D.C. Mun. Regs. tit. 9, r. 9-462

Current through Register Vol. 71, No. 35, August 30, 2024

Rule 9-462 - RENTAL OR LEASE OF MOTOR VEHICLES

462.1

The rental of limousines, chartered buses, and other motor vehicles with drivers is subject to the tax when the control of the vehicle is exercised by the person to whom the vehicle is furnished, regardless of the method of charging for that use.

462.2

A person is deemed to "exercise control of a motor vehicle" if both of the following criteria apply:

(a) The person has the exclusive use of the vehicle for a given period of time; and

(b) The person has the right to direct the manner of the use of the vehicle, whether exercised or not, for that period.

462.3

The following are examples of taxable receipts from the rental of motor vehicles:

(a) Rental of limousines, hearses, and funeral cars to funeral directors;

(b) Rental of limousines for weddings;

(c) Rental of limousines for sightseeing;

(d) Rental of limousines and other vehicles to private parties; and

(e) Rental of a taxicab when the taxicab is used for any of the purposes listed in paragraphs (a) through (d).

462.4

The following are examples of non-taxable receipts from the rental of motor vehicles:

(a) Transportation of passengers by ambulances, buses, and taxicabs;

(b) Regularly scheduled sightseeing tours over a fixed route.

D.C. Mun. Regs. tit. 9, r. 9-462

Administrative Ruling No. 1, 16 DCRR