(A) PENALTY. A penalty equal to five percent (5%) of the delinquent tax shall be added to the tax for the first month, or any part thereof, and an additional five percent (5%) shall be added to the tax due for each month, or fraction thereof, of delinquency until a total penalty of fifteen percent (15%) of the tax due has accrued. The penalty shall be assessed and collected in the same manner as the tax is assessed and collected.
(B) INTEREST. In addition to the penalty provided in subsection (A) above, interest assessed on delinquent tax shall accrue at the rate of ten percent (10%) per year. Interest shall accrue from the date of delinquency until paid in full and shall be collected in the same manner as the delinquent tax is collected.
(C) PRIORITY FOR CREDITING PAYMENTS. All payments received shall be applied in the following order:
(1) Penalties due, beginning with the oldest penalty;
(2) Interest due, beginning with the interest due on the oldest month; and
(3) Taxes due, beginning with the taxes due from the oldest month.
(1) Criminal action. File a criminal complaint against the collector for violation of this Chapter.
(2) Civil action. File a civil complaint against the collector for violation of any obligation in this Chapter.
(3) Make a tax assessment against the collector, with the assessment based upon an estimate of the gross revenue received by the collector during the period and institute civil action to recover the amount of the tax, interest, and penalty due and to request injunctive relief. The estimate of gross revenue may all be derived from past tax returns of the seller or their predecessor, the general economic level of the business community, information from tax audits conducted by the City, if available, returns of comparable businesses and any other information believed to be reliable or helpful to the City in making an estimate of the hotel/motel tax due. Notice of the estimated assessment of hotel-motel taxes due shall be furnished the seller by the City via first-class mail to the last known address of the seller or via hand-delivery to the seller and the estimated assessment shall become final for the purposes of determining liability of the seller to the City after thirty (30) days of the date of mailing or hand-delivery of the estimated assessment to the seller unless the seller earlier files with the City an accurate tax return, supported by satisfactory records or documentation of sales made, indicating a lesser a liability.
(4) The tax, interest and penalty imposed under this Chapter shall constitute a lien in favor of the City upon all the property of the collector. The lien arises upon delinquency and continues until the liability is satisfied or the lien is foreclosed. The lien is not valid as against a mortgagee, pledgee, purchaser or judgment lien creditor until notice of the lien is filed in the office of the recorder for the recording district. The manner provided for federal tax liens under AS 40.19.010 et seq. are by this reference incorporated herein as if set forth in full.
(Ord. No. 2003-05, passed 5-6-03)