59-12-2212 - Purchaser relief from liability.
59-12-2212. Purchaser relief from liability.
(1) (a) Except as provided in Subsection (1)(b), a purchaser is relieved from a penaltyunder Section 59-1-401 for failure to pay a sales and use tax due under this part or anunderpayment if:
(i) the purchaser's seller or certified service provider relies on incorrect data provided bythe commission:
(A) on a tax rate;
(B) on a boundary;
(C) on a taxing jurisdiction; or
(D) in the taxability matrix the commission provides in accordance with the agreement;or
(ii) the purchaser, regardless of whether the purchaser holds a direct payment permit inaccordance with Section 59-12-107.1, relies on incorrect data provided by the commission:
(A) on a tax rate;
(B) on a boundary;
(C) on a taxing jurisdiction; or
(D) in the taxability matrix the commission provides in accordance with the agreement.
(b) For purposes of Subsection (1)(a), a purchaser is not relieved from a penalty underSection 59-1-401 for failure to pay a sales and use tax due under this part or an underpayment ifthe purchaser's, the purchaser's seller's, or the purchaser's certified service provider's reliance onincorrect data provided by the commission is as a result of conduct that is:
(i) fraudulent;
(ii) intentional; or
(iii) willful.
(2) In addition to the relief from a penalty described in Subsection (1), a purchaser is notliable for a tax or interest under Section 59-1-402 for failure to pay a sales and use tax due underthis part or an underpayment if:
(a) the purchaser's seller or certified service provider relies on:
(i) incorrect data provided by the commission:
(A) on a tax rate;
(B) on a boundary; or
(C) on a taxing jurisdiction; or
(ii) an erroneous classification by the commission:
(A) in the taxability matrix the commission provides in accordance with the agreement;and
(B) with respect to a term:
(I) in the library of definitions; and
(II) that is:
(Aa) listed as taxable or exempt;
(Bb) included in or excluded from "sales price"; or
(Cc) included in or excluded from a definition; or
(b) the purchaser, regardless of whether the purchaser holds a direct payment permit inaccordance with Section 59-12-107.1, relies on:
(i) incorrect data provided by the commission;
(A) on a tax rate;
(B) on a boundary; or
(C) on a taxing jurisdiction; or
(ii) an erroneous classification by the commission:
(A) in the taxability matrix the commission provides in accordance with the agreement;and
(B) with respect to a term:
(I) in the library of definitions; and
(II) that is:
(Aa) listed as taxable or exempt;
(Bb) included in or excluded from "sales price"; or
(Cc) included in or excluded from a definition.
Enacted by Chapter 263, 2010 General Session