§ 63N-2-109 — Payment of partial rebates.

Utah § 63N-2-109

• Jurisdiction: Utah
• Title 63N: Economic Opportunity Act
• Ch. 63N-2: Tax Credit Incentives for Economic Development
• Part 63N-2-1: Economic Development Tax Increment Financing

Text

(1) As used in this section:

(1)(a) "Account" means the Economic Incentive Restricted Account created in Subsection (2).
(1)(b) "Partial rebate" means an agreement between the office and a business entity under which the state agrees to pay back to the business entity a portion of new state revenue generated by a business entity's new commercial project.
(2) (2)(a) There is created a restricted account in the General Fund known as the Economic Incentive Restricted Account.
(2)(b) The account shall consist of money transferred into the account by the Division of Finance from the General Fund as provided in this section.
(2)(c) The Division of Finance shall make payments from the account as required by this section.
(3) The Division of Finance shall make partial rebate payments due under an agreement initially entered into by the office before May 5, 2008, as provided in this section.
(4) (4)(a) Each business entity seeking a partial rebate shall follow the procedures and requirements of this Subsection (4) to obtain a partial rebate.
(4)(b) Within 90 days of the end of each calendar year, a business entity seeking a partial rebate shall:
(4)(b)(i) provide the office with documentation of the new state revenue that the business entity generated during the preceding calendar year;
(4)(b)(ii) provide the office with a document that expressly directs and authorizes the State Tax Commission to disclose to the office the business entity's returns and other information that would otherwise be subject to confidentiality under Section 59-1-403 or Section 6103, Internal Revenue Code; and
(4)(b)(iii) ensure that the documentation includes:

(4)(b)(iii)(A) the types of taxes and corresponding amounts of taxes paid directly to the State Tax Commission; and
(4)(b)(iii)(B) the sales taxes paid to Utah vendors and suppliers that were indirectly paid to the State Tax Commission.
(4)(c) The office shall:
(4)(c)(i) audit or review the documentation for accuracy;
(4)(c)(ii) based on the office's analysis of the documentation, determine the amount of a partial rebate that the business entity earned under the agreement; and
(4)(c)(iii) submit to the Division of Finance:

(4)(c)(iii)(A) a request for payment of a partial rebate to the business entity;
(4)(c)(iii)(B) the name and address of the payee; and
(4)(c)(iii)(C) any other information requested by the Division of Finance.
(5) Upon receipt of a request for payment of a partial rebate from the office, the Division of Finance shall:

(5)(a) transfer from the General Fund to the restricted account the amount contained in the request for payment of a partial rebate after reducing the amount transferred by any unencumbered balances in the restricted account; and
(5)(b) notwithstanding Subsections 51-5-3(23)(b) and 63J-1-104(3)(c), after receiving a request for payment of a partial rebate and making the transfer required by Subsection (5)(a), pay the partial rebate from the account.

Legislative History

Enacted by Chapter 190, 2016 General Session