Text: HF00656 Text: HF00658 Text: HF00600 - HF00699 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422.45, subsection 18, Code 1999, is 1 2 amended to read as follows: 1 3 18. Gross receipts from the sale of tangible personal 1 4 property, except vehicles subject to registration, to a person 1 5 regularly engaged in the business of leasingif the period of1 6the lease is for more than five monthsor renting, or a person 1 7 regularly engaged in the consumer rental purchase business if 1 8 the property is to be utilized in a transaction involving a 1 9 consumer rental purchase agreement as defined in section 1 10 537.3604, subsection 8, and the leasing, renting, or consumer 1 11 rental of the property is subject to taxation under this 1 12 division. If tangible personal property exempt under this 1 13 subsection is made use of for any purpose other than leasing, 1 14 renting, or consumer rental purchase, the person claiming the 1 15 exemption under this subsection is liable for the tax that 1 16 would have been due except for this subsection. The tax shall 1 17 be computed upon the original purchase price. The aggregate 1 18 of the tax paid on the leasing, renting, or rental purchase of 1 19 such tangible personal property, not to exceed the amount of 1 20 the sales tax owed, shall be credited against the tax. This 1 21 sales tax is in addition to any sales or use tax that may be 1 22 imposed as a result of the disposal of such tangible personal 1 23 property. 1 24 EXPLANATION 1 25 The bill exempts from the sales and use taxes the sale of 1 26 tangible personal property to a person regularly engaged in 1 27 the business of leasing or renting the property or regularly 1 28 engaged in the consumer rental purchase business. However, 1 29 the exemption only applies if the lease, rental, or consumer 1 30 rental of the tangible personal property is subject to sales 1 31 or use tax when it is leased or rented. If the property is 1 32 used for other than leasing or rental, then sales or use tax 1 33 is due with credit for the amount of sales or use tax paid if 1 34 previously leased or rented. 1 35 LSB 2985HV 78 2 1 mg/cf/24
Text: HF00656 Text: HF00658 Text: HF00600 - HF00699 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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