Section 11.55. Agents, consignees, lienors, and brokers.

 

(1)   Undisclosed principal. A person who has possession of tangible personal property or items, property, or goods under s. 77.52 (1) , (b) , (c) , or (d) , Stats., owned by an unknown or undisclosed principal and has the power to transfer title to that property, item, or good to a third person, and who exercises that power, is a retailer whose receipts are subject to the tax.

(2)   Disclosed principal.

(a) The sales price received from the sale of tangible personal property and items, property, and goods under s. 77.52 (1) (b) , (c) , and (d) , Stats., made by a person with possession of the property, item, or good who is acting for a known or disclosed principal, is taxable to the principal if the principal is engaged in the full or part-time business of selling tangible personal property or items, property, or goods under s. 77.52 (1) (b) , (c) , or (d) , Stats. If the principal fails to pay the tax, the agent may be liable for it.

(b) A principal shall be deemed disclosed to a purchaser only when the evidence shows that the identity of the principal is made known to the purchaser at the time of the sale, and when the name and address of the principal appear on the books and records of the agent.

(3)   Enforcement of liens. Pawnbrokers, storage persons, and others selling tangible personal property and items, property, and goods under s. 77.52 (1) (b) , (c) , and (d) , Stats., to enforce a lien are retailers with respect to such sales, and tax applies to the receipts from such sales.

(4)   Repossessions. Repossessions of tangible personal property and items, property, and goods under s. 77.52 (1) (b) , (c) , and (d) , Stats., by a seller from a purchaser when the only consideration is cancellation of the purchaser's obligation to pay for the property, item, or good is not a taxable transaction. However, sales at retail of repossessed property (e.g., by finance companies, insurance companies, banks and other financial institutions) are taxable sales.

History: Cr. Register, May, 1978, No. 269 , eff. 6-1-78; EmR0924 : emerg. am. (title), (1), (2) (a), (3) and (4), eff. 10-1-09; CR 09-090 : am. (title), (1), (2) (a), (3) and (4) Register May 2010 No. 653 , eff. 6-1-10.

Note

Section Tax 11.55 interprets s. 77.51 (1fd) , (13) and (14g) (f) , Stats. Microsoft Windows NT 6.1.7601 Service Pack 1 The interpretations in s. Tax 11.55 are effective under the general sales and use tax law on and after September 1, 1969, except that the change of the term "gross receipts" to "sales price" and the separate impositions of tax on coins and stamps sold above face value under s. 77.52 (1) (b) , Stats., certain leased property affixed to real property under s. 77.52 (1) (c) , Stats., and digital goods under s. 77.52 (1) (d) , Stats., became effective October 1, 2009, pursuant to 2009 Wis. Act 2 . Microsoft Windows NT 6.1.7601 Service Pack 1