H.B. 234 Enrolled

1

CORPORATE FRANCHISE AND INCOME TAX FINE AND
2 PENALTY AMENDMENTS
3 2013 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Brian M. Greene
6 Senate Sponsor: John L. Valentine
7
8 LONG TITLE
9 General Description:
10 This bill amends fine and penalty provisions related to corporate franchise and income
11 taxes.
12 Highlighted Provisions:
13 This bill:
14 . repeals a fine and penalty for conducting certain business activities after a
15 suspension or forfeiture of certain business rights for failure to pay a tax; and
16 . makes technical and conforming changes.
17 Money Appropriated in this Bill:
18 None
19 Other Special Clauses:
20 None
21 Utah Code Sections Affected:
22 AMENDS:
23 59-7-535, as renumbered and amended by Laws of Utah 1993, Chapter 169
24
25 Be it enacted by the Legislature of the state of Utah:
26 Section 1. Section 59-7-535 is amended to read:
27 59-7-535. Doing business after suspension or forfeiture of certain corporate
28 powers, rights, and privileges -- Penalty.
29 [(1) Pursuant to any suspension or forfeiture under Section 59-7-534 , any person who]

30 (1) A person is guilty of a class B misdemeanor if:
31 (a) the person's corporate powers, rights, and privileges have been suspended in
32 accordance with Section 59-7-534 ; and
33 (b) the person:
34 (i) attempts or purports to exercise any of the rights, privileges, or powers of [any] a
35 suspended domestic corporation[,]; or [who]
36 (ii) transacts or attempts to transact any intrastate business in this state in behalf of
37 [any] a forfeited foreign corporation[, is guilty of a class B misdemeanor. A fine shall be
38 imposed of not less than $250, and a penalty of imprisonment shall be imposed of not less than
39 50 days in the county jail].
40 (2) Jurisdiction of the offense shall be in any county in which any part of [the
41 attempted exercise of the powers, or any part of the transaction of business] an action described
42 in Subsection (1)(b) occurred.
43 (3) Any contract made in violation of this section is unenforceable by [the] a
44 corporation or person described in Subsection (1).

[Bill Documents]