Sub. S. B. No. 47 As Passed by the House

Senators Stivers, Coughlin, Schuler, Mumper, Dann, Carey, Jacobson, Goodman, Carnes, Schuring, Jordan, Herington, Wachtmann, Fedor, Fingerhut, Harris, Nein, Armbruster, Amstutz, Spada, Miller, White, Randy Gardner, Austria, Robert Gardner

Representatives Kilbane, Blasdel, Carano, Collier, Core, Gilb, Hartnett, Jerse, Latta, McGregor, Niehaus, Raussen, Schaffer, Skindell, Sykes, Taylor, Ujvagi, Yates, Allen, Aslanides, Barrett, Beatty, Book, Brown, Buehrer, Callender, Calvert, Carmichael, Cates, Chandler, Cirelli, Clancy, Daniels, DeBose, DePiero, Distel, Domenick, Driehaus, C. Evans, D. Evans, Faber, Flowers, Gibbs, Hagan, Harwood, Hoops, Hughes, Husted, Jolivette, Kearns, Key, Koziura, Martin, Mason, Miller, Oelslager, Olman, Otterman, S. Patton, T. Patton, Perry, Peterson, Price, Redfern, Reidelbach, Schlichter, Schneider, Seaver, Seitz, Setzer, Sferra, G. Smith, S. Smith, D. Stewart, J. Stewart, Strahorn, Trakas, Wagner, Walcher, White, Widener, Widowfield, Willamowski, Williams, Wilson, Wolpert, Woodard

A BILL

To amend section 5741.02 and to enact sections 1
323.122 and 3319.284 of the Revised Code and to 2
amend Sections 1.09 and 35.03 of H.B. 675 of the 3
124th General Assembly and to amend Section 3 of 4
Am. Sub. S.B. 143 of the 124th General Assembly to 5
extend the time within which members of the 6
National Guard and reserve components of the Armed 7
Forces of the United States who have been called 8
to active duty must pay real property and 9
manufactured home taxes, to provide for extension 10
of educator licenses for active duty members, to 11
delay the effective date of certain sales tax law 12
changes, to exempt leased computer equipment and 13
related software from use taxation if it is held 14
temporarily in Ohio by a third party, to amend the 15
version of section 5741.02 of the Revised Code 16
that is scheduled to take effect July 1, 2003, to 17
continue the amendment to that section by this act 18
on and after that date, and to declare an 19
emergency. 20

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

       Section 1. That section 5741.02 be amended and sections 21
323.122 and 3319.284 of the Revised Code be enacted to read as 22
follows: 23

       Sec. 323.122. (A) As used in this section: 24

       (1) "Active duty" has the same meaning as in division (F) of 25
section 5919.34 of the Revised Code. 26

       (2) "Dependent parent" means a parent who, at the time the 27
member was activated, received from the member at least half of 28
the dependent parent's support, including food, shelter, clothing, 29
and medical and dental care. 30

       (B) This section applies to any real property or manufactured 31
or mobile home that is: 32

       (1) Owned by a member of the national guard or a member of a 33
reserve component of the armed forces of the United States who is 34
called to active duty; 35

       (2) Owned by the spouse of such a member; 36

       (3) Owned jointly by such a member and that member's spouse 37
or dependent parent; or 38

       (4) Owned by the dependent parent of such a member who dies 39
during such duty or as the result of wounds or illness incurred 40
during such duty. 41

       (C) The member, the member's spouse, or the member's parent, 42
as applicable, may apply to the county treasurer for an extension 43
for the payment of taxes and assessments charged against the real 44
property or manufactured or mobile home and payable during the 45
period of the member's duty service and the six months ensuing 46
termination thereof. Additionally, application may be made on 47
behalf of a member under a power of attorney granted by the 48
member. Application shall be made not later than the last day of 49
the sixth month after the month in which the member's duty 50
terminates. The applicant shall provide evidence satisfactory to 51
the county treasurer to demonstrate eligibility for the extension 52
as described in division (B) of this section. 53

       If the county treasurer determines that the applicant 54
qualifies for an extension under this section, the county 55
treasurer shall enter into a contract with the applicant for 56
payment of the taxes and assessments in installments in the same 57
manner as, and subject to the same terms and conditions of, 58
contracts for the payment of delinquent taxes pursuant to section 59
323.31 of the Revised Code, except that the contract shall specify 60
that payments shall begin in the seventh month after the member's 61
duty terminates. Notwithstanding sections 319.49, 323.01, 323.121, 62
323.132, 4503.06, 5721.01, and 5721.011 of the Revised Code, taxes 63
and assessments, payment of which has been extended under this 64
section, do not constitute delinquent taxes and shall not be 65
placed on the delinquent land list or delinquent manufactured home 66
tax list unless the contract becomes void, and a new contract is 67
not entered into, pursuant to section 323.31 of the Revised Code. 68

       (D) If a member, a member's spouse, or a member's parent 69
qualifies for the extension provided in this section, and that 70
member, spouse, or parent has designated an agent for the payment 71
of taxes and assessments the payment of which is so extended, that 72
agent shall not require the member, spouse, or parent to pay to 73
the agent any such taxes and assessments for the period for which 74
payment is extended under division (C) of this section. If such 75
taxes or assessments are paid by the member, spouse, or parent to 76
an agent as part of a mortgage loan installment payment, the agent 77
shall deduct the portion of the payment that represents such taxes 78
and assessments from the amount of each such payment payable 79
during the period of extension prescribed by division (C) of this 80
section. 81

       (E) If the member, the member's spouse, or the member's 82
parent has entered into a contract pursuant to this section before 83
the first day of the seventh month after the month in which the 84
member's duty terminates, the county auditor and treasurer shall 85
remove from the tax list and duplicate, respectively, any 86
penalties and interest that were charged under section 323.121 or 87
4503.06 of the Revised Code during the member's duty and before 88
the first day of the seventh month after the month in which the 89
member's duty terminates. 90

       (F) Notwithstanding section 323.131 of the Revised Code, a 91
county treasurer shall include a notice of, and information about, 92
the extension provided in this section on or with tax bills mailed 93
or delivered under section 323.13 or 4503.06 of the Revised Code 94
or by providing such notice and information to a newspaper of 95
general circulation in the county when tax bills are mailed or 96
delivered under those sections. 97

       Sec. 3319.284. A member of the national guard or a member of 98
a reserve component of the armed forces of the United States who 99
is called to active duty and who, at the time of deployment, holds 100
a valid educator license under this chapter is entitled to have 101
the license extended for a period of time commensurate with the 102
length of active duty service, provided the educator is honorably 103
released from such active duty service. No extension granted 104
pursuant to this section in any year shall be deemed to have 105
expired before the next following thirtieth day of June. 106

       As used in this section, "active duty" has the same meaning 107
as in section 5919.34 of the Revised Code. 108

       Sec. 5741.02. (A) For the use of the general revenue fund of 109
the state, an excise tax is hereby levied on the storage, use, or 110
other consumption in this state of tangible personal property or 111
the benefit realized in this state of any service provided. The 112
tax shall be collected pursuant to the schedules in section 113
5739.025 of the Revised Code. 114

       (B) Each consumer, storing, using, or otherwise consuming in 115
this state tangible personal property or realizing in this state 116
the benefit of any service provided, shall be liable for the tax, 117
and such liability shall not be extinguished until the tax has 118
been paid to this state; provided, that the consumer shall be 119
relieved from further liability for the tax if the tax has been 120
paid to a seller in accordance with section 5741.04 of the Revised 121
Code or prepaid by the seller in accordance with section 5741.06 122
of the Revised Code. 123

       (C) The tax does not apply to the storage, use, or 124
consumption in this state of the following described tangible 125
personal property or services, nor to the storage, use, or 126
consumption or benefit in this state of tangible personal property 127
or services purchased under the following described circumstances: 128

       (1) When the sale of property or service in this state is 129
subject to the excise tax imposed by sections 5739.01 to 5739.31 130
of the Revised Code, provided said tax has been paid; 131

       (2) Except as provided in division (D) of this section, 132
tangible personal property or services, the acquisition of which, 133
if made in Ohio, would be a sale not subject to the tax imposed by 134
sections 5739.01 to 5739.31 of the Revised Code; 135

       (3) Property or services, the storage, use, or other 136
consumption of or benefit from which this state is prohibited from 137
taxing by the Constitution of the United States, laws of the 138
United States, or the Constitution of this state. This exemption 139
shall not exempt from the application of the tax imposed by this 140
section the storage, use, or consumption of tangible personal 141
property that was purchased in interstate commerce, but that has 142
come to rest in this state, provided that fuel to be used or 143
transported in carrying on interstate commerce that is stopped 144
within this state pending transfer from one conveyance to another 145
is exempt from the excise tax imposed by this section and section 146
5739.02 of the Revised Code; 147

       (4) Transient use of tangible personal property in this state 148
by a nonresident tourist or vacationer, or a non-business use 149
within this state by a nonresident of this state, if the property 150
so used was purchased outside this state for use outside this 151
state and is not required to be registered or licensed under the 152
laws of this state; 153

       (5) Tangible personal property or services rendered upon 154
which taxes have been paid to another jurisdiction to the extent 155
of the amount of the tax paid to such other jurisdiction. Where 156
the amount of the tax imposed by this section and imposed pursuant 157
to section 5741.021, 5741.022, or 5741.023 of the Revised Code 158
exceeds the amount paid to another jurisdiction, the difference 159
shall be allocated between the tax imposed by this section and any 160
tax imposed by a county or a transit authority pursuant to section 161
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion 162
to the respective rates of such taxes. 163

       As used in this subdivision, "taxes paid to another 164
jurisdiction" means the total amount of retail sales or use tax or 165
similar tax based upon the sale, purchase, or use of tangible 166
personal property or services rendered legally, levied by and paid 167
to another state or political subdivision thereof, or to the 168
District of Columbia, where the payment of such tax does not 169
entitle the taxpayer to any refund or credit for such payment. 170

       (6) The transfer of a used manufactured home or used mobile 171
home, as defined by section 5739.0210 of the Revised Code, made on 172
or after January 1, 2000; 173

       (7) Drugs that are or are intended to be distributed free of 174
charge to a practitioner licensed to prescribe, dispense, and 175
administer drugs to a human being in the course of a professional 176
practice and that by law may be dispensed only by or upon the 177
order of such a practitioner; 178

        (8) Computer equipment and related software leased from a 179
lessor located outside this state and initially received in this 180
state on behalf of the consumer by a third party that will retain 181
possession of such property for not more than ninety days and that 182
will, within that ninety-day period, deliver such property to the 183
consumer at a location outside this state. Division (C)(8) of this 184
section does not provide exemption from taxation for any otherwise 185
taxable charges associated with such property while it is in this 186
state or for any subsequent storage, use, or consumption of such 187
property in this state by or on behalf of the consumer. 188

       (D) The tax applies to the storage, use, or other consumption 189
in this state of tangible personal property or services, the 190
acquisition of which at the time of sale was excepted under 191
division (E)(1) of section 5739.01 of the Revised Code from the 192
tax imposed by section 5739.02 of the Revised Code, but which has 193
subsequently been temporarily or permanently stored, used, or 194
otherwise consumed in a taxable manner. 195

       (E) If any transaction is claimed to be exempt under division 196
(E) of section 5739.01 of the Revised Code or under section 197
5739.02 of the Revised Code, with the exception of divisions 198
(B)(1) to (11) or (28) of section 5739.02 of the Revised Code, the 199
consumer shall furnish to the seller, and the seller shall obtain 200
from the consumer, a certificate specifying the reason that the 201
transaction is not subject to the tax. If the transaction is 202
claimed to be exempt under division (B)(13) of section 5739.02 of 203
the Revised Code, the exemption certificate shall be signed by 204
both the contractor and contractee, and the contractee shall be 205
deemed to be the consumer of all items purchased under the claim 206
of exemption if it is subsequently determined that the exemption 207
is not properly claimed. The certificate shall be in such form as 208
the tax commissioner by rule prescribes. If no certificate is 209
furnished or obtained within the period for filing the return for 210
the period in which the transaction is consummated, it shall be 211
presumed that the tax applies. The failure to have so furnished or 212
obtained a certificate shall not preclude a seller or consumer 213
from establishing, within one hundred twenty days of the giving of 214
notice by the commissioner of intention to levy an assessment, 215
that the transaction is not subject to the tax. 216

       (F) A seller who files a petition for reassessment contesting 217
the assessment of tax on transactions for which the seller 218
obtained no valid exemption certificates and for which the seller 219
failed to establish that the transactions were not subject to the 220
tax during the one-hundred-twenty-day period allowed under 221
division (E) of this section may present to the tax commissioner 222
additional evidence to prove that the transactions were exempt. 223
The seller shall file such evidence within ninety days of the 224
receipt by the seller of the notice of assessment, except that, 225
upon application and for reasonable cause, the tax commissioner 226
may extend the period for submitting such evidence thirty days. 227

       (G) For the purpose of the proper administration of sections 228
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion 229
of the tax hereby levied, it shall be presumed that any use, 230
storage, or other consumption of tangible personal property in 231
this state is subject to the tax until the contrary is 232
established. 233

       Section 2. That existing section 5741.02 of the Revised Code 234
is hereby repealed. 235

       Section 3. That the version of section 5741.02 of the Revised 236
Code that is scheduled to take effect July 1, 2003, be amended to 237
read as follows: 238

       Sec. 5741.02. (A) For the use of the general revenue fund of 239
the state, an excise tax is hereby levied on the storage, use, or 240
other consumption in this state of tangible personal property or 241
the benefit realized in this state of any service provided. The 242
tax shall be collected pursuant to the schedules in section 243
5739.025 of the Revised Code. 244

       (B) Each consumer, storing, using, or otherwise consuming in 245
this state tangible personal property or realizing in this state 246
the benefit of any service provided, shall be liable for the tax, 247
and such liability shall not be extinguished until the tax has 248
been paid to this state; provided, that the consumer shall be 249
relieved from further liability for the tax if the tax has been 250
paid to a seller in accordance with section 5741.04 of the Revised 251
Code or prepaid by the seller in accordance with section 5741.06 252
of the Revised Code. 253

       (C) The tax does not apply to the storage, use, or 254
consumption in this state of the following described tangible 255
personal property or services, nor to the storage, use, or 256
consumption or benefit in this state of tangible personal property 257
or services purchased under the following described circumstances: 258

       (1) When the sale of property or service in this state is 259
subject to the excise tax imposed by sections 5739.01 to 5739.31 260
of the Revised Code, provided said tax has been paid; 261

       (2) Except as provided in division (D) of this section, 262
tangible personal property or services, the acquisition of which, 263
if made in Ohio, would be a sale not subject to the tax imposed by 264
sections 5739.01 to 5739.31 of the Revised Code; 265

       (3) Property or services, the storage, use, or other 266
consumption of or benefit from which this state is prohibited from 267
taxing by the Constitution of the United States, laws of the 268
United States, or the Constitution of this state. This exemption 269
shall not exempt from the application of the tax imposed by this 270
section the storage, use, or consumption of tangible personal 271
property that was purchased in interstate commerce, but that has 272
come to rest in this state, provided that fuel to be used or 273
transported in carrying on interstate commerce that is stopped 274
within this state pending transfer from one conveyance to another 275
is exempt from the excise tax imposed by this section and section 276
5739.02 of the Revised Code; 277

       (4) Transient use of tangible personal property in this state 278
by a nonresident tourist or vacationer, or a non-business use 279
within this state by a nonresident of this state, if the property 280
so used was purchased outside this state for use outside this 281
state and is not required to be registered or licensed under the 282
laws of this state; 283

       (5) Tangible personal property or services rendered, upon 284
which taxes have been paid to another jurisdiction to the extent 285
of the amount of the tax paid to such other jurisdiction. Where 286
the amount of the tax imposed by this section and imposed pursuant 287
to section 5741.021, 5741.022, or 5741.023 of the Revised Code 288
exceeds the amount paid to another jurisdiction, the difference 289
shall be allocated between the tax imposed by this section and any 290
tax imposed by a county or a transit authority pursuant to section 291
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion 292
to the respective rates of such taxes. 293

       As used in this subdivision, "taxes paid to another 294
jurisdiction" means the total amount of retail sales or use tax or 295
similar tax based upon the sale, purchase, or use of tangible 296
personal property or services rendered legally, levied by and paid 297
to another state or political subdivision thereof, or to the 298
District of Columbia, where the payment of such tax does not 299
entitle the taxpayer to any refund or credit for such payment. 300

       (6) The transfer of a used manufactured home or used mobile 301
home, as defined by section 5739.0210 of the Revised Code, made on 302
or after January 1, 2000; 303

       (7) Drugs that are or are intended to be distributed free of 304
charge to a practitioner licensed to prescribe, dispense, and 305
administer drugs to a human being in the course of a professional 306
practice and that by law may be dispensed only by or upon the 307
order of such a practitioner; 308

        (8) Computer equipment and related software leased from a 309
lessor located outside this state and initially received in this 310
state on behalf of the consumer by a third party that will retain 311
possession of such property for not more than ninety days and that 312
will, within that ninety-day period, deliver such property to the 313
consumer at a location outside this state. Division (C)(8) of this 314
section does not provide exemption from taxation for any otherwise 315
taxable charges associated with such property while it is in this 316
state or for any subsequent storage, use, or consumption of such 317
property in this state by or on behalf of the consumer. 318

       (D) The tax applies to the storage, use, or other consumption 319
in this state of tangible personal property or services, the 320
acquisition of which at the time of sale was excepted under 321
division (E)(1) of section 5739.01 of the Revised Code from the 322
tax imposed by section 5739.02 of the Revised Code, but which has 323
subsequently been temporarily or permanently stored, used, or 324
otherwise consumed in a taxable manner. 325

       (E)(1) If any transaction is claimed to be exempt under 326
division (E) of section 5739.01 of the Revised Code or under 327
section 5739.02 of the Revised Code, with the exception of 328
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised 329
Code, the consumer shall provide to the seller, and the seller 330
shall obtain from the consumer, a certificate specifying the 331
reason that the transaction is not subject to the tax. The 332
certificate shall be provided either in a hard copy form or 333
electronic form, as prescribed by the tax commissioner. If the 334
transaction is claimed to be exempt under division (B)(13) of 335
section 5739.02 of the Revised Code, the exemption certificate 336
shall be provided by both the contractor and contractee. Such 337
contractee shall be deemed to be the consumer of all items 338
purchased under the claim of exemption if it is subsequently 339
determined that the exemption is not properly claimed. The 340
certificate shall be in such form as the tax commissioner by rule 341
prescribes. The seller shall maintain records, including exemption 342
certificates, of all sales on which a consumer has claimed an 343
exemption, and provide them to the tax commissioner on request. 344

       (2) If no certificate is provided or obtained within the 345
period for filing the return for the period in which the 346
transaction is consummated, it shall be presumed that the tax 347
applies. The failure to have so provided or obtained a certificate 348
shall not preclude a seller or consumer from establishing, within 349
one hundred twenty days of the giving of notice by the 350
commissioner of intention to levy an assessment, that the 351
transaction is not subject to the tax. 352

       (F) A seller who files a petition for reassessment contesting 353
the assessment of tax on transactions for which the seller 354
obtained no valid exemption certificates, and for which the seller 355
failed to establish that the transactions were not subject to the 356
tax during the one-hundred-twenty-day period allowed under 357
division (E) of this section, may present to the tax commissioner 358
additional evidence to prove that the transactions were exempt. 359
The seller shall file such evidence within ninety days of the 360
receipt by the seller of the notice of assessment, except that, 361
upon application and for reasonable cause, the tax commissioner 362
may extend the period for submitting such evidence thirty days. 363

       (G) For the purpose of the proper administration of sections 364
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion 365
of the tax hereby levied, it shall be presumed that any use, 366
storage, or other consumption of tangible personal property in 367
this state is subject to the tax until the contrary is 368
established. 369

       Section 4. That the existing version of section 5741.02 of 370
the Revised Code that is scheduled to take effect July 1, 2003, is 371
hereby repealed. 372

       Section 5. That Sections 3 and 4 of this act take effect July 373
1, 2003. 374

       Section 6. That Sections 1.09 and 35.03 of H.B. 675 of the 375
124th General Assembly be amended to read as follows: 376

       Sec. 1.09. Sections 1.07 and 1.08 of ~~this act~~H.B. 675 of the 377
124th General Assembly take effect ~~July 1, 2003~~January 1, 2004. 378

       Sec. 35.03. Section 5739.031 of the Revised Code takes effect 379
~~July 1, 2003~~January 1, 2004. 380

       Section 7. That existing Sections 1.09 and 35.03 of H.B. 675 381
of the 124th General Assembly are hereby repealed. 382

       Section 8. That Section 3 of Am. Sub. S.B. 143 of the 124th 383
General Assembly be amended to read as follows: 384

       Sec. 3. (A) Sections ~~5739.021, 5739.023, 5739.026,~~ 5739.03, 385
~~5739.031, 5739.033,~~ 5739.12, 5741.02, and 5741.12, and division 386
(I)(7) of section 5741.01 of the Revised Code, as amended by ~~this~~ 387
~~act~~Am. Sub. S.B. 143 of the 124th General Assembly, and sections 388
306.73, 5703.65, 5739.04, 5739.06, 5741.05, and 5741.08 of the 389
Revised Code, as enacted by ~~this act~~Am. Sub. S.B. 143 of the 390
124th General Assembly, shall take effect July 1, 2003. 391

       (B) Sections 5739.021, 5739.023, 5739.026, 5739.031, and 392
5739.033 of the Revised Code, as amended by Am. Sub. S.B. 143 of 393
the 124th General Assembly, shall take effect January 1, 2004. 394

       Section 9. That existing Section 3 of Am. Sub. S.B. 143 of 395
the 124th General Assembly is hereby repealed. 396

       Section 10. The amendments to sections 5739.021, 5739.023, 397
and 5739.026 of the Revised Code by Am. Sub. S.B. 143 of the 124th 398
General Assembly apply to levies proposed by a resolution adopted 399
on or after January 1, 2004, and do not apply to levies proposed 400
by a resolution adopted before that date. 401

       Section 11. Sections 6, 7, 8, and 9 of this act intend to 402
delay the scheduled July 1, 2003, effective date of sections 403
5739.021, 5739.023, 5739.026, 5739.031, and 5739.033 of the 404
Revised Code until January 1, 2004. 405

       Section 12. This act is hereby declared to be an emergency 406
measure necessary for the immediate preservation of the public 407
peace, health, and safety. The reasons for such necessity are that 408
active duty military personnel may face real economic hardships 409
while serving their country and urgently need the financial relief 410
provided by the real property and manufactured home tax extensions 411
authorized by this act. Therefore, this act shall go into 412
immediate effect. 413

Section 1. That section 5741.02 be amended and sections	21
323.122 and 3319.284 of the Revised Code be enacted to read as	22
follows:	23

(1) "Active duty" has the same meaning as in division (F) of	25
section 5919.34 of the Revised Code.	26

(2) "Dependent parent" means a parent who, at the time the	27
member was activated, received from the member at least half of	28
the dependent parent's support, including food, shelter, clothing,	29
and medical and dental care.	30

(B) This section applies to any real property or manufactured	31
or mobile home that is:	32

(1) Owned by a member of the national guard or a member of a	33
reserve component of the armed forces of the United States who is	34
called to active duty;	35

(3) Owned jointly by such a member and that member's spouse	37
or dependent parent; or	38

(4) Owned by the dependent parent of such a member who dies	39
during such duty or as the result of wounds or illness incurred	40
during such duty.	41

(C) The member, the member's spouse, or the member's parent,	42
as applicable, may apply to the county treasurer for an extension	43
for the payment of taxes and assessments charged against the real	44
property or manufactured or mobile home and payable during the	45
period of the member's duty service and the six months ensuing	46
termination thereof. Additionally, application may be made on	47
behalf of a member under a power of attorney granted by the	48
member. Application shall be made not later than the last day of	49
the sixth month after the month in which the member's duty	50
terminates. The applicant shall provide evidence satisfactory to	51
the county treasurer to demonstrate eligibility for the extension	52
as described in division (B) of this section.	53

If the county treasurer determines that the applicant	54
qualifies for an extension under this section, the county	55
treasurer shall enter into a contract with the applicant for	56
payment of the taxes and assessments in installments in the same	57
manner as, and subject to the same terms and conditions of,	58
contracts for the payment of delinquent taxes pursuant to section	59
323.31 of the Revised Code, except that the contract shall specify	60
that payments shall begin in the seventh month after the member's	61
duty terminates. Notwithstanding sections 319.49, 323.01, 323.121,	62
323.132, 4503.06, 5721.01, and 5721.011 of the Revised Code, taxes	63
and assessments, payment of which has been extended under this	64
section, do not constitute delinquent taxes and shall not be	65
placed on the delinquent land list or delinquent manufactured home	66
tax list unless the contract becomes void, and a new contract is	67
not entered into, pursuant to section 323.31 of the Revised Code.	68

(D) If a member, a member's spouse, or a member's parent	69
qualifies for the extension provided in this section, and that	70
member, spouse, or parent has designated an agent for the payment	71
of taxes and assessments the payment of which is so extended, that	72
agent shall not require the member, spouse, or parent to pay to	73
the agent any such taxes and assessments for the period for which	74
payment is extended under division (C) of this section. If such	75
taxes or assessments are paid by the member, spouse, or parent to	76
an agent as part of a mortgage loan installment payment, the agent	77
shall deduct the portion of the payment that represents such taxes	78
and assessments from the amount of each such payment payable	79
during the period of extension prescribed by division (C) of this	80
section.	81

(E) If the member, the member's spouse, or the member's	82
parent has entered into a contract pursuant to this section before	83
the first day of the seventh month after the month in which the	84
member's duty terminates, the county auditor and treasurer shall	85
remove from the tax list and duplicate, respectively, any	86
penalties and interest that were charged under section 323.121 or	87
4503.06 of the Revised Code during the member's duty and before	88
the first day of the seventh month after the month in which the	89
member's duty terminates.	90

(F) Notwithstanding section 323.131 of the Revised Code, a	91
county treasurer shall include a notice of, and information about,	92
the extension provided in this section on or with tax bills mailed	93
or delivered under section 323.13 or 4503.06 of the Revised Code	94
or by providing such notice and information to a newspaper of	95
general circulation in the county when tax bills are mailed or	96
delivered under those sections.	97

Sec. 3319.284. A member of the national guard or a member of	98
a reserve component of the armed forces of the United States who	99
is called to active duty and who, at the time of deployment, holds	100
a valid educator license under this chapter is entitled to have	101
the license extended for a period of time commensurate with the	102
length of active duty service, provided the educator is honorably	103
released from such active duty service. No extension granted	104
pursuant to this section in any year shall be deemed to have	105
expired before the next following thirtieth day of June.	106

As used in this section, "active duty" has the same meaning	107
as in section 5919.34 of the Revised Code.	108

Sec. 5741.02. (A) For the use of the general revenue fund of	109
the state, an excise tax is hereby levied on the storage, use, or	110
other consumption in this state of tangible personal property or	111
the benefit realized in this state of any service provided. The	112
tax shall be collected pursuant to the schedules in section	113
5739.025 of the Revised Code.	114

(B) Each consumer, storing, using, or otherwise consuming in	115
this state tangible personal property or realizing in this state	116
the benefit of any service provided, shall be liable for the tax,	117
and such liability shall not be extinguished until the tax has	118
been paid to this state; provided, that the consumer shall be	119
relieved from further liability for the tax if the tax has been	120
paid to a seller in accordance with section 5741.04 of the Revised	121
Code or prepaid by the seller in accordance with section 5741.06	122
of the Revised Code.	123

(C) The tax does not apply to the storage, use, or	124
consumption in this state of the following described tangible	125
personal property or services, nor to the storage, use, or	126
consumption or benefit in this state of tangible personal property	127
or services purchased under the following described circumstances:	128

(1) When the sale of property or service in this state is	129
subject to the excise tax imposed by sections 5739.01 to 5739.31	130
of the Revised Code, provided said tax has been paid;	131

(2) Except as provided in division (D) of this section,	132
tangible personal property or services, the acquisition of which,	133
if made in Ohio, would be a sale not subject to the tax imposed by	134
sections 5739.01 to 5739.31 of the Revised Code;	135

(3) Property or services, the storage, use, or other	136
consumption of or benefit from which this state is prohibited from	137
taxing by the Constitution of the United States, laws of the	138
United States, or the Constitution of this state. This exemption	139
shall not exempt from the application of the tax imposed by this	140
section the storage, use, or consumption of tangible personal	141
property that was purchased in interstate commerce, but that has	142
come to rest in this state, provided that fuel to be used or	143
transported in carrying on interstate commerce that is stopped	144
within this state pending transfer from one conveyance to another	145
is exempt from the excise tax imposed by this section and section	146
5739.02 of the Revised Code;	147

(4) Transient use of tangible personal property in this state	148
by a nonresident tourist or vacationer, or a non-business use	149
within this state by a nonresident of this state, if the property	150
so used was purchased outside this state for use outside this	151
state and is not required to be registered or licensed under the	152
laws of this state;	153

(5) Tangible personal property or services rendered upon	154
which taxes have been paid to another jurisdiction to the extent	155
of the amount of the tax paid to such other jurisdiction. Where	156
the amount of the tax imposed by this section and imposed pursuant	157
to section 5741.021, 5741.022, or 5741.023 of the Revised Code	158
exceeds the amount paid to another jurisdiction, the difference	159
shall be allocated between the tax imposed by this section and any	160
tax imposed by a county or a transit authority pursuant to section	161
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion	162
to the respective rates of such taxes.	163

As used in this subdivision, "taxes paid to another	164
jurisdiction" means the total amount of retail sales or use tax or	165
similar tax based upon the sale, purchase, or use of tangible	166
personal property or services rendered legally, levied by and paid	167
to another state or political subdivision thereof, or to the	168
District of Columbia, where the payment of such tax does not	169
entitle the taxpayer to any refund or credit for such payment.	170

(6) The transfer of a used manufactured home or used mobile	171
home, as defined by section 5739.0210 of the Revised Code, made on	172
or after January 1, 2000;	173

(7) Drugs that are or are intended to be distributed free of	174
charge to a practitioner licensed to prescribe, dispense, and	175
administer drugs to a human being in the course of a professional	176
practice and that by law may be dispensed only by or upon the	177
order of such a practitioner;	178

(8) Computer equipment and related software leased from a	179
lessor located outside this state and initially received in this	180
state on behalf of the consumer by a third party that will retain	181
possession of such property for not more than ninety days and that	182
will, within that ninety-day period, deliver such property to the	183
consumer at a location outside this state. Division (C)(8) of this	184
section does not provide exemption from taxation for any otherwise	185
taxable charges associated with such property while it is in this	186
state or for any subsequent storage, use, or consumption of such	187
property in this state by or on behalf of the consumer.	188

(D) The tax applies to the storage, use, or other consumption	189
in this state of tangible personal property or services, the	190
acquisition of which at the time of sale was excepted under	191
division (E)(1) of section 5739.01 of the Revised Code from the	192
tax imposed by section 5739.02 of the Revised Code, but which has	193
subsequently been temporarily or permanently stored, used, or	194
otherwise consumed in a taxable manner.	195

(E) If any transaction is claimed to be exempt under division	196
(E) of section 5739.01 of the Revised Code or under section	197
5739.02 of the Revised Code, with the exception of divisions	198
(B)(1) to (11) or (28) of section 5739.02 of the Revised Code, the	199
consumer shall furnish to the seller, and the seller shall obtain	200
from the consumer, a certificate specifying the reason that the	201
transaction is not subject to the tax. If the transaction is	202
claimed to be exempt under division (B)(13) of section 5739.02 of	203
the Revised Code, the exemption certificate shall be signed by	204
both the contractor and contractee, and the contractee shall be	205
deemed to be the consumer of all items purchased under the claim	206
of exemption if it is subsequently determined that the exemption	207
is not properly claimed. The certificate shall be in such form as	208
the tax commissioner by rule prescribes. If no certificate is	209
furnished or obtained within the period for filing the return for	210
the period in which the transaction is consummated, it shall be	211
presumed that the tax applies. The failure to have so furnished or	212
obtained a certificate shall not preclude a seller or consumer	213
from establishing, within one hundred twenty days of the giving of	214
notice by the commissioner of intention to levy an assessment,	215
that the transaction is not subject to the tax.	216

(F) A seller who files a petition for reassessment contesting	217
the assessment of tax on transactions for which the seller	218
obtained no valid exemption certificates and for which the seller	219
failed to establish that the transactions were not subject to the	220
tax during the one-hundred-twenty-day period allowed under	221
division (E) of this section may present to the tax commissioner	222
additional evidence to prove that the transactions were exempt.	223
The seller shall file such evidence within ninety days of the	224
receipt by the seller of the notice of assessment, except that,	225
upon application and for reasonable cause, the tax commissioner	226
may extend the period for submitting such evidence thirty days.	227

(G) For the purpose of the proper administration of sections	228
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion	229
of the tax hereby levied, it shall be presumed that any use,	230
storage, or other consumption of tangible personal property in	231
this state is subject to the tax until the contrary is	232
established.	233