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3.01.240 Proration of use tax for certain construction equipment

A. Construction equipment that is located within the boundaries of the city for a period of more than thirty consecutive days shall be subjected to the full applicable use tax of the city.
B. Construction equipment that is located within the boundaries of the city for a period of thirty consecutive days or less shall be subjected to the city's use tax in an amount that does not exceed the amount calculated as follows: the purchase price of the equipment shall be multiplied by a fraction, the numerator of which is one and the denominator of which is twelve, and the result shall be multiplied by the amount of the use tax imposed pursuant to Section 3.01.210.
C. Where the provisions of subsection (B) of this section are utilized, the credit provisions of Section 3.01.220(E) shall apply at such time as the aggregate sales and use taxes legally imposed by and paid to other statutory and home rule municipalities on any such equipment equal the amount of the use tax imposed pursuant to Section 3.01.210.
D. In order to avail himself of the provisions of subsection (B) of this section, the taxpayer shall comply with the following procedure:
1. Prior to or on the date that the equipment is located within the boundaries of the city, the taxpayer shall file with the Finance Director an equipment declaration on a form provided by the Finance Director. Such declaration shall state the dates on which the taxpayer anticipates that the equipment shall be located within and removed from the boundaries of the city, shall include a description of each such anticipated piece of equipment, shall state the actual or anticipated purchase price of each such anticipated piece of equipment and shall include such other information as reasonably deemed necessary by the city.
2. The taxpayer shall file an amended equipment declaration with the city reflecting any changes in the information contained in any previous equipment declaration no less than once every ninety days after the equipment is brought into the boundaries of the city or, for equipment that is brought into the boundaries of the city for a project of less than ninety days' duration, no later than ten days after substantial completion of such project.
3. The taxpayer need not report on any equipment declaration any equipment for which the purchase price was under two thousand five hundred dollars.
E. If the equipment declaration is given as provided in subsection (D) of this section, then as to any item of construction equipment for which the customary purchase price is less than two thousand five hundred dollars that was brought into the boundaries of the city temporarily for use on a construction project, it shall be presumed that the item was purchased in a jurisdiction having a local sales or use tax as high as the use tax imposed pursuant to Section 3.01.210 and that such local sales or use tax was previously paid. In such case, the burden of proof in any proceeding before the city, the executive director of the Department of Revenue or the District Court shall be on the city to prove that such local sales or use tax was not paid.
F. If the taxpayer fails to comply with the provisions of subsection (D) of this section, then the taxpayer may not avail himself of the provisions of subsection (B) of this section and shall be subject to the provisions of subsection (A) of this section. Substantial compliance with the provisions of subsection (D) of this section shall allow the taxpayer to avail himself of the provisions of subsection (B) of this section. (Ord. O-91-61 § 79, 1991; Ord. O-85-137 § 1 (part), 1985).