Resolution 2012-65 - Laserfiche WebLink

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3. Sales/Use Tax Rebate-Tangible Goods. For the start up and first twelve- month period of operation in Louisville (which period shall commence upon and run continuously from the Commencement Date (defined below)), the City shall rebate to the Company 50% of the Use Tax (and in certain circumstances as described below, Sales Tax) paid and collected on tangible goods purchased by the Company for the Company's use at the Project Location, as required under Louisville Municipal Code, section 3.20.300, excluding all tax revenues from the open space tax and historic preservation tax. In certain circumstances, Sales Tax may be included in this rebate, when the purchases were from companies with nexus with the City, therefore allowing those companies to remit sales tax to the City. Absent such nexus, the Company would have remitted use tax to the City. No rebate shall be issued for goods purchased prior to the date of the Company's contract to lease space at the Project Location. Only those tangible goods purchased for use at the Project Location shall qualify for rebate consideration. Tangible goods include, by way of example, computers, furniture, fixtures, appliances, electronics, and does not include, by way of example, food, office supplies or other consumable goods not expected to last for three or more years. 4. Payment of Sales/Use Tax Rebate — Tangible Goods. The sales/use tax rebates provided for in Section 3 above shall be paid by the City in annual installments. At the end of each calendar year, on or before January 31, the Company shall be responsible to remit to the City its total annual sales/use tax payment on the appropriate sales/use tax return form. The Company shall produce a listing of all tangible personal property which qualifies for the use tax rebate as defined in. Section 3 above with copies of the supporting invoices or receipts. Additionally, the Company shall provide to the City copies of invoices or receipts on which City sales tax was charged and paid to vendors for tangible personal property which qualifies for the rebate of sales tax as defined in Section 3 above. Within 30 days of receipt of the required documentation described, the rebate payment will be remitted to the Company at the mailing address stated in Section 11 below. The sales/use tax rebate on tangible goods is capped by the percentages and regulated by the processes stated above. 5. Sales Tax Rebate — Retail Sales. The City shall rebate to the Company 100% of the sales tax revenues derived from the imposition of the City's 3.0% general sales tax (excluding the City's three-eighths percent (3/8%) Open Space Tax and the one-eighth percent (1/8%) Historic Preservation Tax) that is actually collected by the City and attributable solely to new retail sales generated by operation of the Project and occurring at the Project Location, for the first three (3) years of its operation commencing on the first day of the month following the date the Company begins retail sales to the public from the Project Location ("the Commencement Date"). The three-year rebate period shall commence upon and run continuously from the Commencement Date. Sales tax rebates under this Agreement shall terminate when the Company has received from the City the last rebate payment under this Agreement for the three-year rebate period or when the Company has received $800,000 in rebate payments, whichever first occurs. Page 2 of 6