Source: https://rules.sos.ri.gov/regulations/part/280-20-70-28
Timestamp: 2020-08-04 15:12:51
Document Index: 5873679

Matched Legal Cases: ['§ 28', '§ 28', '§ 28', '§ 28', '§ 28', '§ 28', 'art.\n28', '§ 28', '§ 28', '§ 44']

280-RICR-20-70-28 ACTIVE RULE
The purpose of this regulations is to implement R.I. Gen. Laws Chapters 44-18 and 44-19 which provide for Tax on Motor Vehicles and Non-Motorized Vehicles which are sold, used, or stored in the State of Rhode Island.
These rules and requirements shall be liberally construed so as to permit the Division of Taxation the authority to effectuate the purpose of R.I. Gen. Laws Chapters 44-18 and 44-19, as well as other applicable State regulations and statutes.
E.	Notwithstanding § 28.7(D) of this Part, when a taxpayer "trades-in" a private passenger automobile that is used as a capital cost reduction on the lease of a private passenger automobile, the amount of the reduction attributable to said trade-in is not subject to the tax.
F.	Any dealer or salesman who willfully misstates information on a document that is required for the proper computation of the use tax on a motor vehicle is subject to the penalty provisions set forth in R.I. Gen Laws Chapters 44-18 and 44-19, et seq., of the sales and use tax law.
28.8	Payment of Tax as Prerequisite to Registration
2.	Although the dealer cannot add the tax to the sales price except when required on a sale to a nonresident (see § 28.24 of this Part) the monthly return filing requirements are the same as any other retailer except the dealer may deduct the amount of gross receipts derived from sales of motor vehicles from the total gross receipts, provided, the dealer can substantiate these amounts as mentioned below.
7.	When a dealer is required to collect tax from a nonresident, refer to § 28.24 of this Part for procedures relating to §§ 28.10(D)(4) and (5) of this Part above.
28.9	Trade-In Deductions
28.10	Transfer of Motor Vehicle by Conditional Vendee
28.11	Purchase of a Repossessed Vehicle
28.12	Registration of Motor Vehicles Obtained Through Property Settlements in Divorce Cases
28.13	Sale of Motor Vehicles by an Administrator, Guardian, Executor, or the Like
28.14	Transfer of Motor Vehicles via the Merging of Corporations
28.15	Gifts of Motor Vehicles
28.16	Bequests of Motor Vehicles
28.17	Motor Vehicles Awarded as Prizes
28.18 Use of Motor Vehicles by Dealers
2.	The use of vehicles in §§ 28.20(B)(1)(a)(1) and (2) of this Part, are held to constitute demonstration and display even though used on public thoroughfares and after work since the visibility of the vehicles can stimulate customer interest and the drivers of those vehicles are sales personnel or other bona fide employees of the dealer whose duties includes assisting the sales department in selling vehicles. In order for the operation of the vehicles to be deemed demonstration and display, such operation is limited to a geographical area in which potential buyers would normally be located.
Franchised new car dealers holding a valid sales tax permit may register new vehicles in the name of the dealer upon payment of a tax based in one-third (1/3) of the cost of the vehicle to the dealer provided that said vehicle is acquired for resale by the dealer and the use of the vehicle is limited to demonstration and display as defined by § 28.20(B) of this Part.
28.19	New Motor Vehicles Purchased by Used Car Dealer or Auto Body Mechanic
28.20	Automobile Repairers
A.	Automobile repairers or “body shops” are retailers of repair parts for motor vehicles. They should segregate on the invoices to their customers and in their records, the fair retail selling price of parts from the charges for repair labor, installation labor and other services. If the labor and other services are not thus shown separately from the selling price of the parts it will be presumed that the entire charges represents the sale price of the parts. However, the automobile repairer or “body shop” shall separately state such charges when requested by the customer. Failure by the retailer to comply with the customer’s request to separately state the labor or service charges will subject the retailer to the penalty provisions set forth in R.I. Gen. Laws Chapter 6-13.1, entitled “Deceptive Trade Practices.”
28.21 Non-Motorized Vehicles and Trailers
Retailers of boat trailers, horse trailers, storage trailers, utility trailers and other nonrecreational trailers are required to add and collect the Rhode Island sales tax to the purchase price regardless of the requirement that the trailer is subject to registration by the Division of Motor Vehicles except as provided in § 28.23(B) of this Part. The retailer must collect the tax whether or not the purchaser is a resident of Rhode Island.
2.	Sold to Nonresident: See § 28.24 of this Part “Motor Vehicles and Non-Motorized Recreational Vehicles Sold to Nonresidents”.
28.22 Motor Vehicles and Non-Motorized Recreational Vehicles Sold to Nonresidents
E.	The blue copy of the T-336-1 or the yellow copy of the T-337 is to be filed with the dealer’s monthly Rhode Island sales and use tax return, the second copy to be furnished to the nonresident and the third copy to be kept by the dealer.
R.I. Gen. Laws §§ 44-1-4 and 44-19-33
This Technical Revision is being promulgated to correct the inadvertent skip in the sequential numbering of the section headers. Previously there was no Section labeled 28.8. The section numbers have been re-numbered and the internal citations have been updated to correct this omission. No substantive changes were made to the rule.
ACTIVE RULE Technical Revision - effective from 12/21/2017 to Current