3876137 Resolution 19-621, "Processing Sales Tax Clarifying Emergency Declaration Resolution of 2012"

A RESOLUTION

 

­­­­­­19-621  ­­­­

 

IN THE COUNCIL OF THE DISTRICT OF COLUMBIA

 

October 2, 2012

 

 

To declare the existence of an emergency with respect to the need to clarify the applicability date for the implementation of the Processing Sales Tax Clarification Act of 2010.

 

 

            RESOLVED, BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this resolution may be cited as the “Processing Sales Tax Clarifying Emergency Declaration Resolution of 2012”.

 

            Sec. 2. (a)  The Processing Sales Tax Clarification Act of 2010, effective March 12, 2011 (D.C. Law 18-707; 58 DCR 3) (“2010 act”), was enacted to clarify the application of the sales tax exemption for utilities used for refrigeration in a restaurant or hotel restaurant. 

            (b)  There was an unfunded fiscal impact based on restaurants no longer having to demonstrate predominant use in order to qualify for the sales tax exemption. Inadvertently, the 2010 act did not include a provision making the act subject to its fiscal effect being included in an approved budget and financial plan. 

            (c)  A technical amendment, which will expire this month, was enacted to include an applicability provision to account for the unfunded fiscal impact.  It is important that this technical amendment continues to amend the 2010 act until it is funded.

 

            Sec. 3.  The Council of the District of Columbia determines that the circumstances enumerated in section 2 constitute emergency circumstances making it necessary that the Processing Sales Tax Clarifying Emergency Amendment Act of 2012 be adopted after a single reading.

 

            Sec. 4.  This resolution shall take effect immediately.