HomeMy WebLinkAboutOrd2020-003 - Remote Sellers Sales Tax1
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Sponsored by: City Attorney
Introduction Date: March 9, 2020
Postponed due to COVID-19
Public Hearing Date: April 27, 2020
Enactment Date: April 27, 2020
CITY OF SEWARD, ALASKA
ORDINANCE 2020-003
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING SEWARD CITY CODE SECTIONS 5.35.015 AND
5.35.035 TO INCORPORATE KENAI PENINSULA BOROUGH CODE
CHAPTER 5.19, WHICH ADOPTS THE UNIFORM REMOTE SELLERS
SALES TAX CODE
WHEREAS, the Kenai Peninsula Borough Assembly adopted the Uniform Remote
Sellers Sales Tax Code on February 24, 2020; and
WHEREAS, Seward City Council supported the adoption of the Uniform Remote Sellers
Sales Tax Code in Resolution 2020-2017; and
WHEREAS, Seward City Code currently incorporates Kenai Peninsula Borough Code
Chapter 5.18 but not the recently adopted Chapter 5.19, which adopts and codifies the Uniform
Remote Sellers Sales Tax Code.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA HEREBY ORDAINS that:
Section 1. Seward City Code is hereby amended as follows:
(Deletions are strkke.. throu,,l,, boIdea ...,a italicized; Additions are italicized, underlined, and
bolded.)
Section 1. Seward City Code 5.35.015 "Administration" is amended to read as follows:
5.35.015. - Administration.
The Kenai Peninsula Borough shall assess and collect the sales and use taxes levied by this
chapter in accordance with AS 29.35.170 and Chapter 5.18 and 5.19 of the Kenai Peninsula
Borough code of ordinances.
Section 2. Seward City Code 5.35.035 "Imposition of sales tax" is amended to read as
follows:
5.35.035. -Imposition of sales tax.
CITY OF SEWARD, ALASKA
ORDINANCE 2020-003
(a) There is levied and imposed, in addition to all other taxes and fees of every kind now
imposed by law, a consumer's sales tax on all retail sales of tangible personal property, the lease
or rental of tangible personal property or real property, and the purchase of taxable services,
the same to be collected in the amount of three percent of the gross proceeds of each taxable sale
or taxable service. Beginning April 1, 2003, the sales tax amount to be collected shall be four
percent of the gross proceeds of each taxable sale or taxable service.
(b) The obligation to pay the sales tax is on the purchaser, consumer, renter, or lessee.
The seller, retailer, dealer, service provider, lessor, and all persons making a retail sale, shall
collect the sales tax at the time of payment for the retail sale, taxable sale, or taxable service,
and shall remit all sales taxes collected under this chapter to the Kenai Peninsula Borough in
accordance with AS 29.35.170 and Chapters 5.18 and 5.19 of the Kenai Peninsula Borough
Code.
Section 3. This ordinance shall take effect ten (10) days following its enactment.
ENACTED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA
this 27th day of April, 2020.
AYES: Baclaan, Crites, Butts, McClure, Osenga, Terry
NOES: None
ABSENT: Seese
ABSTAIN: None
ATTEST:
enda J.
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Agenda Statement
Meeting Date: March 9, 2020
To: City Council
From: City Attorney
Agenda Item: Ordinance 2020-XXX "An Ordinance of the City Council of the
City of Seward, Alaska, Amending Seward City Code Sections 5.35.015 And
5.35.035 to Incorporate Kenai Peninsula Borough Code Chapter 5.19, Which
Adopts the Uniform Remote Sellers Sales Tax Code"
BACKGROUND & JUSTIFICATION:
Ordinance 2020- , entitled "An Ordinance of the City Council of the City of Seward,
Alaska, Amending Seward City Code Sections 5.35.015 And 5.35.035 to Incorporate Kenai
Peninsula Borough Code Chapter 5.19, Which Adopts the Uniform Remote Sellers Sales Tax
Code" amends Seward City Code to incorporate KPBC Chapter 5.19 into the Seward City Code
sales tax provisions. The Kenai Peninsula Borough Assembly adopted KPBC 5.19 ("The Remote
Sellers Sales Tax Code") at its February 24, 2020 regular meeting.
INTENT:
The intent of the Ordinance is to expand the scope of Seward City Code Chapter 5.35. SCC
Chapter 5.35 currently adopts Kenai Peninsula Borough Chapter 5.18 regarding general sales tax
administration and implementation but does not incorporate the recently adopted Chapter 5.19,
which more specifically governs sales tax owed by remote sellers. The inclusion of KPBC Chapter
5.19 by reference in the Seward City Code ensures that the Borough has the authority to implement
and apply the Uniform Remote Seller Sales Tax Code.
CONSISTENCY CHECKLIST:
Yes
No
N/A
1.
Comprehensive Plan (document source here):
X
2.
Strategic Plan (document source here):
X
3.
Other (list): Resolution 2020-017; KPB Ordinance 2020-03
X
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FISCAL NOTE:
The fiscal impact is yet to be deteiuuiined but no fiscal note is required at this stage.
Approved by Finance Department:
ATTORNEY REVIEW: Yes x No Not Applicable
Ordinance 20-003
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00905809.DOCX
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