REVISED
STATEMENT OF PURPOSE
RS28294 / H0210
This legislation corrects recent tax commission changes to the long-standing enforcement policy contained
within 63-3622R and Sales and Use Tax Administrative Rule 107. This arbitrary change in enforcement,
enacted without statutory authority, taxes out-of-state businesses Idaho sales tax, even though the vehicle/vessel
purchased is titled and registered outside the state of Idaho.
This bill simply requires that corporations, partnerships, limited liability companies, or other organizations
are treated as non-resident individuals for sales tax purposes on the purchase of the following: Automobiles,
Motorcycles, Trucks, Trailers, Snowmobiles, All-Terrain Vehicles, Specially Off Hwy Vehicles, Utility Type
Vehicles, Vessels w/o motors 11' or more in length, Vessels with a motor regardless of length
FISCAL NOTE
This legislation has little negative impact to the general fund as past enforcement policy has not collected sales
tax. In fact, this legislation will protect the general fund by encouraging out of state businesses to continue
buying in Idaho, supporting local Idaho businesses, the Idahoans they employ, the Idaho families they support,
and the Idaho income tax revenue generated as a result.
Contact:
Representative Terry Gestrin
(208) 332-1000
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN REVISED: 02/23/2021, 9:51 AM


Statutes affected:
Bill Text: 63-3621, 63-3622R