This bill provides for reimbursement of property taxes.
This bill:
- defines terms;
- allows certain rental businesses to charge a fee on the rental of heavy equipment for reimbursement of property taxes (recovery fee);
- requires recovery fees to be separately itemized and clarifies that recovery fees are not subject to sales and use tax;
- prohibits a rental business from charging a recovery fee to a governmental entity;
- requires the State Tax Commission to coordinate with county auditors and the Multicounty Appraisal Trust to conduct a study on the recovery fee rate and provide a report with recommendations to the Legislature; and
- requires county auditors and the Multicounty Appraisal Trust to share requested information with the State Tax Commission for purposes of conducting the study.
Recommended by: Revenue and Taxation Interim Committee