§ 5739.05 — Powers and duties of tax commissioner - payment by vendor on predetermined basis

Ohio § 5739.05

• Jurisdiction: Ohio
• Title 57: Taxation
• Ch. 5739: Sales Tax

Text

(A)(1) The tax commissioner shall enforce and administer sections5739.01to5739.31of the Revised Code, which are hereby declared to be sections which the commissioner is required to administer within the meaning of sections5703.17to5703.37,5703.39,5703.41, and5703.45of the Revised Code. The commissioner may adopt and promulgate, in accordance with sections119.01to119.13of the Revised Code, such rules as the commissioner deems necessary to administer sections5739.01to5739.31of the Revised Code.

(2) On or before the first day of May of each year, the commissioner shall make available to vendors a notice explaining the three-day exemption period required under division (B)(55) of section5739.02of the Revised Code.

(B) Upon application, the commissioner may authorize a vendor to pay on a predetermined basis the tax levied by or pursuant to section5739.02,5739.021,5739.023, or5739.026of the Revised Code upon sales of things produced or distributed or services provided by such vendor, and the commissioner may waive the collection of the tax from the consumer. The commissioner shall not grant such authority unless the commissioner finds that the granting of the authority would improve compliance and increase the efficiency of the administration of the tax. The person to whom such authority is granted shall post a notice, if required by the commissioner, at the location where the product is offered for sale that the tax is included in the selling price. The commissioner may adopt rules to administer this division.

(C) Upon application, the commissioner may authorize a vendor to remit, on the basis of a prearranged agreement under this division, the tax levied by section5739.02or pursuant to section5739.021,5739.023, or5739.026of the Revised Code. The proportions and ratios in a prearranged agreement shall be determined either by a test check conducted by the commissioner under terms and conditions agreed to by the commissioner and the vendor or by any other method agreed upon by the vendor and the commissioner. If the parties are unable to agree to the terms and conditions of the test check or other method, the application shall be denied.

If used, the test check shall determine the proportion that taxable retail sales bear to all of the vendor's retail sales and the ratio which the tax required to be collected under sections5739.02,5739.021,5739.023, and5739.026of the Revised Code bears to the receipts from the vendor's taxable retail sales.

The vendor's liability for remitting the tax shall be based solely upon the proportions and ratios established in the agreement until such time that the vendor or the commissioner believes that the nature of the vendor's business has so changed as to make the agreement no longer representative. The commissioner may give notice to the vendor at any time that the authorization is revoked or the vendor may notify the commissioner that the vendor no longer elects to report under the authorization. Such notice shall be delivered to the other party in the manner provided in section5703.37of the Revised Code. The revocation or cancellation is effective the last day of the month in which the vendor or the commissioner receives the notice.

Last updated July 31, 2023 at 4:46 PM

Legislative History

Effective: October 3, 2023 | Latest Legislation: House Bill 33 - 135th General Assembly