§ 5.18.240. Exemptions/waivers—Exemptions—Resale certificate.

A.

In order to receive an exemption from payment of sales tax under section 5.18.210, a seller shall obtain a resale certificate as provided in this section, and present the resale certificate at the time of each sale.

B.

A seller may apply for a resale certificate, on the form provided by the borough. Upon approval of a completed application, and a fee in the amount listed in the most current Kenai Peninsula Borough Schedule of Rates, Charges and Fees, the borough will issue the resale certificate, which will be valid for the calendar year for which the application is made.

C.

If a seller is not in full compliance with this chapter, the seller is not eligible for a resale certificate. Full compliance with this section means that a seller does not have an account with a balance due, or does not have a missing or incomplete return outstanding.

D.

The resale certificate shall be surrendered when the seller ceases doing business in the borough.

E.

The following penalties shall be imposed by the borough for misuse of the resale certificate:

1.

Immediate cancellation and demand for surrender of the resale certificate.

2.

Retroactive denial of the exemption, and collection of sales taxes formerly exempted under the resale certificate.

F.

A business within the borough that sells goods to a business located outside the borough for resale by that business outside the borough shall report the sale as a tax-exempt sale for resale, regardless whether the buyer has obtained a resale certificate from the borough.

(Ord. No. 2016-31 , § 6, 9-6-16; Ord. No. 2011-32, § 7, 9-20-11; Ord. No. 2002-39, § 9, 12-10-02; Ord. No. 94-27, § 7, 1994; Ord. No. 90-48, § 1(part), 1990; Ord. No. 87-10, § 8, 1987; Ord. No. 84-74, § 1(part), 1985)