Equipment and Tools Subject to the Heavy Equipment Rental Tax

# (1)

(1) Definitions set forth in ORS 307.870 are incorporated herein by reference.

# (2)

(2) The heavy equipment rental tax applies to heavy equipment, heavy equipment attachments, associated trailers, and other equipment and tools rented from a qualified heavy equipment rental provider required to be registered with the Oregon Department of Revenue, provided that the heavy equipment, attachments, associated trailers, and equipment and tools:

(a) are mobile;

(b) can be used for construction, mining, earthmoving or industrial activities;

(c) would otherwise be subject to ad valorem property tax under ORS 307.030;

(d) are rented for a term less than 365 consecutive days, or an open-ended, or undefined term.

# (3)

(3) When determining the length of a rental agreement, each term and any extensions or amendments extending the agreement beyond the initial term are considered separately.

# (4)

(4) The heavy equipment rental tax does not apply to any equipment or tools rented from a person that is not a qualified heavy equipment rental provider required to be registered with the Oregon Department of Revenue.

# (5)

(5) The heavy equipment rental tax does not apply to equipment or tools rented under a rental agreement for a single defined term of 365 consecutive days or more.