Tax Rules: Final: 5703-9
5703-9-47 Cash register adjustment
reimbursement.
(A) For purposes of this rule:
(1) "Cash register" means a point of sale electro-mechanical
device used to accept tender from customers in the
consummation of retail sales and that computes the sales or
use tax liability on the retail sales, either by means of its
own internal systems or by means of connection to a remote
computing device.
(2) "Costs incurred" means payments made to an independent
contractor, or the reasonable value of labor and materials
utilized, by a vendor or seller in modifying or adjusting a
cash register to compute sales or use tax.
(B) Whenever county sales and use taxes are imposed or
increased pursuant to sections 5739.021 and 5741.021 or
sections 5739.026 and 5741.023 of the Revised Code, and when
regional transit authority sales and use taxes are imposed or
increased pursuant to sections 5739.023 and 5741.022 of the
Revised Code, any vendor or seller who must reprogram or
otherwise modify or adjust the vendor’s or seller’s cash
register so that the higher aggregate tax rate can be
correctly computed, is entitled to claim reimbursement of the
costs incurred in making such adjustment, subject to the
limits in paragraph (C) of this rule. The reimbursement must
be claimed from the county auditor within six months after
the date of the tax imposition or increase. The claim shall
be made on a form essentially identical to the form specified
in paragraph (F) of this rule.
(C) For each place of business in which the vendor or seller
has only one cash register, the vendor or seller may claim
reimbursement of the lesser of the actual cost incurred or
one hundred dollars. For each place of business that has more
than one cash register, the vendor or seller may claim the
lesser of the actual cost incurred or the number of cash
registers multiplied by fifty dollars.
(D) If the modification or adjustment was done by an
independent contractor, the reimbursement claim shall be
accompanied by a copy of the invoice or invoices from the
independent contractor. The invoice must separately state the
charges for each place of business and must indicate the
number of cash registers at each location.
(E) If the modification or adjustment was done by the vendor
or seller or the vendor’s or seller’s employee, the
reimbursement claim must be accompanied by a statement
explaining how the costs incurred were calculated. Normally,
this statement should indicate the hourly wage of the
employee or employees who made the adjustments, the hours
spent in doing the adjustments, and the cost of any materials
consumed.
(F) A form required to be prescribed by rule is hereby
prescribed for use as an application for refund of costs or
charges for cash register modifications required for proper
collection of county or transit sales tax. The form is for
use by vendors and sellers in claiming reimbursement for
costs incurred for modifications or adjustments to cash
registers that were required to be made to compute the
correct sales or use tax after the tax was imposed or
increased pursuant to a resolution of the board of county
commissioners or a regional transit authority. The form
should be obtained by the vendor or seller from the county
auditor. A template of the
form for the auditor’s use may be obtained by the auditor
from the department of taxation and is available on the
department’s web site. The auditor must add county name and
address information and then reproduce the form as needed.
The form, after completion by the vendor or seller, must
contain all the information required to identify the vendor
or seller and to properly calculate the cost incurred by the
vendor or seller that will be allowed as a refund pursuant to
section 5739.212 of the Revised Code. The required
information must include, but is not limited to, the licensed
name and any business name of, and the federal employer
identification number or social security number of, the
vendor or seller; the date of the increase in the rate of the
sales tax; the amount of refund claimed; the number of
qualifying cash registers and locations; and supporting
documentation of the costs incurred.
(G) The following form is incorporated in this rule by
reference:
The application for refund of costs or charges for cash
register modifications required for proper collection of
county or transit sales tax, revised March 15, 2004.
Effective: 6-3-04
Promulgated under: 5703.14
Authorized by: 5703.05, 5739.212
Amplifies: 5739.212
Prior effective dates: 11-30-87