Use tax: imposition of tax; presumption

*This information is for Model City Tax Code purposes only

 

(a) There is hereby levied and imposed, subject to all other provisions of this Chapter, an excise tax on the storage or use in the City of tangible personal property, for the purpose of raising revenue to be used in defraying the necessary expenses of the City, such taxes to be collected by the Tax Collector.

(b) The tax rate shall be at an amount equal to _______ percent (___%) of the:

(1) cost of tangible personal property acquired from a retailer, upon every person storing or using such property in this City.

++(Local Option #LL:

(1) cost of tangible personal property, except jet fuel, acquired from a retailer, upon every person storing or using such property in this City.)++

(2) gross income from the business activity upon every person meeting the requirements of subsection ___-620(b) or (c) who is engaged or continuing in the business activity of sales, rentals, leases, or licenses of tangible personal property to persons within the City for storage or use within the City, to the extent that tax has been collected upon such transaction.

(3) cost of the tangible personal property provided under the conditions of a warranty, maintenance, or service contract.

(4) cost of complimentary items provided to patrons without itemized charge by a restaurant, hotel, or other business.

(5) cost of food consumed by the owner or by employees or agents of the owner of a restaurant or bar subject to the provisions of Section ___-455 of this Chapter.

++(Local Option #AA:

(5) (Reserved))++

(c) It shall be presumed that all tangible personal property acquired by any person who at the time of such acquisition resides in the City is acquired for storage or use in this City, until the contrary is established by the taxpayer.

(d) Exclusions. For the purposes of this Article, the acquisition of the following shall not be deemed to be the purchase, rental, lease, or license of tangible personal property for storage or use within the City:

(1) stocks, bonds, options, or other similar materials.

(2) lottery tickets or shares sold pursuant to Article I, Chapter 5, Title 5, Arizona Revised Statutes.

(3) Platinum, bullion, or monetized bullion, except minted or manufactured coins transferred or acquired primarily for their numismatic value as prescribed by Regulation.

(e) (Reserved)

++(Local Option #V:

(e) Notwithstanding the provisions of subsection (a) above, when the amount subject to the tax for any single item of tangible personal property exceeds __________ dollars ($_______), the _______ percent (___%) tax rate shall apply to the first $__________. Above $___________, the measure of tax shall be at a rate of _______ percent (___%).)++

(f) (Reserved)

++(Local Option #LL:

(f) Additional Imposition. The tax rate shall be at an amount equal to ______ cents per gallon of jet fuel upon every person storing or using such property in this City.)++