Tax Rules: Final: 5703-9
5703-9-05 Transactions where tangible personal
property is or is to be stored
(A) A transaction in which “tangible personal property is or
is to be stored” under division (B)(8) of section 5739.01 of
the Revised Code means transactions involving any keeping or
holding of another’s tangible personal property or any
provision of space that is used to store another’s tangible
(B) In a transaction in which "tangible personal property is
or is to be stored" pursuant to division (B)(8) of section
5739.01 of the Revised Code, it is not relevant whether the
storage of the tangible personal property is at a location
that constitutes personal property or real property. The tax
must be charged on the full fee or charge for the
transaction. Accordingly, the tax imposed under that division
is not subject to division (A)(2) of section 5739.02 of the
Revised Code, or division (A)(2) of section 5741.02 of the
(C) Transactions are taxable when payment, relating to
storage on or after August 1, 2003, is made on or after
August 1, 2003.
(D) "Tangible personal property is or is to be stored"
includes, but is not limited to, the following and similar
transactions related to:
(1) Except as provided in paragraph (E) of this rule, the
holding of tangible personal property for the consumer for
which there is a charge;
(2) The short-term or long-term holding of clothing for a
consumer in a vault or other facility;
(3) Any other bailment of personal property for which a fee
(4) The provision of a locker, self-storage unit, building,
or other property, both real and personal, for the lessee’s
or renter’s use in storing tangible personal property;
(5) The provision of dry-dockage or of out-of-water storage
(6) The provision of safe deposit boxes; or
(7) Except for parking as provided in paragraph (E)(2) of
this rule, the holding of, or provision of space to keep a
motor vehicle.: or
(8) Airplane storage. "Airplane storage" is an aircraft at
rest, either in a hangar or by tie-downs, during which the
engine of the aircraft is not maintained in an active or
operational condition pursuant to the directives found in the
Pilot's Operating Handbook for the aircraft.
(E) "Tangible personal property is or is to be stored" does
not include the following and similar transactions related
(1) Transactions where the tangible personal property being
stored by or for the consumer is held by the consumer for
sale in the regular course of the consumer’s business,
including raw materials and works-in-progress;
(2) Parking provided as an adjunct to residential
accommodations and parking in a public or private commercial
facility or lot, used for the parking of vehicles. Parking of
vehicles is to be distinguished from the storage of vehicles.
Examples of parking would include parking at an airport and
parking in a parking lot where the fee is paid on a monthly
basis. An example of storage would include the storing of a
collectible automobile that is occasionally removed and
(3) The in-water moorage of watercraft at a dock or pier;
(4) The kenneling or boarding of an animal where the true
object of such service involves animal care that includes
additional services such as the care and feeding of the
animal and the charges for such additional services are not
(5) The provision of private mail boxes; or
(6) Bailments where no fee is imposed as a condition of the
bailment, even if tipping is permitted.
(1) Determination of the tax due on currency or coin-operated
storage modules, such as coin-operated lockers, shall be made
either by using the pre-determined method provided in this
paragraph or by a method approved by the tax commissioner
under section 5739.05 of the Revised Code. Vendors using the
following predetermined method do not need to apply to the
tax commissioner for authorization:
(a) The average charge per transaction is broken down into
two components, one representing price and the other
representing sales tax.
(b) The average charge per transaction for the reporting
period shall be determined and divided by the sum of one plus
the percentage total rate of tax applicable in the taxing
jurisdiction which the storage space is located to arrive at
the “price component” of the average charge per transaction.
Any fraction of a cent included in such price shall be
(c) The average charge per transaction minus the "price
component" determined under paragraph (F)(1)(b) of this rule
yields the "sales tax component."
(d) The total receipts for the reporting period shall be
divided by the average charge per transaction to arrive at
the number of transactions.
(e) The number of transactions as determined under paragraph
(F)(1)(d) of this rule shall be multiplied by the "sales tax
component" determined under paragraph (F)(1)(c) of this rule.
This result is the amount to report as the tax on such sales
for the reporting period. Taxable sales for the reporting
period is total receipts less the sales tax.
(2) The following is an example of the procedure to be used
pursuant to paragraphs (F)(1)(b) to (F)(1)(e) of this rule:
(a) The average charge per transaction is fifty cents and the
rate for the taxing jurisdiction is seven per cent. The
resulting calculation under paragraph (F)(1)(b) of this rule
is $0.46728972, ($0.50/1.07) The fractions of a cent are
dropped, yielding a “price component” of forty-six cents for
the average charge per transaction.
(b) The forty-six-cent "price component" of the transaction
is subtracted from the fifty-cent average charge per
transaction, resulting in the "sales tax component" of four
cents included in each fifty-cent charge.
(c) The total receipts of $1,025.25 are divided by the
fifty-cent average charge to arrive at 2,050.5, the number of
(d) The 2,050.5 transactions are multiplied by the "sales tax
component" of four cents per transaction, resulting in the
amount to report as the tax on such sales of $82.02.
Effective: Effective: 1-16-04
Promulgated under: 5703.14
Authorized by: 5703.05
Amplifies: 5739.01, 5739.02, 5741.07
Prior effective dates: 10-19-03