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Show FRIDAY, OCTOBER 20, 1072 THE DAILY RECORD PAGE State of Utah Office of the Attorney General OPINION NO. 72-0- This can be done without the property actually being present pn that date. The above be changed provisions are only statutory and may, therefore, no constitutional at the will of the Legislature, and there is on taxes valorem ad which limits personal property' provision to that property Which is in the State on January 1st, or and taxable property 43 October 10 , 1972 BY: REQUESTED R. MILTON MR. YORGASON any Commissioner State PREPARED BY: Tax Commission MR. VERNON B. G. BLAINE DAVIS Assistant Attorney General QUESTIONS : Certain foreign corporations frequently bring large amounts of personal property into the State of Utah after January 1st, such as, oil rigs and heavy construction equipment, and such personal property is within the State of Utah for only a portion of the year. May an ad valorem property tax be imposed on this property according to the amount of time spent in the State out-of-st- ate of Utah? 2. such a tax may be imposed according to in the "i::tc- of n.i.f t of t.!:e V Lull, .is a constitution;.-.;mandi:.eut necessary for the imposition of such a tax? If thy . -4) final problem concerns the mechanics of valua- tion and assessment of this type of "temporarily situated foreign property". Many of the surrounding states have enacted ROMNEY State of Utah 1. 59-5- ( other date. The Attorney General MR. FIVE provisions which assess this type of property on a proportional basis to time spent in the State. The Utah Legislature can accomplish this by a legislative act. under the Utah Const., Art. XIII, S 3, the Legislature is given the power to establish a uniform and equal rate of assessment and taxation, and "shall prescribe bv law such regulations " as shall secure a just The determination valuation for taxation of such property. of methods of assessment clearly falls within this legislative language prerogative. This language coupled with the Court's 426 174 110 Utah Commission. Tax v. Line State in Crystal Car a tax is purely legislative P.2d 984 (1946), that "the power to function." demonstrates that the Legislature can enact a law which would tax foreign-ownproperty situated temporarily in Utah on the basis of time spent in the State. ed Therefore, it is the opinion of this office that the Legislature may enact legislation which would impose an ad valorem property tax on personal property according to the amount of time spent in the State of Utah', and that a constitutional amendment is not necessary prior to the passage of such legislation. - ii-oSi- ! Bankruptcies 800 - Paul Jos Dahlberg, 142 E Sunset, SLC. Reaplrman, Black & Decker. Asset $17,247.16; Llab $4,863; Ex $170. : CONCLUSIONS 1; 2. The property may be taxed according to the amount of time spent in the State of Utah. See opinion. A constitutional See amendment Ann., (1953), 59-1- -1, -1 59-3- -1 "tangible property" under subsection (1) that is subject to ownership. Thus, by definition, rigs, heavy construction equipment and vehicles are tangible personal property and, therefore, taxable in Utah. The crux of the problem is whether these kinds of property owned by "foreign" companies or corporations having only a temporary situs in Utah can be taxed. oil-drilli- ng clearly established the that precedent "tangible property" brought into the State The Utah Supreme Court has even temporarily by a nonresident corporation (individual or company) is taxable in the county where used or located. Hamilton and Gleason Co. v. Emery County. 75 Utah 406, 285 P. 1006 (1930). The 802 In Murdock v. Murdock. 38 Utah 373, 113 P. 330 (1911), the Court held that: The term "owned" as used in Utah Const., Art. XIII, 10, which provides that all persons in the state shall be subject to taxation on real and personal property "owned" or .used by them within the territorial limits of authority levying tax, property, not the location of the owner. not to Where the owner may reside. Therefore, the fact that property is owned by a foreign company, individual or corporation, does not prevent the State from assessing a tax on the property, even if it is only temporarily located in Utah. has reference to the place where the property is and nature of the property will determine whether the tax is assessed by the State Tax Commission, pursuant to Utah Code Ann., (1953), or by the county assessor, or The - Marian Glenn Goodrich, 70 Grove, SLC. Heavy Trk Driver, Pac Intermtn Express. Asset $16,269.42; Llab $1,228.75 Raymond T Genta,W Farming ton. Ranch worker, W D Ranching. Asset $7,246.87; Llab $345; Ex $310. . 805 - Clifford D Mitchell, $55. 823 - Carl L Patton, 2770 S 9150 U, Magna. Truck Owner, Gordon Jensen. Asset $6,163.71; Llab $497.10; Ex $20. 6532 824 - George Hm 3785 S, Hntr. Hickory Ln, Businessman, Selfemploy, Sell Sewing Mach. Asset $64,080.84; Llab $18,264. 44; Ex $3,798.30 Vedco-W- ah Hah H (1953). If equipment can be considered "machinery used in mining", then the assessment will be made by the State Tax Commission. . (5 Consfcjr'js'ition ucirriwint would protrbly be taxed by ctrou not fit any of the thu cou;il:v ; (fj 5') 51 ) , as Vehicles could bo assessed by the State cat eg or s in 5 59-5-- Utah Code Ann., 59-5- -4, oil-drilli- ng 3) it -- i-- SL-5-- Tax Commission if they are the "property of car and transportaIf not, then the county assessor tion companies" ( is the appropriate taxing authority 59-5-- 3). ( 59-5-- 4) . the present statutes, the assessment date in Utah is April 15. This tax assessment is levied on the owner of the property who was the owner on the preceding January 1st. The statutes do not imply that the property must be in the State on January 1st or April 15 in order to be taxed. Regarding the January 1st date, the statute speaks in terms of propowned or claimed erty assessment "to the person by whomwasit was12:00 o'clock midat or in whose possession or control it On April 15th, the night on the 1st of January." ( assessor must only ascerla in the names of taxable individuals Under 59-5-- 4). Ferguson, 6682 Apprentice Electrician, Haskett Electic Co. Asset $18,402.97; Llab $519.70; Ex $7,395.95 Mines, Inc. - Nyle Asset $18,500; Llab $28,000. 825 807 - Donald Eric Beste, 1015a 2nd St, Ogd. USAF. Asset $5, 128.79; Llab $1,845; Ex $145. Asset $18,681.38; Llab $126.50; Ex $90.50 - Gordon J Robertson, FOB 94 Green River. Custodian, Emery City School Dlst. Asset $8,081. chler, 924 E 8 S, SLC. Bookkeep er, Ajax Presses. Asset $5,811, 3 826 - Melberta Louise Robertson 94, Green River, Housewife. Asset $8,081.67; E 8 $50. - Henry Eugene Kelchler, 924 S, SLC. Student. Asset 50 $627. 828 810 - Sidney Alma Biddle, Corin ne. Storekeeper. Thiokol Chemicl Corp. Asset $29,780.23; Llab $841; Ex $150. - Roy T Fees, 187 Dodge, Helper, Unemploy. Asset $75,341. 99; Llab $831.57; Ex $7,105. - Caroly Sue Fees, 187 Dodge Helper. Clerk, Woolworth Co. Asset $73,792.02; Llab $581.57; Ex $1,005. 829 - Terry Shannon Adams, POB 250, Draper. Welder, Body, Fen 812 derman, Incarcerated. Llab $672; Ex $672. - Darrell Lee Anderson, 630 N, Layton. Electronic Cha ssis, Repairman, HAFB. Asset $25,886.60; Llab $282.50; Ex 830 Asset $4,641.38; 'H 100 815 - Michael John Zowada, 453 400 E 1, Bntfl. Area Acct & Credit mgr. Petrolane, Inc. Aaset $21,614.76; Llab $377; Ex N $111. 831 - Hesley Walker, 225 S 5th St, Tooele. Mechanic Helper Tooele Army Depot. Asset $7, $256. 816 - Henry Alex Bosa, 4331 S 1 00 H, Hash Terrace. Packer Hare house, Ogden Defense Depot. Asset $6,386.64; Llab $270; Ex Roy 450.47; Llab $809; Ex $247. - Roland Charles Clayton, Jr Ggltz Av, SLC. Sergeant in USAF, USAF. Asset $5,332.66; 832 159 $270. Llab None, Ex $235. E 833 Railraod Co. Asset $17,598.82; Llab $4,755; Ex $4,565. - Joe Atancio Mar tine?, 447 Cali fornia Dr, Mdvl. Machinist Kennecott Corp. Asset $22,584.63 Liab $9,456.53; Ex $8,082. - Bruce E Bell, 350-35- th Incenerator Op, Heber St, 818 Ogd. 834 447 Cnty Sanitation Dept. Asset $4,863.55; Llab $225; Ex $75. 819 - Phillip D Fallows, 1036 Elm, Brigham City. Salesman, Ogd Roofing Co. Asset $21,218. 53; Llab $7,543.87; Ex $6,831, Ex $5,811.40; Llab $126.50; Ex $90. Limb $53; Ex 817 - Robt Lee McKisslck, 566 350 S, Cld. Laborer, A & K - Connie Louise Lasater Kes 40; Llab $124.50; 67; Llab $53; Ex $627. 809 E Knowlden, 1743 S E, SLC. Mason, Kennecott Corp. 827 808 59-5- -3, pursuant to 3155 S 20 China Food Kitchen Asset $5,506.70; Llab $470; Ex E, SLC. Cook, SLC. 806 - - Dern Poy Hing, 822 804 - Ralph Lynn McCoy, 4575 S Driftwood, Mur. Lamina for, Star fire Inc. Asset $2,406.94; Llab $1,475; Ex $1000. POB situs of the property is the location of the - Corp. Asset $53, Llab $10,858.95; Ex 821 117.40; Llab $7,431.91; Ex None. states that "all tangible property in this State not exempt under the laws of the United States or under the Constitution of this State shall be taxed in proportion to its value as hereinafter provided." Tangible property is defined in (1), Utah Code Ann., (1953), as "property which is subject to assessment and taxation according to its value, and does not include moneys, credits, bonds, stocks, representative property, franchises, goodwill, copy, rights, patents or other things commonly known as intangibles." Personal property defined in (4), Utah Code Ann., (1953), includes that property defined as 59-3- 096.57; $2,474. - Armstrong Sporting Goods Inc, 305 24th, Ogd. Retail Sport ing Gds Operation. Asset $31, is not necessary. 12981 Cutter Supreme Food 801 opinion. Utah Code 820 - James Verll Fisher, S 1700 H, Riverton. Meat - Range Jorgensen Martinez, California Dr, Mdvl. Book keeper, CIT. Asset $22,584.63; Liab $9,456.53; Ex $8,082. - Larry Lee Lopez, 872 W 5 12, SLC. Laborer, Construct ion. Asset $3,849.03; Llab 836 , S, $145; Ex $260. |