SB 66

---

 

April 9, 2015 The Honorable Cathy Giessel State Capitol Room 427 Juneau AK, 99801 Re: Support for SB 66, an act relating to the passenger and recreational vehicle rental taxes Dear Senator Giessel: The Alaska Chamber is an organization dedicated to improving the business environment in Alaska. The Chamber represents hundreds of businesses from Ketchikan to Barrow that share a common goal: to make Alaska a viable and competitive place to do business. The Chamber supports efficient regulation, fiscal responsibility, and efforts taken to improve or protect the business environment in Alaska. Our members support legislation that updates and clarifies laws, provides regulatory certainty, and that generally improves Alaska’s business climate. The Chamber supports the swift passage of Senate Bill 66 (SB 66). SB 66 clarifies that the Vehicle Passenger Rental Tax enacted in 2003 does not apply to commercial long-term rentals among businesses in Alaska. The original legislative intent was to levy a tax on visitors using the State of Alaska’s road system and infrastructure. Since the effective date of the law, rental car companies have collected the tax upon rental and submitted it to the State. Until recently, the Department of Revenue only applied this tax to rental car companies. SB 66 updates and clarifies the Vehicle Rental Passenger Tax law providing regulatory certainty for Alaska businesses not in the vehicle rental business. We urge swift passage of SB 66. Sincerely,

Rachael Petro President/CEO

471 West 36th Avenue, Suite 201, Anchorage, AK 99503 • (907) 278-2722 • alaskachamber.com