(A) It shall be the duty of every seller liable for the collection and payment to the city of any tax imposed by this subchapter to keep and preserve, for a period of three years and six months, all records, books, reports, income tax reports and other matters required by this subchapter as may be necessary to determine the amount of such tax as the seller may have been liable for the collection of and payment to the city, which records the City Manager shall have the right to inspect at all reasonable times as set forth below. Every operator shall maintain records of marijuana purchase and sales, accounting books and records of income. Sellers must, at a minimum, include a cash receipt and deposit journal and a cash disbursements journal/check register for all authorized deductions. These records and books shall reconcile to the tax reports and be auditable. They shall also reconcile to the seller’s income tax reports. If the City Manager finds the books and records of the seller are deficient in that they do not provide adequate support for tax reports filed, or the seller’s accounting system is not auditable, it shall be the responsibility of the seller to improve its accounting system to the satisfaction of the City Manager.
(B) The city, for the purpose of determining the correctness of any tax return, or for the purpose of an estimate of taxes due, may examine or may cause to be examined by an agent or representative designated by the city for that purpose, any books, papers, records or memoranda, including copies of seller’s state and federal income fax return, bearing upon the matter of the seller’s tax return. All books, invoices, accounts and other records shall be made available within the city limits and be open at any time during regular business hours for examination by the City Manager or authorized agent of the City Manager. If any taxpayer refuses to voluntarily furnish any of the foregoing information when requested, the City Manager may immediately seek a subpoena from the county municipal court to require that the taxpayer or a representative of the taxpayer attend a hearing or produce any such books, accounts and records for examination.
(Ord. 1310, passed 8-1-2006)