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HomeMy WebLinkAboutbocc.res.044.2019 RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS ("BOCC") OF PITKIN COUNTY, COLORADO AMENDING RESOLUTION NO. 002-2008 MODIFYING PROCEDURES FOR THE COLLECTION OF THE USE TAX ON BUILDING MATERIALS RESOLUTION NO. , 2019 RECITALS WHEREAS, Pursuant to Section 2.8.3 (Actions) of the Pitkin County Home Rule Charter ("HRC") official action by formal resolution shall be required for all actions of the Board not requiring ordinance power on matters of significant importance affecting citizens, and WHEREAS, Resolution#93-149 levied a 1/2% use tax on the privilege of using or consuming in Pitkin County any construction and building materials purchased at retail and on the privilege of storing, using, or consuming in Pitkin County any motor and other vehicles, purchased at retail on which registration is required. WHEREAS, Resolution No. 89-23 required taxpayers to obtain a use tax license, and it provided three alternative methods for reporting and remitting the use tax on building materials: monthly returns, quarterly returns, or deposit method. WHEREAS, Resolution No. 002-2008 modified procedures for the collection of the use tax on building materials. WHEREAS, Pursuant to HB19-1240 effective June 1, 2019, Colorado businesses must collect and remit the full sales tax rate in effect at the location of the consumer (the destination of the sale) when taxable goods are delivered to a Colorado address. WHEREAS, Due to changes in the Colorado Department of Revenue's collection of sales tax on deliverable goods purchased outside of Pitkin County, and the difference in the amount of labor costs as a portion of the total project cost as compared to the national average, the Board of County Commissioners finds it appropriate to change the amount of the deposit from fifty percent (50%) to ten percent (10%) as this will result in a use tax deposit more in line with the actual use tax paid. WHEREAS, The BOCC finds that it is in the best interests of the citizens of Pitkin County to approve this Resolution. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Pitkin County, Colorado that it hereby adopts a Resolution Amending Resolution No. 002- 2008, Modifying Procedures for the Collection of the Use Tax on Building Materials and authorizes the Chair to sign the Resolution and upon the satisfaction of the County Attorney as to form, execute any other associated documents necessary to complete this matter. 1 „Tik,. INTRODUCED AND FIRST READ ON THE f,? DAY OF (1 , 2019 AND S T FOR SECOND READING AND PUBLIC HEARING ON TH DAY OF ( U l 2019. NOTICE OF PUBLIC HEARING AND TITLE AND SHORT SUMMARY OFT E RESO UTION PUBLISHED IN THE ASPEN TIMES WEEKLY ON THE ! DAY OF , 2019. NOTICE OF PUBLIC HEARING AND THE FULL TEXT OF THE RESOLUTION POSTED ON THE OFFICIAL ITKIN COUNTY WEBSITE (www.pitkincounty.com ) ON THE (3 '"DAY OF 1) i L 2019. AIL ADOPTEDFTER FINAL READING AND PUBLIC HEARING ON THE DAY OF (1 U 1LC 2019. PUBLISHED BY TITLE AND SHORT SUMMARY, A' E' ADOPTION, IN THE ASPEN TIMES WEEKLY ON THE L( DAY OF i U + , 2019. POSTED BY TITLE AND SHORT SUMMARY ON THE OFFICI�PITKIN COUNTY WEBSITE (www.pitkincounty.com ) ON THE 1-% DAY OF /1 2019. ATTEST: BOARD OF COUNTY COMMISSIONERS B� 4 ,� By: Jean to Jones __ G e chman, Chair Depii ry County Clerk I 7/7,//9 Date: APPROVED AS TO FORM: I4A 'AG R APPRO AL -- ToFn11 •unty Attorney on eac• , ounty Manager 2 RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY,COLORADO, MODIFYING PROCEDURES FOR THE COLLECTION OF THE USE TAX ON BUILDING MATERIALS RESOLUTION NO. O62 -2008 RECITALS 1. Resolution#93-149 levied a 1/2%use tax on the privilege of using or consuming in Pitkin County any construction and building materials purchased at retail and on the privilege of storing,using,or consuming in Pitkin County any motor and other vehicles,purchased at retail on which registration is required. 2. Resolution#93-149 provided that the use tax on construction and building materials be collected according to the procedures established by Resolution#88-99 as amended by Resolution#89-23 and as they may be amended by future resolutions. 3. Resolution#89-23 required taxpayers to obtain a use tax license,and it provided three alternative methods for reporting and remitting the use tax on building materials: monthly returns,quarterly returns,or deposit method. 4. The City of Aspen has levied a 2.1%use tax on building materials effective January 10,2008. 5. The City of Aspen is not requiring its taxpayers to obtain a use tax license;however,it is requiring that general contractors obtaining a master building permit for a project use the deposit method to report and remit the City's use tax for that project. 6. For the convenience of its taxpayers,Pitkin County desires to modify its use tax collection procedures to conform to those of the City of Aspen. NOW,THEREFORE,BE IT RESOLVED by the Board of County Commissioners of Pitkin County,Colorado that Resolution#89-23,establishing procedures for the collection of the use tax on building materials, is hereby amended as follows effective January 10,2008: 1. Section B,Property Taxed,is repealed and re-enacted as follows: "Section B. PROPERTY TAXED The procedures specified by this resolution are to collect,administer,and enforce the 1/2%use tax imposed by Resolution#93-149 for the privilege of using or consuming in Pitkin County any construction and building materials purchased at retail. This use tax shall be imposed on the building materials' purchase price." 2. Under Section D,Collection and Remittance,paragraph 1.d.,concerning a waiver of general contractors' requirements,is repealed. 3. Section D.3.b.,Deposit option,is repealed and re-enacted as follows: "b. Deposit method—Every person who is required to obtain a master building permit in Pitkin County shall remit a deposit to the County at the time the building permit is issued. The amount of the deposit shall be computed as the use tax rate of one-half percent (0.5%)multiplied by fifty percent(50%)of the total valuation of the construction project (as an estimate of the cost of construction materials). A master building permit is the primary permit issued for a building or unit. In cases where only a sub-permit is issued (e.g.,plumbing,electrical),then the sub-permit shall be considered the primary(and thus master)permit issued for the building or unit. Within ninety(90)days after substantial completion of the project the taxpayer must file a use tax return and pay any use tax due. If any additional use tax is incurred subsequent to the period covered by such return,then the taxpayer shall file a final use tax return arid pay any use tax due within ninety(90)days after completion of the project." 4. Section L, Use Tax License Required,is repealed. INTRODUCED,READ AND ADOPTED ON JANUARY 9,2008. 'A \TTEST: \ BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY,COLORADO , By: Jeai ette Jones , Jack Hatfield,Chairman( Deputy County C erk Date: / APPROVED AS TO FORM: MANAGER APPROVAL: ILk John Ely,County Attorney Hilary Fletcher,County Manager oL•