First Substitute S.B. 96

Representative Kevin S. Garn proposes the following substitute bill:

1 MULTI-CHANNEL VIDEO OR AUDIO
2 SERVICE TAX ACT AMENDMENTS
3 2008 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Wayne L. Niederhauser
6 House Sponsor: Kevin S. Garn
7
8 LONG TITLE
9 General Description:
10 This bill amends the Multi-Channel Video or Audio Service Tax Act relating to the
11 calculation of the tax.
12 Highlighted Provisions:
13 This bill:
14 . provides that a county or municipality franchise fee a multi-channel video or audio
15 service provider pays, passes through to a purchaser, and separately states on the
16 purchaser's bill is not considered to be an amount paid or charged for purposes of
17 imposing the tax; and
18 . makes technical changes.
19 Monies Appropriated in this Bill:
20 None
21 Other Special Clauses:
22 This bill takes effect on January 1, 2009.
23 Utah Code Sections Affected:
24 AMENDS:
25 59-26-103, as last amended by Laws of Utah 2007, Chapter 288

26
27 Be it enacted by the Legislature of the state of Utah:
28 Section 1. Section 59-26-103 is amended to read:
29 59-26-103. Imposition of tax -- Rate.
30 (1) Subject to Subsection (2) and Section 59-26-104.5 , there is imposed as provided in
31 this part a tax on the purchaser equal to 6.25% of [amounts] the amount paid or charged for
32 multi-channel video or audio service provided by a multi-channel video or audio service
33 provider:
34 [(1)] (a) within the state; and
35 [(2)] (b) to the extent permitted by federal law.
36 (2) For purposes of Subsection (1), the amount paid or charged for multi-channel video
37 or audio service may not include a county or municipality franchise fee a multi-channel video
38 or audio service provider:
39 (a) pays;
40 (b) passes through to a purchaser; and
41 (c) separately states as a county or municipality franchise fee on a bill provided to the
42 purchaser described in Subsection (2)(b).
43 Section 2. Effective date.
44 This bill takes effect on January 1, 2009.