The purpose of this rule is to interpret, and to assist in the
implementation of
32 V.S.A. §
8911(9), and to be
declarative of the practice used by the Department of Motor Vehicles with
respect to its administration.
The credit provided in and by
32 V.S.A. §
8911(9) shall be available
to the following persons in the circumstances set forth below:
1. Any applicant for a motor vehicle
registration and/or title in Vermont shall be entitled to receive a credit for
the amount of sales or use tax paid to another state upon the submission to the
Department of an application for registration and/or title and the appropriate
registration and/or title fees. If the amount of tax paid to another state is
less than the amount of Vermont tax, the tax due shall be the difference. If
the amount of tax paid to another state is equal to or greater than the amount
of Vermont tax, the applicant shall be exempt from the Vermont tax.
2. For the purpose of this rule, the
applicant shall have the burden of proving to the Department's satisfaction the
amount of tax paid to another state. Acceptable proof of the amount of tax paid
to another state shall be such documents as show the amount of tax paid to or
collected by that other state.
3.
The word "state" shall be construed to include, but is not limited to, any
government entity, including local, state, provincial, or national
governments.
4. The above tax
credits shall also be available to applicants for registration and/or title in
Vermont whose spouses paid tax in another state and who would otherwise qualify
for the credit. The applicant for such tax credit must attest to the fact that
both persons were married at the time tax was paid in that other state upon the
application for registration, tax, and title, or provide other acceptable
documents proving the same to the Department's satisfaction.
5. No tax credit will be granted for the
following taxes, or for any tax, by whatever name, which is not similar to
Vermont's sales and use tax:
a. Federal luxury
tax
b. Import fee
c. Other taxes paid to the U.S.
government
d. Federal excise
tax
e. Luxury tax
f. Personal property tax
g. County property tax
h. Inheritance tax
i. Rental tax
CROSS REFERENCES
Definition of charitable institution for application of
purchase and use tax, see Admin. Proc. Reg. No. 24.
