision of fundraising activities;
(ii) that does not directly or indirectly compensate an individual teacher or other
educational personnel by direct payment, commissions, or payment in kind; and
(iii) the net or gross revenues from which are deposited in a dedicated account
controlled by the school or school district.
(53) "Geothermal energy" means energy contained in heat that continuously flows
outward from the earth that is used as the sole source of energy to produce electricity.
(54) "Governing board of the agreement" means the governing board of the agreement
that is:
(a) authorized to administer the agreement; and
(b) established in accordance with the agreement.
(55) (a) For purposes of Subsection 
59-12-104
(41), "governmental entity" means:
(i) the executive branch of the state, including all departments, institutions, boards,
divisions, bureaus, offices, commissions, and committees;
(ii) the judicial branch of the state, including the courts, the Judicial Council, the
Administrative Office of the Courts, and similar administrative units in the judicial branch;
(iii) the legislative branch of the state, including the House of Representatives, the
Senate, the Legislative Printing Office, the Office of Legislative Research and General
Counsel, the Office of the Legislative Auditor General, and the Office of the Legislative Fiscal
Analyst;
(iv) the National Guard;
(v) an independent entity as defined in Section 
63E-1-102
; or
(vi) a political subdivision as defined in Section 
17B-1-102
.
(b) "Governmental entity" does not include the state systems of public and higher
education, including:
(i) a school;
(ii) the State Board of Education;
(iii) the Utah Board of Higher Education; or
(iv) an institution of higher education described in Section 
53B-1-102
.
(56) "Hydroelectric energy" means water used as the sole source of energy to produce
electricity.
(57) "Industrial use" means the use of natural gas, electricity, heat, coal, fuel oil, or
other fuels:
(a) in mining or extraction of minerals;
(b) in agricultural operations to produce an agricultural product up to the time of
harvest or placing the agricultural product into a storage facility, including:
(i) commercial greenhouses;
(ii) irrigation pumps;
(iii) farm machinery;
(iv) implements of husbandry as defined in Section 
41-1a-102
 that are not registered
under Title 41, Chapter 1a, Part 2, Registration; and
(v) other farming activities;
(c) in manufacturing tangible personal property at an establishment described in:
(i) SIC Codes 2000 to 3999 of the 1987 Standard Industrial Classification Manual of
the federal Executive Office of the President, Office of Management and Budget; or
(ii) a NAICS code within NAICS Sector 31-33, Manufacturing, of the 2017 North
American Industry Classification System of the federal Executive Office of the President,
Office of Management and Budget;
(d) by a scrap recycler if:
(i) from a fixed location, the scrap recycler utilizes machinery or equipment to process
one or more of the following items into prepared grades of processed materials for use in new
products:
(A) iron;
(B) steel;
(C) nonferrous metal;
(D) paper;
(E) glass;
(F) plastic;
(G) textile; or
(H) rubber; and
(ii) the new products under Subsection (57)(d)(i) would otherwise be made with
nonrecycled materials; or
(e) in producing a form of energy or steam described in Subsection 
54-2-1
(3)(a) by a
cogeneration facility as defined in Section 
54-2-1
.
(58) (a) Except as provided in Subsection (58)(b), "installation charge" means a charge
for installing:
(i) tangible personal property; or
(ii) a product transferred electronically.
(b) "Installation charge" does not include a charge for:
(i) repairs or renovations of:
(A) tangible personal property; or
(B) a product transferred electronically; or
(ii) attaching tangible personal property or a product transferred electronically:
(A) to other tangible personal property; and
(B) as part of a manufacturing or fabrication process.
(59) "Institution of higher education" means an institution of higher education listed in
Section 
53B-2-101
.
(60) (a) "Lease" or "rental" means a transfer of possession or control of tangible
personal property or a product transferred electronically for:
(i) (A) a fixed term; or
(B) an indeterminate term; and
(ii) consideration.
(b) "Lease" or "rental" includes an agreement covering a motor vehicle and trailer if the
amount of consideration may be increased or decreased by reference to the amount realized
upon sale or disposition of the property as defined in Section 7701(h)(1), Internal Revenue
Code.
(c) "Lease" or "rental" does not include:
(i) a transfer of possession or control of property under a security agreement or
deferred payment plan that requires the transfer of title upon completion of the required
payments;
(ii) a transfer of possession or control of property under an agreement that requires the
transfer of title:
(A) upon completion of required payments; and
(B) if the payment of an option price does not exceed the greater of:
(I) $100; or
(II) 1% of the total required payments; or
(iii) providing tangible personal property along with an operator for a fixed period of
time or an indeterminate period of time if the operator is necessary for equipment to perform as
designed.
(d) For purposes of Subsection (60)(c)(iii), an operator is necessary for equipment to
perform as designed if the operator's duties exceed the:
(i) set-up of tangible personal property;
(ii) maintenance of tangible personal property; or
(iii) inspection of tangible personal property.
(61) "Lesson" means a fixed period of time for the duration of which a trained
instructor:
(a) is present with a student in person or by video; and
(b) actively instructs the student, including by providing observation or feedback.
(62) "Life science establishment" means an establishment in this state that is classified
under the following NAICS codes of the 2007 North American Industry Classification System
of the federal Executive Office of the President, Office of Management and Budget:
(a) NAICS Code 33911, Medical Equipment and Supplies Manufacturing;
(b) NAICS Code 334510, Electromedical and Electrotherapeutic Apparatus
Manufacturing; or
(c) NAICS Code 334517, Irradiation Apparatus Manufacturing.
(63) "Life science research and development facility" means a facility owned, leased,
or rented by a life science establishment if research and development is performed in 51% or
more of the total area of the facility.
(64) "Load and leave" means delivery to a purchaser by use of a tangible storage media
if the tangible storage media is not physically transferred to the purchaser.
(65) "Local taxing jurisdiction" means a:
(a) county that is authorized to impose an agreement sales and use tax;
(b) city that is authorized to impose an agreement sales and use tax; or
(c) town that is authorized to impose an agreement sales and use tax.
(66) "Manufactured home" means the same as that term is defined in Section
15A-1-302
.
(67) "Manufacturing facility" means:
(a) an establishment described in:
(i) SIC Codes 2000 to 3999 of the 1987 Standard Industrial Classification Manual of
the federal Executive Office of the President, Office of Management and Budget; or
(ii) a NAICS code within NAICS Sector 31-33, Manufacturing, of the 2017 North
American Industry Classification System of the federal Executive Office of the President,
Office of Management and Budget;
(b) a scrap recycler if:
(i) from a fixed location, the scrap recycler utilizes machinery or equipment to process
one or more of the following items into prepared grades of processed materials for use in new
products:
(A) iron;
(B) steel;
(C) nonferrous metal;
(D) paper;
(E) glass;
(F) plastic;
(G) textile; or
(H) rubber; and
(ii) the new products under Subsection (67)(b)(i) would otherwise be made with
nonrecycled materials; or
(c) a cogeneration facility as defined in Section 
54-2-1
 if the cogeneration facility is
placed in service on or after May 1, 2006.
(68) (a) "Marketplace" means a physical or electronic place, platform, or forum where
tangible personal property, a product transferred electronically, or a service is offered for sale.
(b) "Marketplace" includes a store, a booth, an Internet website, a catalog, or a
dedicated sales software application.
(69) (a) "Marketplace facilitator" means a person, including an affiliate of the person,
that enters into a contract, an agreement, or otherwise with sellers, for consideration, to
facilitate the sale of a seller's product through a marketplace that the person owns, operates, or
controls and that directly or indirectly:
(i) does any of the following:
(A) lists, makes available, or advertises tangible personal property, a product
transferred electronically, or a service for sale by a marketplace seller on a marketplace that the
person owns, operates, or controls;
(B) facilitates the sale of a marketplace seller's tangible personal property, product
transferred electronically, or service by transmitting or otherwise communicating an offer or
acceptance of a retail sale between the marketplace seller and a purchaser using the
marketplace;
(C) owns, rents, licenses, makes available, or operates any electronic or physical
infrastructure or any property, process, method, copyright, trademark, or patent that connects a
marketplace seller to a purchaser for the purpose of making a retail sale of tangible personal
property, a product transferred electronically, or a service;
(D) provides a marketplace for making, or otherwise facilitates, a retail sale of tangible
personal property, a product transferred electronically, or a service, regardless of ownership or
control of the tangible personal property, the product transferred electronically, or the service
that is the subject of the retail sale;
(E) provides software development or research and development activities related to
any activity described in this Subsection (69)(a)(i), if the software development or research and
development activity is directly related to the person's marketplace;
(F) provides or offers fulfillment or storage services for a marketplace seller;
(G) sets prices for the sale of tangible personal property, a product transferred
electronically, or a service by a marketplace seller;
(H) provides or offers customer service to a marketplace seller or a marketplace seller's
purchaser or accepts or assists with taking orders, returns, or exchanges of tangible personal
property, a product transferred electronically, or a service sold by a marketplace seller on the
person's marketplace; or
(I) brands or otherwise identifies sales as those of the person; and
(ii) does any of the following:
(A) collects the sales price or purchase price of a retail sale of tangible personal
property, a product transferred electronically, or a service;
(B) provides payment processing services for a retail sale of tangible personal property,
a product transferred electronically, or a service;
(C) charges, collects, or otherwise receives a selling fee, listing fee, referral fee, closing
fee, a fee for inserting or making available tangible personal property, a product transferred
electronically, or a service on the person's marketplace, or other consideration for the
facilitation of a retail sale of tangible personal property, a product transferred electronically, or
a service, regardless of ownership or control of the tangible personal property, the product
transferred electronically, or the service that is the subject of the retail sale;
(D) through terms and conditions, an agreement, or another arrangement with a third
person, collects payment from a purchase for a retail sale of tangible personal property, a
product transferred electronically, or a service and transmits that payment to the marketplace
seller, regardless of whether the third person receives compensation or other consideration in
exchange for the service; or
(E) provides a virtual currency for a purchaser to use to purchase tangible personal
property, a product transferred electronically, or service offered for sale.
(b) "Marketplace facilitator" does not include:
(i) a person that only provides payment processing services; or
(ii) a person described in Subsection (69)(a) to the extent the person is facilitating a
sale for a seller that is a restaurant as defined in Section 
59-12-602
.
(70) "Marketplace seller" means a seller that makes one or more retail sales through a
marketplace that a marketplace facilitator owns, operates, or controls, regardless of whether the
seller is required to be registered to collect and remit the tax under this part.
(71) "Member of the immediate family of the producer" means a person who is related
to a producer described in Subsection 
59-12-104
(20)(a) as a:
(a) child or stepchild, regardless of whether the child or stepchild is:
(i) an adopted child or adopted stepchild; or
(ii) a foster child or foster stepchild;
(b) grandchild or stepgrandchild;
(c) grandparent or stepgrandparent;
(d) nephew or stepnephew;
(e) niece or stepniece;
(f) parent or stepparent;
(g) sibling or stepsibling;
(h) spouse;
(i) person who is the spouse of a person described in Subsections (71)(a) through (g);
or
(j) person similar to a person described in Subsections (71)(a) through (i) as
determined by the commission by rule made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act.
(72) "Mobile home" means the same as that term is defined in Section 
15A-1-302
.
(73) "Mobile telecommunications service" means the same as that term is defined in
the Mobile Telecommunications Sourcing Act, 4 U.S.C. Sec. 124.
(74) (a) "Mobile wireless service" means a telecommunications service, regardless of
the technology used, if:
(i) the origination point of the conveyance, routing, or transmission is not fixed;
(ii) the termination point of the conveyance, routing, or transmission is not fixed; or
(iii) the origination point described in Subsection (74)(a)(i) and the termination point
described in Subsection (74)(a)(ii) are not fixed.
(b) "Mobile wireless service" includes a telecommunications service that is provided
by a commercial mobile radio service provider.
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define "commercial mobile radio service provider."
(75) (a) Except as provided in Subsection (75)(c), "mobility enhancing equipment"
means equipment that is:
(i) primarily and customarily used to provide or increase the ability to move from one
place to another;
(ii) appropriate for use in a:
(A) home; or
(B) motor vehicle; and
(iii) not generally used by persons with normal mobility.
(b) "Mobility enhancing equipment" includes parts used in the repair or replacement of
the equipment described in Subsection (75)(a).
(c) "Mobility enhancing equipment" does not include:
(i) a motor vehicle;
(ii) equipment on a motor vehicle if that equipment is normally provided by the motor
vehicle manufacturer;
(iii) durable medical equipment; or
(iv) a prosthetic device.
(76) "Model 1 seller" means a seller registered under the agreement that has selected a
certified service provider as the seller's agent to perform the seller's sales and use tax functions
for agreement sales and use taxes, as outlined in the contract between the governing board of
the agreement and the certified service provider, other than the seller's obligation under Section
59-12-124
 to remit a tax on the seller's own purchases.
(77) "Model 2 seller" means a seller registered under the agreement that:
(a) except as provided in Subsection (77)(b), has selected a certified automated system
to perform the seller's sales tax functions for agreement sales and use taxes; and
(b) retains responsibility for remitting all of the sales tax:
(i) collected by the seller; and
(ii) to the appropriate local taxing jurisdiction.
(78) (a) Subject to Subsection (78)(b), "model 3 seller" means a seller registered under
the agreement that has:
(i) sales in at least five states that are members of the agreement;
(ii) total annual sales revenues of at least $500,000,000;
(iii) a proprietary system that calculates the amount of tax:
(A) for an agreement sales and use tax; and
(B) due to each local taxing jurisdiction; and
(iv) entered into a performance agreement with the governing board of the agreement.
(b) For purposes of Subsection (78)(a), "model 3 seller" includes an affiliated group of
sellers using the same proprietary system.
(79) "Model 4 seller" means a seller that is registered under the agreement and is not a
model 1 seller, model 2 seller, or model 3 seller.
(80) "Modular home" means a modular unit as defined in Section 
15A-1-302
.
(81) "Motor vehicle" means the same as that term is defined in Section 
41-1a-102
.
(82) "Oil sands" means impregnated bituminous sands that:
(a) contain a heavy, thick form of petroleum that is released when heated, mixed with
other hydrocarbons, or otherwise treated;
(b) yield mixtures of liquid hydrocarbon; and
(c) require further processing other than mechanical blending before becoming finished
petroleum products.
(83) "Oil shale" means a group of fine black to dark brown shales containing kerogen
material that yields petroleum upon heating and distillation.
(84) "Optional computer software maintenance contract" means a computer software
maintenance contract that a customer is not obligated to purchase as a condition to the retail
sale of computer software.
(85) (a) "Other fuels" means products that burn independently to produce heat or
energy.
(b) "Other fuels" includes oxygen when it is used in the manufacturing of tangible
personal property.
(86) (a) "Paging service" means a telecommunications service that provides
transmission of a coded radio signal for the purpose of activating a specific pager.
(b) For purposes of Subsection (86)(a), the transmission of a coded radio signal
includes a transmission by message or sound.
(87) "Pawnbroker" means the same as that term is defined in Section 
13-32a-102
.
(88) "Pawn transaction" means the same as that term is defined in Section 
13-32a-102
.
(89) (a) "Permanently attached to real property" means that for tangible personal
property attached to real property:
(i) the attachment of the tangible personal property to the real property:
(A) is essential to the use of the tangible personal property; and
(B) suggests that the tangible personal property will remain attached to the real
property in the same place over the useful life of the tangible personal property; or
(ii) if the tangible personal property is detached from the real property, the detachment
would:
(A) cause substantial damage to the tangible personal property; or
(B) require substantial alteration or repair of the real property to which the tangible
personal property is attached.
(b) "Permanently attached to real property" includes:
(i) the attachment of an accessory to the tangible personal property if the accessory is:
(A) essential to the operation of the tangible personal property; and
(B) attached only to facilitate the operation of the tangible personal property;
(ii) a temporary detachment of tangible personal property from real property for a
repair or renovation if the repair or renovation is performed where the tangible personal
property and real property are located; or
(iii) property attached to oil, gas, or water pipelines, except for the property listed in
Subsection (89)(c)(iii) or (iv).
(c) "Permanently attached to real property" does not include:
(i) the attachment of portable or movable tangible personal property to real property if
that portable or movable tangible personal property is attached to real property only for:
(A) convenience;
(B) stability; or
(C) for an obvious temporary purpose;
(ii) the detachment of tangible personal property from real property except for the
detachment described in Subsection (89)(b)(ii);
(iii) an attachment of the following tangible personal property to real property if the
attachment to real property is only through a line that supplies water, electricity, gas,
telecommunications, cable, or supplies a similar item as determined by the commission by rule
made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act:
(A) a computer;
(B) a telephone;
(C) a television; or
(D) tangible personal property similar to Subsections (89)(c)(iii)(A) through (C) as
determined by the commission by rule made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act; or
(iv) an item listed in Subsection (130)(c).
(90) "Person" includes any individual, firm, partnership, joint venture, association,
corporation, estate, trust, business trust, receiver, syndicate, this state, any county, city,
municipality, district, or other local governmental entity of the state, or any group or
combination acting as a unit.
(91) "Place of primary use":
(a) for telecommunications service other than mobile telecommunications service,
means the street address representative of where the customer's use of the telecommunications
service primarily occurs, which shall be:
(i) the residential street address of the customer; or
(ii) the primary business street address of the customer; or
(b) for mobile telecommunications service, means the same as that term is defined in
the Mobile Telecommunications Sourcing Act, 4 U.S.C. Sec. 124.
(92) (a) "Postpaid calling service" means a telecommunications service a person
obtains by making a payment on a call-by-call basis:
(i) through the use of a:
(A) bank card;
(B) credit card;
(C) debit card; or
(D) travel card; or
(ii) by a charge made to a telephone number that is not associated with the origination
or termination of the telecommunications service.
(b) "Postpaid calling service" includes a service, except for a prepaid wireless calling
service, that would be a prepaid wireless calling service if the service were exclusively a
telecommunications service.
(93) "Postproduction" means an activity related to the finishing or duplication of a
medium described in Subsection 
59-12-104
(54)(a).
(94) "Prepaid calling service" means a telecommunications service:
(a) that allows a purchaser access to telecommunications service that is exclusively
telecommunications service;
(b) that:
(i) is paid for in advance; and
(ii) enables the origination of a call using an:
(A) access number; or
(B) authorization code;
(c) that is dialed:
(i) manually; or
(ii) electronically; and
(d) sold in predetermined units or dollars that decline:
(i) by a known amount; and
(ii) with use.
(95) "Prepaid wireless calling service" means a telecommunications service:
(a) that provides the right to utilize:
(i) mobile wireless service; and
(ii) other service that is not a telecommunications service, including:
(A) the download of a product transferred electronically;
(B) a content service; or
(C) an ancillary service;
(b) that:
(i) is paid for in advance; and
(ii) enables the origination of a call using an:
(A) access number; or
(B) authorization code;
(c) that is dialed:
(i) manually; or
(ii) electronically; and
(d) sold in predetermined units or dollars that decline:
(i) by a known amount; and
(ii) with use.
(96) (a) "Prepared food" means:
(i) food:
(A) sold in a heated state; or
(B) heated by a seller;
(ii) two or more food ingredients mixed or combined by the seller for sale as a single
item; or
(iii) except as provided in Subsection (96)(c), food sold with an eating utensil provided
by the seller, including a:
(A) plate;
(B) knife;
(C) fork;
(D) spoon;
(E) glass;
(F) cup;
(G) napkin; or
(H) straw.
(b) "Prepared food" does not include:
(i) food that a seller only:
(A) cuts;
(B) repackages; or
(C) pasteurizes; or
(ii) (A) the following:
(I) raw egg;
(II) raw fish;
(III) raw meat;
(IV) raw poultry; or
(V) a food containing an item described in Subsections (96)(b)(ii)(A)(I) through (IV);
and
(B) if the Food and Drug Administration recommends in Chapter 3, Part 401.11 of the
Food and Drug Administration's Food Code that a consumer cook the items described in
Subsection (96)(b)(ii)(A) to prevent food borne illness; or
(iii) the following if sold without eating utensils provided by the seller:
(A) food and food ingredients sold by a seller if the seller's proper primary
classification under the 2002 North American Industry Classification System of the federal
Executive Office of the President, Office of Management and Budget, is manufacturing in
Sector 311, Food Manufacturing, except for Subsector 3118, Bakeries and Tortilla
Manufacturing;
(B) food and food ingredients sold in an unheated state:
(I) by weight or volume; and
(II) as a single item; or
(C) a bakery item, including:
(I) a bagel;
(II) a bar;
(III) a biscuit;
(IV) bread;
(V) a bun;
(VI) a cake;
(VII) a cookie;
(VIII) a croissant;
(IX) a danish;
(X) a donut;
(XI) a muffin;
(XII) a pastry;
(XIII) a pie;
(XIV) a roll;
(XV) a tart;
(XVI) a torte; or
(XVII) a tortilla.
(c) An eating utensil provided by the seller does not include the following used to
transport the food:
(i) a container; or
(ii) packaging.
(97) "Prescription" means an order, formula, or recipe that is issued:
(a) (i) orally;
(ii) in writing;
(iii) electronically; or
(iv) by any other manner of transmission; and
(b) by a licensed practitioner authorized by the laws of a state.
(98) (a) Except as provided in Subsection (98)(b)(ii) or (iii), "prewritten computer
software" means computer software that is not designed and developed:
(i) by the author or other creator of the computer software; and
(ii) to the specifications of a specific purchaser.
(b) "Prewritten computer software" includes:
(i) a prewritten upgrade to computer software if the prewritten upgrade to the computer
software is not designed and developed:
(A) by the author or other creator of the computer software; and
(B) to the specifications of a specific purchaser;
(ii) computer software designed and developed by the author or other creator of the
computer software to the specifications of a specific purchaser if the computer software is sold
to a person other than the purchaser; or
(iii) except as provided in Subsection (98)(c), prewritten computer software or a
prewritten portion of prewritten computer software:
(A) that is modified or enhanced to any degree; and
(B) if the modification or enhancement described in Subsection (98)(b)(iii)(A) is
designed and developed to the specifications of a specific purchaser.
(c) "Prewritten computer software" does not include a modification or enhancement
described in Subsection (98)(b)(iii) if the charges for the modification or enhancement are:
(i) reasonable; and
(ii) subject to Subsections 
59-12-103
(2)[
(e)
]
(f)
(ii) and (2)[
(f)
]
(g)
(i), separately stated
on the invoice or other statement of price provided to the purchaser at the time of sale or later,
as demonstrated by:
(A) the books and records the seller keeps at the time of the transaction in the regular
course of business, including books and records the seller keeps at the time of the transaction in
the regular course of business for nontax purposes;
(B) a preponderance of the facts and circumstances at the time of the transaction; and
(C) the understanding of all of the parties to the transaction.
(99) (a) "Private communications service" means a telecommunications service:
(i) that entitles a customer to exclusive or priority use of one or more communications
channels between or among termination points; and
(ii) regardless of the manner in which the one or more communications channels are
connected.
(b) "Private communications service" includes the following provided in connection
with the use of one or more communications channels:
(i) an extension line;
(ii) a station;
(iii) switching capacity; or
(iv) another associated service that is provided in connection with the use of one or
more communications channels as defined in Section 
59-12-215
.
(100) (a) Except as provided in Subsection (100)(b), "product transferred
electronically" means a product transferred electronically that would be subject to a tax under
this chapter if that product was transferred in a manner other than electronically.
(b) "Product transferred electronically" does not include:
(i) an ancillary service;
(ii) computer software; or
(iii) a telecommunications service.
(101) (a) "Prosthetic device" means a device that is worn on or in the body to:
(i) artificially replace a missing portion of the body;
(ii) prevent or correct a physical deformity or physical malfunction; or
(iii) support a weak or deformed portion of the body.
(b) "Prosthetic device" includes:
(i) parts used in the repairs or renovation of a prosthetic device;
(ii) replacement parts for a prosthetic device;
(iii) a dental prosthesis; or
(iv) a hearing aid.
(c) "Prosthetic device" does not include:
(i) corrective eyeglasses; or
(ii) contact lenses.
(102) (a) "Protective equipment" means an item:
(i) for human wear; and
(ii) that is:
(A) designed as protection:
(I) to the wearer against injury or disease; or
(II) against damage or injury of other persons or property; and
(B) not suitable for general use.
(b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission shall make rules:
(i) listing the items that constitute "protective equipment"; and
(ii) that are consistent with the list of items that constitute "protective equipment"
under the agreement.
(103) (a) For purposes of Subsection 
59-12-104
(41), "publication" means any written
or printed matter, other than a photocopy:
(i) regardless of:
(A) characteristics;
(B) copyright;
(C) form;
(D) format;
(E) method of reproduction; or
(F) source; and
(ii) made available in printed or electronic format.
(b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define the term "photocopy."
(104) (a) "Purchase price" and "sales price" mean the total amount of consideration:
(i) valued in money; and
(ii) for which tangible personal property, a product transferred electronically, or
services are:
(A) sold;
(B) leased; or
(C) rented.
(b) "Purchase price" and "sales price" include:
(i) the seller's cost of the tangible personal property, a product transferred
electronically, or services sold;
(ii) expenses of the seller, including:
(A) the cost of materials used;
(B) a labor cost;
(C) a service cost;
(D) interest;
(E) a loss;
(F) the cost of transportation to the seller; or
(G) a tax imposed on the seller;
(iii) a charge by the seller for any service necessary to complete the sale; or
(iv) consideration a seller receives from a person other than the purchaser if:
(A) (I) the seller actually receives consideration from a person other than the purchaser;
and
(II) the consideration described in Subsection (104)(b)(iv)(A)(I) is directly related to a
price reduction or discount on the sale;
(B) the seller has an obligation to pass the price reduction or discount through to the
purchaser;
(C) the amount of the consideration attributable to the sale is fixed and determinable by
the seller at the time of the sale to the purchaser; and
(D) (I) (Aa) the purchaser presents a certificate, coupon, or other documentation to the
seller to claim a price reduction or discount; and
(Bb) a person other than the seller authorizes, distributes, or grants the certificate,
coupon, or other documentation with the understanding that the person other than the seller
will reimburse any seller to whom the certificate, coupon, or other documentation is presented;
(II) the purchaser identifies that purchaser to the seller as a member of a group or
organization allowed a price reduction or discount, except that a preferred customer card that is
available to any patron of a seller does not constitute membership in a group or organization
allowed a price reduction or discount; or
(III) the price reduction or discount is identified as a third party price reduction or
discount on the:
(Aa) invoice the purchaser receives; or
(Bb) certificate, coupon, or other documentation the purchaser presents.
(c) "Purchase price" and "sales price" do not include:
(i) a discount:
(A) in a form including:
(I) cash;
(II) term; or
(III) coupon;
(B) that is allowed by a seller;
(C) taken by a purchaser on a sale; and
(D) that is not reimbursed by a third party; or
(ii) subject to Subsections 
59-12-103
(2)[
(e)
]
(f)
(ii) and (2)[
(f)
]
(g)
(i), the following if
separately stated on an invoice, bill of sale, or similar document provided to the purchaser at
the time of sale or later, as demonstrated by the books and records the seller keeps at the time
of the transaction in the regular course of business, including books and records the seller
keeps at the time of the transaction in the regular course of business for nontax purposes, by a
preponderance of the facts and circumstances at the time of the transaction, and by the
understanding of all of the parties to the transaction:
(A) the following from credit extended on the sale of tangible personal property or
services:
(I) a carrying charge;
(II) a financing charge; or
(III) an interest charge;
(B) a delivery charge;
(C) an installation charge;
(D) a manufacturer rebate on a motor vehicle; or
(E) a tax or fee legally imposed directly on the consumer.
(105) "Purchaser" means a person to whom:
(a) a sale of tangible personal property is made;
(b) a product is transferred electronically; or
(c) a service is furnished.
(106) "Qualifying data center" means a data center facility that:
(a) houses a group of networked server computers in one physical location in order to
disseminate, manage, and store data and information;
(b) is located in the state;
(c) is a new operation constructed on or after July 1, 2016;
(d) consists of one or more buildings that total 150,000 or more square feet;
(e) is owned or leased by:
(i) the operator of the data center facility; or
(ii) a person under common ownership, as defined in Section 
59-7-101
, of the operator
of the data center facility; and
(f) is located on one or more parcels of land that are owned or leased by:
(i) the operator of the data center facility; or
(ii) a person under common ownership, as defined in Section 
59-7-101
, of the operator
of the data center facility.
(107) "Regularly rented" means:
(a) rented to a guest for value three or more times during a calendar year; or
(b) advertised or held out to the public as a place that is regularly rented to guests for
value.
(108) "Rental" means the same as that term is defined in Subsection (60).
(109) (a) Except as provided in Subsection (109)(b), "repairs or renovations of tangible
personal property" means:
(i) a repair or renovation of tangible personal property that is not permanently attached
to real property; or
(ii) attaching tangible personal property or a product transferred electronically to other
tangible personal property or detaching tangible personal property or a product transferred
electronically from other tangible personal property if:
(A) the other tangible personal property to which the tangible personal property or
product transferred electronically is attached or from which the tangible personal property or
product transferred electronically is detached is not permanently attached to real property; and
(B) the attachment of tangible personal property or a product transferred electronically
to other tangible personal property or detachment of tangible personal property or a product
transferred electronically from other tangible personal property is made in conjunction with a
repair or replacement of tangible personal property or a product transferred electronically.
(b) "Repairs or renovations of tangible personal property" does not include:
(i) attaching prewritten computer software to other tangible personal property if the
other tangible personal property to which the prewritten computer software is attached is not
permanently attached to real property; or
(ii) detaching prewritten computer software from other tangible personal property if the
other tangible personal property from which the prewritten computer software is detached is
not permanently attached to real property.
(110) "Research and development" means the process of inquiry or experimentation
aimed at the discovery of facts, devices, technologies, or applications and the process of
preparing those devices, technologies, or applications for marketing.
(111) (a) "Residential telecommunications services" means a telecommunications
service or an ancillary service that is provided to an individual for personal use:
(i) at a residential address; or
(ii) at an institution, including a nursing home or a school, if the telecommunications
service or ancillary service is provided to and paid for by the individual residing at the
institution rather than the institution.
(b) For purposes of Subsection (111)(a)(i), a residential address includes an:
(i) apartment; or
(ii) other individual dwelling unit.
(112) "Residential use" means the use in or around a home, apartment building,
sleeping quarters, and similar facilities or accommodations.
(113) "Retail sale" or "sale at retail" means a sale, lease, or rental for a purpose other
than:
(a) resale;
(b) sublease; or
(c) subrent.
(114) (a) "Retailer" means any person, unless prohibited by the Constitution of the
United States or federal law, that is engaged in a regularly organized business in tangible
personal property or any other taxable transaction under Subsection 
59-12-103
(1), and who is
selling to the user or consumer and not for resale.
(b) "Retailer" includes commission merchants, auctioneers, and any person regularly
engaged in the business of selling to users or consumers within the state.
(115) (a) "Sale" means any transfer of title, exchange, or barter, conditional or
otherwise, in any manner, of tangible personal property or any other taxable transaction under
Subsection 
59-12-103
(1), for consideration.
(b) "Sale" includes:
(i) installment and credit sales;
(ii) any closed transaction constituting a sale;
(iii) any sale of electrical energy, gas, services, or entertainment taxable under this
chapter;
(iv) any transaction if the possession of property is transferred but the seller retains the
title as security for the payment of the price; and
(v) any transaction under which right to possession, operation, or use of any article of
tangible personal property is granted under a lease or contract and the transfer of possession
would be taxable if an outright sale were made.
(116) "Sale at retail" means the same as that term is defined in Subsection (113).
(117) "Sale-leaseback transaction" means a transaction by which title to tangible
personal property or a product transferred electronically that is subject to a tax under this
chapter is transferred:
(a) by a purchaser-lessee;
(b) to a lessor;
(c) for consideration; and
(d) if:
(i) the purchaser-lessee paid sales and use tax on the purchaser-lessee's initial purchase
of the tangible personal property or product transferred electronically;
(ii) the sale of the tangible personal property or product transferred electronically to the
lessor is intended as a form of financing:
(A) for the tangible personal property or product transferred electronically; and
(B) to the purchaser-lessee; and
(iii) in accordance with generally accepted accounting principles, the purchaser-lessee
is required to:
(A) capitalize the tangible personal property or product transferred electronically for
financial reporting purposes; and
(B) account for the lease payments as payments made under a financing arrangement.
(118) "Sales price" means the same as that term is defined in Subsection (104).
(119) (a) "Sales relating to schools" means the following sales by, amounts paid to, or
amounts charged by a school:
(i) sales that are directly related to the school's educational functions or activities
including:
(A) the sale of:
(I) textbooks;
(II) textbook fees;
(III) laboratory fees;
(IV) laboratory supplies; or
(V) safety equipment;
(B) the sale of a uniform, protective equipment, or sports or recreational equipment
that:
(I) a student is specifically required to wear as a condition of participation in a
school-related event or school-related activity; and
(II) is not readily adaptable to general or continued usage to the extent that it takes the
place of ordinary clothing;
(C) sales of the following if the net or gross revenues generated by the sales are
deposited into a school district fund or school fund dedicated to school meals:
(I) food and food ingredients; or
(II) prepared food; or
(D) transportation charges for official school activities; or
(ii) amounts paid to or amounts charged by a school for admission to a school-related
event or school-related activity.
(b) "Sales relating to schools" does not include:
(i) bookstore sales of items that are not educational materials or supplies;
(ii) except as provided in Subsection (119)(a)(i)(B):
(A) clothing;
(B) clothing accessories or equipment;
(C) protective equipment; or
(D) sports or recreational equipment; or
(iii) amounts paid to or amounts charged by a school for admission to a school-related
event or school-related activity if the amounts paid or charged are passed through to a person:
(A) other than a:
(I) school;
(II) nonprofit organization authorized by a school board or a governing body of a
private school to organize and direct a competitive secondary school activity; or
(III) nonprofit association authorized by a school board or a governing body of a
private school to organize and direct a competitive secondary school activity; and
(B) that is required to collect sales and use taxes under this chapter.
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules defining the term "passed through."
(120) For purposes of this section and Section 
59-12-104
, "school" means:
(a) an elementary school or a secondary school that:
(i) is a:
(A) public school; or
(B) private school; and
(ii) provides instruction for one or more grades kindergarten through 12; or
(b) a public school district.
(121) (a) "Seller" means a person that makes a sale, lease, or rental of:
(i) tangible personal property;
(ii) a product transferred electronically; or
(iii) a service.
(b) "Seller" includes a marketplace facilitator.
(122) (a) "Semiconductor fabricating, processing, research, or development materials"
means tangible personal property or a product transferred electronically if the tangible personal
property or product transferred electronically is:
(i) used primarily in the process of:
(A) (I) manufacturing a semiconductor;
(II) fabricating a semiconductor; or
(III) research or development of a:
(Aa) semiconductor; or
(Bb) semiconductor manufacturing process; or
(B) maintaining an environment suitable for a semiconductor; or
(ii) consumed primarily in the process of:
(A) (I) manufacturing a semiconductor;
(II) fabricating a semiconductor; or
(III) research or development of a:
(Aa) semiconductor; or
(Bb) semiconductor manufacturing process; or
(B) maintaining an environment suitable for a semiconductor.
(b) "Semiconductor fabricating, processing, research, or development materials"
includes:
(i) parts used in the repairs or renovations of tangible personal property or a product
transferred electronically described in Subsection (122)(a); or
(ii) a chemical, catalyst, or other material used to:
(A) produce or induce in a semiconductor a:
(I) chemical change; or
(II) physical change;
(B) remove impurities from a semiconductor; or
(C) improve the marketable condition of a semiconductor.
(123) "Senior citizen center" means a facility having the primary purpose of providing
services to the aged as defined in Section 
62A-3-101
.
(124) (a) Subject to Subsections (124)(b) and (c), "short-term lodging consumable"
means tangible personal property that:
(i) a business that provides accommodations and services described in Subsection
59-12-103
(1)(i) purchases as part of a transaction to provide the accommodations and services
to a purchaser;
(ii) is intended to be consumed by the purchaser; and
(iii) is:
(A) included in the purchase price of the accommodations and services; and
(B) not separately stated on an invoice, bill of sale, or other similar document provided
to the purchaser.
(b) "Short-term lodging consumable" includes:
(i) a beverage;
(ii) a brush or comb;
(iii) a cosmetic;
(iv) a hair care product;
(v) lotion;
(vi) a magazine;
(vii) makeup;
(viii) a meal;
(ix) mouthwash;
(x) nail polish remover;
(xi) a newspaper;
(xii) a notepad;
(xiii) a pen;
(xiv) a pencil;
(xv) a razor;
(xvi) saline solution;
(xvii) a sewing kit;
(xviii) shaving cream;
(xix) a shoe shine kit;
(xx) a shower cap;
(xxi) a snack item;
(xxii) soap;
(xxiii) toilet paper;
(xxiv) a toothbrush;
(xxv) toothpaste; or
(xxvi) an item similar to Subsections (124)(b)(i) through (xxv) as the commission may
provide by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
Rulemaking Act.
(c) "Short-term lodging consumable" does not include:
(i) tangible personal property that is cleaned or washed to allow the tangible personal
property to be reused; or
(ii) a product transferred electronically.
(125) "Simplified electronic return" means the electronic return:
(a) described in Section 318(C) of the agreement; and
(b) approved by the governing board of the agreement.
(126) "Solar energy" means the sun used as the sole source of energy for producing
electricity.
(127) (a) "Sports or recreational equipment" means an item:
(i) designed for human use; and
(ii) that is:
(A) worn in conjunction with:
(I) an athletic activity; or
(II) a recreational activity; and
(B) not suitable for general use.
(b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission shall make rules:
(i) listing the items that constitute "sports or recreational equipment"; and
(ii) that are consistent with the list of items that constitute "sports or recreational
equipment" under the agreement.
(128) "State" means the state of Utah, its departments, and agencies.
(129) "Storage" means any keeping or retention of tangible personal property or any
other taxable transaction under Subsection 
59-12-103
(1), in this state for any purpose except
sale in the regular course of business.
(130) (a) Except as provided in Subsection (130)(d) or (e), "tangible personal property"
means personal property that:
(i) may be:
(A) seen;
(B) weighed;
(C) measured;
(D) felt; or
(E) touched; or
(ii) is in any manner perceptible to the senses.
(b) "Tangible personal property" includes:
(i) electricity;
(ii) water;
(iii) gas;
(iv) steam; or
(v) prewritten computer software, regardless of the manner in which the prewritten
computer software is transferred.
(c) "Tangible personal property" includes the following regardless of whether the item
is attached to real property:
(i) a dishwasher;
(ii) a dryer;
(iii) a freezer;
(iv) a microwave;
(v) a refrigerator;
(vi) a stove;
(vii) a washer; or
(viii) an item similar to Subsections (130)(c)(i) through (vii) as determined by the
commission by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
Rulemaking Act.
(d) "Tangible personal property" does not include a product that is transferred
electronically.
(e) "Tangible personal property" does not include the following if attached to real
property, regardless of whether the attachment to real property is only through a line that
supplies water, electricity, gas, telephone, cable, or supplies a similar item as determined by the
commission by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
Rulemaking Act:
(i) a hot water heater;
(ii) a water filtration system; or
(iii) a water softener system.
(131) (a) "Telecommunications enabling or facilitating equipment, machinery, or
software" means an item listed in Subsection (131)(b) if that item is purchased or leased
primarily to enable or facilitate one or more of the following to function:
(i) telecommunications switching or routing equipment, machinery, or software; or
(ii) telecommunications transmission equipment, machinery, or software.
(b) The following apply to Subsection (131)(a):
(i) a pole;
(ii) software;
(iii) a supplementary power supply;
(iv) temperature or environmental equipment or machinery;
(v) test equipment;
(vi) a tower; or
(vii) equipment, machinery, or software that functions similarly to an item listed in
Subsections (131)(b)(i) through (vi) as determined by the commission by rule made in
accordance with Subsection (131)(c).
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define what constitutes equipment, machinery, or software that
functions similarly to an item listed in Subsections (131)(b)(i) through (vi).
(132) "Telecommunications equipment, machinery, or software required for 911
service" means equipment, machinery, or software that is required to comply with 47 C.F.R.
Sec. 20.18.
(133) "Telecommunications maintenance or repair equipment, machinery, or software"
means equipment, machinery, or software purchased or leased primarily to maintain or repair
one or more of the following, regardless of whether the equipment, machinery, or software is
purchased or leased as a spare part or as an upgrade or modification to one or more of the
following:
(a) telecommunications enabling or facilitating equipment, machinery, or software;
(b) telecommunications switching or routing equipment, machinery, or software; or
(c) telecommunications transmission equipment, machinery, or software.
(134) (a) "Telecommunications service" means the electronic conveyance, routing, or
transmission of audio, data, video, voice, or any other information or signal to a point, or
among or between points.
(b) "Telecommunications service" includes:
(i) an electronic conveyance, routing, or transmission with respect to which a computer
processing application is used to act:
(A) on the code, form, or protocol of the content;
(B) for the purpose of electronic conveyance, routing, or transmission; and
(C) regardless of whether the service:
(I) is referred to as voice over Internet protocol service; or
(II) is classified by the Federal Communications Commission as enhanced or value
added;
(ii) an 800 service;
(iii) a 900 service;
(iv) a fixed wireless service;
(v) a mobile wireless service;
(vi) a postpaid calling service;
(vii) a prepaid calling service;
(viii) a prepaid wireless calling service; or
(ix) a private communications service.
(c) "Telecommunications service" does not include:
(i) advertising, including directory advertising;
(ii) an ancillary service;
(iii) a billing and collection service provided to a third party;
(iv) a data processing and information service if:
(A) the data processing and information service allows data to be:
(I) (Aa) acquired;
(Bb) generated;
(Cc) processed;
(Dd) retrieved; or
(Ee) stored; and
(II) delivered by an electronic transmission to a purchaser; and
(B) the purchaser's primary purpose for the underlying transaction is the processed data
or information;
(v) installation or maintenance of the following on a customer's premises:
(A) equipment; or
(B) wiring;
(vi) Internet access service;
(vii) a paging service;
(viii) a product transferred electronically, including:
(A) music;
(B) reading material;
(C) a ring tone;
(D) software; or
(E) video;
(ix) a radio and television audio and video programming service:
(A) regardless of the medium; and
(B) including:
(I) furnishing conveyance, routing, or transmission of a television audio and video
programming service by a programming service provider;
(II) cable service as defined in 47 U.S.C. Sec. 522(6); or
(III) audio and video programming services delivered by a commercial mobile radio
service provider as defined in 47 C.F.R. Sec. 20.3;
(x) a value-added nonvoice data service; or
(xi) tangible personal property.
(135) (a) "Telecommunications service provider" means a person that:
(i) owns, controls, operates, or manages a telecommunications service; and
(ii) engages in an activity described in Subsection (135)(a)(i) for the shared use with or
resale to any person of the telecommunications service.
(b) A person described in Subsection (135)(a) is a telecommunications service provider
whether or not the Public Service Commission of Utah regulates:
(i) that person; or
(ii) the telecommunications service that the person owns, controls, operates, or
manages.
(136) (a) "Telecommunications switching or routing equipment, machinery, or
software" means an item listed in Subsection (136)(b) if that item is purchased or leased
primarily for switching or routing:
(i) an ancillary service;
(ii) data communications;
(iii) voice communications; or
(iv) telecommunications service.
(b) The following apply to Subsection (136)(a):
(i) a bridge;
(ii) a computer;
(iii) a cross connect;
(iv) a modem;
(v) a multiplexer;
(vi) plug in circuitry;
(vii) a router;
(viii) software;
(ix) a switch; or
(x) equipment, machinery, or software that functions similarly to an item listed in
Subsections (136)(b)(i) through (ix) as determined by the commission by rule made in
accordance with Subsection (136)(c).
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define what constitutes equipment, machinery, or software that
functions similarly to an item listed in Subsections (136)(b)(i) through (ix).
(137) (a) "Telecommunications transmission equipment, machinery, or software"
means an item listed in Subsection (137)(b) if that item is purchased or leased primarily for
sending, receiving, or transporting:
(i) an ancillary service;
(ii) data communications;
(iii) voice communications; or
(iv) telecommunications service.
(b) The following apply to Subsection (137)(a):
(i) an amplifier;
(ii) a cable;
(iii) a closure;
(iv) a conduit;
(v) a controller;
(vi) a duplexer;
(vii) a filter;
(viii) an input device;
(ix) an input/output device;
(x) an insulator;
(xi) microwave machinery or equipment;
(xii) an oscillator;
(xiii) an output device;
(xiv) a pedestal;
(xv) a power converter;
(xvi) a power supply;
(xvii) a radio channel;
(xviii) a radio receiver;
(xix) a radio transmitter;
(xx) a repeater;
(xxi) software;
(xxii) a terminal;
(xxiii) a timing unit;
(xxiv) a transformer;
(xxv) a wire; or
(xxvi) equipment, machinery, or software that functions similarly to an item listed in
Subsections (137)(b)(i) through (xxv) as determined by the commission by rule made in
accordance with Subsection (137)(c).
(c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define what constitutes equipment, machinery, or software that
functions similarly to an item listed in Subsections (137)(b)(i) through (xxv).
(138) (a) "Textbook for a higher education course" means a textbook or other printed
material that is required for a course:
(i) offered by an institution of higher education; and
(ii) that the purchaser of the textbook or other printed material attends or will attend.
(b) "Textbook for a higher education course" includes a textbook in electronic format.
(139) "Tobacco" means:
(a) a cigarette;
(b) a cigar;
(c) chewing tobacco;
(d) pipe tobacco; or
(e) any other item that contains tobacco.
(140) "Unassisted amusement device" means an amusement device, skill device, or
ride device that is started and stopped by the purchaser or renter of the right to use or operate
the amusement device, skill device, or ride device.
(141) (a) "Use" means the exercise of any right or power over tangible personal
property, a product transferred electronically, or a service under Subsection 
59-12-103
(1),
incident to the ownership or the leasing of that tangible personal property, product transferred
electronically, or service.
(b) "Use" does not include the sale, display, demonstration, or trial of tangible personal
property, a product transferred electronically, or a service in the regular course of business and
held for resale.
(142) "Value-added nonvoice data service" means a service:
(a) that otherwise meets the definition of a telecommunications service except that a
computer processing application is used to act primarily for a purpose other than conveyance,
routing, or transmission; and
(b) with respect to which a computer processing application is used to act on data or
information:
(i) code;
(ii) content;
(iii) form; or
(iv) protocol.
(143) (a) Subject to Subsection (143)(b), "vehicle" means the following that are
required to be titled, registered, or titled and registered:
(i) an aircraft as defined in Section 
72-10-102
;
(ii) a vehicle as defined in Section 
41-1a-102
;
(iii) an off-highway vehicle as defined in Section 
41-22-2
; or
(iv) a vessel as defined in Section 
41-1a-102
.
(b) For purposes of Subsection 
59-12-104
(33) only, "vehicle" includes:
(i) a vehicle described in Subsection (143)(a); or
(ii) (A) a locomotive;
(B) a freight car;
(C) railroad work equipment; or
(D) other railroad rolling stock.
(144) "Vehicle dealer" means a person engaged in the business of buying, selling, or
exchanging a vehicle as defined in Subsection (143).
(145) (a) "Vertical service" means an ancillary service that:
(i) is offered in connection with one or more telecommunications services; and
(ii) offers an advanced calling feature that allows a customer to:
(A) identify a caller; and
(B) manage multiple calls and call connections.
(b) "Vertical service" includes an ancillary service that allows a customer to manage a
conference bridging service.
(146) (a) "Voice mail service" means an ancillary service that enables a customer to
receive, send, or store a recorded message.
(b) "Voice mail service" does not include a vertical service that a customer is required
to have in order to utilize a voice mail service.
(147) (a) Except as provided in Subsection (147)(b), "waste energy facility" means a
facility that generates electricity:
(i) using as the primary source of energy waste materials that would be placed in a
landfill or refuse pit if it were not used to generate electricity, including:
(A) tires;
(B) waste coal;
(C) oil shale; or
(D) municipal solid waste; and
(ii) in amounts greater than actually required for the operation of the facility.
(b) "Waste energy facility" does not include a facility that incinerates:
(i) hospital waste as defined in 40 C.F.R. 60.51c; or
(ii) medical/infectious waste as defined in 40 C.F.R. 60.51c.
(148) "Watercraft" means a vessel as defined in Section 
73-18-2
.
(149) "Wind energy" means wind used as the sole source of energy to produce
electricity.
(150) "ZIP Code" means a Zoning Improvement Plan Code assigned to a geographic
location by the United States Postal Service.
Section 39. Section 
59-12-103
 is amended to read:
59-12-103.
Sales and use tax base -- Rates -- Effective dates -- Use of sales and use
tax revenues.
(1) A tax is imposed on the purchaser as provided in this part on the purchase price or
sales price for amounts paid or charged for the following transactions:
(a) retail sales of tangible personal property made within the state;
(b) amounts paid for:
(i) telecommunications service, other than mobile telecommunications service, that
originates and terminates within the boundaries of this state;
(ii) mobile telecommunications service that originates and terminates within the
boundaries of one state only to the extent permitted by the Mobile Telecommunications
Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
(iii) an ancillary service associated with a:
(A) telecommunications service described in Subsection (1)(b)(i); or
(B) mobile telecommunications service described in Subsection (1)(b)(ii);
(c) sales of the following for commercial use:
(i) gas;
(ii) electricity;
(iii) heat;
(iv) coal;
(v) fuel oil; or
(vi) other fuels;
(d) sales of the following for residential use:
(i) gas;
(ii) electricity;
(iii) heat;
(iv) coal;
(v) fuel oil; or
(vi) other fuels;
(e) sales of prepared food;
(f) except as provided in Section 
59-12-104
, amounts paid or charged as admission or
user fees for theaters, movies, operas, museums, planetariums, shows of any type or nature,
exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, menageries,
fairs, races, contests, sporting events, dances, boxing matches, wrestling matches, closed circuit
television broadcasts, billiard parlors, pool parlors, bowling lanes, golf, miniature golf, golf
driving ranges, batting cages, skating rinks, ski lifts, ski runs, ski trails, snowmobile trails,
tennis courts, swimming pools, water slides, river runs, jeep tours, boat tours, scenic cruises,
horseback rides, sports activities, or any other amusement, entertainment, recreation,
exhibition, cultural, or athletic activity;
(g) amounts paid or charged for services for repairs or renovations of tangible personal
property, unless Section 
59-12-104
 provides for an exemption from sales and use tax for:
(i) the tangible personal property; and
(ii) parts used in the repairs or renovations of the tangible personal property described
in Subsection (1)(g)(i), regardless of whether:
(A) any parts are actually used in the repairs or renovations of that tangible personal
property; or
(B) the particular parts used in the repairs or renovations of that tangible personal
property are exempt from a tax under this chapter;
(h) except as provided in Subsection 
59-12-104
(7), amounts paid or charged for
assisted cleaning or washing of tangible personal property;
(i) amounts paid or charged for tourist home, hotel, motel, or trailer court
accommodations and services that are regularly rented for less than 30 consecutive days;
(j) amounts paid or charged for laundry or dry cleaning services;
(k) amounts paid or charged for leases or rentals of tangible personal property if within
this state the tangible personal property is:
(i) stored;
(ii) used; or
(iii) otherwise consumed;
(l) amounts paid or charged for tangible personal property if within this state the
tangible personal property is:
(i) stored;
(ii) used; or
(iii) consumed; and
(m) amounts paid or charged for a sale:
(i) (A) of a product transferred electronically; or
(B) of a repair or renovation of a product transferred electronically; and
(ii) regardless of whether the sale provides:
(A) a right of permanent use of the product; or
(B) a right to use the product that is less than a permanent use, including a right:
(I) for a definite or specified length of time; and
(II) that terminates upon the occurrence of a condition.
(2) (a) Except as provided in Subsections (2)(b) through [
(e)
] 
(f)
, a state tax and a local
tax are imposed on a transaction described in Subsection (1) equal to the sum of:
(i) a state tax imposed on the transaction at a tax rate equal to the sum of:
[
(A) (I) through March 31, 2019, 4.70%; and
]
[
(II)
] 
(A)
 [
beginning on April 1, 2019,
] 4.70% plus the rate specified in Subsection
[
(13)
] 
(12)
(a); and
(B) (I) the tax rate the state imposes in accordance with Part 18, Additional State Sales
and Use Tax Act, if the location of the transaction as determined under Sections 
59-12-211
through 
59-12-215
 is in a county in which the state imposes the tax under Part 18, Additional
State Sales and Use Tax Act; and
(II) the tax rate the state imposes in accordance with Part 20, Supplemental State Sales
and Use Tax Act, if the location of the transaction as determined under Sections 
59-12-211
through 
59-12-215
 is in a city, town, or the unincorporated area of a county in which the state
imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
(ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
transaction under this chapter other than this part.
(b) Except as provided in Subsection [
(2)(d) or (e)
] 
(2)(e) or (f)
 and subject to
Subsection (2)[
(j)
]
(k)
, a state tax and a local tax are imposed on a transaction described in
Subsection (1)(d) equal to the sum of:
(i) a state tax imposed on the transaction at a tax rate of 2%; and
(ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
transaction under this chapter other than this part.
(c) Except as provided in Subsection [
(2)(d) or (e)
] 
(2)(e) or (f)
, a state tax and a local
tax are imposed on amounts paid or charged for food and food ingredients equal to the sum of:
(i) a state tax imposed on the amounts paid or charged for food and food ingredients at
a tax rate of 1.75%; and
(ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
amounts paid or charged for food and food ingredients under this chapter other than this part.
(d) Except as provided in Subsection (2)(e) or (f), a state tax is imposed on amounts
paid or charged for fuel to a common carrier that is a railroad for use in a locomotive engine at
a rate of 4.85%.
[
(d)
] 
(e)
 (i) For a bundled transaction that is attributable to food and food ingredients
and tangible personal property other than food and food ingredients, a state tax and a local tax
is imposed on the entire bundled transaction equal to the sum of:
(A) a state tax imposed on the entire bundled transaction equal to the sum of:
(I) the tax rate described in Subsection (2)(a)(i)(A); and
(II) (Aa) the tax rate the state imposes in accordance with Part 18, Additional State
Sales and Use Tax Act, if the location of the transaction as determined under Sections
59-12-211
 through 
59-12-215
 is in a county in which the state imposes the tax under Part 18,
Additional State Sales and Use Tax Act; and
(Bb) the tax rate the state imposes in accordance with Part 20, Supplemental State
Sales and Use Tax Act, if the location of the transaction as determined under Sections
59-12-211
 through 
59-12-215
 is in a city, town, or the unincorporated area of a county in which
the state imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
(B) a local tax imposed on the entire bundled transaction at the sum of the tax rates
described in Subsection (2)(a)(ii).
(ii) If an optional computer software maintenance contract is a bundled transaction that
consists of taxable and nontaxable products that are not separately itemized on an invoice or
similar billing document, the purchase of the optional computer software maintenance contract
is 40% taxable under this chapter and 60% nontaxable under this chapter.
(iii) Subject to Subsection (2)[
(d)
]
(e)
(iv), for a bundled transaction other than a
bundled transaction described in Subsection (2)[
(d)
]
(e)
(i) or (ii):
(A) if the sales price of the bundled transaction is attributable to tangible personal
property, a product, or a service that is subject to taxation under this chapter and tangible
personal property, a product, or service that is not subject to taxation under this chapter, the
entire bundled transaction is subject to taxation under this chapter unless:
(I) the seller is able to identify by reasonable and verifiable standards the tangible
personal property, product, or service that is not subject to taxation under this chapter from the
books and records the seller keeps in the seller's regular course of business; or
(II) state or federal law provides otherwise; or
(B) if the sales price of a bundled transaction is attributable to two or more items of
tangible personal property, products, or services that are subject to taxation under this chapter
at different rates, the entire bundled transaction is subject to taxation under this chapter at the
higher tax rate unless:
(I) the seller is able to identify by reasonable and verifiable standards the tangible
personal property, product, or service that is subject to taxation under this chapter at the lower
tax rate from the books and records the seller keeps in the seller's regular course of business; or
(II) state or federal law provides otherwise.
(iv) For purposes of Subsection (2)[
(d)
]
(e)
(iii), books and records that a seller keeps in
the seller's regular course of business includes books and records the seller keeps in the regular
course of business for nontax purposes.
[
(e)
] 
(f)
 (i) Except as otherwise provided in this chapter and subject to Subsections
(2)[
(e)
]
(f)
(ii) and (iii), if a transaction consists of the sale, lease, or rental of tangible personal
property, a product, or a service that is subject to taxation under this chapter, and the sale,
lease, or rental of tangible personal property, other property, a product, or a service that is not
subject to taxation under this chapter, the entire transaction is subject to taxation under this
chapter unless the seller, at the time of the transaction:
(A) separately states the portion of the transaction that is not subject to taxation under
this chapter on an invoice, bill of sale, or similar document provided to the purchaser; or
(B) is able to identify by reasonable and verifiable standards, from the books and
records the seller keeps in the seller's regular course of business, the portion of the transaction
that is not subject to taxation under this chapter.
(ii) A purchaser and a seller may correct the taxability of a transaction if:
(A) after the transaction occurs, the purchaser and the seller discover that the portion of
the transaction that is not subject to taxation under this chapter was not separately stated on an
invoice, bill of sale, or similar document provided to the purchaser because of an error or
ignorance of the law; and
(B) the seller is able to identify by reasonable and verifiable standards, from the books
and records the seller keeps in the seller's regular course of business, the portion of the
transaction that is not subject to taxation under this chapter.
(iii) For purposes of Subsections (2)[
(e)
]
(f)
(i) and (ii), books and records that a seller
keeps in the seller's regular course of business includes books and records the seller keeps in
the regular course of business for nontax purposes.
[
(f)
] 
(g)
 (i) If the sales price of a transaction is attributable to two or more items of
tangible personal property, products, or services that are subject to taxation under this chapter
at different rates, the entire purchase is subject to taxation under this chapter at the higher tax
rate unless the seller, at the time of the transaction:
(A) separately states the items subject to taxation under this chapter at each of the
different rates on an invoice, bill of sale, or similar document provided to the purchaser; or
(B) is able to identify by reasonable and verifiable standards the tangible personal
property, product, or service that is subject to taxation under this chapter at the lower tax rate
from the books and records the seller keeps in the seller's regular course of business.
(ii) For purposes of Subsection (2)[
(f)
]
(g)
(i), books and records that a seller keeps in
the seller's regular course of business includes books and records the seller keeps in the regular
course of business for nontax purposes.
[
(g)
] 
(h)
 Subject to Subsections [
(2)(h) and (i)
] 
(2)(i) and (j)
, a tax rate repeal or tax
rate change for a tax rate imposed under the following shall take effect on the first day of a
calendar quarter:
(i) Subsection (2)(a)(i)(A);
(ii) Subsection (2)(b)(i);
(iii) Subsection (2)(c)(i); or
(iv) Subsection (2)[
(d)
]
(e)
(i)(A)(I).
[
(h)
] 
(i)
 (i) A tax rate increase takes effect on the first day of the first billing period that
begins on or after the effective date of the tax rate increase if the billing period for the
transaction begins before the effective date of a tax rate increase imposed under:
(A) Subsection (2)(a)(i)(A);
(B) Subsection (2)(b)(i);
(C) Subsection (2)(c)(i); or
(D) Subsection (2)[
(d)
]
(e)
(i)(A)(I).
(ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
statement for the billing period is rendered on or after the effective date of the repeal of the tax
or the tax rate decrease imposed under:
(A) Subsection (2)(a)(i)(A);
(B) Subsection (2)(b)(i);
(C) Subsection (2)(c)(i); or
(D) Subsection (2)[
(d)
]
(e)
(i)(A)(I).
[
(i)
] 
(j)
 (i) For a tax rate described in Subsection (2)[
(i)
]
(j)
(ii), if a tax due on a
catalogue sale is computed on the basis of sales and use tax rates published in the catalogue, a
tax rate repeal or change in a tax rate takes effect:
(A) on the first day of a calendar quarter; and
(B) beginning 60 days after the effective date of the tax rate repeal or tax rate change.
(ii) Subsection (2)[
(i)
]
(j)
(i) applies to the tax rates described in the following:
(A) Subsection (2)(a)(i)(A);
(B) Subsection (2)(b)(i);
(C) Subsection (2)(c)(i); or
(D) Subsection (2)[
(d)
]
(e)
(i)(A)(I).
(iii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the commission may by rule define the term "catalogue sale."
[
(j)
] 
(k)
 (i) For a location described in Subsection (2)[
(j)
]
(k)
(ii), the commission shall
determine the taxable status of a sale of gas, electricity, heat, coal, fuel oil, or other fuel based
on the predominant use of the gas, electricity, heat, coal, fuel oil, or other fuel at the location.
(ii) Subsection (2)[
(j)
]
(k)
(i) applies to a location where gas, electricity, heat, coal, fuel
oil, or other fuel is furnished through a single meter for two or more of the following uses:
(A) a commercial use;
(B) an industrial use; or
(C) a residential use.
(3) (a) The following state taxes shall be deposited into the General Fund:
(i) the tax imposed by Subsection (2)(a)(i)(A);
(ii) the tax imposed by Subsection (2)(b)(i);
(iii) the tax imposed by Subsection (2)(c)(i); [
or
] 
and
(iv) the tax imposed by Subsection (2)[
(d)
]
(e)
(i)(A)(I).
(b) The following local taxes shall be distributed to a county, city, or town as provided
in this chapter:
(i) the tax imposed by Subsection (2)(a)(ii);
(ii) the tax imposed by Subsection (2)(b)(ii);
(iii) the tax imposed by Subsection (2)(c)(ii); and
(iv) the tax imposed by Subsection (2)[
(d)
]
(e)
(i)(B).
(c) The state tax imposed by Subsection (2)(d) shall be deposited into the General
Fund.
(4) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
2003, the lesser of the following amounts shall be expended as provided in Subsections (4)(b)
through (g):
(i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
(A) by a 1/16% tax rate on the transactions described in Subsection (1); and
(B) for the fiscal year; or
(ii) $17,500,000.
(b) (i) For a fiscal year beginning on or after July 1, 2003, 14% of the amount
described in Subsection (4)(a) shall be transferred each year as dedicated credits to the
Department of Natural Resources to:
(A) implement the measures described in Subsections 
79-2-303
(3)(a) through (d) to
protect sensitive plant and animal species; or
(B) award grants, up to the amount authorized by the Legislature in an appropriations
act, to political subdivisions of the state to implement the measures described in Subsections
79-2-303
(3)(a) through (d) to protect sensitive plant and animal species.
(ii) Money transferred to the Department of Natural Resources under Subsection
(4)(b)(i) may not be used to assist the United States Fish and Wildlife Service or any other
person to list or attempt to have listed a species as threatened or endangered under the
Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
(iii) At the end of each fiscal year:
(A) 50% of any unexpended dedicated credits shall lapse to the Water Resources
Conservation and Development Fund created in Section 
73-10-24
;
(B) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
Program Subaccount created in Section 
73-10c-5
; and
(C) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
Program Subaccount created in Section 
73-10c-5
.
(c) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
Subsection (4)(a) shall be deposited each year in the Agriculture Resource Development Fund
created in Section 
4-18-106
.
(d) (i) For a fiscal year beginning on or after July 1, 2003, 1% of the amount described
in Subsection (4)(a) shall be transferred each year as dedicated credits to the Division of Water
Rights to cover the costs incurred in hiring legal and technical staff for the adjudication of
water rights.
(ii) At the end of each fiscal year:
(A) 50% of any unexpended dedicated credits shall lapse to the Water Resources
Conservation and Development Fund created in Section 
73-10-24
;
(B) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
Program Subaccount created in Section 
73-10c-5
; and
(C) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
Program Subaccount created in Section 
73-10c-5
.
(e) (i) For a fiscal year beginning on or after July 1, 2003, 41% of the amount described
in Subsection (4)(a) shall be deposited into the Water Resources Conservation and
Development Fund created in Section 
73-10-24
 for use by the Division of Water Resources.
(ii) In addition to the uses allowed of the Water Resources Conservation and
Development Fund under Section 
73-10-24
, the Water Resources Conservation and
Development Fund may also be used to:
(A) conduct hydrologic and geotechnical investigations by the Division of Water
Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
quantifying surface and ground water resources and describing the hydrologic systems of an
area in sufficient detail so as to enable local and state resource managers to plan for and
accommodate growth in water use without jeopardizing the resource;
(B) fund state required dam safety improvements; and
(C) protect the state's interest in interstate water compact allocations, including the
hiring of technical and legal staff.
(f) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
in Subsection (4)(a) shall be deposited into the Utah Wastewater Loan Program Subaccount
created in Section 
73-10c-5
 for use by the Water Quality Board to fund wastewater projects.
(g) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
in Subsection (4)(a) shall be deposited into the Drinking Water Loan Program Subaccount
created in Section 
73-10c-5
 for use by the Division of Drinking Water to:
(i) provide for the installation and repair of collection, treatment, storage, and
distribution facilities for any public water system, as defined in Section 
19-4-102
;
(ii) develop underground sources of water, including springs and wells; and
(iii) develop surface water sources.
(5) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
2006, the difference between the following amounts shall be expended as provided in this
Subsection (5), if that difference is greater than $1:
(i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated for the
fiscal year by a 1/16% tax rate on the transactions described in Subsection (1); and
(ii) $17,500,000.
(b) (i) The first $500,000 of the difference described in Subsection (5)(a) shall be:
(A) transferred each fiscal year to the Department of Natural Resources as dedicated
credits; and
(B) expended by the Department of Natural Resources for watershed rehabilitation or
restoration.
(ii) At the end of each fiscal year, 100% of any unexpended dedicated credits described
in Subsection (5)(b)(i) shall lapse to the Water Resources Conservation and Development Fund
created in Section 
73-10-24
.
(c) (i) After making the transfer required by Subsection (5)(b)(i), $150,000 of the
remaining difference described in Subsection (5)(a) shall be:
(A) transferred each fiscal year to the Division of Water Resources as dedicated
credits; and
(B) expended by the Division of Water Resources for cloud-seeding projects
authorized by Title 73, Chapter 15, Modification of Weather.
(ii) At the end of each fiscal year, 100% of any unexpended dedicated credits described
in Subsection (5)(c)(i) shall lapse to the Water Resources Conservation and Development Fund
created in Section 
73-10-24
.
(d) After making the transfers required by Subsections (5)(b) and (c), 85% of the
remaining difference described in Subsection (5)(a) shall be deposited into the Water
Resources Conservation and Development Fund created in Section 
73-10-24
 for use by the
Division of Water Resources for:
(i) preconstruction costs:
(A) as defined in Subsection 
73-26-103
(6) for projects authorized by Title 73, Chapter
26, Bear River Development Act; and
(B) as defined in Subsection 
73-28-103
(8) for the Lake Powell Pipeline project
authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act;
(ii) the cost of employing a civil engineer to oversee any project authorized by Title 73,
Chapter 26, Bear River Development Act;
(iii) the cost of employing a civil engineer to oversee the Lake Powell Pipeline project
authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act; and
(iv) other uses authorized under Sections 
73-10-24
, 
73-10-25.1
, and 
73-10-30
, and
Subsection (4)(e)(ii) after funding the uses specified in Subsections (5)(d)(i) through (iii).
(e) After making the transfers required by Subsections (5)(b) and (c) and subject to
Subsection (5)(f), 15% of the remaining difference described in Subsection (5)(a) shall be
transferred each year as dedicated credits to the Division of Water Rights to cover the costs
incurred for employing additional technical staff for the administration of water rights.
(f) At the end of each fiscal year, any unexpended dedicated credits described in
Subsection (5)(e) over $150,000 lapse to the Water Resources Conservation and Development
Fund created in Section 
73-10-24
.
(6) Notwithstanding Subsection (3)(a) and for taxes listed under Subsection (3)(a), the
amount of revenue generated by a 1/16% tax rate on the transactions described in Subsection
(1) for the fiscal year shall be deposited as follows:
[
(a) for fiscal year 2016-17 only, 100% of the revenue described in this Subsection (6)
shall be deposited into the Transportation Investment Fund of 2005 created by Section
72-2-124
;
]
[
(b) for fiscal year 2017-18 only:
]
[
(i) 80% of the revenue described in this Subsection (6) shall be deposited into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
; and
]
[
(ii) 20% of the revenue described in this Subsection (6) shall be deposited into the
Water Infrastructure Restricted Account created by Section 
73-10g-103
;
]
[
(c) for fiscal year 2018-19 only:
]
[
(i) 60% of the revenue described in this Subsection (6) shall be deposited into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
; and
]
[
(ii) 40% of the revenue described in this Subsection (6) shall be deposited into the
Water Infrastructure Restricted Account created by Section 
73-10g-103
;
]
[
(d) for fiscal year 2019-20 only:
]
[
(i) 40% of the revenue described in this Subsection (6) shall be deposited into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
; and
]
[
(ii) 60% of the revenue described in this Subsection (6) shall be deposited into the
Water Infrastructure Restricted Account created by Section 
73-10g-103
;
]
[
(e)
] 
(a)
 for fiscal year 2020-21 only:
(i) 20% of the revenue described in this Subsection (6) shall be deposited into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
; and
(ii) 80% of the revenue described in this Subsection (6) shall be deposited into the
Water Infrastructure Restricted Account created by Section 
73-10g-103
; and
[
(f)
] 
(b)
 for a fiscal year beginning on or after July 1, 2021, 100% of the revenue
described in this Subsection (6) shall be deposited into the Water Infrastructure Restricted
Account created by Section 
73-10g-103
.
(7) (a) Notwithstanding Subsection (3)(a), in addition to the amounts deposited in
Subsection (6), and subject to Subsection (7)(b), for a fiscal year beginning on or after July 1,
2012, the Division of Finance shall deposit into the Transportation Investment Fund of 2005
created by Section 
72-2-124
:
(i) a portion of the taxes listed under Subsection (3)(a) in an amount equal to 8.3% of
the revenues collected from the following taxes, which represents a portion of the
approximately 17% of sales and use tax revenues generated annually by the sales and use tax
on vehicles and vehicle-related products:
(A) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(B) the tax imposed by Subsection (2)(b)(i);
(C) the tax imposed by Subsection (2)(c)(i); and
(D) the tax imposed by Subsection (2)[
(d)
]
(e)
(i)(A)(I); plus
(ii) an amount equal to 30% of the growth in the amount of revenues collected in the
current fiscal year from the sales and use taxes described in Subsections (7)(a)(i)(A) through
(D) that exceeds the amount collected from the sales and use taxes described in Subsections
(7)(a)(i)(A) through (D) in the 2010-11 fiscal year.
(b) (i) Subject to Subsections (7)(b)(ii) and (iii), in any fiscal year that the portion of
the sales and use taxes deposited under Subsection (7)(a) represents an amount that is a total
lower percentage of the sales and use taxes described in Subsections (7)(a)(i)(A) through (D)
generated in the current fiscal year than the total percentage of sales and use taxes deposited in
the previous fiscal year, the Division of Finance shall deposit an amount under Subsection
(7)(a) equal to the product of:
(A) the total percentage of sales and use taxes deposited under Subsection (7)(a) in the
previous fiscal year; and
(B) the total sales and use tax revenue generated by the taxes described in Subsections
(7)(a)(i)(A) through (D) in the current fiscal year.
(ii) In any fiscal year in which the portion of the sales and use taxes deposited under
Subsection (7)(a) would exceed 17% of the revenues collected from the sales and use taxes
described in Subsections (7)(a)(i)(A) through (D) in the current fiscal year, the Division of
Finance shall deposit 17% of the revenues collected from the sales and use taxes described in
Subsections (7)(a)(i)(A) through (D) for the current fiscal year under Subsection (7)(a).
(iii) In all subsequent fiscal years after a year in which 17% of the revenues collected
from the sales and use taxes described in Subsections (7)(a)(i)(A) through (D) was deposited
under Subsection (7)(a), the Division of Finance shall annually deposit 17% of the revenues
collected from the sales and use taxes described in Subsections (7)(a)(i)(A) through (D) in the
current fiscal year under Subsection (7)(a).
[
(8) (a) Notwithstanding Subsection (3)(a), and in addition to the amounts deposited
under Subsections (6) and (7), for the 2016-17 fiscal year only, the Division of Finance shall
deposit $64,000,000 of the revenues generated by the taxes listed under Subsection (3)(a) into
the Transportation Investment Fund of 2005 created by Section 
72-2-124
.
]
[
(b) Notwithstanding Subsection (3)(a), and in addition to the amounts deposited under
Subsections (6) and (7), for the 2017-18 fiscal year only, the Division of Finance shall deposit
$63,000,000 of the revenues generated by the taxes listed under Subsection (3)(a) into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
.
]
[
(c) (i)
] 
(8) (a)
 Notwithstanding Subsection (3)(a), in addition to the amounts deposited
under Subsections (6) and (7), and subject to Subsection [
(8)(c)(ii)
] 
(8)(b)
, for a fiscal year
beginning on or after July 1, 2018, the commission shall annually deposit into the
Transportation Investment Fund of 2005 created by Section 
72-2-124
 a portion of the taxes
listed under Subsection (3)(a) in an amount equal to 3.68% of the revenues collected from the
following taxes:
[
(A)
] 
(i)
 the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
[
(B)
] 
(ii)
 the tax imposed by Subsection (2)(b)(i);
[
(C)
] 
(iii)
 the tax imposed by Subsection (2)(c)(i); and
[
(D)
] 
(iv)
 the tax imposed by Subsection (2)[
(d)
]
(e)
(i)(A)(I).
[
(ii)
] 
(b)
 For a fiscal year beginning on or after July 1, 2019, the commission shall
annually reduce the deposit into the Transportation Investment Fund of 2005 under Subsection
[
(8)(c)(i)
] 
(8)(a)
 by an amount that is equal to 35% of the amount of revenue generated in the
current fiscal year by the portion of the tax imposed on motor and special fuel that is sold,
used, or received for sale or use in this state that exceeds 29.4 cents per gallon.
[
(iii)
] 
(c)
 The commission shall annually deposit the amount described in Subsection
[
(8)(c)(ii)
] 
(8)(b)
 into the Transit [
and
] Transportation Investment Fund created in Section
72-2-124
. 
(9) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
2009-10, $533,750 shall be deposited into the Qualified Emergency Food Agencies Fund
created by Section 
35A-8-1009
 and expended as provided in Section 
35A-8-1009
.
[
(10) (a) Notwithstanding Subsection (3)(a), except as provided in Subsection (10)(c),
in addition to any amounts deposited under Subsections (6), (7), and (8), and for the 2016-17
fiscal year only, the Division of Finance shall deposit into the Transportation Investment Fund
of 2005 created by Section 
72-2-124
 the amount of tax revenue generated by a .05% tax rate on
the transactions described in Subsection (1).
]
[
(b)
] 
(10) (a)
 Notwithstanding Subsection (3)(a), except as provided in Subsection
(10)[
(c)
]
(b)
, and in addition to any amounts deposited under Subsections (6), (7), and (8), the
Division of Finance shall deposit into the Transportation Investment Fund of 2005 created by
Section 
72-2-124
 the amount of revenue described as follows:
[
(i) for fiscal year 2017-18 only, 83.33% of the amount of revenue generated by a .05%
tax rate on the transactions described in Subsection (1);
]
[
(ii) for fiscal year 2018-19 only, 66.67% of the amount of revenue generated by a
.05% tax rate on the transactions described in Subsection (1);
]
[
(iii) for fiscal year 2019-20 only, 50% of the amount of revenue generated by a .05%
tax rate on the transactions described in Subsection (1);
]
[
(iv)
] 
(i)
 for fiscal year 2020-21 only, 33.33% of the amount of revenue generated by a
.05% tax rate on the transactions described in Subsection (1); and
[
(v)
] 
(ii)
 for fiscal year 2021-22 only, 16.67% of the amount of revenue generated by a
.05% tax rate on the transactions described in Subsection (1).
[
(c)
] 
(b)
 For purposes of [
Subsections (10)(a) and (b)
] 
Subsection (10)(a)
, the Division
of Finance may not deposit into the Transportation Investment Fund of 2005 any tax revenue
generated by amounts paid or charged for food and food ingredients, except for tax revenue
generated by a bundled transaction attributable to food and food ingredients and tangible
personal property other than food and food ingredients described in Subsection (2)[
(d)
]
(e)
.
(11) Notwithstanding Subsection (3)(a), beginning the second fiscal year after the
fiscal year during which the Division of Finance receives notice under Section 
63N-2-510
 that
construction on a qualified hotel, as defined in Section 
63N-2-502
, has begun, the Division of
Finance shall, for two consecutive fiscal years, annually deposit $1,900,000 of the revenue
generated by the taxes listed under Subsection (3)(a) into the Hotel Impact Mitigation Fund,
created in Section 
63N-2-512
.
[
(12) (a) Notwithstanding Subsection (3)(a), for the 2016-17 fiscal year only, the
Division of Finance shall deposit $26,000,000 of the revenues generated by the taxes listed
under Subsection (3)(a) into the Throughput Infrastructure Fund created by Section
35A-8-308
.
]
[
(b) Notwithstanding Subsection (3)(a), for the 2017-18 fiscal year only, the Division
of Finance shall deposit $27,000,000 of the revenues generated by the taxes listed under
Subsection (3)(a) into the Throughput Infrastructure Fund created by Section 
35A-8-308
.
]
[
(13)
] 
(12)
 (a) The rate specified in this subsection is 0.15%.
(b) Notwithstanding Subsection (3)(a), the Division of Finance shall[
: (i) on or before
September 30, 2019, transfer the amount of revenue collected from the rate described in
Subsection (13)(a) beginning on April 1, 2019, and ending on June 30, 2019, on the
transactions that are subject to the sales and use tax under Subsection (2)(a)(i)(A) into the
Medicaid Expansion Fund created in Section 
26-36b-208
; and (ii)
]
,
 for a fiscal year beginning
on or after July 1, 2019, annually transfer the amount of revenue collected from the rate
described in Subsection [
(13)
] 
(12)
(a) on the transactions that are subject to the sales and use
tax under Subsection (2)(a)(i)(A) into the Medicaid Expansion Fund created in Section
26-36b-208
.
[
(14)
] 
(13)
 Notwithstanding Subsection (3)(a), for each fiscal year beginning with
fiscal year 2020-21, the Division of Finance shall deposit $200,000 into the General Fund as a
dedicated credit solely for use of the Search and Rescue Financial Assistance Program created
in, and expended in accordance with, Title 53, Chapter 2a, Part 11, Search and Rescue Act.
[
(15)
] 
(14)
 (a) For each fiscal year beginning with fiscal year 2020-21, the Division of
Finance shall annually transfer $1,813,400 of the revenue deposited into the Transportation
Investment Fund of 2005 under Subsections (6) through (8) to the General Fund.
(b) If the total revenue deposited into the Transportation Investment Fund of 2005
under Subsections (6) through (8) is less than $1,813,400 for a fiscal year, the Division of
Finance shall transfer the total revenue deposited into the Transportation Investment Fund of
2005 under Subsections (6) through (8) during the fiscal year to the General Fund.
Section 40. Section 
59-12-104
 is amended to read:
59-12-104.
Exemptions.
Exemptions from the taxes imposed by this chapter are as follows:
(1) sales of aviation fuel, motor fuel, and special fuel subject to a Utah state excise tax
under Chapter 13, Motor and Special Fuel Tax Act;
(2) subject to Section 
59-12-104.6
, sales to the state, its institutions, and its political
subdivisions; however, this exemption does not apply to sales of:
(a) construction materials except:
(i) construction materials purchased by or on behalf of institutions of the public
education system as defined in Utah Constitution, Article X, Section 2, provided the
construction materials are clearly identified and segregated and installed or converted to real
property which is owned by institutions of the public education system; and
(ii) construction materials purchased by the state, its institutions, or its political
subdivisions which are installed or converted to real property by employees of the state, its
institutions, or its political subdivisions; or
(b) tangible personal property in connection with the construction, operation,
maintenance, repair, or replacement of a project, as defined in Section 
11-13-103
, or facilities
providing additional project capacity, as defined in Section 
11-13-103
;
(3) (a) sales of an item described in Subsection (3)(b) from a vending machine if:
(i) the proceeds of each sale do not exceed $1; and
(ii) the seller or operator of the vending machine reports an amount equal to 150% of
the cost of the item described in Subsection (3)(b) as goods consumed; and
(b) Subsection (3)(a) applies to:
(i) food and food ingredients; or
(ii) prepared food;
(4) (a) sales of the following to a commercial airline carrier for in-flight consumption:
(i) alcoholic beverages;
(ii) food and food ingredients; or
(iii) prepared food;
(b) sales of tangible personal property or a product transferred electronically:
(i) to a passenger;
(ii) by a commercial airline carrier; and
(iii) during a flight for in-flight consumption or in-flight use by the passenger; or
(c) services related to Subsection (4)(a) or (b);
[
(5) (a) (i) beginning on July 1, 2008, and ending on September 30, 2008, sales of parts
and equipment:
]
[
(A) (I) by an establishment described in NAICS Code 336411 or 336412 of the 2002
North American Industry Classification System of the federal Executive Office of the
President, Office of Management and Budget; and
]
[
(II) for:
]
[
(Aa) installation in an aircraft, including services relating to the installation of parts or
equipment in the aircraft;
]
[
(Bb) renovation of an aircraft; or
]
[
(Cc) repair of an aircraft; or
]
[
(B) for installation in an aircraft operated by a common carrier in interstate or foreign
commerce; or
]
[
(ii) beginning on October 1, 2008, sales of parts and equipment for installation in an
aircraft operated by a common carrier in interstate or foreign commerce; and
]
[
(b) notwithstanding the time period of Subsection 
59-1-1410
(8) for filing for a refund,
a person may claim the exemption allowed by Subsection (5)(a)(i)(B) for a sale by filing for a
refund:
]
[
(i) if the sale is made on or after July 1, 2008, but on or before September 30, 2008;
]
[
(ii) as if Subsection (5)(a)(i)(B) were in effect on the day on which the sale is made;
]
[
(iii) if the person did not claim the exemption allowed by Subsection (5)(a)(i)(B) for
the sale prior to filing for the refund;
]
[
(iv) for sales and use taxes paid under this chapter on the sale;
]
[
(v) in accordance with Section 
59-1-1410
; and
]
[
(vi) subject to any extension allowed for filing for a refund under Section 
59-1-1410
,
if the person files for the refund on or before September 30, 2011;
]
(5) sales of parts and equipment for installation in an aircraft operated by a common
carrier in interstate or foreign commerce;
(6) sales of commercials, motion picture films, prerecorded audio program tapes or
records, and prerecorded video tapes by a producer, distributor, or studio to a motion picture
exhibitor, distributor, or commercial television or radio broadcaster;
(7) (a) except as provided in Subsection (85) and subject to Subsection (7)(b), sales of
cleaning or washing of tangible personal property if the cleaning or washing of the tangible
personal property is not assisted cleaning or washing of tangible personal property;
(b) if a seller that sells at the same business location assisted cleaning or washing of
tangible personal property and cleaning or washing of tangible personal property that is not
assisted cleaning or washing of tangible personal property, the exemption described in
Subsection (7)(a) applies if the seller separately accounts for the sales of the assisted cleaning
or washing of the tangible personal property; and
(c) for purposes of Subsection (7)(b) and in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, the commission may make rules:
(i) governing the circumstances under which sales are at the same business location;
and
(ii) establishing the procedures and requirements for a seller to separately account for
sales of assisted cleaning or washing of tangible personal property;
(8) sales made to or by religious or charitable institutions in the conduct of their regular
religious or charitable functions and activities, if the requirements of Section 
59-12-104.1
 are
fulfilled;
(9) sales of a vehicle of a type required to be registered under the motor vehicle laws of
this state if the vehicle is:
(a) not registered in this state; and
(b) (i) not used in this state; or
(ii) used in this state:
(A) if the vehicle is not used to conduct business, for a time period that does not
exceed the longer of:
(I) 30 days in any calendar year; or
(II) the time period necessary to transport the vehicle to the borders of this state; or
(B) if the vehicle is used to conduct business, for the time period necessary to transport
the vehicle to the borders of this state;
(10) (a) amounts paid for an item described in Subsection (10)(b) if:
(i) the item is intended for human use; and
(ii) (A) a prescription was issued for the item; or
(B) the item was purchased by a hospital or other medical facility; and
(b) (i) Subsection (10)(a) applies to:
(A) a drug;
(B) a syringe; or
(C) a stoma supply; and
(ii) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule define the terms:
(A) "syringe"; or
(B) "stoma supply";
(11) purchases or leases exempt under Section 
19-12-201
;
(12) (a) sales of an item described in Subsection (12)(c) served by:
(i) the following if the item described in Subsection (12)(c) is not available to the
general public:
(A) a church; or
(B) a charitable institution; or
(ii) an institution of higher education if:
(A) the item described in Subsection (12)(c) is not available to the general public; or
(B) the item described in Subsection (12)(c) is prepaid as part of a student meal plan
offered by the institution of higher education; or
(b) sales of an item described in Subsection (12)(c) provided for a patient by:
(i) a medical facility; or
(ii) a nursing facility; and
(c) Subsections (12)(a) and (b) apply to:
(i) food and food ingredients;
(ii) prepared food; or
(iii) alcoholic beverages;
(13) (a) except as provided in Subsection (13)(b), the sale of tangible personal property
or a product transferred electronically by a person:
(i) regardless of the number of transactions involving the sale of that tangible personal
property or product transferred electronically by that person; and
(ii) not regularly engaged in the business of selling that type of tangible personal
property or product transferred electronically;
(b) this Subsection (13) does not apply if:
(i) the sale is one of a series of sales of a character to indicate that the person is
regularly engaged in the business of selling that type of tangible personal property or product
transferred electronically;
(ii) the person holds that person out as regularly engaged in the business of selling that
type of tangible personal property or product transferred electronically;
(iii) the person sells an item of tangible personal property or product transferred
electronically that the person purchased as a sale that is exempt under Subsection (25); or
(iv) the sale is of a vehicle or vessel required to be titled or registered under the laws of
this state in which case the tax is based upon:
(A) the bill of sale or other written evidence of value of the vehicle or vessel being
sold; or
(B) in the absence of a bill of sale or other written evidence of value, the fair market
value of the vehicle or vessel being sold at the time of the sale as determined by the
commission; and
(c) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission shall make rules establishing the circumstances under which:
(i) a person is regularly engaged in the business of selling a type of tangible personal
property or product transferred electronically;
(ii) a sale of tangible personal property or a product transferred electronically is one of
a series of sales of a character to indicate that a person is regularly engaged in the business of
selling that type of tangible personal property or product transferred electronically; or
(iii) a person holds that person out as regularly engaged in the business of selling a type
of tangible personal property or product transferred electronically;
(14) amounts paid or charged for a purchase or lease of machinery, equipment, normal
operating repair or replacement parts, or materials, except for office equipment or office
supplies, by:
(a) a manufacturing facility that:
(i) is located in the state; and
(ii) uses or consumes the machinery, equipment, normal operating repair or
replacement parts, or materials:
(A) in the manufacturing process to manufacture an item sold as tangible personal
property, as the commission may define that phrase in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act; or
(B) for a scrap recycler, to process an item sold as tangible personal property, as the
commission may define that phrase in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act;
(b) an establishment, as the commission defines that term in accordance with Title
63G, Chapter 3, Utah Administrative Rulemaking Act, that:
(i) is described in NAICS Subsector 212, Mining (except Oil and Gas), or NAICS
Code 213113, Support Activities for Coal Mining, 213114, Support Activities for Metal
Mining, or 213115, Support Activities for Nonmetallic Minerals (except Fuels) Mining, of the
2002 North American Industry Classification System of the federal Executive Office of the
President, Office of Management and Budget;
(ii) is located in the state; and
(iii) uses or consumes the machinery, equipment, normal operating repair or
replacement parts, or materials in:
(A) the production process to produce an item sold as tangible personal property, as the
commission may define that phrase in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act;
(B) research and development, as the commission may define that phrase in accordance
with Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
(C) transporting, storing, or managing tailings, overburden, or similar waste materials
produced from mining;
(D) developing or maintaining a road, tunnel, excavation, or similar feature used in
mining; or
(E) preventing, controlling, or reducing dust or other pollutants from mining; or
(c) an establishment, as the commission defines that term in accordance with Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, that:
(i) is described in NAICS Code 518112, Web Search Portals, of the 2002 North
American Industry Classification System of the federal Executive Office of the President,
Office of Management and Budget;
(ii) is located in the state; and
(iii) uses or consumes the machinery, equipment, normal operating repair or
replacement parts, or materials in the operation of the web search portal;
(15) (a) sales of the following if the requirements of Subsection (15)(b) are met:
(i) tooling;
(ii) special tooling;
(iii) support equipment;
(iv) special test equipment; or
(v) parts used in the repairs or renovations of tooling or equipment described in
Subsections (15)(a)(i) through (iv); and
(b) sales of tooling, equipment, or parts described in Subsection (15)(a) are exempt if:
(i) the tooling, equipment, or parts are used or consumed exclusively in the
performance of any aerospace or electronics industry contract with the United States
government or any subcontract under that contract; and
(ii) under the terms of the contract or subcontract described in Subsection (15)(b)(i),
title to the tooling, equipment, or parts is vested in the United States government as evidenced
by:
(A) a government identification tag placed on the tooling, equipment, or parts; or
(B) listing on a government-approved property record if placing a government
identification tag on the tooling, equipment, or parts is impractical;
(16) sales of newspapers or newspaper subscriptions;
(17) (a) except as provided in Subsection (17)(b), tangible personal property or a
product transferred electronically traded in as full or part payment of the purchase price, except
that for purposes of calculating sales or use tax upon vehicles not sold by a vehicle dealer,
trade-ins are limited to other vehicles only, and the tax is based upon:
(i) the bill of sale or other written evidence of value of the vehicle being sold and the
vehicle being traded in; or
(ii) in the absence of a bill of sale or other written evidence of value, the then existing
fair market value of the vehicle being sold and the vehicle being traded in, as determined by the
commission; and
(b) Subsection (17)(a) does not apply to the following items of tangible personal
property or products transferred electronically traded in as full or part payment of the purchase
price:
(i) money;
(ii) electricity;
(iii) water;
(iv) gas; or
(v) steam;
(18) (a) (i) except as provided in Subsection (18)(b), sales of tangible personal property
or a product transferred electronically used or consumed primarily and directly in farming
operations, regardless of whether the tangible personal property or product transferred
electronically:
(A) becomes part of real estate; or
(B) is installed by a[
:
] 
farmer, contractor, or subcontractor; or
[
(I) farmer;
]
[
(II) contractor; or
]
[
(III) subcontractor; or
]
(ii) sales of parts used in the repairs or renovations of tangible personal property or a
product transferred electronically if the tangible personal property or product transferred
electronically is exempt under Subsection (18)(a)(i); and
(b) amounts paid or charged for the following are subject to the taxes imposed by this
chapter:
(i) (A) subject to Subsection (18)(b)(i)(B), machinery, equipment, materials, or
supplies if used in a manner that is incidental to farming; and
(B) tangible personal property that is considered to be used in a manner that is
incidental to farming includes:
(I) hand tools; or
(II) maintenance and janitorial equipment and supplies;
(ii) (A) subject to Subsection (18)(b)(ii)(B), tangible personal property or a product
transferred electronically if the tangible personal property or product transferred electronically
is used in an activity other than farming; and
(B) tangible personal property or a product transferred electronically that is considered
to be used in an activity other than farming includes:
(I) office equipment and supplies; or
(II) equipment and supplies used in:
(Aa) the sale or distribution of farm products;
(Bb) research; or
(Cc) transportation; or
(iii) a vehicle required to be registered by the laws of this state during the period
ending two years after the date of the vehicle's purchase;
(19) sales of hay;
(20) exclusive sale during the harvest season of seasonal crops, seedling plants, or
garden, farm, or other agricultural produce if the seasonal crops are, seedling plants are, or
garden, farm, or other agricultural produce is sold by:
(a) the producer of the seasonal crops, seedling plants, or garden, farm, or other
agricultural produce;
(b) an employee of the producer described in Subsection (20)(a); or
(c) a member of the immediate family of the producer described in Subsection (20)(a);
(21) purchases made using a coupon as defined in 7 U.S.C. Sec. 2012 that is issued
under the Food Stamp Program, 7 U.S.C. Sec. 2011 et seq.;
(22) sales of nonreturnable containers, nonreturnable labels, nonreturnable bags,
nonreturnable shipping cases, and nonreturnable casings to a manufacturer, processor,
wholesaler, or retailer for use in packaging tangible personal property to be sold by that
manufacturer, processor, wholesaler, or retailer;
(23) a product stored in the state for resale;
(24) (a) purchases of a product if:
(i) the product is:
(A) purchased outside of this state;
(B) brought into this state:
(I) at any time after the purchase described in Subsection (24)(a)(i)(A); and
(II) by a nonresident person who is not living or working in this state at the time of the
purchase;
(C) used for the personal use or enjoyment of the nonresident person described in
Subsection (24)(a)(i)(B)(II) while that nonresident person is within the state; and
(D) not used in conducting business in this state; and
(ii) for:
(A) a product other than a boat described in Subsection (24)(a)(ii)(B), the first use of
the product for a purpose for which the product is designed occurs outside of this state;
(B) a boat, the boat is registered outside of this state; or
(C) a vehicle other than a vehicle sold to an authorized carrier, the vehicle is registered
outside of this state;
(b) the exemption provided for in Subsection (24)(a) does not apply to:
(i) a lease or rental of a product; or
(ii) a sale of a vehicle exempt under Subsection (33); and
(c) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, for
purposes of Subsection (24)(a), the commission may by rule define what constitutes the
following:
(i) conducting business in this state if that phrase has the same meaning in this
Subsection (24) as in Subsection (63);
(ii) the first use of a product if that phrase has the same meaning in this Subsection (24)
as in Subsection (63); or
(iii) a purpose for which a product is designed if that phrase has the same meaning in
this Subsection (24) as in Subsection (63);
(25) a product purchased for resale in the regular course of business, either in its
original form or as an ingredient or component part of a manufactured or compounded product;
(26) a product upon which a sales or use tax was paid to some other state, or one of its
subdivisions, except that the state shall be paid any difference between the tax paid and the tax
imposed by this part and Part 2, Local Sales and Use Tax Act, and no adjustment is allowed if
the tax paid was greater than the tax imposed by this part and Part 2, Local Sales and Use Tax
Act;
(27) any sale of a service described in Subsections 
59-12-103
(1)(b), (c), and (d) to a
person for use in compounding a service taxable under the subsections;
(28) purchases made in accordance with the special supplemental nutrition program for
women, infants, and children established in 42 U.S.C. Sec. 1786;
(29) sales or leases of rolls, rollers, refractory brick, electric motors, or other
replacement parts used in the furnaces, mills, or ovens of a steel mill described in SIC Code
3312 of the 1987 Standard Industrial Classification Manual of the federal Executive Office of
the President, Office of Management and Budget;
(30) sales of a boat of a type required to be registered under Title 73, Chapter 18, State
Boating Act, a boat trailer, or an outboard motor if the boat, boat trailer, or outboard motor is:
(a) not registered in this state; and
(b) (i) not used in this state; or
(ii) used in this state:
(A) if the boat, boat trailer, or outboard motor is not used to conduct business, for a
time period that does not exceed the longer of:
(I) 30 days in any calendar year; or
(II) the time period necessary to transport the boat, boat trailer, or outboard motor to
the borders of this state; or
(B) if the boat, boat trailer, or outboard motor is used to conduct business, for the time
period necessary to transport the boat, boat trailer, or outboard motor to the borders of this
state;
(31) sales of aircraft manufactured in Utah;
(32) amounts paid for the purchase of telecommunications service for purposes of
providing telecommunications service;
(33) sales, leases, or uses of the following:
(a) a vehicle by an authorized carrier; or
(b) tangible personal property that is installed on a vehicle:
(i) sold or leased to or used by an authorized carrier; and
(ii) before the vehicle is placed in service for the first time;
(34) (a) 45% of the sales price of any new manufactured home; and
(b) 100% of the sales price of any used manufactured home;
(35) sales relating to schools and fundraising sales;
(36) sales or rentals of durable medical equipment if:
(a) a person presents a prescription for the durable medical equipment; and
(b) the durable medical equipment is used for home use only;
(37) (a) sales to a ski resort of electricity to operate a passenger ropeway as defined in
Section 
72-11-102
; and
(b) the commission shall by rule determine the method for calculating sales exempt
under Subsection (37)(a) that are not separately metered and accounted for in utility billings;
(38) sales to a ski resort of:
(a) snowmaking equipment;
(b) ski slope grooming equipment;
(c) passenger ropeways as defined in Section 
72-11-102
; or
(d) parts used in the repairs or renovations of equipment or passenger ropeways
described in Subsections (38)(a) through (c);
(39) subject to Subsection 
59-12-103
(2)(j), sales of natural gas, electricity, heat, coal,
fuel oil, or other fuels for industrial use;
(40) (a) subject to Subsection (40)(b), sales or rentals of the right to use or operate for
amusement, entertainment, or recreation an unassisted amusement device as defined in Section
59-12-102
;
(b) if a seller that sells or rents at the same business location the right to use or operate
for amusement, entertainment, or recreation one or more unassisted amusement devices and
one or more assisted amusement devices, the exemption described in Subsection (40)(a)
applies if the seller separately accounts for the sales or rentals of the right to use or operate for
amusement, entertainment, or recreation for the assisted amusement devices; and
(c) for purposes of Subsection (40)(b) and in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, the commission may make rules:
(i) governing the circumstances under which sales are at the same business location;
and
(ii) establishing the procedures and requirements for a seller to separately account for
the sales or rentals of the right to use or operate for amusement, entertainment, or recreation for
assisted amusement devices;
(41) (a) sales of photocopies by:
(i) a governmental entity; or
(ii) an entity within the state system of public education, including:
(A) a school; or
(B) the State Board of Education; or
(b) sales of publications by a governmental entity;
(42) amounts paid for admission to an athletic event at an institution of higher
education that is subject to the provisions of Title IX of the Education Amendments of 1972,
20 U.S.C. Sec. 1681 et seq.;
(43) (a) sales made to or by:
(i) an area agency on aging; or
(ii) a senior citizen center owned by a county, city, or town; or
(b) sales made by a senior citizen center that contracts with an area agency on aging;
(44) sales or leases of semiconductor fabricating, processing, research, or development
materials regardless of whether the semiconductor fabricating, processing, research, or
development materials:
(a) actually come into contact with a semiconductor; or
(b) ultimately become incorporated into real property;
(45) an amount paid by or charged to a purchaser for accommodations and services
described in Subsection 
59-12-103
(1)(i) to the extent the amount is exempt under Section
59-12-104.2
;
(46) [
beginning on September 1, 2001,
] the lease or use of a vehicle issued a temporary
sports event registration certificate in accordance with Section 
41-3-306
 for the event period
specified on the temporary sports event registration certificate;
(47) (a) sales or uses of electricity, if the sales or uses are made under a retail tariff
adopted by the Public Service Commission only for purchase of electricity produced from a
new alternative energy source built after January 1, 2016, as designated in the tariff by the
Public Service Commission; and
(b) for a residential use customer only, the exemption under Subsection (47)(a) applies
only to the portion of the tariff rate a customer pays under the tariff described in Subsection
(47)(a) that exceeds the tariff rate under the tariff described in Subsection (47)(a) that the
customer would have paid absent the tariff;
(48) sales or rentals of mobility enhancing equipment if a person presents a
prescription for the mobility enhancing equipment;
(49) sales of water in a:
(a) pipe;
(b) conduit;
(c) ditch; or
(d) reservoir;
(50) sales of currency or coins that constitute legal tender of a state, the United States,
or a foreign nation;
(51) (a) sales of an item described in Subsection (51)(b) if the item:
(i) does not constitute legal tender of a state, the United States, or a foreign nation; and
(ii) has a gold, silver, or platinum content of 50% or more; and
(b) Subsection (51)(a) applies to a gold, silver, or platinum:
(i) ingot;
(ii) bar;
(iii) medallion; or
(iv) decorative coin;
(52) amounts paid on a sale-leaseback transaction;
(53) sales of a prosthetic device:
(a) for use on or in a human; and
(b) (i) for which a prescription is required; or
(ii) if the prosthetic device is purchased by a hospital or other medical facility;
(54) (a) except as provided in Subsection (54)(b), purchases, leases, or rentals of
machinery or equipment by an establishment described in Subsection (54)(c) if the machinery
or equipment is primarily used in the production or postproduction of the following media for
commercial distribution:
(i) a motion picture;
(ii) a television program;
(iii) a movie made for television;
(iv) a music video;
(v) a commercial;
(vi) a documentary; or
(vii) a medium similar to Subsections (54)(a)(i) through (vi) as determined by the
commission by administrative rule made in accordance with Subsection (54)(d); or
(b) purchases, leases, or rentals of machinery or equipment by an establishment
described in Subsection (54)(c) that is used for the production or postproduction of the
following are subject to the taxes imposed by this chapter:
(i) a live musical performance;
(ii) a live news program; or
(iii) a live sporting event;
(c) the following establishments listed in the 1997 North American Industry
Classification System of the federal Executive Office of the President, Office of Management
and Budget, apply to Subsections (54)(a) and (b):
(i) NAICS Code 512110; or
(ii) NAICS Code 51219; and
(d) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may by rule:
(i) prescribe what constitutes a medium similar to Subsections (54)(a)(i) through (vi);
or
(ii) define:
(A) "commercial distribution";
(B) "live musical performance";
(C) "live news program"; or
(D) "live sporting event";
(55) (a) leases of seven or more years or purchases made on or after July 1, 2004, but
on or before June 30, 2027, of tangible personal property that:
(i) is leased or purchased for or by a facility that:
(A) is an alternative energy electricity production facility;
(B) is located in the state; and
(C) (I) becomes operational on or after July 1, 2004; or
(II) has its generation capacity increased by one or more megawatts on or after July 1,
2004, as a result of the use of the tangible personal property;
(ii) has an economic life of five or more years; and
(iii) is used to make the facility or the increase in capacity of the facility described in
Subsection (55)(a)(i) operational up to the point of interconnection with an existing
transmission grid including:
(A) a wind turbine;
(B) generating equipment;
(C) a control and monitoring system;
(D) a power line;
(E) substation equipment;
(F) lighting;
(G) fencing;
(H) pipes; or
(I) other equipment used for locating a power line or pole; and
(b) this Subsection (55) does not apply to:
(i) tangible personal property used in construction of:
(A) a new alternative energy electricity production facility; or
(B) the increase in the capacity of an alternative energy electricity production facility;
(ii) contracted services required for construction and routine maintenance activities;
and
(iii) unless the tangible personal property is used or acquired for an increase in capacity
of the facility described in Subsection (55)(a)(i)(C)(II), tangible personal property used or
acquired after:
(A) the alternative energy electricity production facility described in Subsection
(55)(a)(i) is operational as described in Subsection (55)(a)(iii); or
(B) the increased capacity described in Subsection (55)(a)(i) is operational as described
in Subsection (55)(a)(iii);
(56) (a) leases of seven or more years or purchases made on or after July 1, 2004, but
on or before June 30, 2027, of tangible personal property that:
(i) is leased or purchased for or by a facility that:
(A) is a waste energy production facility;
(B) is located in the state; and
(C) (I) becomes operational on or after July 1, 2004; or
(II) has its generation capacity increased by one or more megawatts on or after July 1,
2004, as a result of the use of the tangible personal property;
(ii) has an economic life of five or more years; and
(iii) is used to make the facility or the increase in capacity of the facility described in
Subsection (56)(a)(i) operational up to the point of interconnection with an existing
transmission grid including:
(A) generating equipment;
(B) a control and monitoring system;
(C) a power line;
(D) substation equipment;
(E) lighting;
(F) fencing;
(G) pipes; or
(H) other equipment used for locating a power line or pole; and
(b) this Subsection (56) does not apply to:
(i) tangible personal property used in construction of:
(A) a new waste energy facility; or
(B) the increase in the capacity of a waste energy facility;
(ii) contracted services required for construction and routine maintenance activities;
and
(iii) unless the tangible personal property is used or acquired for an increase in capacity
described in Subsection (56)(a)(i)(C)(II), tangible personal property used or acquired after:
(A) the waste energy facility described in Subsection (56)(a)(i) is operational as
described in Subsection (56)(a)(iii); or
(B) the increased capacity described in Subsection (56)(a)(i) is operational as described
in Subsection (56)(a)(iii);
(57) (a) leases of five or more years or purchases made on or after July 1, 2004, but on
or before June 30, 2027, of tangible personal property that:
(i) is leased or purchased for or by a facility that:
(A) is located in the state;
(B) produces fuel from alternative energy, including:
(I) methanol; or
(II) ethanol; and
(C) (I) becomes operational on or after July 1, 2004; or
(II) has its capacity to produce fuel increase by 25% or more on or after July 1, 2004, as
a result of the installation of the tangible personal property;
(ii) has an economic life of five or more years; and
(iii) is installed on the facility described in Subsection (57)(a)(i);
(b) this Subsection (57) does not apply to:
(i) tangible personal property used in construction of:
(A) a new facility described in Subsection (57)(a)(i); or
(B) the increase in capacity of the facility described in Subsection (57)(a)(i); or
(ii) contracted services required for construction and routine maintenance activities;
and
(iii) unless the tangible personal property is used or acquired for an increase in capacity
described in Subsection (57)(a)(i)(C)(II), tangible personal property used or acquired after:
(A) the facility described in Subsection (57)(a)(i) is operational; or
(B) the increased capacity described in Subsection (57)(a)(i) is operational;
(58) (a) subject to Subsection (58)(b) [
or (c)
], sales of tangible personal property or a
product transferred electronically to a person within this state if that tangible personal property
or product transferred electronically is subsequently shipped outside the state and incorporated
pursuant to contract into and becomes a part of real property located outside of this state; 
and
(b) the exemption under Subsection (58)(a) is not allowed to the extent that the other
state or political entity to which the tangible personal property is shipped imposes a sales, use,
gross receipts, or other similar transaction excise tax on the transaction against which the other
state or political entity allows a credit for sales and use taxes imposed by this chapter; [
and
]
[
(c) notwithstanding the time period of Subsection 
59-1-1410
(8) for filing for a refund,
a person may claim the exemption allowed by this Subsection (58) for a sale by filing for a
refund:
]
[
(i) if the sale is made on or after July 1, 2004, but on or before June 30, 2008;
]
[
(ii) as if this Subsection (58) as in effect on July 1, 2008, were in effect on the day on
which the sale is made;
]
[
(iii) if the person did not claim the exemption allowed by this Subsection (58) for the
sale prior to filing for the refund;
]
[
(iv) for sales and use taxes paid under this chapter on the sale;
]
[
(v) in accordance with Section 
59-1-1410
; and
]
[
(vi) subject to any extension allowed for filing for a refund under Section 
59-1-1410
,
if the person files for the refund on or before June 30, 2011;
]
(59) purchases:
(a) of one or more of the following items in printed or electronic format:
(i) a list containing information that includes one or more:
(A) names; or
(B) addresses; or
(ii) a database containing information that includes one or more:
(A) names; or
(B) addresses; and
(b) used to send direct mail;
(60) redemptions or repurchases of a product by a person if that product was:
(a) delivered to a pawnbroker as part of a pawn transaction; and
(b) redeemed or repurchased within the time period established in a written agreement
between the person and the pawnbroker for redeeming or repurchasing the product;
(61) (a) purchases or leases of an item described in Subsection (61)(b) if the item:
(i) is purchased or leased by, or on behalf of, a telecommunications service provider;
and
(ii) has a useful economic life of one or more years; and
(b) the following apply to Subsection (61)(a):
(i) telecommunications enabling or facilitating equipment, machinery, or software;
(ii) telecommunications equipment, machinery, or software required for 911 service;
(iii) telecommunications maintenance or repair equipment, machinery, or software;
(iv) telecommunications switching or routing equipment, machinery, or software; or
(v) telecommunications transmission equipment, machinery, or software;
(62) (a) beginning on July 1, 2006, and ending on June 30, 2027, purchases of tangible
personal property or a product transferred electronically that are used in the research and
development of alternative energy technology; and
(b) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may, for purposes of Subsection (62)(a), make rules defining what constitutes
purchases of tangible personal property or a product transferred electronically that are used in
the research and development of alternative energy technology;
(63) (a) purchases of tangible personal property or a product transferred electronically
if:
(i) the tangible personal property or product transferred electronically is:
(A) purchased outside of this state;
(B) brought into this state at any time after the purchase described in Subsection
(63)(a)(i)(A); and
(C) used in conducting business in this state; and
(ii) for:
(A) tangible personal property or a product transferred electronically other than the
tangible personal property described in Subsection (63)(a)(ii)(B), the first use of the property
for a purpose for which the property is designed occurs outside of this state; or
(B) a vehicle other than a vehicle sold to an authorized carrier, the vehicle is registered
outside of this state and not required to be registered in this state under Section 
41-1a-202
 or
73-18-9
 based on residency;
(b) the exemption provided for in Subsection (63)(a) does not apply to:
(i) a lease or rental of tangible personal property or a product transferred electronically;
or
(ii) a sale of a vehicle exempt under Subsection (33); and
(c) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, for
purposes of Subsection (63)(a), the commission may by rule define what constitutes the
following:
(i) conducting business in this state if that phrase has the same meaning in this
Subsection (63) as in Subsection (24);
(ii) the first use of tangible personal property or a product transferred electronically if
that phrase has the same meaning in this Subsection (63) as in Subsection (24); or
(iii) a purpose for which tangible personal property or a product transferred
electronically is designed if that phrase has the same meaning in this Subsection (63) as in
Subsection (24);
(64) sales of disposable home medical equipment or supplies if:
(a) a person presents a prescription for the disposable home medical equipment or
supplies;
(b) the disposable home medical equipment or supplies are used exclusively by the
person to whom the prescription described in Subsection (64)(a) is issued; and
(c) the disposable home medical equipment and supplies are listed as eligible for
payment under:
(i) Title XVIII, federal Social Security Act; or
(ii) the state plan for medical assistance under Title XIX, federal Social Security Act;
(65) sales:
(a) to a public transit district under Title 17B, Chapter 2a, Part 8, Public Transit
District Act; or
(b) of tangible personal property to a subcontractor of a public transit district, if the
tangible personal property is:
(i) clearly identified; and
(ii) installed or converted to real property owned by the public transit district;
(66) sales of construction materials:
(a) purchased on or after July 1, 2010;
(b) purchased by, on behalf of, or for the benefit of an international airport:
(i) located within a county of the first class; and
(ii) that has a United States customs office on its premises; and
(c) if the construction materials are:
(i) clearly identified;
(ii) segregated; and
(iii) installed or converted to real property:
(A) owned or operated by the international airport described in Subsection (66)(b); and
(B) located at the international airport described in Subsection (66)(b);
(67) sales of construction materials:
(a) purchased on or after July 1, 2008;
(b) purchased by, on behalf of, or for the benefit of a new airport:
(i) located within a county of the second class; and
(ii) that is owned or operated by a city in which an airline as defined in Section
59-2-102
 is headquartered; and
(c) if the construction materials are:
(i) clearly identified;
(ii) segregated; and
(iii) installed or converted to real property:
(A) owned or operated by the new airport described in Subsection (67)(b);
(B) located at the new airport described in Subsection (67)(b); and
(C) as part of the construction of the new airport described in Subsection (67)(b);
(68) 
except for the tax imposed by Subsection 59-12-103(2)(d),
 sales of fuel to a
common carrier that is a railroad for use in a locomotive engine;
(69) purchases and sales described in Section 
63H-4-111
;
(70) (a) sales of tangible personal property to an aircraft maintenance, repair, and
overhaul provider for use in the maintenance, repair, overhaul, or refurbishment in this state of
a fixed wing turbine powered aircraft if that fixed wing turbine powered aircraft's registration
lists a state or country other than this state as the location of registry of the fixed wing turbine
powered aircraft; or
(b) sales of tangible personal property by an aircraft maintenance, repair, and overhaul
provider in connection with the maintenance, repair, overhaul, or refurbishment in this state of
a fixed wing turbine powered aircraft if that fixed wing turbine powered aircraft's registration
lists a state or country other than this state as the location of registry of the fixed wing turbine
powered aircraft;
(71) subject to Section 
59-12-104.4
, sales of a textbook for a higher education course:
(a) to a person admitted to an institution of higher education; and
(b) by a seller, other than a bookstore owned by an institution of higher education, if
51% or more of that seller's sales revenue for the previous calendar quarter are sales of a
textbook for a higher education course;
(72) a license fee or tax a municipality imposes in accordance with Subsection
10-1-203
(5) on a purchaser from a business for which the municipality provides an enhanced
level of municipal services;
(73) amounts paid or charged for construction materials used in the construction of a
new or expanding life science research and development facility in the state, if the construction
materials are:
(a) clearly identified;
(b) segregated; and
(c) installed or converted to real property;
(74) amounts paid or charged for:
(a) a purchase or lease of machinery and equipment that:
(i) are used in performing qualified research:
(A) as defined in Section 41(d), Internal Revenue Code; and
(B) in the state; and
(ii) have an economic life of three or more years; and
(b) normal operating repair or replacement parts:
(i) for the machinery and equipment described in Subsection (74)(a); and
(ii) that have an economic life of three or more years;
(75) a sale or lease of tangible personal property used in the preparation of prepared
food if:
(a) for a sale:
(i) the ownership of the seller and the ownership of the purchaser are identical; and
(ii) the seller or the purchaser paid a tax under this chapter on the purchase of that
tangible personal property prior to making the sale; or
(b) for a lease:
(i) the ownership of the lessor and the ownership of the lessee are identical; and
(ii) the lessor or the lessee paid a tax under this chapter on the purchase of that tangible
personal property prior to making the lease;
(76) (a) purchases of machinery or equipment if:
(i) the purchaser is an establishment described in NAICS Subsector 713, Amusement,
Gambling, and Recreation Industries, of the 2012 North American Industry Classification
System of the federal Executive Office of the President, Office of Management and Budget;
(ii) the machinery or equipment:
(A) has an economic life of three or more years; and
(B) is used by one or more persons who pay admission or user fees described in
Subsection 
59-12-103
(1)(f) to the purchaser of the machinery and equipment; and
(iii) 51% or more of the purchaser's sales revenue for the previous calendar quarter is:
(A) amounts paid or charged as admission or user fees described in Subsection
59-12-103
(1)(f); and
(B) subject to taxation under this chapter; and
(b) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
commission may make rules for verifying that 51% of a purchaser's sales revenue for the
previous calendar quarter is:
(i) amounts paid or charged as admission or user fees described in Subsection
59-12-103
(1)(f); and
(ii) subject to taxation under this chapter;
(77) purchases of a short-term lodging consumable by a business that provides
accommodations and services described in Subsection 
59-12-103
(1)(i);
(78) amounts paid or charged to access a database:
(a) if the primary purpose for accessing the database is to view or retrieve information
from the database; and
(b) not including amounts paid or charged for a:
(i) digital audio work;
(ii) digital audio-visual work; or
(iii) digital book;
(79) amounts paid or charged for a purchase or lease made by an electronic financial
payment service, of:
(a) machinery and equipment that:
(i) are used in the operation of the electronic financial payment service; and
(ii) have an economic life of three or more years; and
(b) normal operating repair or replacement parts that:
(i) are used in the operation of the electronic financial payment service; and
(ii) have an economic life of three or more years;
(80) [
beginning on April 1, 2013,
] sales of a fuel cell as defined in Section 
54-15-102
;
(81) amounts paid or charged for a purchase or lease of tangible personal property or a
product transferred electronically if the tangible personal property or product transferred
electronically:
(a) is stored, used, or consumed in the state; and
(b) is temporarily brought into the state from another state:
(i) during a disaster period as defined in Section 
53-2a-1202
;
(ii) by an out-of-state business as defined in Section 
53-2a-1202
;
(iii) for a declared state disaster or emergency as defined in Section 
53-2a-1202
; and
(iv) for disaster- or emergency-related work as defined in Section 
53-2a-1202
;
(82) sales of goods and services at a morale, welfare, and recreation facility, as defined
in Section 
39-9-102
, made pursuant to Title 39, Chapter 9, State Morale, Welfare, and
Recreation Program;
(83) amounts paid or charged for a purchase or lease of molten magnesium;
(84) amounts paid or charged for a purchase or lease made by a qualifying data center
or an occupant of a qualifying data center of machinery, equipment, or normal operating repair
or replacement parts, if the machinery, equipment, or normal operating repair or replacement
parts:
(a) are used in:
(i) the operation of the qualifying data center; or
(ii) the occupant's operations in the qualifying data center; and
(b) have an economic life of one or more years;
(85) sales of cleaning or washing of a vehicle, except for cleaning or washing of a
vehicle that includes cleaning or washing of the interior of the vehicle;
(86) amounts paid or charged for a purchase or lease of machinery, equipment, normal
operating repair or replacement parts, catalysts, chemicals, reagents, solutions, or supplies used
or consumed:
(a) by a refiner who owns, leases, operates, controls, or supervises a refinery as defined
in Section 
63M-4-701
 located in the state;
(b) if the machinery, equipment, normal operating repair or replacement parts,
catalysts, chemicals, reagents, solutions, or supplies are used or consumed in:
(i) the production process to produce gasoline or diesel fuel, or at which blendstock is
added to gasoline or diesel fuel;
(ii) research and development;
(iii) transporting, storing, or managing raw materials, work in process, finished
products, and waste materials produced from refining gasoline or diesel fuel, or adding
blendstock to gasoline or diesel fuel;
(iv) developing or maintaining a road, tunnel, excavation, or similar feature used in
refining; or
(v) preventing, controlling, or reducing pollutants from refining; and
(c) [
beginning on July 1, 2021,
] if the person holds a valid refiner tax exemption
certification as defined in Section 
63M-4-701
;
(87) amounts paid to or charged by a proprietor for accommodations and services, as
defined in Section 
63H-1-205
, if the proprietor is subject to the MIDA accommodations tax
imposed under Section 
63H-1-205
;
(88) amounts paid or charged for a purchase or lease of machinery, equipment, normal
operating repair or replacement parts, or materials, except for office equipment or office
supplies, by an establishment, as the commission defines that term in accordance with Title
63G, Chapter 3, Utah Administrative Rulemaking Act, that:
(a) is described in NAICS Code 621511, Medical Laboratories, of the 2017 North
American Industry Classification System of the federal Executive Office of the President,
Office of Management and Budget;
(b) is located in this state; and
(c) uses the machinery, equipment, normal operating repair or replacement parts, or
materials in the operation of the establishment; and
(89) amounts paid or charged for an item exempt under Section 
59-12-104.10
.
Section 41. Section 
59-12-209
 is amended to read:
59-12-209.
Participation of qualifying jurisdictions in administration and
enforcement of certain local sales and use taxes -- Petition for reconsideration relating to
the redistribution of certain sales and use tax revenues.
(1) As used in this section, "qualifying jurisdiction" means the same as that term is
defined in Section 
59-1-403
.
[
(1)
] 
(2)
 Notwithstanding Title 63G, Chapter 4, Administrative Procedures Act, a
[
county, city, or town
] 
qualifying jurisdiction
 does not have the right to any of the following,
except as specifically allowed by Subsection [
(2)
] 
(3)
 and Section 
59-12-210
:
(a) to inspect, review, or have access to any taxpayer sales and use tax records; or
(b) to be informed of, participate in, intervene in, or appeal from any adjudicative
proceeding commenced pursuant to Section 
63G-4-201
 to determine the liability of any
taxpayer for sales and use taxes imposed pursuant to this chapter.
[
(2)
] 
(3)
 (a) [
Counties, cities, and towns
] 
A qualifying jurisdiction
 shall have access to
records and information on file with the commission, and shall have the right to notice of, and
rights to intervene in or to appeal from, a proposed final agency action of the commission as
provided in this Subsection [
(2)
] 
(3)
.
(b) If the commission, following a formal adjudicative proceeding commenced
pursuant to Title 63G, Chapter 4, Administrative Procedures Act, proposes to take final agency
action that would reduce the amount of sales and use tax liability alleged in the notice of
deficiency, the commission shall provide notice of a proposed agency action to each [
qualified
county, city, and town. (c) For purposes of this Subsection (2), a county, city, or town is a
qualified county, city, or town if a
] 
qualifying jurisdiction if the
 proposed final agency action
reduces a tax under this chapter distributable to that [
county, city, or town
] 
qualifying
jurisdiction
 by more than $10,000 below the amount of the tax that would have been
distributable to that [
county, city, or town
] 
qualifying jurisdiction
 had a notice of deficiency, as
described in Section 
59-1-1405
, not been reduced.
[
(d)
] 
(c)
 A [
qualified county, city, or town
] 
qualifying jurisdiction that receives notice
described in Subsection (3)(b)
 may designate a representative who shall have the right to
review the record of the formal hearing and any other commission records relating to a
proposed final agency action subject to the confidentiality provisions of Section 
59-1-403
.
[
(e)
] 
(d)
 No later than 10 days after receiving the notice of the commission's proposed
final agency action, a [
qualified county, city, or town
] 
qualifying jurisdiction
 may file a notice
of intervention with the commission.
[
(f)
] 
(e)
 No later than 20 days after filing a notice of intervention, if a [
qualified county,
city, or town
] 
qualifying jurisdiction
 objects to the proposed final agency action, that [
qualified
county, city, or town
] 
qualifying jurisdiction
 may file a petition for reconsideration with the
commission and shall serve copies of the petition on the taxpayer and the appropriate division
in the commission.
[
(g)
] 
(f)
 The taxpayer and appropriate division in the commission may each file a
response to the petition for reconsideration within 20 days of receipt of the petition for
reconsideration.
[
(h)
] 
(g)
 (i) After consideration of the petition for reconsideration and any response,
and any additional proceeding the commission considers appropriate, the commission may
affirm, modify, or amend its proposed final agency action.
(ii) A taxpayer and any [
qualified county, city, or town
] 
qualifying jurisdiction
 that has
filed a petition for reconsideration may appeal the final agency action.
[
(i)
] 
(h)
 (i) Notwithstanding Subsections [
(2)
] 
(3)
(a) through [
(h)
] 
(g)
 and subject to
Subsection [
(2)(i)
] 
(3)(h)
(ii), the following may file a petition for reconsideration with the
commission:
(A) an original recipient political subdivision as defined in Section 
59-12-210.1
 that
receives a notice from the commission in accordance with Subsection 
59-12-210.1
(2); or
(B) a secondary recipient political subdivision as defined in Section 
59-12-210.1
 that
receives a notice from the commission in accordance with Subsection 
59-12-210.1
(2).
(ii) An original recipient political subdivision or secondary recipient political
subdivision that files a petition for reconsideration with the commission under Subsection
[
(2)(i)
] 
(3)(h)
(i) shall file the petition no later than 20 days after the later of:
(A) the date the original recipient political subdivision or secondary recipient political
subdivision receives the notice described in Subsection [
(2)(i)
] 
(3)(h)
(i) from the commission;
or
(B) the date the commission makes the redistribution as defined in Section 
59-12-210.1
that is the subject of the notice described in Subsection [
(2)(i)
] 
(3)(h)
(i).
Section 42. Section 
59-12-210
 is amended to read:
59-12-210.
Commission to provide data to counties.
(1) As used in this section, "qualifying jurisdiction" means the same as that term is
defined in Section 
59-1-403
.
[
(1)
] 
(2)
 (a) The commission shall provide to each [
county
] 
qualifying jurisdiction
 the
sales and use tax collection data necessary to verify that sales and use tax revenues collected by
the commission are distributed to each [
county, city, and town
] 
qualifying jurisdiction
 in
accordance with Sections 
59-12-211
 through 
59-12-215
.
(b) The data described in Subsection [
(1)
] 
(2)
(a) shall include the commission's reports
of seller sales, sales and use tax distribution reports, and a breakdown of local revenues.
[
(2)
] 
(3)
 (a) In addition to the access to information provided in Subsection (1) and
Section 
59-12-109
, the commission shall provide a [
county, city, or town
] 
qualifying
jurisdiction
 with copies of returns and other information required by this chapter relating to a
tax under this chapter.
(b) The information described in Subsection [
(2)
] 
(3)
(a) is available only in official
matters and must be requested in writing by the chief executive officer or the chief executive
officer's designee.
(c) The request described in Subsection [
(2)
] 
(3)
(b) shall specifically indicate the
information being sought and how the information will be used.
(d) Information received pursuant to the request described in Subsection [
(2)
] 
(3)
(b)
shall be:
(i) classified as private or protected under Section 
63G-2-302
 or 
63G-2-305
; and
(ii) subject to the confidentiality provisions of Section 
59-1-403
.
Section 43. Section 
59-14-212
 is amended to read:
59-14-212.
Reporting of imported cigarettes -- Penalty.
(1) Except as provided under Subsection (2), any manufacturer, distributor, wholesaler,
or retail dealer who under Section 
59-14-205
 affixes a stamp to an individual package or
container of cigarettes imported to the United States shall provide to the commission the
following as they pertain to the imported cigarettes:
(a) a copy of the importer's federal import permit;
(b) the customs form showing the tax information required by federal law;
(c) a statement signed under penalty of perjury by the manufacturer or importer that the
manufacturer or importer has complied with:
(i) 15 U.S.C. 1333 of the Federal Cigarette Labeling and Advertising Act, regarding
warning labels and other package information; and
(ii) 15 U.S.C. 1335a of the Federal Cigarette Labeling and Advertising Act, regarding
reporting of added ingredients;
(d) the name of the person from whom the person affixing the stamp received the
cigarettes;
(e) the name of the person to whom the person affixing the stamp delivered the
cigarettes, unless the person receiving the cigarettes was the ultimate consumer;
(f) the quantity of cigarettes in the package or container; and
(g) the brand and brand style of the cigarettes.
(2) Subsection (1) does not apply to cigarettes sold or intended to be sold as duty-free
merchandise by a duty-free sales enterprise in accordance with the provisions of 19 U.S.C.
1555(b) and any implementing regulations unless the cigarettes are brought back into the
customs territory for resale within the customs territory.
(3) The information under Subsection (1) shall be provided on a quarterly basis on
forms specified by the agency.
(4) A person who fails to comply with the reporting requirement or provides false or
misleading information under Subsection (1):
(a) is guilty of a class B misdemeanor; and
(b) may be subject to:
(i) revocation or suspension of a license issued under Section 
59-14-202
; and
(ii) a civil penalty imposed by the commission in an amount not to exceed the greater
of:
(A) 500% of the retail value of the cigarettes for which a report was not properly made;
or
(B) $5,000.
(5) The information under Subsection (1) may be disclosed by the commission as
provided under Subsection 
59-1-403
[
(3)
]
(4)
(g).
Section 44. Section 
62A-11-328
 is amended to read:
62A-11-328.
Information received from State Tax Commission provided to other
states' child support collection agencies.
The office shall, upon request, provide to any other state's child support collection
agency the information which it receives from the State Tax Commission under Subsection
59-1-403
[
(3)
]
(4)
(l), with regard to a support debt which that agency is involved in enforcing.
Section 45. Section 
63G-2-302
 is amended to read:
63G-2-302.
Private records.
(1) The following records are private:
(a) records concerning an individual's eligibility for unemployment insurance benefits,
social services, welfare benefits, or the determination of benefit levels;
(b) records containing data on individuals describing medical history, diagnosis,
condition, treatment, evaluation, or similar medical data;
(c) records of publicly funded libraries that when examined alone or with other records
identify a patron;
(d) records received by or generated by or for:
(i) the Independent Legislative Ethics Commission, except for:
(A) the commission's summary data report that is required under legislative rule; and
(B) any other document that is classified as public under legislative rule; or
(ii) a Senate or House Ethics Committee in relation to the review of ethics complaints,
unless the record is classified as public under legislative rule;
(e) records received by, or generated by or for, the Independent Executive Branch
Ethics Commission, except as otherwise expressly provided in Title 63A, Chapter 14, Review
of Executive Branch Ethics Complaints;
(f) records received or generated for a Senate confirmation committee concerning
character, professional competence, or physical or mental health of an individual:
(i) if, prior to the meeting, the chair of the committee determines release of the records:
(A) reasonably could be expected to interfere with the investigation undertaken by the
committee; or
(B) would create a danger of depriving a person of a right to a fair proceeding or
impartial hearing; and
(ii) after the meeting, if the meeting was closed to the public;
(g) employment records concerning a current or former employee of, or applicant for
employment with, a governmental entity that would disclose that individual's home address,
home telephone number, social security number, insurance coverage, marital status, or payroll
deductions;
(h) records or parts of records under Section 
63G-2-303
 that a current or former
employee identifies as private according to the requirements of that section;
(i) that part of a record indicating a person's social security number or federal employer
identification number if provided under Section 
31A-23a-104
, 
31A-25-202
, 
31A-26-202
,
58-1-301
, 
58-55-302
, 
61-1-4
, or 
61-2f-203
;
(j) that part of a voter registration record identifying a voter's:
(i) driver license or identification card number;
(ii) social security number, or last four digits of the social security number;
(iii) email address; or
(iv) date of birth;
(k) a voter registration record that is classified as a private record by the lieutenant
governor or a county clerk under Subsection 
20A-2-101.1
(5)(a), 
20A-2-104
(4)(h), or
20A-2-204
(4)(b);
(l) a voter registration record that is withheld under Subsection 
20A-2-104
(7);
(m) a withholding request form described in Subsections 
20A-2-104
(7) and (8) and any
verification submitted in support of the form;
(n) a record that:
(i) contains information about an individual;
(ii) is voluntarily provided by the individual; and
(iii) goes into an electronic database that:
(A) is designated by and administered under the authority of the Chief Information
Officer; and
(B) acts as a repository of information about the individual that can be electronically
retrieved and used to facilitate the individual's online interaction with a state agency;
(o) information provided to the Commissioner of Insurance under:
(i) Subsection 
31A-23a-115
(3)(a);
(ii) Subsection 
31A-23a-302
(4); or
(iii) Subsection 
31A-26-210
(4);
(p) information obtained through a criminal background check under Title 11, Chapter
40, Criminal Background Checks by Political Subdivisions Operating Water Systems;
(q) information provided by an offender that is:
(i) required by the registration requirements of Title 77, Chapter 41, Sex and Kidnap
Offender Registry or Title 77, Chapter 43, Child Abuse Offender Registry; and
(ii) not required to be made available to the public under Subsection 
77-41-110
(4) or
77-43-108
(4);
(r) a statement and any supporting documentation filed with the attorney general in
accordance with Section 
34-45-107
, if the federal law or action supporting the filing involves
homeland security;
(s) electronic toll collection customer account information received or collected under
Section 
72-6-118
 and customer information described in Section 
17B-2a-815
 received or
collected by a public transit district, including contact and payment information and customer
travel data;
(t) an email address provided by a military or overseas voter under Section
20A-16-501
;
(u) a completed military-overseas ballot that is electronically transmitted under Title
20A, Chapter 16, Uniform Military and Overseas Voters Act;
(v) records received by or generated by or for the Political Subdivisions Ethics Review
Commission established in Section 
63A-15-201
, except for:
(i) the commission's summary data report that is required in Section 
63A-15-202
; and
(ii) any other document that is classified as public in accordance with Title 63A,
Chapter 15, Political Subdivisions Ethics Review Commission;
(w) a record described in Section 
53G-9-604
 that verifies that a parent was notified of
an incident or threat;
(x) a criminal background check or credit history report conducted in accordance with
Section 
63A-3-201
;
(y) a record described in Subsection 
53-5a-104
(7);
(z) the following portions of a record maintained by a county for the purpose of
administering property taxes, an individual's:
(i) email address;
(ii) phone number; or
(iii) personal financial information related to a person's payment method; [
and
]
(aa) a record concerning an individual's eligibility for an exemption, deferral,
abatement, or relief under:
(i) Title 59, Chapter 2, Part 11, Exemptions, Deferrals, and Abatements;
(ii) Title 59, Chapter 2, Part 12, Property Tax Relief;
(iii) Title 59, Chapter 2, Part 18, Tax Deferral and Tax Abatement; or
(iv) Title 59, Chapter 2, Part 19, Armed Forces Exemptions[
.
]
; and
(bb) a record provided by the State Tax Commission in response to a request under
Subsection 
59-1-403
(3)(y)(iii).
(2) The following records are private if properly classified by a governmental entity:
(a) records concerning a current or former employee of, or applicant for employment
with a governmental entity, including performance evaluations and personal status information
such as race, religion, or disabilities, but not including records that are public under Subsection
63G-2-301
(2)(b) or 
63G-2-301
(3)(o) or private under Subsection (1)(b);
(b) records describing an individual's finances, except that the following are public:
(i) records described in Subsection 
63G-2-301
(2);
(ii) information provided to the governmental entity for the purpose of complying with
a financial assurance requirement; or
(iii) records that must be disclosed in accordance with another statute;
(c) records of independent state agencies if the disclosure of those records would
conflict with the fiduciary obligations of the agency;
(d) other records containing data on individuals the disclosure of which constitutes a
clearly unwarranted invasion of personal privacy;
(e) records provided by the United States or by a government entity outside the state
that are given with the requirement that the records be managed as private records, if the
providing entity states in writing that the record would not be subject to public disclosure if
retained by it;
(f) any portion of a record in the custody of the Division of Aging and Adult Services,
created in Section 
62A-3-102
, that may disclose, or lead to the discovery of, the identity of a
person who made a report of alleged abuse, neglect, or exploitation of a vulnerable adult; and
(g) audio and video recordings created by a body-worn camera, as defined in Section
77-7a-103
, that record sound or images inside a home or residence except for recordings that: 
(i) depict the commission of an alleged crime;
(ii) record any encounter between a law enforcement officer and a person that results in
death or bodily injury, or includes an instance when an officer fires a weapon;
(iii) record any encounter that is the subject of a complaint or a legal proceeding
against a law enforcement officer or law enforcement agency;
(iv) contain an officer involved critical incident as defined in Subsection
76-2-408
(1)(f); or
(v) have been requested for reclassification as a public record by a subject or
authorized agent of a subject featured in the recording. 
(3) (a) As used in this Subsection (3), "medical records" means medical reports,
records, statements, history, diagnosis, condition, treatment, and evaluation.
(b) Medical records in the possession of the University of Utah Hospital, its clinics,
doctors, or affiliated entities are not private records or controlled records under Section
63G-2-304
 when the records are sought:
(i) in connection with any legal or administrative proceeding in which the patient's
physical, mental, or emotional condition is an element of any claim or defense; or
(ii) after a patient's death, in any legal or administrative proceeding in which any party
relies upon the condition as an element of the claim or defense.
(c) Medical records are subject to production in a legal or administrative proceeding
according to state or federal statutes or rules of procedure and evidence as if the medical
records were in the possession of a nongovernmental medical care provider.
Section 46. 
Repealer.
This bill repeals:
Section 
59-7-118.1
,
Modification of installment due date for deferred foreign
income tax.
Section 
59-7-504.1
,
Modification of estimated payment due date.
Section 
59-7-505.1
,
Modification of return due date and extension period.
Section 
59-7-507.1
,
Modification of time for payment of tax.
Section 
59-10-103.2
,
Additional chapter definitions.
Section 
59-10-114.1
,
Additional subtraction from income.
Section 
59-10-514.2
,
Modification of return due date.
Section 
59-10-516.1
,
Modification of extension dates and requirements.
Section 
59-10-522.1
,
Limitation on commission authority to extend the time for
payment of tax.
Section 
59-10-1403.4
,
Modification of return filing requirements for pass-through
entity.
Section 
59-12-103.3
,
Sales and use tax base -- Rate for locomotive fuel.
Section 47. 
Retrospective operation.
The following sections have retrospective operation for a taxable year beginning on or
after January 1, 2021:
(1) Section 
59-7-610
;
(2) Section 
59-7-620
;
(3) Section 
59-10-1007
;
(4) Section 
59-10-1017
;
(5) Section 
59-10-1017.1
;
(6) Section 
59-10-1022
;
(7) Section 
59-10-1023
;
(8) Section 
59-10-1028
;
(9) Section 
59-10-1035
;
(10) Section 
59-10-1036
; and
(11) Section 
59-10-1403.3
.
Section 48. 
 Coordinating H.B. 30 with S.B. 58 -- Omitting substantive changes.
If this H.B. 30 and S.B. 58, Metro Township Amendments, both pass and become law,
it is the intent of the Legislature that the Office of Legislative Research and General Counsel,
in preparing the Utah Code database for publication, delete Subsection 
10-3c-204
(2) enacted
by S.B. 58 and renumber the remaining subsections accordingly.
Section 49. 
 Coordinating H.B. 30 with S.B. 233 -- Superseding technical and
substantive amendments -- Omitting substantive changes.
If this H.B. 30 and S.B. 233 Military Installation Development Authority Amendments,
both pass and become law, it is the intent of the Legislature that when the Office of Legislative
Research and General Counsel prepares the Utah Code database for publication:
(1) the amendments to Sections 
59-12-209
 and 
59-12-210
 in this bill supersede the
amendments to Sections 
59-12-209
 and 
59-12-210
 in S.B. 233; and
(2) the Office of Legislative Research and General Counsel not make the changes in
S.B. 233 to Sections 
10-1-304
 and 
59-12-102
.