Nebraska Administrative Code › Topic - REVENUE, DEPARTMENT OF › Title 316 - NEBRASKA DEPARTMENT OF REVENUE › Chapter 68 › Section 316-68-005 - EXEMPT SALE CERTIFICATES

Current through June 17, 2024
005.01 The burden of proving that any charge
				for a hotel occupancy is not subject to the lodging tax is upon the
				permitholder and he or she must keep sufficient records which reveal the nature
				of each exempt charge. A permitholder is required to obtain an exempt sale
				certificate from the organization or person in support of the claim that the
				charge is exempt. The exempt sale certificate constitutes a part of the
				permitholder's records and is to be retained in the same manner as other
				lodging tax records.
005.02 The
				Nebraska Department of Revenue will recognize only the Nebraska Resale or
				Exempt Sale Certificate, Form 13, a previously approved paper or electronic
				substitute, or a certificate of exemption authorized by the Streamlined Sales
				Tax Agreement for all sales except sales to the federal government. Regular
				federal certificate of exemption forms will also be accepted in lieu of the
				above forms when presented by an officer or an authorized employee of the
				United States government, its agencies, or corporations wholly owned by the
				United States government. The exempt sale certificate should include a
				statement as to the nature of the exempt charge and the sales and use tax
				exemption number of the occupant if such number is required.
005.03 Exemption numbers, in the form of
				sales and use tax numbered certificates of exemption, are issued by the
				Nebraska Department of Revenue and are required for nonprofit organizations,
				and public schools. (
				Reg-68-004,
				Exemptions.)
005.04 The exempt sale
				certificate may appear as part of the invoice or billing for the occupancy;
				provided, that all requirements of the exemption certificate(s) identified in
				Reg-68-005.02 are met, and that the permitholder cross-references such invoices
				or billings to memoranda created at the time of the charge.
005.05 If a certificate or satisfactory
				evidence cannot be produced on demand of the Nebraska Department of Revenue in
				support of a claim that a charge is exempt, the tax is payable by the
				permitholder furnishing the hotel occupancy. If the Nebraska Department of
				Revenue determines that the permitholder knew or should have known that the
				charge for which a certificate was given was not exempt, the permitholder will
				be responsible for the tax.
005.06
				The permitholder holding a properly completed exempt sale certificate is
				relieved from liability for tax, penalty, and interest. However, this does not
				apply to permitholders who frauduently fail to collect tax or who solicit
				purchasers to participate in unlawful claims of exemption.
005.07 A permitholder repeatedly providing
				exempt hotel occupancies to the same occupant is not required to take a
				separate exempt sale certificate for each hotel occupancy but may take a
				blanket certificate covering future charges for hotel occupancies.
005.08 Any person who gives a Nebraska Resale
				or Exempt Sale Certificate, Form 13, to a permitholder for any purchase which
				is not exempted from the lodging tax shall be subject to a penalty of $ 100.00
				or ten times the tax, whichever amount is larger, for each instance of
				presentation and misuse. With regard to a blanket certificate, the penalty
				shall apply to each purchase made during the period the blanket certificate is
				in effect.
Any person who fraudulently signs a Form 13 with the
				  intention to avoid payment of the tax may, in addition to the aforementioned
				  penalty, be found guilty of a Class IV misdemeanor.
005.09 The Nebraska Department of Revenue may
				make and retain copies of any exempt sale certificate.