Court Opinion

ID: 9616380
Source: CourtListenerOpinion
Date Created: 2023-08-22 04:46:20.747164+00
Date Added: 2024-06-11T18:03:58.099015
License: Public Domain

CROCKETT, Justice
(concurring, dissenting in part):
I agree with the decision as to the cars owned by the business, which are not assigned or transferred to individual salesmen, but which are used in the business exclusively for the purpose of demonstration and sales. But as to the car used by Mrs. Bean, who is not in any sense an employee of the business, the situation is different. The important fact is that she at all times had one car for her exclusive personal use. The character of such exclusive personal use of the car is not changed because she used it for some community, social and church affairs, the same as many other people use their cars, for various purposes, nor by the fact that the public observed her doing so and may admire the car she drives. The same thing may be said of her fur coat or any other personal possession or accoutrement. . If by this means a car so used can be exempted from paying the taxes thereon, then as to any number of family members, or the relatives, or whomsoever, so using and consuming property in that manner, it can be exempted.
Consistent with its responsibility of seeing that everyone bears his fair share of the tax burden as prescribed by law, the Tax Commission has determined that the car so used by Mrs. Bean comes within the statute imposing the tax on the user or consumer. Section 59-16-2(b), U.C.A. 1953, referring to the use tax defines “use” as the exercise of rights incident to ownership of property, but not to “include the sale, display, demonstration ... in the regular course of business and held for resale.” The Tax Commission’s regulation S-82 implements this by providing that the property so exempted must be used primarily for that purpose. This is consistent with the statute and with the intent and purpose of the law. The fact appears to be indisputable that the principal use of Mrs. Bean’s car is for her private purposes and that any use for display or demonstration in the business is minor and incidental.
The Tax Commission has exercised its prerogative in making its determination. We should not reverse unless its action was capricious and arbitrary. I see no basis for such a conclusion with respect to the imposition of tax on one car used by Mrs. Bean.