§ 3.20.370. Protest and appeal by seller.

A.

A seller may appeal a decision of the finance director if the seller believes that:

1.

A transaction is exempt or otherwise not subject to the tax imposed under this chapter but has been informed by the city that such transaction is subject to the tax imposed under this chapter;

2.

The tax, a penalty, interest or other charge imposed or demanded by the city is not owing;

3.

An application for a refund of an excess payment was incorrectly denied;

4.

An estimated tax filing by the finance director is incorrect or erroneous; or

5.

Any other notice or demand of any amount claimed by the city to be due under this chapter is incorrect or erroneous, but only if such notice or demand is not the result of a prior appeal of the same matter and is not a subsequent notice or demand for which a timely appeal or protest of the earlier notice or demand was not timely filed.

B.

The seller may appeal the determination of the tax, interest, penalties, charges or other claimed amount by the city by paying the amount to the city under protest and filing with the finance director, at the time of payment, a statement of protest setting out all relevant facts and clearly explaining why the transaction, or the amount, is exempt or not otherwise subject to the tax levied under this chapter or why the amount determined by the city is incorrect, erroneous, or otherwise not owing. The payment and statement of protest must be received by the city not later than the twentieth day following the date the notice of determination is mailed to the seller. Failure to file a statement of protest and to pay the amount claimed by the city as owing within the time permitted under this subsection constitutes a waiver of the right to protest and to appeal the tax, disallowance, charge, interpretation or other city determination under this chapter and is a waiver of the right to appeal the determination to the city manager or to appeal or otherwise challenge the tax, disallowance, charge or interpretation or other determination in any judicial or other proceeding. If a seller shows that payment under protest of the amount demanded would create an extreme hardship for the seller, the finance director may waive the payment of part or all of the amount required to be paid; provided, the amount determined to be due by the finance director in the written decision of the appeal must be paid prior to filing with the city manager an appeal of the finance director's decision. Upon the request of the seller and a determination by the finance director that the seller has not been late or deficient in the payment of its sales taxes to the city for the immediately preceding three years, exclusive of the payments for the period under protest, and that he has a history of prompt payment of all other accounts with the city, the finance director may waive the payment of part or all of the amount required to be paid; provided, the amount determined to be due by the finance director in the written decision of the appeal must be paid prior to filing with the city manager an appeal of the finance director's decision.

C.

The finance director shall issue a written ruling on a seller's protest within thirty days of receipt of the protest and payment, if timely filed. The seller has the burden of proof. The finance director shall permit or may require the seller to provide additional information relevant to the protest and appeal. The finance director may seek the advice of the city attorney on a seller protest and appeal. The ruling will be in writing and must set forth the reason for the grant or denial of the protest and appeal. The ruling will be sent to the seller at the address given in the protest.

D.

If a protest is granted in part or in whole, the finance director shall refund to the seller the amount paid over to the city under protest that was in excess of the amount found owing. The seller shall immediately refund to each buyer from whom the tax was collected the amount of the tax improperly collected; if the seller did not collect the tax but has paid the tax to the city from his own account, the seller may retain the tax refunded.

E.

In the event the protest is denied, the seller may, within twenty days of the date of mailing of the notice of denial, file an appeal to the city manager. An appeal to the city manager shall be filed with the finance director, who shall immediately forward the appeal to the city manager.

(Ord. 04-10 § 2 (part), 2004).