Current through Register Vol. 42, No. 11, August 30, 2024
(1) Act 2014-331 was signed into law on April
7, 2014 and became effective on July 1, 2014. In accordance with Section
40-1-49,
Code of Ala. 1975, as created by this Act, the
Department of Revenue, by administrative rule, shall suspend the collection of
a tax or fee when the cost of administering the collection of the tax exceeds
the total amount of the tax collected for each of the previous three fiscal
years.
(a) Title 40, Chapter 12, Article 2,
Section 144 provides for a privilege license tax on playing cards sold within
Alabama.
(b) Based upon a review of
the collections of the Playing Cards Tax for fiscal years 2011-2013, the annual
estimated administrative costs exceed the collection cost for this tax.
Therefore, this tax meets the suspension requirements established in the Act.
(2)
(a) The Department of Revenue is prohibited
in suspending the tax in the following cases:
(i) If the tax is mandated by a federal law
or administrative rule.
(ii) If
discontinuing the collection of such tax will result in reduced federal
funding.
(iii) If discontinuing the
collection of the tax will result in reduced state and local revenues that
exceed the costs of administering the tax.
(iv) If suspending this tax will negatively
affect the health, safety or welfare of the state.
(b) Suspension of the playing cards tax
collections do not fall within these restrictions.
(3) Through the adoption of this rule, the
Department of Revenue exercises its authority to suspend the collection of the
Playing Cards Tax levied in Title 40, Chapter 12, Article 2, Section 144.
(a) The effective date of this suspension
shall be May 1, 2015.
(b) April 30,
2015 shall be the final date for taxpayers to purchase playing cards tax stamps
to be affixed to decks of playing cards.
(c) Upon implementation of this rule, the
Department shall notify all affected parties in writing.
(4) Persons in possession of playing cards
stamps on or after May 1, 2015 who wish to apply for a refund may do so under
the following conditions:
(a) Complete form B
& L:RP - Petition for Refund and return it along with the proper
documentation to the Tobacco Tax Section.
(b) Return unused playing cards stamps in
their original condition.
(c)
Provide copy of purchase invoice for stamps purchased.
(d) Per the provisions of Section
40-2A-7(c),
the refund must be for playing cards stamps obtained directly from the Alabama
Department of Revenue within two years from the date of purchase.
(e) Refund requests which are unable to be
verified within the office are subject to a field review.
(5) Refunds will only be allowed to those
entities who purchased the playing cards tax stamps from the Alabama Department
of Revenue and when sufficient documentation is provided to substantiate
payment of all required taxes.
(6)
The provisions of this rule shall become operative on May 1, 2015.
Author: Alisa Johnson
Authority:
Code of Ala.
1975, §§
40-2A-7(a)(5),
40-1-49.
