SALT Blog - SALT Blawg

State DOR Letters and Administrative Rulings

Illinois Office of Administrative Hearings respects the entity, and rules Department of Revenue cannot go after owner of corporation for use tax liability on vessel use in Illinois. Use tax is not a trust tax. It also rules that the foreign corporate owner of a vessel used in Illinois for 30 days/year has sufficient nexus to allow Illinois to impose use tax on value of vessel. Taxpayer allowed credit for tax paid outside the state. Correct tax base for assessment of use tax is the purchase price reduced by depreciation prior to first use in ...

On December 15, 2010, the Texas Third Court of Appeals heard oral argument on an appeal by Roark Amusement & Vending, L.P. in response to a lower court's decision upholding the Texas Comptroller's action imposing sales and use tax on the purchase by Roark for toys placed in a claw machine. Roark argued the sales and use tax sale-for-resale exemption applied as the toys in the claw machine were used in the performance of a taxable service. It argued that coin-operated amusement services should be subject "to the integral transfer sales and use tax exemption found in the 'sale for resale' tax exemption statute." Roark alternatively argued that 34 Tex. Admin. Code § 3.301(b) is invalid to the extent it excludes Roark's transaction from the sale-for-resale exemption, as the Comptroller improperly limited the Legislature's exemption.