SB 954 - This act imposes a surcharge of two and a half percent of the total amount charged, less any sales and use tax, for machinery rented or leased within the state. The surcharge will be collected by the rental company and used to pay personal property tax on the machinery subject to the surcharge.
As of February 15, 2008, every rental company subject to the provisions of this act shall file an annual report detailing the aggregate amount of personal property tax actually paid by such rental company and the aggregate amount of rental surcharge actually collected. Such report shall be accompanied by a remittance of any surcharge amounts that exceed the rental companies personal property tax liability. The surcharge remittance will be deposited in the general revenue fund.
The provisions of this act shall become effective January 1, 2007.