A. If a collector believes that a transaction is exempt or otherwise not subject to the tax imposed under this chapter or believes that a penalty, interest or other charge is not owing but has been informed by the city that such transaction is subject to the tax imposed under this chapter or such charge is owing, the collector may protest the tax or charge by paying to the city the tax or charge claimed to be owing by the city and filing with the city at the time of payment a statement of protest setting out all relevant facts and clearly explaining why the transaction taxed or charge made is exempt, not otherwise subject to the tax levied under this chapter or not owing. The payment and statement of protest must be received by the city not later than 30 days following the date of the collection by the collector; or, if no tax was collected, the later of the occurrence of the challenged transaction or the date of the notice from the city that the transaction is taxable; or, if the protest is of a charge, disallowance or similar action by the city, the date of the notice to the collector of the city determination. Failure to file a statement of protest and to pay the amount claimed by the city as owing within the time permitted under this section constitutes a waiver of the right to protest the tax or the charge or other city determination under this chapter and is a waiver of the right to appeal the protest to the mayor or to appeal or otherwise challenge the tax, charge or determination in any judicial or other proceeding.
B. The mayor shall issue a written ruling on each collector protest within 30 days of receipt of the protest unless the mayor determines a longer period is required. The collector has the burden of proof. The mayor may permit or require the collector to provide additional information relevant to the protest. The mayor may seek legal advice on any protest. The ruling will 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 at the address given on the protest.
C. If a protest is granted, the mayor shall refund to the collector the charge levied or the tax collected and paid over to the city that was not exempt or otherwise subject to the tax levied under this chapter. The mayor shall also pay to the collector interest on the amount refunded at the rate equal to the average interest earned by the city on its invested funds as last determined by the city. The collector shall immediately refund to each taxpayer from whom the tax was collected the amount of the tax improperly collected with interest apportioned among the taxpayers; provided, if the collector has failed to directly or indirectly collect the tax but has paid the tax to the city from its own account, the collector may retain the tax and interest refunded.
D. In the event a protest is denied, the collector may, within 15 days of the date of the 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. 89-02 § 11, 1989)