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It shall be a violation of this chapter for any seller to fail to collect or any purchaser to fail to pay a tax levied by this chapter, and on sales on which exemption is disputed.
Should a dispute arise between the purchaser and seller as to whether or not any such sale is exempt from taxation hereunder, nevertheless, the seller shall collect and the purchaser shall pay such tax; the purchaser thereafter may apply to the town clerk for a refund of such taxes paid as provided herein.
A. Tangible Personal Property: On the purchase price paid or charged upon the sale, purchase, lease, rental, or grant of license to use, or on the use, storage, distribution or consumption of "tangible personal property" purchased at retail as herein defined, and on the subsequent lease, rental or sale of tangible personal property by any person to every consumer or purchaser regardless that the person so purchasing and subsequently leasing, renting or selling that personal property paid the tax imposed herein on his initial purchase and use of the said property so acquired which is subsequently leased, rented or sold.
B. Telecommunication, Telephone And Telegraph Service:
1. Upon telecommunication services, including access services sold by local telephone exchange companies to providers of telecommunication services for use in providing such services, whether furnished by public or private corporations or enterprises, for all intrastate telecommunication services originating from or received on the telecommunication equipment in the town if the charge for the service is billed to person(s) in the town or billed to an affiliate or division of such person(s) in the town on behalf of a person in the town.
2. Upon access services sold by local telephone exchange companies to providers of telecommunication services for use in providing such services, whether furnished by public or private corporations or enterprises for all interstate 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.
C. Gas, Electric, And Heating Services: On the purchase price paid or charged for steam or other heat, for gas and electric services, for steam, heat, gas and electricity furnished and sold for domestic or commercial consumption and not for taxable resale.
D. Pay, Cable And Subscription Television Service: On the purchase price paid or charged for pay, cable, or subscription (including microwave) television services sold, purchased, leased, rented, furnished or used.
E. Accommodations Service: On the purchase price paid or charged on the lease, rental or on the transaction of furnishing rooms or accommodations. (Subject to subsection 3-2-7K1 of this chapter.)
F. Meal Service, Cover, Door And Other Related Charges: On all cover charges, door or other similarly termed and related charges, and on the purchase price paid for or charged for all meals furnished in or by the restaurants, cafes, 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, motor vehicles, and other mobile facilities. However, meals provided to employees of the places mentioned in this subsection at no charge or at a reduced charge and which are considered as part of their salary, wages or income shall be exempt from taxation.
G. Personal Property Rentals: On the purchase price paid or charged or for consideration given for the furnishing of tangible personal property when the right to possession or use of any tangible personal property is granted under a written or verbal lease or contract, and such transfer of possession would be taxable under this chapter if an outright sale were made, then such lease or contract shall be considered the sale of such article, and the tax shall be computed and imposed on each individual lease or contract payment as they occur as though an outright sale taxable under this chapter were occurring upon each payment. The payment of the sales tax shall be made by the lessee or contracting party to the lessor or other contracting party. The lessor, as trustee, shall make payment of any sales tax obligation to the town in the manner provided by this chapter. Refer to subsection 3-2-7K9 of this chapter for exempt transactions.
H. Bad Debts Collection: On the amount of collection, during the current taxable period, of bad debts that had, during a previous taxable period, been deducted.
I. Point Of Delivery: Every retailer located within or without the town shall collect the tax imposed by this chapter notwithstanding that the purchase order or sale is delivered to the retailer outside the town as a result of solicitation by the retailer, the purchase order or sale is made outside the town before the tangible personal property enters the town, the property is procured or manufactured outside the town and shipped directly to the purchaser, said property is mailed to the purchaser in the town from a point outside the town, or said property is delivered directly to the purchaser at a point outside the town, provided however that the property is intended to be brought into the town for use, storage or consumption.
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 article; 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 article 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. 225, Series of 1994; amd. Ord. 540, Series of 2020)