Direct Payment Permits - Maine Sales/excise Tax Division (Page 3 of 3) in pdf

Direct Payment Permits - Maine Sales/excise Tax Division Page 3

automobiles under Section 1811, billings of sales tax are made and should be paid to the vendor

by the direct payment permit holder.

Revocation of Direct Payment Permit

The holder of a direct payment permit who wishes to surrender such permit

voluntarily must first obtain written permission from the State Tax Assessor.

The State Tax Assessor shall have the authority to revoke a direct payment permit

at any time for failure of the taxpayer to comply with the conditions under which

the permit was granted, or for reasons constituting misuse of such authority.

Within 30 days after receipt by a permit holder of notice of revocation by the

State Tax Assessor or within 30 days after receipt of the State Tax Assessor's

permission for discontinuance of the direct payment permit by the taxpayer,

the permit holder shall:

1. Give notice to each supplier with whom it had transacted business pursuant to

the direct payment authority, that subsequent to any appropriate effective date, it

will no longer claim exemption from payment of tax by reason of a direct

payment permit.

2. Return the direct payment permit to the State Tax Assessor.

Direct Payment Permit

The direct payment permit will be issued by the State Tax Assessor in the form prescribed

below:

STATE OF MAINE

Bureau of Taxation

Direct Payment Permit

No.______________

It having been determined that the conduct of the business of the taxpayer noted below is

such that it would be impractical for it to pay sales and use taxes separately under the Maine Sales

and Use Tax Law on purchases made by it, that payment of sales and use taxes to the State would

not be jeopardized by permitting the taxpayer to report and pay sales and use taxes directly, and

the taxpayer having obligated itself to report and pay sales and use taxes directly, retailers selling

to the taxpayer named below are hereby relieved of collecting sales and use taxes from it.

Except as noted below, the taxpayer shall file a copy of this permit with each retailer and

shall place the direct payment permit number on all purchase orders and contracts covering the

purchase of tangible personal property; which shall be sufficient evidence to retailers to relieve

them from collecting sales or use taxes thereon.

Name of Taxpayer ______________________________________________________________

Direct Payment Permits - Maine Sales/excise Tax Division Page 3