KRS § 139.781 — KY Code / Title XI / Chapter 139 / Section 139.781
139.781 Definitions for KRS 139.780 to 139.795
Status: in_force

139.781 Definitions for KRS 139.780 to 139.795.

As used in KRS 139.780 to 139.795:

(1) "SSUTA agreement" means the streamlined sales and use tax agreement;

(2) "Certified automated system" means software certified jointly by the states that are

signatories to the SSUTA agreement to calculate the tax imposed by each

jurisdiction on a transaction, determine the amount of tax to remit to the appropriate

state, and maintain a record of the transaction;

(3) "Certified service provider" means an agent certified jointly by the states that are

signatories to the SSUTA agreement to perform all of the seller's sales tax

functions;

(4) "Governing board" means a group of representatives from each member state that

has the authority and responsibility for the administration and operation of the

SSUTA agreement;

(5) "Member state" means a state that is found to be in compliance with the SSUTA

agreement and that has made the necessary changes to statutes, rules, regulations, or

other authorities necessary to bring the state into compliance and those changes are

currently in effect;

(6) "Model 1 seller" means a seller that has selected a certified service provider as its

agent to perform all the seller's sales and use tax functions, other than the seller's

obligation to remit the tax on its own purchases;

(7) "Model 2 seller" means a seller that has selected a certified service provider to

perform a part of its sales and use tax functions, but retains responsibility for

remitting the tax;

(8) "Model 3 seller" means a seller that:

(a) Has sales in at least five (5) member states;

(b) Has total annual sales of at least five hundred million dollars ($500,000,000);

(c) Has a proprietary system that calculates the amount of tax due each

jurisdiction; and

(d) Has entered into a performance agreement with the member states that

establishes a tax performance standard for the seller.

For purposes of this subsection, a seller shall include an affiliated group of sellers

using the same proprietary system;

(9) "Person" means an individual, trust, estate, fiduciary, partnership, limited liability

company, limited liability partnership, corporation, or any other legal entity;

(10) "Product-based exemption" means an exemption based on the description of the

product, and not based on who purchases the product or how the purchaser intends

to use the product;

(11) "Sales tax" means the tax levied under KRS 139.200;

(12) "Seller" means any person making sales, leases, or rentals of personal property or

services;

(13) "State" means any state of the United States, the District of Columbia, and the

Commonwealth of Puerto Rico;

(14) "Taxability matrix" means a downloadable preformatted table approved by the

governing board that contains the member state's interpretation as to the taxability

of the terms found in the SSUTA agreement Appendix C, Library of Definitions

and made available electronically on the member state's Web site;

(15) "Use-based exemption" means an exemption based on a specific use of the product

by the purchaser; and

(16) "Use tax" means the tax levied under KRS 139.310.