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A. The Utah State Legislature has authorized municipalities of the State of Utah to adopt a municipal energy sales and use tax up to six percent (6%) of the delivered value of the taxable energy.
B. It is the purpose of this Chapter to levy and impose a six percent (6%) energy sales and use tax effective July 1, 1997, to authorize the Mayor to contract with the Utah State Tax Commission for the collection of the tax, and to conform with the requirements of Utah Code Annotated section 10-1-301 et seq., "The Municipal Energy Sales and Use Tax Act".
C. It is the intent of the City Council that the tax adopted herein will replace its existing utility revenue tax (Article B of this Chapter) as it applies to the sale of gas and electricity and that the payment of franchise fees under existing franchise ordinances shall be applied as credits against such tax.
D. It is not the intention of the City Council in adopting this ordinance to modify in any way the obligations imposed under existing franchises.
(1979 Code § 4.40.020; Ord. 97-55, 6-25-1997, eff. 6-30-1997)
There is imposed on every sale or use of taxable energy made within Ogden City a tax of six percent (6%) of the delivered value of taxable energy to the consumer. The tax imposed herein is in addition to any local option sales and use tax imposed by Ogden City as provided in Utah Code Annotated title 59, chapter 12, part 2, The Local Sales and Use Tax Act.
(1979 Code § 4.40.040; Ord. 97-55, 6-25-1997, eff. 6-30-1997)
A. Exemptions: The following are exempt from the tax imposed under this Article pursuant to the provisions of Utah Code Annotated section 10-1-305(2)(b):
1. The sales and use of aviation fuel, motor fuel, or special fuel subject to taxation under Utah Code Annotated title 59, chapter 13, Motor and Special Fuel Tax Act;
2. The sales and use of taxable energy that the City is prohibited from taxing under Federal law or the Constitution of the United States or the Utah Constitution;
3. The sales or use of taxable energy purchased or stored in the State for resale;
4. The sales or use of taxable energy to a person if the primary use is for use in compounding or producing taxable energy or a fuel subject to taxation under Utah Code Annotated title 59, chapter 13, Motor and Special Fuel Tax Act;
5. Taxable energy brought into the State by a nonresident for the nonresident's own personal use or enjoyment while within the State, except taxable energy purchased for use in the State by a nonresident living or working in the State at the time of purchase;
6. The sales or use of taxable energy for any purpose other than use as a fuel or energy; and
7. The sale of taxable energy for use outside a municipality imposing a municipal energy sales and use tax.
B. Credits: There is allowed a credit against the tax due under this Article for any contractual franchise fee paid where:
1. The taxpayer's energy supplier pays a contractual franchise fee to Ogden City pursuant to a franchise agreement in effect on July 1, 1997;
2. The contractual franchise is passed through by the energy supplier to the taxpayer as a separately-itemized charge; and
3. The energy supplier has accepted the franchise.
(1979 Code § 4.40.050; Ord. 97-55, 6-25-1997, eff. 6-30-1997)
A. Except as provided in subsection B of this Section and except insofar as they are inconsistent with the provisions of The Municipal Energy Sales and Use Tax Act, all of the provisions of Utah Code Annotated title 59, chapter 12, part 1, as amended, as they relate to sales and use taxes, are hereby adopted and made a part of this Article as though fully set forth herein.
B. The adoption and incorporation by reference of the provisions of Utah Code Annotated title 59, chapter 12, part 1, as amended, shall not include section 59-12-119 and the exemptions applicable to the State and local sales and use tax under section 59-12-104 and 59-12-104.1. Additionally:
1. The energy use and sales tax shall be calculated on the delivered value of the taxable energy to the consumer;
2. The name of this City as the taxing agency shall be substituted for that of the State when necessary for purposes of The Municipal Energy Sales and Use Tax Act; and
3. An additional license to collect the tax is not required if one has been issued under section 59-12-106.
C. Wherever, and to the extent that in Utah Code Annotated title 59, chapter 12, part 1, the State of Utah is named or referred to as the taxing agency, the name of this City shall be substituted therefor. Nothing in this Section shall be deemed to require substitution of the name of the City for the word "State" when the word is used as part of the title of the State Tax Commission, or of the Constitution of Utah, nor shall the name of the City be substituted for that of the State in any section when the result of that substitution would require action to be taken by or against the City, or any agency thereof, rather than by or against the State Tax Commission in performing the functions incident to the administration or operation of this Chapter.
D. The Mayor of Ogden City is authorized to contract with the State Tax Commission to have the Commission perform all functions relative to administration or operation of this Article; provided, that an energy supplier shall pay the tax imposed by this Article directly to Ogden City on a monthly basis, if the energy supplier estimates that the municipal energy sales and use tax collected annually by it from its Utah customers equals one million dollars ($1,000,000.00) or more, and the energy supplier collects the municipal energy sales and use tax. An energy supplier paying the municipal energy sales and use tax directly to the City may retain that percentage of the tax authorized under Utah Code Annotated subsection 59-12-108(3) for the energy supplier's costs of collecting and remitting the tax. The energy supplier shall remit the tax no later than forty five (45) days after the end of the month in which the tax was collected.
(1979 Code § 4.40.060; Ord. 97-55, 6-25-1997, eff. 6-30-1997)
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