Round Valley Indian Tribes TRIBAL TAX CODE

Transcription

1 Round Valley Indian Tribes TRIBAL TAX CODE CHAPTER 1. TITLE AND PURPOSE... 2 TITLE... 2 STATEMENT OF PURPOSE... 2 CHAPTER 2. DEFINITIONS... 3 DEFINITIONS... 3 CHAPTER 3. TAX SCOPE... 6 TAX SCOPE... 6 CHAPTER 4. SALES TAX... 6 IMPOSITION AND RATE OF TAX... 6 GENERAL EXEMPTIONS FROM SALES TAX... 7 CHAPTER 5. TRANSIENT OCCUPANCY TAX... 7 DEFINITIONS... 7 IMPOSITION AND RATE OF TAX... 8 COLLECTION... 8 CHAPTER 6. PREPARED FOOD AND BEVERAGE TAX... 8 IMPOSITION AND RATE OF TAX... 8 COLLECTION... 9 CHAPTER 7. POSSESSORY INTEREST TAX... 9 DEFINITIONS... 9 IMPOSITION AND TAX RATE... 9 EXEMPTION... 9 DISCRETIONARY EXEMPTION... 9 CHAPTER 8. TRIBAL FUEL TAX... 9 DEFINITIONS... 9 IMPOSITION AND TAX RATE EXEMPTION PAYMENT OF TAX CHAPTER 9. TOBACCO CONTROL AND TAX DEFINITIONS Page 1 of 16

2 SALES AND TAXATION OF TOBACCO PRODUCTS COOPERATION WITH THE STATE OF CALIFORNIA PURCHASES OF CIGARETTES BY TRIBAL TOBACCO RETAILERS TAX STAMPS [RESERVED] RETAIL TOBACCO PRODUCT SALES WITHIN TRIBAL LANDS BY TRIBAL MEMBERS PENALTIES CHAPTER 10. PAYMENT AND PROCEDURAL MATTERS PAYMENT AND RETURNS CIVIL ACTION FOR TAX AND PENALTY PRESERVATION OF RECORDS OVERPAYMENT TRIBAL TAXING AUTHORITY CHAPTER 11. GENERAL PROVISIONS SOVEREIGN IMMUNITY SEVERABILITY EFFECTIVE DATE AND REPEAL PRIOR INCONSISTENT CODES AND ORDINANCES REPEALED CHAPTER 1. TITLE AND PURPOSE Title This law shall be known as the Round Valley Tribal Tax Code. Statement of Purpose The Round Valley Tribal Tax Code is adopted by the Round Valley Indian Tribes pursuant to its inherent powers as a sovereign, federally recognized Indian tribe. The purpose of this law is: (i) to raise revenue for financial support of the Tribe s tribal government operations and administration; (ii) to further tribal selfgovernment and self-determination for the benefit of the health, education and welfare of the Tribe; and (iii) to provide a statutory basis for exercising its sovereign authority to levy taxes, raise revenue and appropriate available tribal funds for public purposes. Round Valley Indian Tribes is a federally recognized Indian tribe which exercises jurisdiction over the lands within the external boundaries of the Round Valley Reservation, consistent with its Constitution and Tribal laws and the Constitution and laws of the United States. As the governing body of the Tribe in accordance with the authority of its Constitution, the Tribal Council is responsible for territorial management, tribal self-government and economic growth to Page 2 of 16

3 ensure that residents of the Round Valley Reservation enjoy adequate employment, health care, educational opportunities, and social and other governmental services. (D) (E) (F) (G) (H) The Tribe must raise needed revenue to pay for the current and future expansion of governmental services to attain and maintain tribal self-government and self-sufficiency. Such services benefit both tribal members and non-tribal patrons and businesses, and include, but are not limited to a tribal court system, health and wellness services, fire protection and prevention, law enforcement, administration of education, housing, elder and emergency assistance programs, water, wastewater and other utility services, land use planning, environmental protection and enforcement, roads maintenance and cultural preservation programs. Due to increased growth and land use pressure on the Reservation, and decreasing financial support from the United States government in connection with its trust obligation to the Tribe, the Tribe lacks sufficient revenue to continue to adequately provide the essential governmental services. The Tribe has made significant investments and assumed substantial risk to create tribally-owned commercial enterprises in order to diversify its economic development on the Reservation, including, but not limited to, a Class II gaming enterprise and other commercial enterprises. It is anticipated that on-reservation tribally-owned commercial enterprises will be a major source of on-reservation employment and will provide significant tax revenue to the Tribe to fund tribal government operations and the provision of government services. In order to assert the Tribe s right to self-governance, its regulatory functions or services and taxing power over on-reservation commercial activities, the Tribe desires to adopt this law to provide effective and efficient procedures for the licensing and regulation of commercial activities, and the levy and collection of certain taxes for the benefit of the Tribe. It is the intent of the Tribe that this law protect the Tribe s right to self-governnance by pre-empting any conflicting taxes imposed by the state of California or any of its governmental subdivisions, including but not limited to, Mendocino County, on any commercial enterprises operating on the Reservation, consistent with the provisions of the Federal Indian Trader Statutes, 25 U.S.C et seq., the Indian Gaming Regulatory Act, 25 U.S.C et seq., and applicable principles of federal law. CHAPTER 2. DEFINITIONS Definitions The following definitions shall apply to all sections of this law unless explicitly stated otherwise. Business means any Person engaged in an activity or act with the object or result of gain, benefit or advantage for the Person engaged in the activities or acts, either directly or indirectly. Consumer means any Person who Purchases Goods from any Business doing business on Tribal Lands, where the Purchase occurs on Tribal Lands. Page 3 of 16

4 (1) For purposes of this law, a Business shall be considered to be doing business on Tribal Lands when such Business: (a) Is physically located on Tribal Lands; or (b) Has an agent who negotiated a Sale to a Consumer within the boundaries of the Tribal Lands; or (c) Does not have an agent on Tribal Lands but delivers the Purchased Goods within the boundaries of the Tribal Lands. (2) For the purposes of this law, a Purchase occurs on Tribal Lands when Goods are Purchased: (a) From a Business physically located on Tribal Lands; or (b) From a Business physically located outside of the boundaries of the Tribal Lands, but the Goods are delivered to the Consumer on Tribal Lands by the Business directly or through a third party, such as a common carrier, where delivery is made F.O.B. destination. (D) (E) (F) (G) (H) County means the County of Mendocino. Essential Governmental Services those services provided by the Tribe which include, but are not limited to, government services to provide and maintain infrastructure such as sidewalks, roads, and utilities; services such as fire protection, law enforcement, tribal court system, and other services related to public safety; Tribal administration activities such as education, general assistance, land and building acquisition, and building development and construction. Goods means items for sale, lease or rent which are Taxable Property. Gross Receipts means the total amount of money or the value of any other form of payment or barter received from selling, renting or leasing Goods or from performing services. Person includes but is not limited to any individual, firm, limited liability company, corporation, partnership, joint venture, association, estate, social club, fraternal organization, cooperative, assignee, trustee, trustee in bankruptcy, syndicate, the United States of America, the State, any county, city, municipality, district, or other political subdivision of the State, another state or its political subdivisions, the Tribe, or any of its political subdivisions or any other group or combination acting as a unit. Purchase or Purchased means and includes: (1) Any transfer of title or possession, exchange or barter, conditional or otherwise, in any manner or by any means whatsoever, of Taxable Property for some value. (2) A transaction whereby the possession of Taxable Property is transferred, but the Retailer retains the title as security for the payment of the price. Page 4 of 16

5 (I) (J) (K) Reservation means the Indian lands near Covelo, California legally held by the United States of America in trust for the benefit of the Tribe and commonly known as the Round Valley Reservation. Retailer includes every Person who makes a Sale. Sale or Sold means and includes: (1) Any transfer of title or possession, exchange or barter, conditional or otherwise, in any manner or by any means whatsoever of Taxable Property for a consideration; (2) The furnishing and distributing of Goods for a consideration by social clubs and fraternal organizations to their members or others; (3) The furnishing, preparing or serving of food, meals or drinks to be consumed on the Reservation for a consideration; (4) A transaction whereby the possession of Goods are transferred, but the Retailer retains the title as security for the payment of the Sales Price; and (5) Any lease of Goods in any manner or by any means whatsoever, for consideration, excluding any short-term rental of meeting rooms in a hotel, motel or event center. (L) Sales Price shall include: (1) The total amount in money paid or agreed to be paid or charged to the Consumer for any item of Goods in a Sale between the Retailer and the Consumer, excluding any separately itemized charges for installing or servicing Goods; and (2) The fair market value of any Goods received in exchange for any other item or Goods in a Sale between the Retailer and the Consumer. (3) The total amount for which prepared food and beverages are sold. Sales Price shall not include Goods received in like-kind exchanges, within the meaning of Section 1031 of the Internal Revenue Code of 1986, as amended; and (M) (N) (O) (P) State means the State of California. Tax means all taxes that must be remitted by a Business or Tribal Tobacco Retailer to the Tribal Taxing Authority under this Round Valley Tribal Tax Code. Taxable Property means all items that may be seen, weighed, measured, felt or touched, or which is in any other manner perceptible to the senses, except land and improvement. Tribal Council or Council means the Tribal Council of the Round Valley Indian Tribes, as constituted by the Constitution of the Round Valley Indian Tribes. Page 5 of 16

6 (Q) (P) (R) (S) Tribal Lands means those lands within the Reservation and lands legally held by the United States of America in trust for the benefit of the Tribe and land owned by the Tribe that otherwise satisfies the definition of Indian Country as that term is defined by 18 U.S.C. Section Tribal Member or Member means an enrolled member of the Round Valley Indian Tribes. Tribal Taxing Authority or Authority means the Round Valley Tax Authority established in Chapter10. Tribe means the Round Valley Indian Tribes, a federally recognized Indian tribe. CHAPTER 3. TAX SCOPE Tax Scope Application. This law shall apply to the full extent within the jurisdiction of the Round Valley Indian Tribes. Compliance. Compliance with this law is hereby made a condition of the use of any land or premises within the jurisdiction of the Round Valley Indian Tribes. Deemed to Consent. Any Person who resides within the jurisdiction of the Round Valley Indian Tribes; conducts Business or engages in a Business transaction with the Round Valley Indian Tribes, or in Tribal Lands; receives benefits from the Round Valley Tribal government, including police, fire or emergency services; acts under the Round Valley Tribal authority, or; enters Tribal Lands shall be deemed thereby to have consented to the following: (1) To be bound by the terms of this law; (2) To the exercise of civil jurisdiction by the Round Valley Tribal Court in legal actions arising pursuant to this law or the authority of the Round Valley Tribal Council, in the event that a Tribal Court is not operating. (D) All revenues raised by the taxes levied pursuant to this law shall be used for Essential Governmental Services as established by the Tribal Council pursuant to an annual appropriation schedule approved by written resolution of the Tribal Council. CHAPTER 4. SALES TAX Imposition and Rate of Tax Any Business doing business within the boundaries of the Tribal Lands shall pay a Sales Tax to the Tribal Taxing Authority on the Sales Price of any Taxable Property sold to any Consumer. The rate of the tax imposed shall be equivalent to 100% of the prevailing sales and use tax rate applicable to retail sales in Mendocino County, as adjusted from time to time. The amount of tax due is the Gross Receipts multiplied by the applicable tax rate. Page 6 of 16

7 General Exemptions from Sales Tax The following are specifically exempted from taxes imposed by this law: (1) The Gross Receipts from the Sale of food products including, but not limited to, cereal and cereal products, butter, cheese, milk and milk products, oleomargarine, meat and meat products, fish and fish products, eggs and egg products, vegetable and vegetable products, fruit and fruit products, spice and salt, candy, confectionery, snack foods and bottled water. (2) The Gross Receipts from the Sale of prescription medicines and items intended for use, internal or external, in the cure, mitigation, treatment or prevention of illness or disease in human beings and products consumed by humans for the preservation of health, including, but not limited to, prescription glasses, therapeutic and prosthetic devices, insulin syringes, and wheelchairs, but not including cosmetics or toilet articles notwithstanding the presence of medicinal ingredients therein. (3) The Gross Receipts from the Sale of an existing home or residence. (4) The Gross Receipts from the Sale of gas, electricity, and water, including steam and geothermal steam, brines, and heat if delivered through mains, lines, or pipes. (5) The Gross Receipts from Sales made to the Tribe. (6) The Gross Receipts from Sales made to the United States or local government. (7) Any other sales tax exemptions as may be determined by resolution of the Tribal Council and set forth in writing. CHAPTER 5. TRANSIENT OCCUPANCY TAX For the purposes of this Chapter: DEFINITIONS (D) (E) Complimentary means any provision of goods or services, including Rooms, without charge. Occupancy means the use or possession, or the right to the use or possession, of any Room or Rooms in a Hotel or the right to the use or possession of such Room or Rooms or Other Lodging,. Operator means any Person renting Rooms or selling or providing Occupancy-related goods or services. Other Lodging includes but is not limited to a campsite, and space at a campground or recreational vehicle park. Room means any room or rooms of any kind in any part or portion of a Hotel let out for use or possession for lodging purposes. Page 7 of 16

8 (F) (G) Room Rents means the total amount charged by the Operator for Occupancy of a Room or Other Lodging. Transient Lodging Establishment means an establishment within Tribal Lands or the jurisdiction of the Tribe, containing guest rooms or overnight lodging units, hereinafter referred to as transient lodging units, with respect to which the predominant relationship between the occupants and the Operator of the establishment is that of innkeeper and guest. By way of illustration and not limitation, Transient Lodging Establishment includes hotels, motels, inns, boardinghouses, tourist homes, campgrounds, resorts, R.V. parks, mobile homes or house trailers. Occupancy of real property for thirty (30) consecutive days or more with the intent to make the occupancy a permanent place of residence constitutes a rental or lease of real property and is excluded from this definition. Imposition and Rate of Tax A tax is hereby imposed on the Room Rents. Such tax shall be equivalent to one hundred (100%) percent of the prevailing hotel occupancy tax rate of unincorporated Mendocino County as adjusted from time to time. The tax due is determined by first calculating the cost of the Room for the period of stay at the Transient Lodging Establishment, then multiplying the total cost of the Room or Other Lodging by the applicable tax rate. If a Room or Other Lodging is provided to a guest on a complimentary basis, the base for calculating the tax is the rate for which such Room or Other Lodging would be let out were it not let out on a complimentary basis. Collection The tax shall be imposed upon the Person to whom the Room or Other Lodging is provided and collected by the Operator. Each Operator shall collect the tax imposed by the provisions of this Chapter to the same extent and at the same time as the Room Rents for Occupancy are collected. If the Rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the Person s ceasing to occupy space in the Hotel. If, for any reason, the tax due is not paid to the Operator, the Tribal Taxing Authority may require that such tax be paid directly to the Tribal Taxing Authority. The amount of the tax shall be separately stated from the Room Rents on all documentation pertaining to the Occupancy, including receipts. CHAPTER 6. PREPARED FOOD AND BEVERAGE TAX Imposition and Rate of Tax The Tribal Prepared Food and Beverage Tax shall apply to the Sale of food and beverage in any location on Tribal Lands only to the extent that the Sales Tax is not otherwise applicable. The Tribal Food and Beverage Tax is hereby imposed on applicable food and beverage Sales at a rate equal to that of the Sales Page 8 of 16

9 Tax imposed by Chapter 4. Collection The Tribal Food and Beverage Tax shall be imposed upon the Consumer of the food and/or beverage and collected by the Retailer thereof at the same time that payment for the food/beverage is collected. The amount of the tax collected pursuant to this Chapter shall be separately stated on all documentation pertaining to the Sale of food and/or beverages, including receipts. CHAPTER 7. POSSESSORY INTEREST TAX For the purposes of this Chapter: Definitions Possessory Interest means and includes the interests and rights in real property within Tribal Lands obtained by every Lessee who enters into any business lease, agricultural lease, grazing lease, oil and gas lease or other leasehold estate. Lessee means and includes any Person who has obtained directly from the owner any Possessory Interest in any lands held in trust by the United States for the benefit of any Indian or Tribe. This term does not apply to a sub-lessee where the lessee retains an interest in the leasehold estate. Imposition and Tax Rate There is hereby imposed a tax equal to five percent (5%) of the annual rental or lease fee paid for any Possessory Interest. Exemption There is hereby exempted from the tax all Possessory Interests acquired or retained by the Tribe, a political subdivision of the Tribe, or any agency or instrumentality thereof, including any separate legal entity wholly owned by the Tribe. Discretionary Exemption The Tribal Taxing Authority shall have the discretionary authority to specifically exempt any tax due on a Possessory Interest assessed under this Chapter. CHAPTER 8. TRIBAL FUEL TAX Definitions For purposes of this Chapter: Page 9 of 16

10 (D) Fuel means gasoline, diesel, biodiesel and other fuels sold to any Consumer. State Fuel Tax includes any State sales and use tax, County sales and use tax, motor vehicle sales tax, diesel fuel tax, State excise tax or any other tax that now or in the future may be imposed upon a wholesaler or supplier of Fuel prior to its Sale to a Retailer. Tribal Fuel Tax means any tax imposed by the Tribal Taxing Authority on the Sale of Fuel sold within Tribal Lands. Uncollected Prepayment Fuel Tax means an amount equal to the uncollected State Fuel Tax normally imposed upon a wholesaler or supplier of Fuel prior to the Sale of Fuel to a Retailer. Imposition and Tax Rate Any Business doing business within the boundaries of Tribal Lands shall pay a Tribal Fuel Tax to the Tribal Taxing Authority equal to fifty percent (50%) of the Uncollected Prepayment Fuel Tax for each gallon of Fuel hereafter sold to any Consumer. Where the Uncollected Prepayment Fuel Tax is $0.00, no Tribal Fuel Tax shall be assessed. Exemption There is hereby exempted from the Tribal Fuel Tax all Fuel acquired or retained by the Tribe, a political subdivision of the Tribe, or any agency or instrumentality thereof, including any separate legal entity wholly owned by the Tribe, for use in Essential Government Services. Payment of Tax The Tribal Fuel Tax shall be imposed upon the Person purchasing the Fuel and collected by the provider thereof at the same time that payment for the Fuel is collected. The amount of the tax collected pursuant to this Chapter shall be separately stated on all documentation pertaining to the Sale of Fuel, including the receipt. CHAPTER 9. TOBACCO CONTROL AND TAX Definitions For purposes of this Chapter: Cigarette means any roll for smoking made wholly or in part of tobacco, irrespective of size or shape and irrespective of the tobacco being flavored, adulterated, or mixed with any other ingredient, where such roll has a wrapper or cover made of paper or any material, except where such wrapper is wholly or in the greater part made of natural leaf tobacco in its natural state. State Tobacco Tax means all taxes imposed on each Cigarette by the State, as expressed in cents per Cigarette and the State tax on other tobacco products.. Page 10 of 16

11 (D) (E) (F) Tobacco Products means cigars, cheroots, stogies, periques, granulated, plug cut, crimp cut, ready rubbed, and other smoking tobacco, snuff, snuff flour, Cavendish, plug and twist tobacco, fine-cut and other chewing tobaccos, shorts, refuse scraps, clippings, cuttings and sweepings of tobacco, and other kinds and forms of tobacco, prepared in such manner as to be suitable for chewing or smoking in a pipe or otherwise, or both for chewing and smoking. Tobacco Products does not include Cigarettes. Tribal Tax Stamp means a stamp issued by the Tribal Taxing Authority or the Tribal Council to be affixed to the smallest unit(s) of Cigarettes intended for Sale. Tribal Tobacco Retailer means a Cigarette and/or Tobacco Products Retailer wholly owned by the Round Valley Indian Tribe and located on Tribal Lands. Tribal Tobacco Tax means any tax imposed by the Tribal Taxing Authority on the Sale of Cigarettes and Tobacco Products sold within Tribal Lands. Sales and Taxation of Tobacco Products (D) The Tribal Taxing Authority shall determine and impose the Round Valley Indian Tribal Tobacco Tax on the Sale of all Tobacco Products sold within Tribal Lands. The Tribal Taxing Authority may impose, eliminate, raise or lower the tax whenever it considers it necessary to do so. Beginning with the adoption of this law, the Tribal Taxing Authority, if it chooses to impose a tax on the Sale of Cigarettes, shall impose and maintain in effect a tax on Sales of Cigarettes equal to fifty percent (50%) of the current State Tobacco Taxes. No Sale of Cigarettes or Tobacco Products may be made on Tribal Lands except those Cigarettes and Tobacco Products that have been Purchased by a Tribal Tobacco Retailer and sold by a Tribal Tobacco Retailer and upon which the full amount of any Tribal Tobacco Tax has been paid. No Sale of Cigarettes or any Tobacco Products shall be made to any Person under the age eighteen (18) years old on Tribal Lands. Cooperation with the State of California The tax imposed by Section 9.02 of this Chapter shall not apply if the Tribe has entered into an agreement or compact regarding the taxation of Cigarettes and/or Tobacco Products with the State. Where applicable, such agreement or compact shall supersede Section 9.02 of this Chapter. Purchases of Cigarettes by Tribal Tobacco Retailers Tribal Tobacco Retailers shall Purchase Cigarettes only from: (1) Wholesalers or manufacturers licensed to do business in the State; (2) Another Tribe, but only within the terms and scope of this Chapter. Delivery of Cigarettes: Cigarettes bearing the tax stamp required by the State or Cigarettes Purchased by the Tribe for stamping may be delivered or transferred within or outside Tribal Lands Page 11 of 16

12 by a wholesaler to the Tribe or a Tribal Tobacco Retailer, subject to meeting any requirements of the Tribe and/or the State. Commercial carriers may make deliveries. Invoices identifying the delivery as Cigarettes for the Round Valley Indian Tribes, must accompany such Cigarettes. Tax Stamps [Reserved]. Retail Tobacco Product Sales within Tribal Lands by Tribal Members Only Tribal Tobacco Retailers are permitted to make retail Cigarette Sales within Tribal Lands. Penalties Sale of Tobacco Products or Cigarettes in violation of Tribal Tax Code is a civil infraction, subject to a civil fine of no less than $500 and no more than $10,000. In the case of a continuing violation, each day in which the seller is in violation of this law shall constitute a separate violation. CHAPTER 10. PAYMENT AND PROCEDURAL MATTERS Payment and Returns Each Business or Person shall pay Tax as required under this law. Each Business or Person shall file a quarterly return with the Tribal Taxing Authority which reports all Sales subject to Tax. The Business or Person shall make an estimated payment for each calendar month by the 15 th day of the succeeding month. The estimated payment for each month shall be for the estimated Gross Receipts for the month or 1/12 of the estimated annual tax liability. The second and subsequent estimated payments in each tax year shall include adjustments, if necessary, to correct underpayments or overpayments from the previous monthly payments An annual or final return shall be filed with the Tribal Taxing Authority, in the form and content prescribed by the Tribal Taxing Authority, by April 15 of the succeeding year. When April 15 falls on a Saturday, Sunday, or legal holiday, a return is considered timely if filed on the next succeeding day that is not a Saturday, Sunday, or legal holiday in the State as defined by Cal. Gov. Code Any final tax liability shall be remitted with the return. Civil Action for Tax and Penalty If any Business or Person fails to pay the Tax or penalty when due under this law, after a demand for payment by the Tribal Taxing Authority, the amount of such Tax and penalty may be recovered in a civil action. The Tribal Taxing Authority is authorized to bring such an action on behalf of the Tribe in Tribal Court and/or in any court of competent jurisdiction against any such Business or Person. Any Business or Person subject to Tax under this law who fails to pay the Tax when due shall be subject to a penalty of ten percent (10%) for the first year or part thereof and six percent (6%) for each additional year or part thereof. Page 12 of 16

13 The rate of penalties may be adjusted by the Tribal Taxing Authority where failure to pay Tax in a timely manner was due to demonstrable economic hardship. Preservation of Records Every Business or Person subject to Tax under this law shall maintain books and records in connection with such Tax for three (3) years from date of Sale to which the record relates. The burden to maintain books and records is upon the Business or Person. If the Business or Person does not maintain books and records, or does not maintain adequate books and records, the Tribal Taxing Authority may use other methods to reconstruct any amount subject to Tax. The Tribal Taxing Authority shall not act in an arbitrary or capricious manner in doing so. In the absence of books and records, or if such books or records are inadequate, the determination of the amount subject to Tax by the Tribal Taxing Authority shall be presumed as correct. Overpayment If it shall appear subsequent to the receipt of Tax by the Tribal Taxing Authority that an amount of penalty or interest has been paid which was not due or was greater than that required to be paid under this law, whether as a result of mistake of fact or law, then such amount shall be credited against any additional Tax due, or to become due, under this law from the Business or Person who makes the overpayment, or such amount shall be refunded to such Business or Person by the Tribal Taxing Authority. Provided that a claim for refund shall be filed with the Tribal Taxing Authority within three (3) years of collection of the overpayment Tribal Taxing Authority Authority. The Tribal Taxing Authority shall administer and enforce provisions of this law. The Tribal Taxing Authority shall act as a branch of the Tribal government for this purpose and shall exercise all of the powers of the Tribal government necessary or convenient to the administration and enforcement of this law. Composition. The Tribal Taxing Authority shall consist of the Tribal Council Treasurer a Tribal Council member appointed by the Tribal Council and the Tribal Administrator. Powers. In order to administer and enforce the provisions of this law, the Tribal Taxing Authority shall have the following powers: (1) To appoint one or more officials to act as Tax officials and to specify that said officials have the right to assess and collect sales taxes according to regulations adopted by the Tribal Taxing Authority governing board and approved by the Tribe in accordance with its Constitution; (2) To control, manage and supervise all Sales of Tobacco Products and Cigarettes, including appointing a Person (including Tribal Members) as necessary to conduct the day-to-day business of supervising the Tobacco Sales. Page 13 of 16

14 (3) To adopt regulations governing taxpayer-reporting responsibilities, procedures for enforcing compliance with reporting responsibilities, procedures for assessing Tax liability, procedures for collecting Taxes that are due but unpaid, and procedures for remitting collected Taxes to the Tribe. Said regulations shall only become effective fifteen (15) days after the Tribal Taxing Authority provides a copy of the proposed regulations to the Tribal Council and the Tribal Council either fails to make any comment during that period or approves the regulations. If the Tribal Council disapproves any portion of the proposed regulations, it shall specify its objections and how the regulation can be changed to meet its approval. If the Tribal Taxing Authority makes the requested changes, the regulations shall become effective immediately without further notice to the Tribal Council, except that a copy of the adopted regulations shall be promptly provided to the Tribal Council. Any unresolved disputes regarding regulations shall be resolved pursuant to such procedures that the Tribe shall adopt. (a) The regulations shall at a minimum: (i) (ii) (iii) (iv) Provide the taxpayer with clear guidelines for the timely payment of all Taxes owed to the Tribal Taxing Authority; Provide the taxpayer with prior notice of assessed Tax liability and an opportunity for a hearing before a hearing officer or panel established by the Tribal Taxing Authority. All decisions of the hearing officer or panel shall be final for the Tribe; Protect the taxpayer from paying State Tax with respect to the same Sale by providing a procedure whereby the taxpayer can establish, to the satisfaction of the Tribal Taxing Authority, that it has done everything legally required under State law to exempt the Sale from State sales tax and that the California State Board of Equalization nevertheless has assessed and demanded payment of the sales tax with respect to the Sale or transaction. If the taxpayer makes such a showing within a reasonable time limits established by Tribal Taxing Authority regulations, the Tribal Taxing Authority, at its option, shall waive the Tribal Sales Tax, refund the Tax if already collected or enter into an agreement with the taxpayer under which the taxpayer assigns its rights to the Tribal Taxing Authority and the Tribal Taxing Authority agrees to indemnify and hold the taxpayer harmless from any costs associated with opposing the State tax and any State tax liability in order that the Tribal Taxing Authority can legally challenge the State s authority or jurisdiction to impose its tax with respect to the Sale; and Provide that all Tax collected by the Tribal Taxing Authority shall be deposited in a separate interest bearing account to the credit of the Tribe and that the Taxes collected shall be remitted to the Tribe s general fund within three (3) months after the time to appeal any decision of the Tribal Taxing Authority with respect to the Tax or final decisions of the Tribal Taxing Authority have been rendered after appeal or any challenge to a state sales tax is finally resolved. In the case of Tax imposed in connection with a contractor s performance of a construction contract on Tribal Lands, said taxes shall be remitted to the Tribal general fund within three (3) months Page 14 of 16

15 after final payment has been made to the contractor, unless the Tribal Taxing Authority has exercised its option to challenge the State Tax in which case the funds shall be remitted to the Tribal general fund three (3) months after the challenge is finally resolved in favor of the Tribal Taxing Authority. (4) To take any other action necessary to administer or enforce this law, including filing in its own name or the Tribe s name in any court of competent jurisdiction to collect sales taxes that are due but unpaid; provided that this power does not expressly or impliedly waive the Tribe s or the Tribal Taxing Authority s sovereign immunity to suit or subject the Tribal Taxing Authority or the Tribe to any cross-claim, counter-claim, third party claim, or other countersuit. Confidentiality. For purposes of this subsection, employees of the Tribal Taxing Authority shall include any Person for whose services the Tribal Taxing Authority has contracted, provided that such Person shall agree in the contract for services to abide by provisions of this subsection. It shall be unlawful for any employee or former employee of the Tribal Taxing Authority to reveal to any individual other than another employee or legal counsel of the Tribal Taxing Authority, any information contained in the return of any Business or Person or any other information about any Business or Person acquired as a result of such individual s employment by the Tribal Taxing Authority, except: (1) To an authorized representative of the Business or Person; (2) To an authorized representative of the Tribal Council or a Tribal Council Member for Tax purposes only; (3) To an authorized representative of another Indian tribe or state, provided that the receiving tribe or state has entered into a written agreement with the Tribal Taxing Authority to use the information for Tax purposes only and that the receiving tribe or state has enacted a similar confidentiality provision; (4) In any administrative or judicial proceeding to enforce any act to collect Taxes, or in any matter where the Business or Person has put its own liability for taxes or the amount thereof at issue; (5) In compliance with any court of competent jurisdiction in which the information sought is material to the inquirer; (6) In recording tax liens on the Goods of a Business or collecting Taxes by levy upon the Goods of the Business or Person; (7) In statistical releases not identifying the information provided as to any single Business or Person; (8) To the extent of revealing the amount and basis of any unpaid Taxes for which the Business or Person is liable; (9) To a Tribal law enforcement agency, or the law enforcement agencies of any municipality, city, county, state, or the United States of America, upon a showing of proper jurisdiction. Page 15 of 16

16 Chapter 11. GENERAL PROVISIONS Sovereign Immunity The sovereign immunity of the Tribe shall extend to the Tribal Taxing Authority and any employees or agents of the same to the extent permitted by federal and tribal law. The sovereign immunity of the Tribe is in no manner waived by this law, by any action by its agents, or any of the employees of the Tribe or any agent or employee acting pursuant to this law. Severability If any part of this law is found invalid, the reminder of the law should not be affected and shall continue in full force and effect. The provisions of this law are severable. Effective Date and Repeal This Tax Code shall become effective as of, 2014 upon approval of the Tribe in accordance with its Constitution and shall remain in effect until repealed by the Tribe. Prior Inconsistent Codes and Ordinances Repealed All ordinances or provisions of any previously enacted ordinances of the Tribe, that conflict in any way with the provisions of this law are hereby repealed. List of ordinances that are repealed: Tobacco Control & Tax Ordinance No. RV Legislative History: Adopted by the Tribal Council on DATE. Page 16 of 16