LRB-4851/1
JS:jlg:km
1997 - 1998 LEGISLATURE
February 3, 1998 - Introduced by Senator Drzewiecki, cosponsored by
Representative Gard. Referred to Committee on Economic Development,
Housing and Government Operations.
SB429,1,3
1An Act to amend 77.52 (13) and 77.53 (10) of the statutes;
relating to:
2certificates for the sales and use tax exemption for certain commodities in
3warehouses.
Analysis by the Legislative Reference Bureau
Under current law, if certain requirements are fulfilled, commodities in
warehouses are not subject to the use tax exemption certificate requirement. The bill
changes the requirements that the goods be held for resale to a requirement that they
be held for sale and changes the requirement that the contract for their sale be
subject to a commodity market to a requirement that the contract be subject to the
rules of a commodity market. The bill also creates a similar exception to the sales
tax exemption certificate requirement.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB429, s. 1
4Section
1. 77.52 (13) of the statutes is amended to read:
SB429,2,95
77.52
(13) For the purpose of the proper administration of this section and to
6prevent evasion of the sales tax it shall be presumed that all receipts are subject to
1the tax until the contrary is established. The burden of proving that a sale of tangible
2personal property or services is not a taxable sale at retail is upon the person who
3makes the sale unless that person takes from the purchaser a certificate to the effect
4that the property or service is purchased for resale or is otherwise exempt
; except
5that no certificate is required for sales of commodities, as defined in 7 USC 2, that
6are consigned for sale in a warehouse in or from which the commodity is deliverable
7on a contract for future delivery subject to the rules of a commodity market regulated
8by the U.S. commodity futures trading commission if upon the sale the commodity
9is not removed from the warehouse.
SB429,2,2312
77.53
(10) For the purpose of the proper administration of this section and to
13prevent evasion of the use tax and the duty to collect the use tax, it is presumed that
14tangible personal property or taxable services sold by any person for delivery in this
15state is sold for storage, use or other consumption in this state until the contrary is
16established. The burden of proving the contrary is upon the person who makes the
17sale unless that person takes from the purchaser a certificate to the effect that the
18property or taxable service is purchased for resale, or otherwise exempt from the tax;
19except that no certificate is required for sales of commodities, as defined in
7 USC
202, that are consigned for
resale sale in a warehouse in or from which the commodity
21is deliverable on a contract for future delivery subject to
the rules of a commodity
22market regulated by the U.S. commodity futures trading commission if upon the sale
23the commodity is not removed from the warehouse.
