February 14, 2003
HOUSE BILL No. 1708
_____
DIGEST OF HB 1708
(Updated February 11, 2003 3:28 PM - DI 92)
Citations Affected: IC 6-2.5.
Synopsis: Sales tax on certain motor vehicles. Provides that certain
transactions involving a new motor vehicle are exempt from the state
gross retail tax.
Effective: July 1, 2003.
January 21, 2003, read first time and referred to Committee on Ways and Means.
February 13, 2003, reported _ Do Pass.
February 14, 2003
First Regular Session 113th General Assembly (2003)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
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Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
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NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
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HOUSE BILL No. 1708
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 6-2.5-5-8; (03)HB1708.1.1. -->
SECTION 1.
IC 6-2.5-5-8
IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2003]: Sec. 8.
(a) As used in this
section, "new motor vehicle" has the meaning set forth in
IC 9-13-2-111.
(b) Transactions involving tangible personal property
other than a
new motor vehicle are exempt from the state gross retail tax if the
person acquiring the property acquires it for resale, rental, or leasing in
the ordinary course of
his the person's business without changing the
form of the property.
However,
(c) The following transactions involving a new motor vehicle are
exempt from the state gross retail tax:
(1) A transaction in which a person that has a franchise in
effect at the time of the transaction for the vehicle trade name,
trade or service mark, or related characteristics acquires a
new motor vehicle for resale, rental, or leasing in the ordinary
course of the person's business.
(2) A transaction in which a person that is a franchisee
appointed by a manufacturer or converter manufacturer
licensed under IC 9-23 acquires a new motor vehicle that has
at least one (1) trade name, service mark, or related
characteristic as a result of modification or further
manufacture by the manufacturer or converter manufacturer
for resale, rental, or leasing in the ordinary course of the
person's business.
(3) A transaction in which a person acquires a new motor
vehicle for rental or leasing in the ordinary course of the
person's business.
(d) The rental or leasing of accommodations to a promoter by a
political subdivision (including a capital improvement board) or the
state fair commission is not exempt from the state gross retail tax, if the
rental or leasing of the property by the promoter is exempt under
IC 6-2.5-4-4.