Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Taxation Housing topic
No spam. Unsubscribe anytime.
House makes manufactured-home sales-tax change permanent after floor debate
Summary
Lawmakers voted to remove the sunset on a sales-tax parity for manufactured homes, making the exemption permanent. An attempted amendment to strip an airline-food tax exemption failed; the main bill passed unanimously 71-0.
The Utah House voted on Feb. 10 to make permanent parity in sales-tax treatment for manufactured homes, approving Senate Bill 79 on final passage 71-0.
Representative John (Jack) Hickman, the House sponsor, said the bill removes a sunset date and preserves the approach that taxes the materials portion of a new manufactured home differently from labor and profit. ‘‘This bill just amends or just eliminates on page ... the sunset date,’’ Hickman said, arguing the law brings parity between manufactured and stick-built homes.
Representative William Becker moved an amendment to delete a separate, older airline-food sales-tax exemption on the same floor amendment; Becker called it ‘‘an anachronism’’ and urged lawmakers to remove exemptions that no longer serve their original purpose. Becker also cited a fiscal-note figure of $1,264,000 and argued that removing airline-food exemptions could recover some revenue.
Sponsors and other members cautioned against attaching unrelated tax-repeals to the manufactured-home measure. Hickman and others warned that removing airline-food exemptions could have fiscal side effects and encouraged separate legislation with a fiscal note. After debate and a division, Becker’s motion to delete the airline-food lines failed decisively. The main bill then passed 71-0.
Supporters noted that the prior temporary change had increased home sales and state revenues and argued permanence would provide certainty for buyers and sellers of manufactured homes. Opponents of the airline-food amendment argued the fiscal impact of that specific change required separate study.
SB79 now moves forward as passed by the House and will be returned to the Senate for further action.
