Whereas, changes in the business equipment tax reimbursement program must take effect before April 1, 2001 in order to apply to the 2001 tax year; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 36 MRSA §6651, sub-§4 is enacted to read:

4.__Qualified business property; limitations.__"Qualified business property" does not include:

A.__For property placed in service after April 1, 2001, property that is used primarily:

(1)__For the distribution, presentation or sale of retail goods unless less than 50% of the total annual revenues from operations based in the State of the person placing the property in service are derived from sales taxable in the State;

(2)__To provide meals and lodging; or

(3)__To provide professional, personal or business services.

Emergency clause. In view of the emergency cited in the preamble, this Act takes effect when approved.

SUMMARY

This bill proposes to exclude from the business equipment tax reimbursement program, BETR, property placed in service in this State after April 1, 2001 that is used primarily for the provision of meals and lodging, retail sales or professional, personal or business services.