1. (1)

   1. (a) Except as provided in Subsection (1)(b), a purchaser is relieved from a penalty under Section 59-1-401 for failure to pay a tax due under this part or an underpayment if:

      1. (i) the purchaser's seller or certified service provider relies on incorrect data provided by the commission:

         1. (A) on a tax rate;
         2. (B) on a boundary;
         3. (C) on a taxing jurisdiction; or
         4. (D) in the taxability matrix the commission provides in accordance with the agreement; or

      2. (ii) the purchaser, regardless of whether the purchaser holds a direct payment permit in accordance with Section 59-12-107.1, relies on incorrect data provided by the commission:

         1. (A) on a tax rate;
         2. (B) on a boundary;
         3. (C) on a taxing jurisdiction; or
         4. (D) in the taxability matrix the commission provides in accordance with the agreement.

   2. (b) For purposes of Subsection (1)(a), a purchaser is not relieved from a penalty under Section 59-1-401 for failure to pay a tax due under this part or an underpayment if the purchaser's, the purchaser's seller's, or the purchaser's certified service provider's reliance on incorrect data provided by the commission is as a result of conduct that is:

      1. (i) fraudulent;
      2. (ii) intentional; or
      3. (iii) willful.

2. (2) In addition to the relief from a penalty described in Subsection (1), a purchaser is not liable for a tax or interest under Section 59-1-402 for failure to pay a tax due under this part or an underpayment if:

   1. (a) the purchaser's seller or certified service provider relies on:

      1. (i) incorrect data provided by the commission:

         1. (A) on a tax rate;
         2. (B) on a boundary; or
         3. (C) on a taxing jurisdiction; or

      2. (ii) an erroneous classification by the commission:

         1. (A) in the taxability matrix the commission provides in accordance with the agreement; and

         2. (B) with respect to a term:

            1. (I) in the library of definitions; and

            2. (II) that is:

               1. (Aa) listed as taxable or exempt;
               2. (Bb) included in or excluded from "sales price"; or
               3. (Cc) included in or excluded from a definition; or

   2. (b) the purchaser, regardless of whether the purchaser holds a direct payment permit in accordance with Section 59-12-107.1, relies on:

      1. (i) incorrect data provided by the commission:

         1. (A) on a tax rate;
         2. (B) on a boundary; or
         3. (C) on a taxing jurisdiction; or

      2. (ii) an erroneous classification by the commission:

         1. (A) in the taxability matrix the commission provides in accordance with the agreement; and

         2. (B) with respect to a term:

            1. (I) in the library of definitions; and

            2. (II) that is:

               1. (Aa) listed as taxable or exempt;
               2. (Bb) included in or excluded from "sales price"; or
               3. (Cc) included in or excluded from a definition.

Enacted by Chapter 384, 2008 General Session