A. A collector shall determine whether a sale is taxable under this chapter. If the collector fails to collect the tax due on a transaction because of an incorrect determination of taxability by the collector or for any other reason, the collector becomes liable to the city for the tax in the same manner as if the tax had been collected.
B. If a taxpayer believes that a transaction is exempt or otherwise not subject to the tax imposed under this chapter, but the collector has determined the transaction to be subject to the tax, the taxpayer shall pay the tax under protest to the collector. A tax is paid under protest by filing with the collector a statement of protest on a form provided to collectors by the city. The taxpayer shall clearly set out on the form the terms and conditions of the sale, the amount of the sale, the quantity and type of items, services, or rentals involved, the location of all parts of the sale or other transaction and all other information necessary to support the taxpayer's claim that the tax does not apply. The form shall include the names and mailing addresses of both the collector and the taxpayer and any other party involved in the transaction. If the taxpayer desires to have an oral hearing or to present supplemental statements or briefs, the taxpayer must set out such request on the protest form.
C. Upon receipt of a written protest, the collector shall forward the protest to the city along with any additional statements the collector believes may assist the city in determining the protest. The written protest must be forwarded to the city as promptly as possible, and in any case not later than 30 days after delivery of the protest to the collector.
D. If the written protest contains a request for a hearing or for the opportunity to submit additional statements or briefs, the mayor shall determine the date for any hearing requested and for the submission of supplemental statements or briefs and shall inform the taxpayer of such dates. The taxpayer has the burden of proof. The mayor may seek legal advice on any protest. The ruling must be in writing and must set forth the reason for the grant or denial of the protest. The ruling will be sent to the collector and the taxpayer at the addresses given on the protest. The ruling on a protest for which no hearing or supplemental statements or briefs were requested will be rendered within 30 days of receipt of the protest by the mayor unless the mayor determines that a longer period of time is required. If there is a hearing or a submission of supplemental statements or briefs, the mayor shall render a decision within a reasonable time as determined by the mayor.
E. If a protest is granted, the mayor shall determine whether the tax protested has been received by the city from the collector. If the tax has been received, the mayor shall refund directly to the taxpayer the amount of tax to be refunded with interest from the date received by the city at a rate equal to the average interest earned on investments of the city on its invested funds as last determined by the city. If the tax has not been received by the city, the collector shall be instructed to refund to the taxpayer the appropriate amount if the collector has actually collected the tax from the taxpayer. In the case of a collector who is a buyer of raw seafood products, if the collector has not yet paid for the raw seafood products, the collector shall make such adjustments as necessary to the accounts of the taxpayer to reflect the correct amount of the tax due. The collector and the taxpayer may make other arrangements for crediting to the taxpayer the amount of the refund if the collector and the taxpayer reach a mutual agreement as to such alternate procedure.
F. In the event a protest is denied, the taxpayer may, within 15 days of the date of mailing of the notice of denial, request reconsideration of the matter and shall submit with the request such additional statements or briefs as are necessary to explain why the denial should be reversed in whole or in part. The decision of the mayor on a protest or on a request for reconsideration is final and is subject to appeal to the superior court under applicable rules of court.
(Ord. 77-01 (part), 1977; Ord. 81-04 § 1 (part), 1981; Ord. 89-02 § 10, 1989)