If any vendor collects the tax imposed by or pursuant to this chapter and fails to remit the tax to the City as prescribed, such vendor shall be personally liable for any amount collected which he or she failed to remit. The Finance Director may make an assessment against the vendor based upon any information in the Finance Director's possession.
If any vendor fails to collect the tax or any transient guest fails to pay the tax imposed by or pursuant to this chapter on any transaction subject to the tax, such vendor or transient guest shall be personally liable for the amount of the tax applicable to the transaction. The Finance Director may make an assessment against either the vendor or the transient guest, as the facts may require, based upon any information in the possession of the Finance Director.
An assessment against a vendor in cases where the tax imposed by or pursuant to this chapter has not been collected or paid shall not discharge the transient guest's liability to reimburse the vendor for the tax applicable to such transaction.
In each case, the Finance Director shall give to the vendor or transient guest an assessed written notice of the assessment. The notice may be served upon the vendor or upon the transient guest assessed either personally or by registered or certified mail. An assessment issued against either the vendor or the transient guest, pursuant to the provisions of this chapter, shall not be considered an election of remedies, nor a bar to an assessment against the other for the tax applicable to the same transaction, provided that no assessment shall be issued against any vendor or transient guest for the tax due on a particular transaction if the tax has actually been paid by another.
The Finance Director may make an assessment against any vendor who fails to file a return required by this chapter or fails to remit the proper amount of tax in accordance with this chapter. When information in the possession of the Finance Director indicates that the amount required to be collected is, or should be, greater than the amount remitted by the vendor, the Finance Director may, upon the basis of test checks of a vendor's business for a representative period, which tests are hereby authorized, determine the ratio which the tax required to be collected under this chapter bears to the hotel's lodgings, which determination shall be the basis of an assessment as herein provided. Notice of such assessment shall be made in the manner prescribed in this chapter.
Unless the vendor or transient guest, to whom the notice of assessment is directed, files within thirty days after service thereof, either personally or by registered or certified mail, a petition in writing, verified under oath by the vendor, transient guest or his or her authorized agent having knowledge of the facts, setting forth with particularity the items of assessment objected to, together with the reasons for such objections, the assessment shall become conclusive and the amount thereof shall be due and payable, from the vendor or transient guest so assessed, to the Finance Director. When a petition for reassessment is filed, the Finance Director shall assign a time and place for the hearing of the petition and shall notify the petitioner thereof by registered or certified mail, but the Finance Director may continue the hearings from time to time if necessary.
A surcharge of fifteen percent shall be added to the amount of every assessment made under this chapter. The Finance Director may adopt and promulgate rules and regulations providing for the remission of surcharges added to assessments made under this chapter.
When any vendor or transient guest files a petition for reassessment as provided in this chapter, the assessment made by the Finance Director, together with penalties thereon, shall become due and payable within three days after notice of the finding made at the hearing has been served, either personally or by registered or certified mail, upon the party assessed.
(Ord. 108-99. Passed 6-28-99.)