§ 4-3-3-1 PROPERTY AND SERVICES TAXED.
   There is levied, and there shall be collected and paid a sales tax in the amount stated in § 4-3-3-3 of this § 4-3-3 as follows.
   (A)   Tangible personal property. On the purchase price paid or charged upon all sales, purchases, rentals and leases of tangible personal property at retail, including without limitation, on the purchase price paid or charged for “digital products” and “internet subscription services” as those terms are defined in § 4-3-1-2 of this chapter.
   (B)   Exchange of property. In the case of retail sales involving the exchange of property, on the purchase price paid or charged, including the fair market value of the property exchanged at the time and place of the exchange, excluding, however, from the consideration of the purchase price, the fair market value of the exchanged property, provided that such exchanged property is to be sold thereafter in the usual course of the retailer’s business.
   (C)   Telephone, telegraph, telecommunications. Upon telephone and telegraph services, whether furnished by public or private corporations or enterprises, for all intrastate telecommunication services originating from or received on telecommunication equipment in the town if the charge for the service is billed to a person in the town or billed to an affiliate or division of such person in the town on behalf of a person in the town. As used herein, “telecommunication service” does not include separately stated non-transmission services which constitute computer processing applications used to act on the information to be transmitted.
   (D)   Gas and electric service. For gas and electric service, whether furnished by municipal, public or private corporations or enterprises, for gas and electricity furnished and sold for commercial consumption and not for resale, upon steam when consumed or used by the purchaser and not resold in original form whether furnished or sold by municipal, public or private corporations or enterprises.
   (E)   Food and drink.
      (1)   Upon all sales of food, except that the sale of food for home consumption, as defined herein, shall be taxed at the rate of 4% of the amount of the sale; and
      (2)   Upon the amount paid for food or drink served or furnished in or by restaurants, cafés, lunch counters, cafeterias, hotels, drugstores, social clubs, nightclubs, cabarets, resorts, snack bars, caterers, carryout shops, and other like places of business at which prepared food or drink is regularly sold, including sales from pushcarts, automotive vehicles, and other mobile facilities. Cover charges shall be taxable only when the amount includes food or drink. The amount paid for sales of meals by any of the employees of the above listed establishments, whether at full price or at reduced price, shall be included herein.
   (F)   Lodging services. “Lodging services” as defined in § 4-3-1-2 of this chapter.
   (G)   Pay television. “Pay television” as defined in § 4-3-1-2 of this chapter.
   (H)   Prescription drugs for animals. “Prescription drugs for animals” as defined in § 4-3-1-2 of this chapter.
   (I)   Linen services. “Linen services” as defined in section 4-3-1-2 of this chapter.
   (J)   Marketplace sales.
      (1)   A marketplace facilitator engaged in business in the town is required to collect and remit sales tax on all taxable sales made by the marketplace facilitator, or facilitated by it for marketplace sellers or multichannel sellers to customers in the town, whether or not the marketplace seller for whom sales are facilitated would have been required to collect sales tax had the sale not been facilitated by the marketplace facilitator.
      (2)   A marketplace facilitator shall assume all the duties, responsibilities and liabilities of a vendor under this chapter. Marketplace facilitators shall be liable for the taxes collected from marketplace sellers or multichannel sellers. The town may recover any unpaid taxes, penalties and interest from the marketplace facilitator that is responsible for collecting on behalf of marketplace sellers or multichannel sellers.
      (3)   The liabilities, obligations and rights set forth under this subsection (J) are in addition to any duties and responsibilities of the marketplace facilitator has under this chapter if it also offers for sale tangible personal property, products, or services through other means.
      (4)   A marketplace seller, with respect to sales of tangible personal property, products or services made in or through a marketplace facilitator’s marketplace, does not have the liabilities, obligations or rights of a retailer under this chapter if the marketplace seller can show that such sale was facilitated by a marketplace facilitator:
         (a)   With whom the marketplace seller has a contract that explicitly provides that the marketplace facilitator will collect and remit sales tax on all sales subject to tax under this chapter; or
         (b)   From whom the marketplace seller requested and received in good faith a certification that the marketplace facilitator is registered to collect sales tax and will collect sales tax on all sales subject to tax under this chapter made in or through the marketplace facilitator’s marketplace.
      (5)   If a marketplace seller makes a sale that is not facilitated by a licensed marketplace facilitator in a marketplace, the marketplace seller is subject to all of the same licensing, collection, remittance, filing and recordkeeping requirements as any other retailer.
      (6)   With respect to any marketplace sale, the town shall solely audit the marketplace facilitator for sales made by marketplace sellers or multichannel sellers but facilitated by the marketplace. The town will not audit or otherwise assess tax against marketplace sellers or multichannel sellers for sales facilitated by a marketplace facilitator.
(Ord. 45(1991) § 1; Ord. 32(2002) § 6; Ord. 27(2005) § 5; Ord. 2(2019) § 3; Ord. 9(2020) § 2; Ord. 26(2021) §3)
Editor’s note:
   The effective date of Ordinance 27(2005) is January 1, 2006.