MINUTES OF THE

HOUSE REVENUE AND TAXATION

STANDING COMMITTEE

Room 445, State Capitol

March 10, 2015

Members Present:                Rep. Daniel McCay, Chair

                                                Rep. Jeremy A. Peterson, Vice Chair

                                                Rep. Rich Cunningham                                                                                                          Rep. Brian M. Greene

                                                Rep. Eric K. Hutchings

                                                Rep. Ken Ivory                                                                                                                       Rep. Brian S. King

                                                Rep. John Knotwell

                                                Rep. Mike K. McKell

                                                Rep. Douglas V. Sagers

                                                Rep. Jon E. Stanard

Members Absent:                 Rep. Joel K. Briscoe

                                                Rep. Gage Froerer

Staff Present:                        Leif G. Elder, Policy Analyst

                                                An Bradshaw, Secretary

NOTE: A list of visitors and a copy of handouts are filed with the committee minutes.

Vice Chair Peterson called the meeting to order at 8:19 a.m.

MOTION:     Rep. Ivory moved to approve the minutes of the March 3, March 5, and March 6, 2015 meetings. The motion passed unanimously with Rep. Cunningham, Rep. King, Rep. McCay, Rep. McKell, and Rep. Stanard absent for the vote.

S.B. 192          Sales and Use Tax Revisions (Sen. W. Harper)

Sen. Harper explained the bill to the committee.

Chair McCay assumed the chair.

Spoke for the bill:                   Dave Davis, Utah Food Industry Association and Utah Retail                                                 Merchants Association

Spoke to the bill:                    Gary Thorup, counsel, eBay

Spoke against the bill:            George Chapman, citizen

MOTION:     Rep. Hutchings moved to adopt 1st Sub. S.B. 192. The motion passed unanimously with Rep. Cunningham and Rep. Stanard absent for the vote.

MOTION:     Rep. Knotwell moved to hold the bill.

SUBSTITUTE MOTION:   Rep. Hutchings moved to pass the bill out favorably. The motion failed with Rep. Cunningham, Rep. Hutchings, Rep. Peterson, and Rep. Sagers voting in favor and Rep. Stanard absent for the vote.

SUBSTITUTE MOTION:   Rep. Knotwell moved to move on to the next item on the agenda. The motion passed unanimously with Rep. Stanard absent for the vote.

H.B. 71           Sales Tax Rebate Amendments (Rep. S. Eliason)

Rep. Eliason explained the bill to the committee. "HB 71 Analysis" was distributed to the committee.

Spoke for the bill:                   Billy Hesterman, Utah Taxpayers Association

Spoke against the bill:            Kate Bradshaw, Utah Food Industry Association and Utah Retail                                                 Merchants Association

MOTION:     Rep. McCay moved to amend the bill as follows:

1.    Page 4, Lines 113 through 115:      

113 (5) (a) Subject to Subsections (5)(b) through (d), a seller that voluntarily collects and

114remits a tax in accordance with Subsection 59-12-107(2)(c)(i) may retain an amount equal to

115[18%] {  35%  }  40%  of any amounts the seller would otherwise remit to the commission:

The motion passed with Rep. Greene voting in opposition and Rep. Peterson absent for the vote.

MOTION:     Rep. Cunningham moved to send the bill to the Rules Committee for interim study. The motion passed unanimously with Rep. Hutchings voting in opposition and Rep. Peterson absent for the vote.

MOTION:     Rep. Cunningham moved to adjourn. The motion passed unanimously with Rep. Peterson absent for the vote.

Chair McCay adjourned the meeting at 9:31 a.m.

Daniel McCay, chair