H 3220 General Bill, By Quinn
 A BILL TO AMEND SECTION 12-36-120, CODE OF LAWS OF SOUTH CAROLINA, 1976,
 RELATING TO WHOLESALE SALES, SO AS TO DEFINE SALES OF ELECTRICITY, MACHINERY,
 AND CHEMICALS TO STATE OR LOCAL POLITICAL SUBDIVISIONS FOR THE PRODUCTION OF
 DRINKING WATER AND FOR THE TREATMENT OF MUNICIPAL WASTE CONTAINING THIRTY-FIVE
 PERCENT OR MORE INDUSTRIAL OR MANUFACTURING WASTE AS WHOLESALE SALES.

   01/10/01  House  Introduced and read first time HJ-7
   01/10/01  House  Referred to Committee on Ways and Means HJ-7

TO AMEND SECTION 12-36-120, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WHOLESALE SALES, SO AS TO DEFINE SALES OF ELECTRICITY, MACHINERY, AND CHEMICALS TO STATE OR LOCAL POLITICAL SUBDIVISIONS FOR THE PRODUCTION OF DRINKING WATER AND FOR THE TREATMENT OF MUNICIPAL WASTE CONTAINING THIRTY-FIVE PERCENT OR MORE INDUSTRIAL OR MANUFACTURING WASTE AS WHOLESALE SALES.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    Section 12-36-120 of the 1976 Code is amended to read:

    "Section 12-36-120.    'Wholesale sale' and 'sale at wholesale' mean a sale of:

    (1)    tangible personal property to licensed retail merchants, jobbers, dealers, or wholesalers for resale, and do not include sales to users or consumers not for resale;

    (2)    tangible personal property to a manufacturer or compounder as an ingredient or component part of the tangible personal property or products manufactured or compounded for sale;

    (3)    tangible personal property used directly in manufacturing, compounding, or processing tangible personal property into products for sale;

    (4)    materials, containers, cores, labels, sacks, or bags used incident to the sale and delivery of tangible personal property, or used by manufacturers, processors, and compounders in shipping tangible personal property.;

    (5)    food or drink products to licensed retail merchants for use as ingredients in preparing ready-to-eat food or drink sold at retail. These products include cooking oil used as an ingredient. However, items used or consumed by licensed retail merchants to prepare ready-to-eat food or drink, such as hickory chips, barbecue briquettes, gas, or electricity are subject to tax.;

    (6)    electricity, machinery, and chemicals purchased and used by a state, county, municipality, political subdivision, or special entity created to serve the general public in the production of drinking water for sale. Water distribution systems are not wholesale sales, except for the pumps and the electricity they consume;

    (7)    electricity, machinery, and chemicals purchased and used by a state, county, municipality, political subdivision, or special entity created to serve the general public in the treatment of municipal waste containing thirty-five percent or more industrial or manufacturing waste, based on gallons or cubic feet billed."

SECTION    2.    This act takes effect upon approval by the Governor and applies to sales occurring on or after that date and sales before that date for which claims for refund may be filed.