S.B. 65

1

PROPERTY TAX EXEMPTION FEE
2 1997 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: George Mantes
5 Leonard M. Blackham

6 AN ACT RELATING TO REVENUE AND TAXATION; MODIFYING THE UNIFORM FEE
7 ON VEHICLES AND OTHER PERSONAL PROPERTY; AND MAKING TECHNICAL
8 CORRECTIONS.
9 This act affects sections of Utah Code Annotated 1953 as follows:
10 AMENDS:
11 59-2-405, as last amended by Chapters 247 and 339, Laws of Utah 1995
12 59-2-407, as last amended by Chapter 339, Laws of Utah 1995
13 REPEALS:
14 59-2-404, as last amended by Chapter 223, Laws of Utah 1992
15 Be it enacted by the Legislature of the state of Utah:
16 Section 1. Section 59-2-405 is amended to read:
17 59-2-405. Uniform fee on tangible personal property required to be registered with
18 the state.
19 (1) The property described in [Subsection] Subsections (2)(a) and (b), except Subsections
20 (2)(b)(i) and [(c)] (ii), is exempt from ad valorem property taxes pursuant to Utah Constitution
21 Article XIII, Section 14.
22 (2) (a) There is [levied] imposed, in lieu of the ad valorem tax [an annual], a statewide
23 uniform fee [based] on [the value of] motor vehicles, watercraft, recreational vehicles, aircraft, and
24 all other tangible personal property required to be registered with the state before it is used on a
25 public highway, on a public waterway, on public land, or in the air.
26 (b) The following personal property is exempt from the statewide uniform fee imposed by
27 this section:

1 [(a) aircraft;]
2 [(b)] (i) vintage vehicles as defined in Section 41-21-1;
3 [(c)] (ii) interstate motor carriers entitled to protection under Title 49, Section 11503a of
4 the United States Code; and
5 [(d)] (iii) personal property that is exempt from state or county ad valorem property taxes
6 under the laws of this state or of the federal government.
7 (3) The uniform fee imposed by Subsection (2)(a) and administered under Section
8 59-2-407 is [1.7% of the fair market value of the personal property, as established by the
9 commission.]:
10 (a) for aircraft, as follows:
11 jet aircraft $500
12 turbo prop aircraft $350
13 helicopters $350
14 piston driven aircraft $250
15 gliders, balloons, and all other aircraft
16 required to be registered $100;
17 (b) for watercraft, as follows:
18 20 feet or less in length $50
19 over 20 feet and under 50 feet in length $100
20 50 feet or more in length $300; and
21 (c) for all motor vehicles, including recreational vehicles, trailers, and other vehicles
22 required to be registered and:
23 (i) weighing less than 12,000 pounds, as follows:
24 less than three years old $100
25 three or more but less than six years old $ 80
26 six or more but less than nine years old $ 60
27 nine or more but less than 12 years old $ 40
28 12 or more years old $ 20;
29 (ii) weighing 12,000 pounds or more but less than 18,000 pounds, as follows:
30 less than three years old $150
31 three or more but less than six years old $120

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1 six or more but less than nine years old $ 90
2 nine or more but less than 12 years old $ 60
3 12 or more years old $ 30; and
4 (iii) weighing 18,000 pounds or more, as follows:
5 less than three years old $300
6 three or more but less than six years old $240
7 six or more but less than nine years old $180
8 nine or more but less than 12 years old $120
9 12 or more years old $60.
10 (4) Notwithstanding Section 59-2-407, property subject to the uniform fee that is brought
11 into the state and is required to be registered in Utah shall, as a condition of registration, be subject
12 to the uniform fee unless all property taxes or uniform fees imposed by the state of origin have
13 been paid for the current calendar year.
14 (5) (a) The revenues collected in each county from the uniform fee shall be distributed by
15 the county to each taxing entity in which the property described in Subsection (2) is located in the
16 same proportion in which revenue collected from ad valorem real property tax is distributed.
17 (b) Each taxing entity shall distribute the revenues received under Subsection (5)(a) in the
18 same proportion in which revenue collected from ad valorem real property tax is distributed.
19 [(6) Appeals of the valuation of the tangible personal property described in Subsection (2)
20 shall be filed pursuant to Section 59-2-1005.]
21 Section 2. Section 59-2-407 is amended to read:
22 59-2-407. Administration of uniform fee.
23 (1) The uniform fee authorized in [Sections 59-2-404 and] Section 59-2-405, excluding
24 Subsection 59-2-405(4), shall be assessed:
25 (a) upon the owner at the same time and in the same manner as ad valorem personal
26 property taxes under Title 59, Chapter 2, Part 13, Collection of Taxes, except that in listing
27 personal property subject to the uniform fee with real property, as permitted by Section 59-2-1302,
28 the assessor shall list only the amount of the uniform fee due[, and not the taxable value of the
29 property subject to the uniform fee]; and
30 (b) upon the transferee at the time of a transfer of title.
31 (2) The remedies for nonpayment of the uniform fees authorized by Sections 59-2-404 and

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1 59-2-405 shall be the same as those provided in Title 59, Chapter 2, Part 13, Collection of Taxes,
2 for nonpayment of ad valorem personal property taxes.
3 Section 3. Repealer.
4 This act repeals:
5 Section 59-2-404, Uniform tax on aircraft -- Collection of tax by county -- Distribution
6 of taxes -- Rules to implement section.




Legislative Review Note
as of 2-6-97 10:39 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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