DENALI BOROUGH, ALASKA

ORDINANCE NO.   95-13

 

INTRODUCED BY:    Mayor John Gonzales 

 

AN ORDINANCE FOR THE DENALI BOROUGH AMENDING CHAPTER TWENTY OF THE DENALI BOROUGH CODE OF ORDINANCES PROVIDING FOR OVERNIGHT ACCOMMODATION TAX.

 

BE IT ENACTED by the Assembly of the Denali Borough, Alaska that:

 

 

Section 1.  Classification. 

This ordinance is of a general and permanent nature.

 

Section 2.  Amendments to Chapter 20, Section 10.

 

Chapter 20, Section 10 of the Denali Borough Code of Ordinances is amended as follows:

 

 

     A.  Every merchant shall keep and preserve for a period of three years records of all rentals completed, the amount of rent received, the amount of taxes collected, and such other books or accounts as may be necessary to determine the amount of tax for which the merchant is liable hereunder.  Each merchant shall permit the Borough or its agent to examine, inspect, and copy said records, books, and accounts at any reasonable time, at the merchant’s place of business within the Borough or the Borough office, whichever is more convenient for the merchant, within thirty (30) days after request.

 

Each merchant shall permit the Borough or its agent, upon (30) days written notice, to examine and inspect said records, books, and accounts at the merchant’s place of business within the Borough or at the Borough office.  No audit shall take place between June 15th and October 1st in any year unless special circumstances require that a special audit take place during that period.  In the event of a special audit, the Borough shall notify the Merchant with thirty (30) days written notice of the date of the audit and shall specify the reasons compelling the special audit.  Such audits may be conducted by the Borough if it has reason to believe that the reporting practices of the Merchants do not meet requirements of this ordinance or that the Merchant or its records will not be available during the regular audit periods.

 

Borough requests for books, accounts or copies of specific records shall be in writing to the Merchant and the Merchant shall have thirty (30) days to respond.  All audits shall be performed by a professional auditor licensed as a Certified Public Accountant in the State of Alaska and retained for that purpose.

 

The Borough shall conduct audits during two (2) periods each calendar year and they shall remain the same for each successive year unless changed by a vote of the Assembly.  Such audits periods shall be June 1st through June 15th inclusive and October 1st through October 15th inclusive.  The merchant shall have thirty (30) days from the date of the letter to elect one of the two specified audit periods, on a form provided and in a manner prescribed by the Borough.

 

New businesses subject to this ordinance shall have thirty (30) days from commencing operations within the Borough (defining as collecting their first monies for rent subject to this ordinance) to contact the Borough and elect their audit period.  Should the Merchants under either of these circumstances fail to elect an audit period, then the Borough may assign one at its discretion.

 

In any given year that the Borough determines to conduct an audit on any specific Merchant, then those Merchants who elected an audit period of June 1st through June 15th, the Borough shall send a “Notice of Intent to Audit” no later than April 1st of the year in which the audit is to take place.  For those Merchants who have selected an audit period of October 1st through October 15th, the Borough shall send a Notice of Intent to Audit no later than August 1st of the year in which the audit is to take place.

 

Any Merchant who fails to comply with the request set by this ordinance will be assessed a penalty of $150.00 per day until that request has been satisfied.

 

 

Section 3.  Effective Date.  This ordinance becomes effective upon adoption by the Denali Borough Assembly, and signature of the Mayor.

 

 

                             DATE INTRODUCED:    February 11, 1996     

 

                             FIRST READING:      February 11, 1996    

 

                             PUBLIC HEARING:     March 10, 1996       

 

 

PASSED and APPROVED by the DENALI BOROUGH ASSEMBLY this   10th   day of  March, 1996.

 

                                    SIGNATURE ON FILE 

                                                Mayor

 

 

 ATTEST:                     SIGNATURE ON FILE

                                            Borough Clerk