97-044
Response
July 28, 1997
Date:
July 3, 1997
Re:
Letter Request for Tax Assistance
Is
a valid out-of-state registration number acceptable in the State of Utah on a
resale Exemption Certificate? The purchaser does not conduct business (other
than purchases for resale) in the State of Utah.
For
example: ABC Company is an automotive brakes repair specialist which operates
in another state. In order to get a necessary part to supply his customer an
ABC employee drives across the border into Utah and makes a purchase. At the
time of purchase the ABC employee presents an Exemption Certificate with an
out-of-state registration number. The part will be resold in another state. ABC
Company has no locations in the State of Utah and transacts no business other
than the occasional purchase of merchandise for resale.
Should
you have any questions please contact me at the phone number listed below.
Sincerely,
NAME
July
28, 1997
NAME
ADDRESS
CITY
STATE ZIP
Advisory
Opinion: Recording resale exemptions on
purchases by out-of-state vendors.
Dear
NAME,
We have received your request for
sales tax guidance pertaining to purchases for resale by vendors operating
outside of Utah. An out-of-state vendor
may make purchases for resale tax free upon presenting an exemption certificate
(TC-721NR, copy enclosed) to the Utah vendor.
It is appropriate for the purchaser to include his out-of-state
registration number on this form.
Please follow instructions on the form.
You may copy the form as necessary for your out-of-state customers.
Please let us know if you have other
questions.
For
the Commission,
Joe
B. Pacheco,
Commissioner