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Senate orders interim study of 27 sales tax exemptions after converting SR2 to joint resolution

Utah State Senate · February 15, 1990
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Summary

Senator McAllister introduced SR2 to ask the interim Revenue and Taxation Committee to review 27 sales tax exemptions (estimated $483,360,000 in annual exempt sales); the Senate converted SR2 to SJR33 to involve the House and passed it (25 ayes, 1 nay, 3 absent).

Senator McAllister introduced a resolution asking the interim Revenue and Taxation Committee to review Utah's sales tax exemptions and consider rescinding ones that have outlived their purpose. He said the state currently lists 27 exemptions with an estimated $483,360,000 in exempted sales and urged a comprehensive interim study to compare other states and identify candidates for removal.

"All this resolution really does is ask that the interim revenue and taxation committee study these with the objective in mind that we may be able to identify several that we can remove," McAllister said, urging an interim study rather than immediate repeal.

Senator Black and others raised procedural questions about involving the House. McAllister moved to convert SR2 to a joint resolution (SJR33) so the House could participate; the body approved the conversion and, under suspension of rules, read SJR33 for second and third time. The final roll call recorded 25 ayes, 1 nay and 3 absent and the resolution was sent to the House for its concurrence and follow-up by the interim committee.

The resolution directs the interim Revenue and Taxation Committee to inventory exemptions, review other states' approaches, and identify exemptions that might be removed. The resolution does not itself eliminate any exemptions; it requests study and reporting by the interim committee.