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A. Remedies and penalties for violations under this chapter are provided in WMC Chapter 1.20. Each of the following is a violation of this chapter:

1. A buyer failing to pay sales tax to a seller as required by this chapter.

2. A seller failing to collect sales tax from a buyer as required by this chapter.

3. A seller failing to file a sales tax return.

4. A seller failing to remit sales tax collected on sales as required by this chapter.

5. A buyer or seller knowingly submitting false information in a document filed with the city under this chapter.

6. A seller falsifying or concealing information related to its business activities in the city for the purpose of avoiding payment of sales tax.

7. A seller failing to permit the city to inspect records of the seller as required by this chapter.

8. A seller failing to maintain records as required by this chapter.

9. A buyer giving false information when applying for a certificate of exemption, or using a certificate of exemption in a transaction that was not exempt from sales tax under the exemption for which the certificate was issued.

10. A seller failing to notify a transferee of the seller’s business of the transferee’s withholding obligation under WMC 5.16.130(C) or the transferee failing to withhold the amount required by WMC 5.16.130(C).

11. A person causing or permitting a corporation of which the person is an officer or director, a limited liability company of which the person is a member or manager, or a partnership of which the person is a partner, to commit a violation of this chapter described in subsections (A)(1) through (A)(10) of this section.

B. Sales tax violations are minor offenses and are punishable by the fine listed in the fine schedule in WMC Chapter 1.20.

C. Each act or omission in violation of this chapter, and each day in which the act or omission occurs, is a separate violation of this chapter.

D. A seller that fails to file a sales tax return or remit sales tax when due, in addition to any other liability therefor imposed by this chapter, shall pay to the city all costs incurred by the city to determine the amount of the seller’s sales tax liability or to collect the sales tax, including without limitation costs of obtaining, reviewing and auditing the seller’s business records, collection agency fees, and actual reasonable attorney’s fees.

E. A person who causes or permits a corporation of which the person is an officer or director, a limited liability company of which the person is a member or manager, or a partnership of which the person is a partner, to fail to collect sales tax or to remit sales tax to the city as required by this chapter shall be liable to the city for the amount that should have been collected or remitted, plus any applicable interest and penalty.

F. Pursuant to AS 29.45.650 there is created a lien on the real and personal property of a seller to secure the payment of sales tax, interest, penalty and costs of collection. The finance director shall cause notice of the lien to be recorded with respect to the property of a seller when the finance director finds that the seller is delinquent in remitting sales tax to the city. The notice shall state the name of the seller; the amount of delinquent sales tax, interest, penalty and cost of collection owed by the seller as of a specified date; and that interest, penalty and costs will continue to accrue until payment is made. Within 10 days after recording the notice, city shall mail a copy of the notice by certified mail, return receipt requested, to the last known address of the seller; provided, that failure of the city to mail the notice or of the seller to receive it shall not affect the validity or priority of the lien.

G. The city may bring a civil action to:

1. Enjoin a violation of this chapter. On application for injunctive relief and a finding of a violation or threatened violation, the superior court shall enjoin the violation.

2. Collect delinquent sales tax, penalty, interest, fees and costs of collection, either before or after estimating the amount of sales tax due under WMC 5.16.180.

3. Recover a civil penalty of $1,000 for each violation of this chapter.

4. Foreclose a recorded sales tax lien as provided by law.

H. All remedies for violations of this chapter are cumulative and are in addition to any others existing at law or in equity. (Ord. 18-06 § 7, 2018; Ord. 16-14 § 16, 2016; Ord. 07-30 § 3, 2007; Ord. 01-38(SUB) § 2, 2001)