H.B. 53

1

REPEAL OF SALES TAX ON FOOD
2 1997 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Brad King
5 AN ACT RELATING TO THE SALES AND USE TAX ACT; EXEMPTING CERTAIN FOOD
6 PURCHASES FROM THE STATE PORTION OF THE SALES AND USE TAX; MAKING
7 TECHNICAL CHANGES; AND PROVIDING AN EFFECTIVE DATE.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 ENACTS:
10 59-12-104.2, Utah Code Annotated 1953
11 Be it enacted by the Legislature of the state of Utah:
12 Section 1. Section 59-12-104.2 is enacted to read:
13 59-12-104.2. Purchases of food exempt from the state portion of the sales and use tax
14 -- Local authority to levy a tax not limited by this section.
15 (1) (a) Subject to the provisions of Subsections (1)(b) and (c), for purposes of this section,
16 "food" is as defined in 7 U.S.C. Sec. 2012(g) under the Food Stamp Program, 7 U.S.C. Sec. 2011
17 et seq., regardless of whether the retailer from whom the food is purchased or the purchaser
18 participates in a federal or state food program.
19 (b) "Food" includes:
20 (i) hot or cold foods prepared for immediate consumption on or off the premises of a
21 retailer that does not meet the definition of a restaurant under Subsection 59-12-602(4); or
22 (ii) food sold through vending machines.
23 (c) "Food" does not include prepared foods or beverages that are sold by restaurants as
24 defined in Subsection 59-12-602(4).
25 (2) Beginning on July 1, 1997, purchases of food as defined in Subsection (1) are exempt
26 from the state portion of the sales and use tax under Subsection 59-12-103(2).
27 (3) The provisions of this section do not limit the authority provided to a county or a

1 municipality to levy a tax, including a tax on food, under Title 59, Chapter 12, Part 2, The Local
2 Sales and Use Tax Act.
3 Section 2. Effective date.
4 This act takes effect on July 1, 1997.




Legislative Review Note
as of 12-27-96 10:48 AM

A limited legal review of this bill raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

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