(a) The following
words and terms, when used in this section, have the following meanings, unless
the context clearly indicates otherwise:
Contract-A written or verbal agreement
which involves the transfer of property or service as a construction or sales
activity or as a rental or lease. The term includes a subcontract.
Exempt entity-A charitable organization;
volunteer firemen's organization; nonprofit educational institution; religious
organization; the Federal government or its instrumentalities; or the
Commonwealth, its instrumentalities or political subdivisions, including public
school districts.
(b) Under
section 252 of the TRC (72 P. S. §
7252), a refund granted pursuant to a
petition for refund filed with the Board of Appeals on or after October 1,
1991, in conjunction with a contract with an exempt entity will be granted to
the exempt entity.
(c) A
contractor, at the time of making a claim for refund with the Board of Appeals
for tax paid in conjunction with a contract with an exempt entity, shall file a
separate petition for refund for each exempt entity. Failure to provide the
following information may result in the dismissal of the petition:
(1) The name of exempt entity.
(2) The address of exempt entity.
(3) A copy of the contract with exempt entity
or in the alternative satisfactory evidence that the contract was performed for
an exempt entity.
(4) Sales and Use
Tax Appeal Schedule (REV-39) which describes the type of property for which the
refund is requested and the corresponding dollar amount of the refund claimed
on the property.
(d) The
Board of Appeals may request additional information it deems necessary. Failure
to provide the information may result in the denial of the petition.
(e) Upon the filing of a petition referred to
in subsection (c), the Board of Appeals will notify the entity in subsection
(c)(1) that a refund petition is pending at the Board of Appeals.
(f) An exempt entity may receive an
assignment of rights from the contractor and file a petition for
refund.
(g) If a refund is
determined to be due and the contractor has a valid assignment of rights from
the exempt entity, the refund will be paid to the contractor.
