Tax Rules: Final: 5703-29
5703-29-07 Qualified foreign trade zone
area.
(A) Uncodified section 557.09.09 of Am. Sub. H.B. 66 provides
that receipts from shipments into and shipments out of a
qualified foreign trade zone area are excluded from gross
receipts that are subject to the commercial activity tax.
Pursuant to uncodified section 690.06 of Am. Sub. H.B. 530,
the foreign trade zone area exclusion defined in uncodified
section 557.09.09 will have no effect after December 31,
2006.
(B) The qualified foreign trade zone area must include a
qualified intermodal facility as defined in uncodified
section 557.09.09(B). The exemption applies after the
commencement of the construction of each of a rail, highway
and air transportation components of the facility that are
capable of receiving and shipping freight. Furthermore, the
shipments must be to or from a warehouse or facility that is
located within one mile of an international airport and that
is located, in whole or in part, within a foreign trade zone
as defined in division (A)(2) of section 5709.44 of the
Revised Code.
(C) In order to determine whether gross receipts qualify for
exclusion, a taxpayer must ascertain if the warehouse or
facility into which or from which goods are shipped is
located within one mile of the boundary of an international
airport. The tax commissioner may post on the Department of
Taxation’s Internet website, if available, maps of those
international airports that meet the qualifications of
uncodified section 557.09.09. Any warehouse or facility that
is shown on this map to be within one mile of the airport
boundary and that is located, in whole or in part, within a
foreign trade zone as defined in division (A)(2) of section
5709.44 of the Revised Code is deemed to meet the
requirements of the exclusion. For any warehouse or facility
that does not appear on this map to be within the one mile
boundary, the taxpayer has the burden of proving that the
warehouse or facility is within the one mile boundary.
Effective: 7-13-06
Promulgated under: 5703.14
Authorized by: 5703.05
Amplifies: 557.09.09 of Am. Sub. H.B. 66 of 126th G.A.
Prior effective dates: 12-30-05