Leased Departments

44.1. Persons making sales of tangible personal property through the facilities of leased departments are required to collect and remit consumers sales and service tax due on such sales. The lessor of such leased departments is not responsible for collecting the tax on such sales and may not file returns on behalf of his lessee.

44.2. Persons making sales of tangible personal property through the facilities of leased departments can issue an exemption certificate for purchases of property for resale, but must pay tax on other purchases for use in their business.

44.3. Persons who lease departments on a permanent basis are not required to pay consumers sales and service tax on the rental fee. However, should they make any improvements to the real property being leased, they are required to pay the tax on property purchased to make such improvements.