ORD NO 26-1999 i
CITY OF VAN BUREN, ARKANSAS
ORDINANCE NO. 0 -1999
AN ORDINANCE AMENDING VAN BUREN CODE SECTION 3.08 TO PROVIDE
CRIMINAL PENALTIES FOR FAILURE TO REMIT HOTEL AND RESTAURANT
TAXES, PROVIDING FOR THE COLLECTION OF SAID TAXES PURSUANT TO
STATE LAW AND DECLARING AN EMERGENCY.
WHEREAS, Arkansas Code Annotated Section 26 -75 -603 provides for the
enforcement of the hotel and restaurant tax as authorized by this Chapter; and
WHEREAS, it is in the best interests of the City of Van Buren that the City's
Advertising and Promotion Commission have full use of enforcement procedures which
are authorized by state law.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF VAN BUREN, ARKANSAS:
SECTION 1: That the Van Buren Code, Section 3.08 be amended to include the
following provisions:
A. ENFORCEMENT AND COLLECTION:
1. Any person required under this Section to pay the hotel and restaurant tax or file
reports of said tax who willfully fails to pay said tax or file a report shall be guilty of a
misdemeanor.
2. In addition to all other powers granted to the Commission pursuant to state law, the
Commission shall have full enforcement and collection powers as set forth in Ark. Code
Annotated 26 -75 -603 and 26 -18 -101 et seq., as well as the power to:
a. Assess penalties and interest against taxpayers who fail to timely report or pay the tax.
The penalty shall he equal to five percent (5 of the unpaid tax amount per month not to
exceed a total assessment of thirty -five percent (35 of the unpaid tax. Simple interest
on unpaid taxes shall be assessed at the rate of ten percent (10 per annum;
b. Assess unpaid or unreported tax within three (3) years of the date the tax is due;
c. Provide for judicial relief from proposed assessments in accordance with this section;
d. Issue certificates of indebtedness in accordance with Section E.
B. EXAMINATION OF RECORDS
1. In the administration of the hotel and restaurant tax authorized by this Chapter, the
Commission, for the purpose of determining the accuracy of a report of fixing any liability
under such tax provisions, may make an examination or investigation of the place of
business, the tangible personal property, equipment, and facilities, and the books, records,
papers, vouchers, accounts, and documents of any taxpayer or other person. Every
taxpayer or other person and his agents and employees shall exhibit to the Commission
these pieces and items and facilitate any examination or investigation.
C. NOTICE
1. The Commission shall give the taxpayer notice of any assessment, demand, decision,
or hearing before the Commission which directly involves that taxpayer.
2. All notice required to be given by the Commission to a taxpayer shall be either served
by personal service or sent by mail to the taxpayer's Last address on record with the
Commission. If this mail is returned unclaimed or refused, then proper notice shall have
been served and given, and the Commission may take any action permitted by this Section
and by Ark. Code Ann. 26 -75 -603.
3. If any taxpayer fails to file a report and remit the hotel and restaurant tax as provided
for by this Section, the Commission, from any information in its possession or obtainable
by it, may determine the correct amount of tax due in accordance with the following
procedure:
The Commission shall propose the assessment of tax due plus
penalties, as the case may be, and shall give notice of the proposed
assessment to the taxpayer. The notice shall explain the basis for the
proposed assessment and shall state that a final assessment shall be
made if the taxpayer does not protest such proposed assessment.
D. ADMINISTRATIVE PROCEDURE
1. Any taxpayer who wishes to seek administrative relief from any proposed assessment
of taxes shall do so pursuant to the following procedures:
a. A taxpayer may at his option either request the Commission to consider his
request for relief solely upon written documents furnished by the taxpayer or upon
the written documents and any evidence produced by the taxpayer at a hearing.
b. A taxpayer who requests the Commission to render its decision based on
written documents is not entitled by law to any other administrative hearing prior
to the Commission's rendering of its decision, and, if necessary, the issuing of a
final assessment and demand for payment or issuing of a certificate of indebtedness.
.1.
0 c. If the taxpayer requests a hearing, the Commission shall set the time and
place for hearing and shall give the taxpayer reasonable notice thereof.
d. Within thirty (30) days of the issuance and service on the taxpayer of the
notice and demand for payment of a deficiency in tax established by (a) a proposed
assessment which is not protested by the taxpayer under this Chapter, or (b) a final
determination of the Commission following administrative review, the taxpayer
may seek judicial relief from the final determination in accordance with Ark.
Code Ann. 26 -75 -603 (d).
E. CERTIFICATE OF INDEBTEDNESS /JUDGMENT
1. If a taxpayer does not timely and properly pursue his remedies seeking relief from a
decision of the Commission, and a final assessment is made against the taxpayer, or if the
taxpayer fails to pay the deficiency assessed upon notice and demand, then the Commission
shall, as soon as practicable thereafter, utilize the provisions of Ark Code Ann. 26 -75-
603 (e) to enforce payment by issuing to the Circuit Clerk a certificate of indebtedness
certifying that the person named therein is indebted to the Commission for the amount of
the tax established by the Commission as due.
2. The Circuit Clerk shall enter immediately upon the Circuit Court judgment docket:
a. The name of the delinquent taxpayer;
b. The amount certified as being due;
c. The name of the tax; and
d. The date of entry upon the judgment docket.
3. The entry of the certificate of indebtedness shall have the same force and effect as the
entry of a judgment rendered by the Circuit Court. This entry shall constitute the
Commission's lien upon the title of any real and personal property of the taxpayer in the
county where the certificate of indebtedness is recorded.
4. The certificate of indebtedness authorized by this subsection shall continue in force for
ten (10) years from the date of recording and shall automatically expire after the ten -year
period has run. Actions on the lien on the certificate of indebtedness shall be commenced
within ten (10) years after the date of recording of the certificate, and not afterward.
5. The Commission shall have all remedies and may take all proceedings for the collection
of the tax which may be taken for the recovery of a judgment at law.
SECTION 2: This ordinance is necessary for the immediate health, safety and
PASSED AND APPROVED THIS �a =DAY OF 1999.
0
APPROVED:
MAYOR
ATTEST:
GYhO�e „0,
CITY CLERK /TREASURER
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