A. Electricity that is delivered to a person in this city shall be considered to be for use and consumption by that person unless the person receiving the electricity has an active resale number issued by the department and furnishes that number to the person who delivers the electricity, and certifies to the person that the sale is either entirely or partially nontaxable as a sale for resale.
B. If a person who receives electricity in the city claims to be an authorized reseller of electricity, that person shall apply to the department for a resale number. The applicant shall state facts showing why it is not liable for the tax imposed by this chapter on any purchases of electricity and shall furnish such additional information as the department may reasonably require.
C. Upon approval of the application, the department shall assign a resale number to the applicant and shall certify the number to the applicant.
D. The department may cancel the resale number of any person if the person fails to pay any tax payable under this chapter for electricity used or consumed by the person, or if the number: (1) was obtained through misrepresentation, or (2) is no longer necessary because the person has discontinued making resales.
E. (1) If a reseller has acquired electricity partly for use or consumption and partly for resale, the reseller shall pay the tax imposed by this chapter directly to the department pursuant to subsection B of Section 3-53-040 on the amount of electricity that the reseller uses or consumes, and shall collect the tax pursuant to Section 3-53-030 and remit the tax pursuant to subsection A of Section 3-53-040 on the amount of electricity delivered by the reseller to a purchaser.
(2) Any person who delivers electricity to a reseller having an active resale number and complying with all other conditions of this section shall be excused from collecting and remitting the tax on any portion of the electricity delivered to the reseller, provided that the person reports to the department the total amount of electricity delivered to the reseller and such other information that the comptroller may reasonably require.
(Added Coun. J. 6-10-98, p. 71741; Amend Coun. J. 11-16-11, p. 13798, Art. I, § 3)