Response
July 20, 1992
July
20, 1992
XXXXX
Re:
Sales to the Affiliated XXXXX Citizens
This
letter is in response to your recent request for a Tax Commission ruling on
whether sales tax is due on sales to mixed-blood members of the Affiliated Ute
Citizens.
The
Tax Commission policy is to refer such requests to the division most qualified
to analyze the request and make recommendations concerning it. As such, your
request was referred to the Tax Commission's Auditing Division for their
analysis and recommendations. The division's recommendations are as follows:
1.
Tax Bulletin 11-87 states that sales to tribal members made on the tribe's reservation
are not subject to sales tax. A sale on the Ute Indian Reservation to a Ute
Indian should be evidenced by completion of a list of on-reservation sales
containing the Indian customer's name, the date of sale, the amount of the sale
and the Federal Bureau number of the tribal member.
2.
Anyone who is not an enrolled member of the tribe living on the reservation is
not entitled to any tax exemption even though he or she may claim membership in
another tribe or some relationship to an enrolled member of the tribe. For
example, members of other tribes, mixed-blood Indians who live on or visit the
reservation (such as Affiliated Ute citizens), or relatives of tribal members
who do not themselves qualify for a tribal card must pay taxes on the same basis
as any other non-tribal member living on the reservation.
Based
upon the facts presented in your letter, we are in agreement with the Auditing
Division's recommendations. Obviously, if there are deviations from these
facts, this opinion may be negated.
If
you do not agree with this determination, you may appeal to the Tax Commission
for a formal hearing. The results of that hearing would constitute a
declaratory judgment and be appealable to the Utah State Supreme Court. A
Notice of Appeal Rights and a copy of the Utah Taxpayer Bill of Rights are
attached.
For
the Commission,
Joe
B Pacheco,
Commissioner
Dear
Tax Commission:
I'm
writing in regards to the status of the Original 490 Ute mixed-blood Utes
residing on the XXXXX and XXXXX Reservation.
As
a store owner I've had many claiming to be tax exempt along with those on the
Ute Tribe Roll. They do have
cards. Some are issued by the Bureau of
Indian Affairs Fort Dushesne Utah. And
some are issued by a group called the Affiliated Ute Citizens of Utah.
I'm
enclosing a copy of a letter being circulated throughout the Reservation to
store owners.
Will
you please clear this matter up. The
Tax Bulletin from March 1987 is not clear, only mentions a card and roll
number.
Are
the 490 mixed-blood's exempt from State tax as long as they have a card or
what?
Thank
You
XXXXX
XXXXX,
President
Dear
XXXXX:
In
March 1987, the Tax Commission issued a bulletin concerning non-taxable sales
to tribal members. This bulletin (copy
attached) stated that enrolled members of a tribe, who live within the exterior
limits of the reservation, are not subject to Utah sales or use tax.
The
Tax Commission did not make any determination for full-blood or mixed-blood
members. They do require, however, that
the member give their Federal Bureau Number as evidenced by their tribal card.
XXXXX,
XXXXX, State Tax Commission, can be contacted if you have further questions.
Sincerely,
XXXXX
Governor