Text: S03695 Text: S03697 Text: S03600 - S03699 Text: S Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Amend the Committee amendment, S-3686, to House
1 2 File 266, as passed by the House, as follows:
1 3 #1. Page 5, by inserting after line 41 the
1 4 following:
1 5 "Sec. . Section 422.42, subsections 1 and 14,
1 6 Code 1997, are amended to read as follows:
1 7 1. "Agricultural production" includes the
1 8 production of flowering, ornamental, or vegetable
1 9 plants in commercial greenhouses or otherwise and
1 10 production from aquaculture. "Agricultural products"
1 11 include flowering, ornamental, or vegetable plants and
1 12 those products of aquaculture.
1 13 14. "Retail sale" or "sale at retail" means the
1 14 sale to a consumer or to any person for any purpose,
1 15 other than for processing, for resale of tangible
1 16 personal property or taxable services, or for resale
1 17 of tangible personal property in connection with
1 18 taxable services; and includes the sale of gas,
1 19 electricity, water, and communication service to
1 20 retail consumers or users; but does not include
1 21 agricultural breeding livestock and domesticated fowl;
1 22 and does not include commercial fertilizer,
1 23 agricultural limestone, herbicide, pesticide,
1 24 insecticide, food, medication, or agricultural drain
1 25 tile, including installation of agricultural drain
1 26 tile, any of which are to be used in disease control,
1 27 weed control, insect control, or health promotion of
1 28 plants or livestock produced as part of agricultural
1 29 production for market; and does not include
1 30 electricity, steam, or any taxable service when
1 31 purchased and used in the processing of tangible
1 32 personal property intended to be sold ultimately at
1 33 retail. When used by a manufacturer of food products,
1 34 carbon dioxide in a liquid, solid, or gaseous form,
1 35 electricity, steam, and other taxable services are
1 36 sold for processing when used to produce marketable
1 37 food products for human consumption, including but not
1 38 limited to, treatment of material to change its form,
1 39 context, or condition, in order to produce the food
1 40 product, maintenance of quality or integrity of the
1 41 food product, changing or maintenance of temperature
1 42 levels necessary to avoid spoilage or to hold the food
1 43 product in marketable condition, maintenance of
1 44 environmental conditions necessary for the safe or
1 45 efficient use of machinery and material used to
1 46 produce the food product, sanitation and quality
1 47 control activities, formation of packaging, placement
1 48 into shipping containers, and movement of the material
1 49 or food product until shipment from the building of
1 50 manufacture. Tangible personal property is sold for
2 1 processing within the meaning of this subsection only
2 2 when it is intended that the property will, by means
2 3 of fabrication, compounding, manufacturing, or
2 4 germination become an integral part of other tangible
2 5 personal property intended to be sold ultimately at
2 6 retail; or will be consumed as fuel in creating heat,
2 7 power, or steam for processing including grain drying,
2 8 or for providing heat or cooling for livestock
2 9 buildings or for greenhouses or buildings or parts of
2 10 buildings dedicated to the production of flowering,
2 11 ornamental, or vegetable plants intended for sale in
2 12 the ordinary course of business, or for use in
2 13 cultivation of agricultural products by aquaculture,
2 14 or for generating electric current, or in implements
2 15 of husbandry engaged in agricultural production; or
2 16 the property is a chemical, solvent, sorbent, or
2 17 reagent, which is directly used and is consumed,
2 18 dissipated, or depleted, in processing personal
2 19 property which is intended to be sold ultimately at
2 20 retail or consumed in the maintenance or repair of
2 21 fabric or clothing, and which may not become a
2 22 component or integral part of the finished product.
2 23 The distribution to the public of free newspapers or
2 24 shoppers guides is a retail sale for purposes of the
2 25 processing exemption."
2 26 #2. Page 7, by inserting after line 21 the
2 27 following:
2 28 "Sec. . Section 422.45, subsection 39,
2 29 paragraphs a and c, Code 1997, are amended to read as
2 30 follows:
2 31 a. The implement, machinery, or equipment is
2 32 directly and primarily used in livestock or dairy
2 33 production, use in aquaculture production, or in the
2 34 production of flowering, ornamental, or vegetable
2 35 plants.
2 36 c. The replacement part is essential to any repair
2 37 or reconstruction necessary to the farm machinery's or
2 38 equipment's exempt use in livestock or dairy
2 39 production, use in aquaculture production, or in the
2 40 production of flowering, ornamental, or vegetable
2 41 plants."
2 42 #3. Page 7, by inserting after line 32 the
2 43 following:
2 44 "Sec. . Section 422.47, subsection 4, paragraph
2 45 f, Code 1997, is amended to read as follows:
2 46 f. In this section, "fuel" includes gas,
2 47 electricity, water, heat, steam, and any other
2 48 tangible personal property consumed in creating heat,
2 49 power, or steam. In this section, "fuel consumed in
2 50 processing" means fuel used or disposed of for
3 1 processing including grain drying, for providing heat
3 2 or cooling for livestock buildings or for greenhouses
3 3 or buildings or parts of buildings dedicated to the
3 4 production of flowering, ornamental, or vegetable
3 5 plants intended for sale in the ordinary course of
3 6 business, for use in aquaculture production, or for
3 7 generating electric current, or in implements of
3 8 husbandry engaged in agricultural production. In this
3 9 subsection, "fuel exemption certificate" means an
3 10 exemption certificate given by the purchaser under
3 11 penalty of perjury to assist retailers in properly
3 12 accounting for nontaxable sales of fuel consumed in
3 13 processing. In this subsection, "substantial change"
3 14 means a change in the use or disposition of tangible
3 15 personal property and services by the purchaser such
3 16 that the purchaser pays less than ninety percent of
3 17 the purchaser's actual sales tax liability. A change
3 18 includes a misstatement of facts in an application
3 19 made pursuant to paragraph "c" or in a fuel exemption
3 20 certificate."
3 21
3 22
3 23
3 24 ROBERT E. DVORSKY
3 25 HF 266.706 77
3 26 mg/sc/28
Text: S03695 Text: S03697 Text: S03600 - S03699 Text: S Index Bills and Amendments: General Index Bill History: General Index
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