Current through September 18, 2024
A. Goods coming
into this State: When tangible personal property is purchased in interstate
commerce for use or consumption in this state and:
1. the seller is engaged in the business of
selling such tangible personal property in this state for use or consumption
and
2. delivery is made in this
state, such sale is subject to the use tax.
3. Such sale is taxable regardless of the
fact that the purchaser's order may specify that the goods are to be
manufactured or procured by the seller at a point outside this state and
shipped directly to the purchaser from the point of origin, and the seller is
required to report all such transactions and collect and remit to this state
the use tax on all taxable purchases.
B. If the conditions above are met it is
immaterial:
1. that contract of sale is closed
by acceptance outside the state or
2. that the contract is made before the
property is brought into the state.
C. Delivery is held to have taken place in
this state:
1. when physical possession of the
tangible personal property is actually transferred to the buyer within this
state or
2. when the tangible
personal property is placed in the mails at a point outside this state directed
to the buyer in this state or placed on board a carrier at a point outside this
state (or otherwise) and directed to the buyer in this state.
D. Engaging in business in this
state includes the following acts or methods of transacting business:
1. Maintaining directly, indirectly or
through a subsidiary, an office, distribution house, sales house, warehouse or
other place of business;
2. Having
an agent, sales person or solicitor operating within the state under the
authority of the seller or its subsidiary irrespective of whether such place of
business, agent, sales person or solicitor is located in this state permanently
or temporarily or whether such seller or subsidiary is qualified to do business
in this state;
3. The regular or
systematic solicitation of tangible personal property in this state by means of
advertising in newspapers and other periodicals; billboards; brochures,
catalogs and similar advertising material mailed to or distributed within the
state to residents of this state; telephone; computer assisted shopping
networks; television, radio or other electronic media intended to be broadcast
to customers located in this state.
E. Goods Shipped from this State: When
tangible personal property is sold within the state and the seller is obligated
to deliver it to a point outside of the state, or to deliver it to a common
carrier or to the mails for transportation to a point outside this state, the
retail sales tax or use tax does not apply, provided that the property is not
returned to a point within the state. Acceptable proof of transportation
outside the state will be:
1. A waybill or
bill of lading made out to the seller's order and calling for delivery;
or
2. An insurance or other receipt
or registry issued by the United States postal authorities; or
3. A trip sheet signed by the seller's
delivery agent or agency and showing the signature and address of the person
outside this state who received the goods delivered.
F. Where tangible personal property pursuant
to a sale is delivered in this state to the buyer or to the buyer's agent other
than a common carrier the retail sales tax applies notwithstanding that the
buyer may subsequently transport the property out of the state, except in the
case of property sold for resale.
