S 562 Session 110 (1993-1994)
S 0562 General Bill, By Land
A Bill to amend the Code of Laws of South Carolina, 1976 by adding Section
56-3-2325 so as to provide penalties for violation of dealer plates; to amend
Section 56-3-2320, as amended, relating to dealer and wholesaler plates, so as
to provide additional restrictions on the issuance of dealer license plates
and prohibit the issuance of wholesaler license plates; to amend Section
56-3-2350, relating to special registration, so as to provide for use of
transporter license plates for dealers; to amend Sections 12-36-90 and
12-36-110, both as amended, relating to gross proceeds of sales and sale at
retail, so as to exempt a motor vehicle used with a dealer license plate from
imposition of tax.
03/17/93 Senate Introduced and read first time SJ-10
03/17/93 Senate Referred to Committee on Transportation SJ-10
A BILL
TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976,
BY ADDING SECTION 56-3-2325 SO AS TO PROVIDE PENALTIES
FOR VIOLATION OF DEALER PLATES; TO AMEND SECTION
56-3-2320, AS AMENDED, RELATING TO DEALER AND
WHOLESALER PLATES, SO AS TO PROVIDE ADDITIONAL
RESTRICTIONS ON THE ISSUANCE OF DEALER LICENSE
PLATES AND PROHIBIT THE ISSUANCE OF WHOLESALER
LICENSE PLATES; TO AMEND SECTION 56-3-2350, RELATING
TO SPECIAL REGISTRATION, SO AS TO PROVIDE FOR USE OF
TRANSPORTER LICENSE PLATES FOR DEALERS; TO AMEND
SECTIONS 12-36-90 AND 12-36-110, BOTH AS AMENDED,
RELATING TO GROSS PROCEEDS OF SALES AND SALE AT
RETAIL, SO AS TO EXEMPT A MOTOR VEHICLE USED WITH A
DEALER LICENSE PLATE FROM IMPOSITION OF TAX.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The 1976 Code is amended by adding:
"Section 56-3-2325. A person who misuses a dealer license
plate issued pursuant to this article must be fined three hundred dollars
or forfeit the dealer license plate, or both."
SECTION 2. Section 56-3-2320 of the 1976 Code, as last amended by
Act 498 of 1992, is further amended to read:
"Section 56-3-2320. (A) Upon application being made
and the required fee being paid to the department, the department
may issue dealer license plates to a duly licensed motor
vehicle dealer or wholesaler, upon application being made and the
required fee being paid to the department, dealer or wholesaler license
plates. The license plates, notwithstanding any provision of this
chapter to the contrary, may be used exclusively on motor vehicles
owned by, or assigned to the dealer or wholesaler
when operated on the highways of this State by the dealer, its
corporate officers, its employees, or a prospective purchaser of the motor
vehicle. The use by a prospective purchaser is limited to seven days and
the dealer must provide the prospective purchaser with a dated
demonstration certificate. The certificate must be approved by the
department. Dealer or wholesaler plates may not be used to
operate wreckers or service vehicles in use by the dealer or
wholesaler, nor to operate vehicles owned by the dealer and
wholesaler that are leased or rented by the public. No dealer or
wholesaler plates may be issued by the department unless the dealer
or wholesaler furnishes proof in a form acceptable to the
department that he has a retail business license as required by Chapter
36 of Title 12 or wholesaler's certificate of exemption from the Tax
Commission and has made at least ten fifty sales of
motor vehicles at retail in the twelve months preceding his
application for a dealer or wholesaler plate. The sales
requirement may be waived by the department if the dealer or
wholesaler has been licensed for less than one year.
The Department shall make a distinction between dealer tags and
wholesaler tags. No A dealer or wholesaler may be
issued more than six plates or the number equal to the
average number of employees of the dealership at a rate of one
for every twenty vehicles sold at retail during the preceding
year, which ever is greater. For good cause shown, the
department in its discretion may issue extra plates. If the dealer has
been licensed less than one year, the department shall issue a number of
license plates based on an estimated number of retail sales for the
coming year. The department may increase or decrease the number of
plates issued based on actual retail sales made.
The cost of each dealer or wholesaler plate issued is twenty
dollars.
Notwithstanding the provisions of this section, a dealer franchised
exclusively for the sale of heavy duty trucks is eligible to obtain dealer
license plates for exclusive use on the heavy duty trucks regardless of
the number of trucks sold by him during the preceding required number
of months. These dealer license plates for trucks must be noted with a
distinct and separate identification and used only on heavy duty
trucks.
(B) For purposes of this section, the testing or demonstration
of a truck as defined in Section 56-3-20(10) includes permitting a
prospective buyer to use the truck for carrying merchandise or cargo for
a period not to exceed three days upon the dealer providing the buyer
with a special demonstration certificate for this purpose. The form and
content of the demonstration certificate must be as prescribed by
regulation of the department which also shall also
provide certificates to dealers upon their request. The original certificate
must be kept by the buyer in the cab of the truck during the three-day
demonstration period, and the dealer shall retain a copy of the certificate
and also shall also mail a copy of the certificate to the
department within twenty-four hours after it is issued to the buyer.
Notwithstanding the provisions of this section, a dealer franchised
exclusively for the sale of heavy duty trucks is eligible to obtain dealer
tags for exclusive use on such heavy duty trucks regardless of the
number of trucks sold by him during the preceding required number of
months. These dealer tags for trucks must be noted with a distinct and
separate identification and used only on heavy duty trucks."
SECTION 3. Section 56-3-2350 of the 1976 Code is amended to read:
"Section 56-3-2350. (A) A person engaged in a
business of limited operation of motor vehicles to facilitate the
manufacture or construction of cabs or bodies or the foreclosure or
repossession of such these motor vehicles may apply to
the department for special registration to be issued to and used by
such the person subject to upon the
following conditions:
(1) Application shall must be in a form
prescribed by the department to include the applicable liability insurance
as prescribed by statute and shall be filed with the department
each year. Such The application shall
must include the name and residence address of applicant, (a)
if an individual, the name under which he intends to conduct business,
(b) if a partnership, the name and residence address of each member
thereof of the partnership, and the name under which
the business is to be conducted, (c) if a corporation, the name and
company addresses of the corporation, and the name and residence
address of each of its officers.
(2) The application shall must be certified by the
applicant and by an agent of the department to verify the facts as set
forth in the application.
(3) The annual fee for registration shall be is fifty
dollars, plus an annual fee of ten dollars for each license plate.
(B) A motor vehicle dealer or wholesaler duly licensed under
Section 56-15-310 may purchase transporter license plates and use them
solely for transporting motor vehicles and heavy duty trucks from one
place of sale to another place of sale. Any other use of a transporter
license plate by a duly licensed dealer or wholesaler is subject to a three
hundred fine and loss of the license plate."
SECTION 4. Section 12-36-90(2) of the 1976 Code, as last amended
by Section 74A, Part II, Act 612 of 1990, is further amended by adding:
"(e) a motor vehicle operated with a dealer or transporter
license plate;"
SECTION 5. Section 12-36-110(1)(c) of the 1976 Code, as last
amended by Section 74A, Part II, Act 612 of 1990, is further amended
by adding:
"(v) a motor vehicle operated with a dealer or transporter
license plate;"
SECTION 6. This act takes effect upon approval by the Governor.
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