82nd Legislative Session _ 2007

Committee: House Taxation
Tuesday, January 16, 2007

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
E    Bradford
P    Faehn
P    Feinstein
P    Juhnke
P    Lust
P    Noem
P    Novstrup (Al)
P    Olson (Ryan), Vice-Chair
P    Peters
P    Thompson
P    Turbiville
P    Van Etten
P    Weems
P    Wick
P    Dykstra, Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Chair Dykstra.

MOTION:     TO APPROVE THE MINUTES OF JANUARY 11, 2007

Moved by:    Van Etten
Second by:    Turbiville
Action:    Prevailed by voice vote.

         HB 1043: revise certain dates pertaining to references to the Internal Revenue Code.

Presented by:    Michael Kenyon, Department of Revenue and Regulation


MOTION:     DO PASS HB 1043

Moved by:    Van Etten
Second by:    Peters
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

MOTION:     PLACE HB 1043 ON CONSENT CALENDAR

Moved by:    Peters
Second by:    Van Etten
Action:    Prevailed by voice vote.

         HB 1049: clarify the definition of purchase price for taxation purposes.

Presented by:    Jane Page, SD Dept. Of Revenue and Regulation

MOTION:     DO PASS HB 1049

Moved by:    Turbiville
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

MOTION:     PLACE HB 1049 ON CONSENT CALENDAR

Moved by:    Faehn
Second by:    Van Etten
Action:    Prevailed by voice vote.

         HB 1055: revise the time period for sellers to obtain an exemption certificate for certain taxes.

Presented by:    Jan Talley, SD Dept of Revenue

MOTION:     DO PASS HB 1055

Moved by:    Olson (Ryan)
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

MOTION:     PLACE HB 1055 ON CONSENT CALENDAR

Moved by:    Peters
Second by:    Van Etten
Action:    Prevailed by voice vote.

         HB 1042: revise the definition of bundling for sales and use tax purposes.

Presented by:    Jane Page, SD Dept. Of Revenue and Regulation

MOTION:     DO PASS HB 1042

Moved by:    Peters
Second by:    Olson (Ryan)
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

         HB 1044: provide reciprocity for sales, use, or gross receipts tax paid on farm equipment purchased in another state or political subdivision.

Presented by:    Jan Talley, SD Dept of Revenue

MOTION:     AMEND HB 1044

1044fa
     On page 1, line 9 of the printed bill, delete " excise " and insert "gross receipts".

Moved by:    Olson (Ryan)
Second by:    Weems
Action:    Prevailed by voice vote.

MOTION:     DO PASS HB 1044 AS AMENDED

Moved by:    Olson (Ryan)
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

         HB 1045: revise certain provisions regarding the times for filing returns and remitting taxes.

Presented by:    Tim Weber, Dept of Revenue and Regulation

MOTION:     AMEND HB 1045

1045fa
     On page 2, line 2 of the printed bill, after " at " insert "a".

     On page 4 , line 4, after " at " insert "a".

     On page 5 , line 8, after " at " insert "a".

     On page 6 , line 12, after " at " insert "a".

     On page 7 , line 13, after " at " insert "a".

Moved by:    Weems
Second by:    Olson (Ryan)
Action:    Prevailed by voice vote.

MOTION:     DO PASS HB 1045 AS AMENDED


Moved by:    Peters
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

         HB 1046: repeal the limitation period for filing certain tax refunds.

Presented by:    Tim Weber, Dept of Revenue and Regulation

MOTION:     DO PASS HB 1046

Moved by:    Turbiville
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

MOTION:     PLACE HB 1046 ON CONSENT CALENDAR

Moved by:    Turbiville
Second by:    Peters
Action:    Prevailed by voice vote.

         HB 1047: revise the taxation of bundled transactions involving telecommunications services and related services.

Presented by:    Jane Page, SD Dept. Of Revenue and Regulation

MOTION:     AMEND HB 1047

1047fa
     On page 1 of the printed bill, delete lines 5 to 10 , inclusive, and insert:

"
     10-45-1.7.   In the case of a bundled transaction of that includes any of the following:

telecommunications services, if ancillary services, internet access, or audio or video programming services and the charges are attributable to services retail sales that are taxable and services retail sales that are nontaxable, the portion of the price attributable to the nontaxable services shall be retail sales is subject to tax unless the provider can reasonably identify by reasonable and verifiable standards such portion from its books and records kept in the regular course of business for other purposes , including non-tax purposes . ".


Moved by:    Olson (Ryan)
Second by:    Turbiville
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION AMEND HB 1047

1047fb
     On page 1 of the printed bill, delete lines 5 to 10 , inclusive, and insert:

"      10-45-1.7.   In the case of a bundled transaction of that includes any of the following: telecommunications services, if ancillary services, internet access, or audio or video programming services and the charges are attributable to services retail sales that are taxable and services retail sales that are nontaxable, the portion of the price attributable to the nontaxable services shall be retail sales is subject to tax unless the provider can reasonably identify by reasonable and verifiable standards such portion from its books and records kept in the regular course of business for other purposes . ".


Moved by:    Wick
Second by:    Weems
Action:    Prevailed by voice vote.

MOTION:     DO PASS HB 1047 AS AMENDED

Moved by:    Turbiville
Second by:    Weems
Action:    Prevailed by roll call vote.(14-0-1-0)

Voting Yes:    Faehn, Feinstein, Juhnke, Lust, Noem, Novstrup (Al), Olson (Ryan), Peters, Thompson, Turbiville, Van Etten, Weems, Wick, Dykstra

Excused:    Bradford

         HB 1080: revise the definition of gross receipts for sales tax purposes.




The Chair deferred HB 1080 until January 18, 2007.

MOTION:     ADJOURN

Moved by:    Turbiville
Second by:    Weems
Action:    Prevailed by voice vote.

Linda Daugaard

____________________________

Committee Secretary
Joel D. Dykstra, Chair


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