(c) Retailers are subject to the sales and use tax on their cost of taxable property transferred when coupons are redeemed without consideration from a sales agency, the consumer or any other person unless an exemption applies.
Note to Revisor: Replace the example at the end of sub. (4)(c) with the following:
Example: Motel A provides a free breakfast with the purchase of lodging. Motel A purchases fruit, milk, cereal, bakery goods including rolls, bagels, muffins and bread, ground coffee beans, frozen juice, napkins, plastic utensils, and paper plates and cups from a vendor. Motel A prepares the coffee and juice. The food and beverages are placed on a table in the lobby. Motel A's customers may take as much or as little as they want of the food and beverage items.
Motel A's purchases of fruit, milk, cereal, bakery goods, ground coffee beans and frozen juice are not subject to Wisconsin sales or use tax because they are exempt food items not for direct consumption on the premises of the vendor under s. 77.54(20), Stats. Motel A's purchases of the napkins, plastic utensils and paper plates and cups are subject to sales or use tax because no exemption applies.
SECTION 5. Tax 11.28(7) is created to read:
Tax 11.28(7) CERTAIN MEDICINES FURNISHED WITHOUT CHARGE. No sales or use tax is owed on medicines furnished without charge to a physician, surgeon, nurse anesthetist, advanced practice nurse, osteopath, dentist licensed under ch. 447, Stats., podiatrist licensed under ch. 448, Stats., or optometrist licensed under ch. 449, Stats., if the medicine may not be dispensed without a prescription.
Example: A drug manufacturer furnishes medicine samples to doctors without charge. The medicine samples may not be dispensed without a prescription. The drug manufacturer does not owe sales or use tax on its cost of the ingredients for the medicine samples.
Note to Revisor: 1) Remove example 3 at the end of sub. (2)(a).
2) Replace the two notes at the end of Tax 11.28 with the following:
Note: Section Tax 11.28 interprets ss. 77.51(4)(a) and (14)(k), 77.54(14)(f), 77.56(3) and 77.57, Stats.
Note: The interpretations in s. Tax 11.28 are effective under the general sales and use tax law on and after September 1, 1969, except: (a) The exemption from use tax of certain donated property became effective August 9, 1989, pursuant to 1989 Wis. Act 31; and (b) The exemption for certain medicines furnished without charge became effective October 14, 1997, pursuant to 1997 Wis. Act 27.
The rules contained in this order shall take effect on the first day of the month following publication in the Wisconsin administrative register as provided in s. 227.22(2)(intro.), Stats.
Initial Regulatory Flexibility Analysis
This proposed rule order does not have a significant economic impact on a substantial number of small businesses.
Fiscal Estimate
The proposed rule interprets the sales and use tax exemption, created in 1997 Wis. Act 27, for prescription medicines furnished without charge by health practitioners, and clarifies the sales and use tax treatment of promotional gifts, gift certificates, and coupon and voucher books. These changes have no fiscal effect.
Notice of Proposed Rule
Transportation
Notice is hereby given that pursuant to the authority of ss. 85.16 and 347.25 (2), and according to the procedure set forth in s. 227.16 (2) (e), Stats., the Wisconsin Department of Transportation will adopt the following rule amending ch. Trans 300 without public hearing unless, within 30 days after publication of this notice on November 1, 1998, the Department of Transportation is petitioned for a public hearing by 25 natural persons who will be affected by the rule; a municipality which will be affected by the rule; or an association which is representative of a farm, labor, business or professional group which will be affected by the rule.
Contact Person
Questions about this rule and any petition for public hearing may be addressed to:
Lt. Sandra Huxtable
Dept. of Transportation
Division of State Patrol, Room 551
4802 Sheboygan Ave.
P. O. Box 7912
Madison, WI 53707-7912
Analysis Prepared by the Wis. Dept. of Transportation
Statutory authority: ss. 85.16 and 347.25 (2)
Statute interpreted: s. 347.25 (2)
General Summary of Proposed Rule:
This proposed rulemaking amending ch. Trans 300, relating to school bus equipment standards, will address the installation, operation and light output brilliance of the white strobe light which will be required on all school buses first registered in WI after October 1, 1998. Currently, s. Trans 300.54 (4) advises that the strobe light is an optional piece of equipment for use on school buses. 1997 Wis. Act 117 requires the strobe light as mandatory equipment for all buses first registered on or after October 1, 1998. The current specifications for optional strobe lights will be made applicable to the mandatory strobe lights, and the use of the lights will be required whenever a school bus is in operation on a highway for the purposes specified in s. 340.01 (56) (a) and (am), Stats.
Fiscal Estimate
The Department estimates that there will be no fiscal impact on the liabilities or revenues of any county, city, village, town, vocational, technical and adult education district or sewerage district. The Department estimates that there will be no fiscal impact on state revenues or liabilities. The rule will not impose any fiscal effect on school districts other than that imposed by the amendment of s. 347.26(7), Stats.
Initial Regulatory Flexibility Analysis
This proposed rule will have no adverse impact on small businesses.
Copies of Proposed Rule
Copies of this proposed rule may be obtained upon request, without cost, by writing to Lt. Sandra Huxtable, Department of Transportation, Division of State Patrol, Room 551, P. O. Box 7912, Madison, WI 53707-7912, or by calling (608) 267-0325. Alternate formats of the proposed rule will be provided to individuals at their request.
Text of Proposed Rule
Under the authority vested in the state of Wisconsin Department of Transportation by ss. 85.16 and 347.25 (2), Stats., the Department of Transportation hereby proposes to amend a rule interpreting s. 347.25 (2), Stats., relating to school bus equipment standards.
SECTION 1. Trans 300.16 (1) is amended to read:
Trans 300.16 (1) Prior to the start of any trip, the driver shall check the condition of the bus, giving particular attention to brakes, tires, lights, emergency equipment, mirrors, windows, and interior cleanliness of the bus. Defects shall be reported in writing to the person in charge of bus maintenance. The driver shall be responsible for the cleanliness of the interior of the bus and shall ensure that the windshield and mirrors are clean before each school bus operation and that the strobe light is actuated whenever the bus is in operation on a highway for purposes specified in s. 340.01 (56) (a) and (am), Stats.
SECTION 2. Trans 300.54 (1) (am) (intro.) and 6. are created to read:
Trans 300.54 (1) (am) Each bus first registered on or after October 1, 1998, shall be equipped with a strobe light which shall conform with the following requirements:
6.The strobe light shall be actuated whenever the bus is in operation on a highway unless the bus is being operated in accordance with s. 346.48 (2) (c), Stats.
SECTION 3. Trans 300.54 (4) (intro.) is repealed.
SECTION 4. Trans 300.54 (4) (a) to (d) are renumbered s. Trans 300.54(1) (am) 1. to 4.
SECTION 5. Trans 300.54 (4) (e) is renumbered s. Trans 300.54 (1) (am) 5. and amended to read:
Trans300.54 (1) (am) 5. The unit shall
may be wired with an independent switch with an indicator light in the driver's compartment showing when the light is in operation.
SECTION 6. Trans 300.54 (4) is created to read:
Trans 300.54 (4) School buses painted as provided in s. 347.44 and registered prior to October 1, 1998, may be equipped with a strobe light meeting the requirements of sub. (1) (am).
Notice of Proposed Rule
Transportation
Notice is hereby given that pursuant to the authority of ss. 85.16 (1), 110.075 and 227.10 (1), Stats., and interpreting s. 347.48, Stats., and according to the procedure set forth in s. 227.16 (2) (e), Stats., the Wisconsin Department of Transportation will adopt the following rule amending ch. Trans 305 without public hearing unless, within 30 days after publication of this notice on November 1, 1998, the Department of Transportation is petitioned for a public hearing by 25 natural persons who will be affected by the rule; a municipality which will be affected by the rule; or an association which is representative of a farm, labor, business or professional group which will be affected by the rule.
Contact Person
Questions about this rule and any petition for public hearing may be addressed to:
Lt. Sandra Huxtable
Dept. of Transportation
Division of State Patrol, Room 551
4802 Sheboygan Ave.
P. O. Box 7912
Madison, WI 53707-7912
Telephone (608) 267-0325
Analysis Prepared by the Wis. Dept. of Transportation
Statutory authority: ss. 85.16 (1), 110.075 and 227.10 (1)
Statute interpreted: s. 347.48
General Summary of Proposed Rule:
The proposed rule amends s. Trans 305.27 (3) (a) to clarify that this provision is intended to require that airbags which have been deployed must be replaced so that the vehicle continues to have all restraining devices with which it was originally manufactured. This was the intention of the Department of Transportation when ch. Trans 305 was created, effective March 1, 1996. However, some law enforcement officers and citizens expressed confusion with the present language and, therefore, the Department wishes to amend the rule to give clear notice to vehicle owners of their obligation to replace deployed airbags.
Fiscal Estimate
The Department estimates that there will be no fiscal impact on the liabilities or revenues of any county, city, village, town, school district, technical college district, sewerage district, or any federally-recognized American Indian tribes or bands.
Initial Regulatory Flexibility Analysis
This proposed rule will have no adverse impact on small businesses.
Copies of Proposed Rule
Copies of the rule may be obtained upon request, without cost, by writing to Frieda Andreas, or by calling (608) 266-6936. Alternate formats of the proposed rule will be provided to individuals at their request.
Text of Proposed Rule
Under the authority vested in the state of Wisconsin Department of Transportation by ss. 85.16(1), 110.075 and 227.10 (1), Stats., the Department of Transportation hereby proposes an order to amend a rule interpreting s. 347.48, Stats., relating to vehicle restraining devices.
SECTION 1. Trans 305.27 (3) (a) is amended to read:
Trans 305.27 (3) (a) Except as provided in par. (b), the restraining devices, including air bags, of every motor vehicle shall be maintained in proper working condition and in conformity with this section and s. 347.48, Stats. All required and optional restraining devices, including air bags, shall remain installed or be replaced by like equipment. All airbags that have been deployed shall be replaced with a comparable functioning airbag system.
