§ 5.120. Bundling taxable items with nontaxable items.

If any nontaxable charges are combined with and not separately stated from taxable utility charges on the service user’s bill or invoice of a service supplier, the combined charge is subject to the utility users’ tax unless the service supplier identifies, by reasonable and verifiable standards, the portions of the combined charges that are nontaxable and taxable through the service supplier’s books and records kept in the regular course of business, and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. The service supplier has the burden of proving the proper apportionment of taxable utility charges and nontaxable charges. If the service supplier offers a combination of services subject to and not subject to the utility users’ tax, and the charges are separately stated, then for taxation purposes, the values assigned the services subject to and not subject to the utility users’ tax shall be based on its books and records kept in the regular course of business and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. The service supplier has the burden of proving the proper valuation and apportionment of the service subject to and not subject to the utility users’ tax.

(Ord. No. 1210, § 1.)