Ark. Code Ann. § 26-52-103 — AR Code / Title 26 / Chapter 52 / Subchapter 1 / Section 26-52-103
Definitions
Status: in_force

As used in this chapter: (1) "Alcoholic beverage" means a beverage that is suitable for human consumption and contains five-tenths of one percent (0.5%) or more of alcohol by volume; (2) (A) "Bundled transaction" means a retail sale of two (2) or more products, except real property and services to real property, in which: (i) The products are otherwise distinct and identifiable; and (ii) The products are sold for one (1) nonitemized price. (B) "Bundled transaction" does not include the sale of any product in which the sales price varies or is negotiable based on the selection by the purchaser of the products included in the transaction. (C) The Department of Finance and Administration shall promulgate rules to implement this subdivision (2); (3) (A) "Candy" means a preparation of sugar, honey, or other natural or artificial sweeteners in combination with chocolate, fruits, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces. (B) "Candy" shall not include a preparation containing flour and shall require no refrigeration; (4) (A) "Consumer", "purchaser", or "user" means the person to whom the taxable sale is made or to whom taxable services are furnished. (B) All contractors are deemed to be consumers or users of all tangible personal property, including materials, supplies, and equipment used or consumed by them in performing any contract. (C) The sales of all such tangible personal property to contractors are taxable sales within the meaning of this chapter; (5) "Contract" means any agreement or undertaking to construct, manage, or supervise the construction, erection, alteration, or repair of any building or other improvement or structure affixed to real estate, including any of their component parts; (6) "Contractor" means any person who contracts or undertakes to construct, manage, or supervise the construction, erection, alteration, or repair of any building or other improvement or structure affixed to real estate, including any of their component parts; (7) (A) "Delivery charge" means a charge by a seller of tangible personal property or services for preparation and delivery to a location designated by the purchaser of the tangible personal property or services, including without limitation transportation, shipping, postage, handling, crating, and packing. (B) If a shipment includes tax-exempt property and taxable property, the seller shall pay the tax imposed by this chapter only on the percentage of the delivery charge allocated to the taxable property by using: (i) A percentage based on the total sales price of the taxable property compared to the total sales price of all property in the shipment; or (ii) A percentage based on the total weight of the taxable property compared to the total weight of all property in the shipment; (8) "Dietary supplement" means any product, other than tobacco, intended to supplement the diet that: (A) Contains one (1) or more of the following dietary ingredients: (i) A vitamin; (ii) A mineral; (iii) An herb or other botanical; (iv) An amino acid; (v) A dietary substance for use by humans to supplement the diet by increasing the total dietary intake; or (vi) A concentrate, metabolite, constituent, extract, or combination of any ingredient described in this subdivision (8)(A) and is intended for ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if not intended for ingestion in such a form, is not represented as conventional food and is not represented for use as a sole item of a meal or of the diet; and (B) Is required to be labeled as a dietary supplement, identifiable by the "Supplement Facts" box found on the label and as required pursuant to 21 C.F.R. § 101.36 , as in effect on January 1, 2007; (9) "Digital audio works" means works that result from the fixation of a series of musical, spoken, or other sounds, including ringtones; (10) "Digital audio-visual works" means a series of related images that, when shown in succession, impart an impression of motion, together with accompanying sounds, if any; (11) "Digital books" means works that are generally recognized in the ordinary and usual sense as "books"; (12) "Digital code" means a code that: (A) Provides a purchaser with a right to obtain one (1) or more specified digital products; and (B) May be obtained by any means, including email or tangible means, regardless of its designation as a song code, video code, or book code; (13) (A) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items is not billed directly to the recipients. (B) "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material. (C) "Direct mail" does not include multiple items of printed material delivered to a single address; (14) (A) "Doing business" or "engaging in business" includes any and all local activity regularly and persistently pursued by any seller or vendor through agents, employees, or representatives with the object of gain, profit, or advantage and that results in a sale, delivery, or the transfer of the physical position of any tangible personal property by the vendor to the vendee at or from any point within Arkansas, whether from warehouse, store, office, storage point, rolling store, motor vehicle, delivery conveyance, or by any method or device under the control of the seller effecting such a local delivery without regard to the terms of sale with respect to point of acceptance of the order, point of payment, or any other condition. (B) As set out in this subdivision (14), "doing business" or "engaging in business" is equally applicable to sellers of services as are made the subject matter of the tax imposed by this chapter. (C) (i) The provisions of this subdivision (14) shall be cumulative to the gross receipts tax law and shall not be construed as levying a tax on any receipts derived from personal or professional services not before made the subject matter and within the scope of the present gross receipts tax law, as amended. (ii) The provisions of this subdivision (14)(C) shall not be construed as repealing or modifying any of the provisions therein; (15) (A) "End user" means a person who purchases specified digital products or the code for specified digital products for his or her own use or for the purpose of giving away the product or code. (B) "End user" does not include a person who receives by contract a product transferred electronically for further commercial broadcast, rebroadcast, transmission, retransmission, licensing, relicensing, distribution, redistribution, or exhibition of the product, in whole or in part, to another person or persons; (16) "Established business" means any business operated or conducted by any person in a continuous manner for any length of time from an established place or in an established manner; (17) (A) "Food" and "food ingredients" mean substances, whether in liquid, concentrated, solid, frozen, dried, or dehydrated form, that are sold for ingestion or chewing by humans and are consumed for their taste or nutritional value. (B) "Food" and "food ingredients" do not include candy, a soft drink, an alcoholic beverage, tobacco, or a dietary supplement; (18) (A) "Forum" means a physical place or electronic location where sales occur. (B) "Forum" includes without limitation a: (i) Store; (ii) Booth; (iii) Publicly accessible internet website; (iv) Catalog; and (v) Place or location similar to the places and locations listed in subdivisions (18)(B)(i)-(iv) of this section; (19) (A) "Gross receipts", "gross proceeds", or "sales price" means the total amount of consideration, including cash, credit, property, and services, for which tangible personal property, specified digital products, a digital code, or services are sold, leased, or rented, valued in money, whether received in money or otherwise, without a deduction for the following: (i) The seller's cost of the property sold; (ii) The cost of materials used, labor or service cost, interest, any loss, any cost of transportation to the seller, any tax imposed on the seller, and any other expense of the seller; (iii) A charge by the seller for any service necessary to complete the sale, other than a delivery charge or an installation charge; (iv) Delivery charge; (v) (a) Installation charge. (b) Installation charges shall not be included in the gross receipts, gross proceeds, or sales price if they are not a specifically taxable service under this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., and the installation charges have been separately stated on the invoice, billing, or similar document given to the purchaser; or (vi) Credit for any trade-in. (B) "Gross receipts", "gross proceeds", or "sales price" does not include: (i) A discount including cash, term, or a coupon that is not reimbursed by a third party and that is allowed by a seller and taken by a purchaser on a sale; (ii) An interest, financing, or carrying charge from credit extended on the sale of tangible personal property, specified digital products, a digital code, or services if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and (iii) A tax legally imposed directly on the consumer that is separately stated on the invoice, bill of sale, or similar document given to the purchaser; (20) (A) (i) "Lease" or "rental" means any transfer of possession or control of tangible personal property for a fixed or indeterminate term for consideration. (ii) A lease or rental may include future options to purchase or extend. (B) "Lease" or "rental" does not include: (i) A transfer of possession or control of property under a security agreement or deferred payment plan that requires the transfer of title upon completion of the required payments; (ii) A transfer of possession or control of property under an agreement that requires the transfer of title upon completion of required payments and payment of an option price that does not exceed the greater of one hundred dollars ($100) or one percent (1%) of the total required payments; or (iii) (a) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. (b) A condition of this exclusion in this subdivision (20)(B)(iii) is that the operator is necessary for the equipment to perform as designed. (c) For the purpose of this subdivision (20)(B)(iii), an operator must do more than maintain, inspect, or set up the tangible personal property. (C) "Lease" or "rental" does include agreements covering motor vehicles and trailers if the amount of consideration may be increased or decreased by reference to the amount realized upon the sale or disposition of the property as defined in 26 U.S.C. § 7701(h)(2) , as in effect on January 1, 2007. (D) This definition of "lease" or "rental" shall: (i) Be used for sales and use tax purposes regardless of whether a transaction is characterized as a lease or rental under generally accepted accounting principles, the Internal Revenue Code of 1986, as in effect on January 1, 2007, the Uniform Commercial Code, § 4-1-101 et seq., or another federal, state, or local law; (ii) Be applied only prospectively from January 1, 2008, and shall have no retroactive impact on existing leases or rentals; and (iii) Impact neither any existing sale-leaseback exemption nor exclusion; (21) "Marketplace facilitator" means a person that facilitates the sale of tangible personal property, taxable services, a digital code, or specified digital products by: (A) Listing or advertising tangible personal property, taxable services, a digital code, or specified digital products for sale in a forum; and (B) Either directly or indirectly through an agreement or arrangement with a third party, collecting payment from a purchaser and transmitting the payment to the person selling the tangible personal property, taxable services, a digital code, or specified digital products, regardless of whether the person receives compensation or other consideration in exchange for the person's services in collecting and transmitting the payment; (22) "Marketplace seller" means a person that has an agreement with a marketplace facilitator under which the marketplace facilitator facilitates sales for the person; (23) "Motor vehicle" means a vehicle that is self-propelled and is required to be registered for use on the highway; (24) "Person" includes any individual, partnership, limited liability company, limited liability partnership, corporation, estate, trust, fiduciary, or any other legal entity; (25) "Prepared food" means: (A) Food sold in a heated state or heated by the seller; (B) Two (2) or more food ingredients mixed or combined by the seller for sale as a single item; or (C) (i) Food sold with an eating utensil provided by the seller, including a plate, knife, fork, spoon, glass, cup, napkin, or straw. (ii) As used in subdivision (25)(C)(i) of this section, "plate" does not include a container or packaging used to transport the food; (26) "Referral" means the transfer by the referrer of a potential purchaser to a person that advertises or lists tangible personal property, taxable services, a digital code, or specified digital products for sale on the referrer's platform; (27) (A) "Referrer" means a person, other than a person engaging in the business of printing or publishing a newspaper, that, under an agreement or arrangement with a marketplace seller or remote seller, does the following: (i) Agrees to list or advertise for sale tangible personal property, taxable services, a digital code, or specified digital products of the marketplace seller or remote seller via a physical or electronic medium; (ii) Receives consideration from the marketplace seller or remote seller from the sale offered in the listing or advertisement; (iii) Transfers by telecommunications, internet link, or other means, a purchaser to a marketplace seller or remote seller to complete a sale; and (iv) Does not collect a receipt from the purchaser for the sale. (B) "Referrer" does not include a person that: (i) Provides internet advertising services; and (ii) Does not: (a) Provide the marketplace seller's or the remote seller's shipping terms; or (b) Advertise whether a marketplace seller or remote seller collects sales or use tax; (28) "Remote seller" means a person, other than a marketplace facilitator, that does not maintain a place of business in this state and that through a forum sells tangible personal property, taxable services, a digital code, or specified digital products, the sale or use of which is subject to the tax imposed by this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq.; (29) "Retail sale" or "sale at retail" means any sale, lease, or rental for any purpose other than for resale, sublease, or sub-rent; (30) "Ringtones" means digitized sound files that: (A) Are downloaded onto a device; and (B) May be used to alert the customer with respect to a communication; (31) (A) "Sale" means the transfer of either the title or possession, except in the case of a lease or rental for a valuable consideration, of tangible personal property, specified digital products, or a digital code regardless of the manner, method, instrumentality, or device by which the transfer is accomplished. (B) "Sale" includes the: (i) Exchange, barter, lease, or rental of tangible personal property, specified digital products, or a digital code; or (ii) Sale, exchange, or other disposition of admissions, dues, or fees to clubs, to places of amusement, or to recreational or athletic events or for the privilege of having access to or the use of amusement, athletic, or entertainment facilities. (C) "Sale" does not include the: (i) Furnishing or rendering of services except as otherwise provided in this section; or (ii) Transfer of title to a vehicle by the vehicle owner to an insurance company as a result of the settlement of a claim for damages to the vehicle. (D) (i) In the case of a lease or rental of tangible personal property, including motor vehicles and trailers for less than thirty (30) days, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental regardless of whether Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (ii) (a) Except as provided in subdivision (31)(D)(ii) (b) of this section, in the case of a lease or rental of tangible personal property for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental unless Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (b) In the case of a lease or rental of a motor vehicle for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the motor vehicle during the term of the lease or rental; (32) "Seller" means a person making a sale, lease, or rental of tangible personal property, specified digital products, a digital code, or services; (33) (A) "Soft drink" means a nonalcoholic beverage that contains natural or artificial sweeteners. (B) "Soft drink" does not include a beverage that contains milk or milk products, soy, rice, or similar milk substitutes, or that is greater than fifty percent (50%) of vegetable or fruit juice by volume; (34) "Specified digital products" means the following when transferred electronically: (A) Digital audio works; (B) Digital audio-visual works; and (C) Digital books; (35) (A) "Tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched or that is in any other manner perceptible to the senses. (B) "Tangible personal property" includes electricity, water, gas, steam, and prewritten computer software. (C) "Tangible personal property" does not include specified digital products or a digital code; (36) "Tax period" or "taxable period" means either the calendar period or the taxpayer's fiscal period when a taxpayer has obtained a permit from the Secretary of the Department of Finance and Administration or from any of his or her authorized agents to use a fiscal period in lieu of a calendar period; (37) "Taxpayer" means any person liable to remit a tax under this chapter or to make a report for the purpose of claiming any exemption from payment of a tax levied by this chapter; (38) "Tobacco" means a cigarette, cigar, chewing or pipe tobacco, or any other item that contains tobacco; and (39) "Transferred electronically" means obtained by the purchaser by means other than tangible storage media. Amended by Act 2021, No. 144,§ 1, eff. 5/1/2021. Amended by Act 2019, No. 822,§ 17, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 3817, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 3816, eff. 7/1/2019. Amended by Act 2017, No. 141,§§ 6-10, eff. for tax years beginning on and after 1/1/2018. Amended by Act 2013, No. 1164,§ 1, eff. on the first day of the calendar quarter following the effective date of this act. Acts 1941, No. 386, § 2; 1953, No. 387, §§ 1, 2; 1965, No. 181, § 1; 1977, No. 340, § 1; A.S.A. 1947, §§ 84-1902, 84-1902.1, 84-1902.1n; Acts 1987 (1st Ex. Sess.), No. 13, § 1; 1989, No. 510, § 5; 1995, No. 835, § 1; 1995, No. 1160, § 21; 1997, No. 1076, § 1; 1997, No. 1266, § 1; 1999, No. 1220, § 1; 2003, No. 599, § 1; 2003, No. 1273, § 4; 2007, No. 154 §§ 1, 2; 2007, No. 181, § 11; 2007, No. 550, §§ 1, 2; 2009, No. 384, §§ 1, 2; .2009, No. 655, § 10

As used in this chapter:

(1) "Alcoholic beverage" means a beverage that is suitable for human consumption and contains five-tenths of one percent (0.5%) or more of alcohol by volume;

(2) (A) "Bundled transaction" means a retail sale of two (2) or more products, except real property and services to real property, in which: (i) The products are otherwise distinct and identifiable; and (ii) The products are sold for one (1) nonitemized price. (B) "Bundled transaction" does not include the sale of any product in which the sales price varies or is negotiable based on the selection by the purchaser of the products included in the transaction. (C) The Department of Finance and Administration shall promulgate rules to implement this subdivision (2);

(A) "Bundled transaction" means a retail sale of two (2) or more products, except real property and services to real property, in which: (i) The products are otherwise distinct and identifiable; and (ii) The products are sold for one (1) nonitemized price.

(i) The products are otherwise distinct and identifiable; and

(ii) The products are sold for one (1) nonitemized price.

(B) "Bundled transaction" does not include the sale of any product in which the sales price varies or is negotiable based on the selection by the purchaser of the products included in the transaction.

(C) The Department of Finance and Administration shall promulgate rules to implement this subdivision (2);

(3) (A) "Candy" means a preparation of sugar, honey, or other natural or artificial sweeteners in combination with chocolate, fruits, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces. (B) "Candy" shall not include a preparation containing flour and shall require no refrigeration;

(A) "Candy" means a preparation of sugar, honey, or other natural or artificial sweeteners in combination with chocolate, fruits, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces.

(B) "Candy" shall not include a preparation containing flour and shall require no refrigeration;

(4) (A) "Consumer", "purchaser", or "user" means the person to whom the taxable sale is made or to whom taxable services are furnished. (B) All contractors are deemed to be consumers or users of all tangible personal property, including materials, supplies, and equipment used or consumed by them in performing any contract. (C) The sales of all such tangible personal property to contractors are taxable sales within the meaning of this chapter;

(A) "Consumer", "purchaser", or "user" means the person to whom the taxable sale is made or to whom taxable services are furnished.

(B) All contractors are deemed to be consumers or users of all tangible personal property, including materials, supplies, and equipment used or consumed by them in performing any contract.

(C) The sales of all such tangible personal property to contractors are taxable sales within the meaning of this chapter;

(5) "Contract" means any agreement or undertaking to construct, manage, or supervise the construction, erection, alteration, or repair of any building or other improvement or structure affixed to real estate, including any of their component parts;

(6) "Contractor" means any person who contracts or undertakes to construct, manage, or supervise the construction, erection, alteration, or repair of any building or other improvement or structure affixed to real estate, including any of their component parts;

(7) (A) "Delivery charge" means a charge by a seller of tangible personal property or services for preparation and delivery to a location designated by the purchaser of the tangible personal property or services, including without limitation transportation, shipping, postage, handling, crating, and packing. (B) If a shipment includes tax-exempt property and taxable property, the seller shall pay the tax imposed by this chapter only on the percentage of the delivery charge allocated to the taxable property by using: (i) A percentage based on the total sales price of the taxable property compared to the total sales price of all property in the shipment; or (ii) A percentage based on the total weight of the taxable property compared to the total weight of all property in the shipment;

(A) "Delivery charge" means a charge by a seller of tangible personal property or services for preparation and delivery to a location designated by the purchaser of the tangible personal property or services, including without limitation transportation, shipping, postage, handling, crating, and packing.

(B) If a shipment includes tax-exempt property and taxable property, the seller shall pay the tax imposed by this chapter only on the percentage of the delivery charge allocated to the taxable property by using: (i) A percentage based on the total sales price of the taxable property compared to the total sales price of all property in the shipment; or (ii) A percentage based on the total weight of the taxable property compared to the total weight of all property in the shipment;

(i) A percentage based on the total sales price of the taxable property compared to the total sales price of all property in the shipment; or

(ii) A percentage based on the total weight of the taxable property compared to the total weight of all property in the shipment;

(8) "Dietary supplement" means any product, other than tobacco, intended to supplement the diet that: (A) Contains one (1) or more of the following dietary ingredients: (i) A vitamin; (ii) A mineral; (iii) An herb or other botanical; (iv) An amino acid; (v) A dietary substance for use by humans to supplement the diet by increasing the total dietary intake; or (vi) A concentrate, metabolite, constituent, extract, or combination of any ingredient described in this subdivision (8)(A) and is intended for ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if not intended for ingestion in such a form, is not represented as conventional food and is not represented for use as a sole item of a meal or of the diet; and (B) Is required to be labeled as a dietary supplement, identifiable by the "Supplement Facts" box found on the label and as required pursuant to 21 C.F.R. § 101.36 , as in effect on January 1, 2007;

(A) Contains one (1) or more of the following dietary ingredients: (i) A vitamin; (ii) A mineral; (iii) An herb or other botanical; (iv) An amino acid; (v) A dietary substance for use by humans to supplement the diet by increasing the total dietary intake; or (vi) A concentrate, metabolite, constituent, extract, or combination of any ingredient described in this subdivision (8)(A) and is intended for ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if not intended for ingestion in such a form, is not represented as conventional food and is not represented for use as a sole item of a meal or of the diet; and

(i) A vitamin;

(ii) A mineral;

(iii) An herb or other botanical;

(iv) An amino acid;

(v) A dietary substance for use by humans to supplement the diet by increasing the total dietary intake; or

(vi) A concentrate, metabolite, constituent, extract, or combination of any ingredient described in this subdivision (8)(A) and is intended for ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if not intended for ingestion in such a form, is not represented as conventional food and is not represented for use as a sole item of a meal or of the diet; and

(B) Is required to be labeled as a dietary supplement, identifiable by the "Supplement Facts" box found on the label and as required pursuant to 21 C.F.R. § 101.36 , as in effect on January 1, 2007;

(9) "Digital audio works" means works that result from the fixation of a series of musical, spoken, or other sounds, including ringtones;

(10) "Digital audio-visual works" means a series of related images that, when shown in succession, impart an impression of motion, together with accompanying sounds, if any;

(11) "Digital books" means works that are generally recognized in the ordinary and usual sense as "books";

(12) "Digital code" means a code that: (A) Provides a purchaser with a right to obtain one (1) or more specified digital products; and (B) May be obtained by any means, including email or tangible means, regardless of its designation as a song code, video code, or book code;

(A) Provides a purchaser with a right to obtain one (1) or more specified digital products; and

(B) May be obtained by any means, including email or tangible means, regardless of its designation as a song code, video code, or book code;

(13) (A) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items is not billed directly to the recipients. (B) "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material. (C) "Direct mail" does not include multiple items of printed material delivered to a single address;

(A) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items is not billed directly to the recipients.

(B) "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material.

(C) "Direct mail" does not include multiple items of printed material delivered to a single address;

(14) (A) "Doing business" or "engaging in business" includes any and all local activity regularly and persistently pursued by any seller or vendor through agents, employees, or representatives with the object of gain, profit, or advantage and that results in a sale, delivery, or the transfer of the physical position of any tangible personal property by the vendor to the vendee at or from any point within Arkansas, whether from warehouse, store, office, storage point, rolling store, motor vehicle, delivery conveyance, or by any method or device under the control of the seller effecting such a local delivery without regard to the terms of sale with respect to point of acceptance of the order, point of payment, or any other condition. (B) As set out in this subdivision (14), "doing business" or "engaging in business" is equally applicable to sellers of services as are made the subject matter of the tax imposed by this chapter. (C) (i) The provisions of this subdivision (14) shall be cumulative to the gross receipts tax law and shall not be construed as levying a tax on any receipts derived from personal or professional services not before made the subject matter and within the scope of the present gross receipts tax law, as amended. (ii) The provisions of this subdivision (14)(C) shall not be construed as repealing or modifying any of the provisions therein;

(A) "Doing business" or "engaging in business" includes any and all local activity regularly and persistently pursued by any seller or vendor through agents, employees, or representatives with the object of gain, profit, or advantage and that results in a sale, delivery, or the transfer of the physical position of any tangible personal property by the vendor to the vendee at or from any point within Arkansas, whether from warehouse, store, office, storage point, rolling store, motor vehicle, delivery conveyance, or by any method or device under the control of the seller effecting such a local delivery without regard to the terms of sale with respect to point of acceptance of the order, point of payment, or any other condition.

(B) As set out in this subdivision (14), "doing business" or "engaging in business" is equally applicable to sellers of services as are made the subject matter of the tax imposed by this chapter.

(C) (i) The provisions of this subdivision (14) shall be cumulative to the gross receipts tax law and shall not be construed as levying a tax on any receipts derived from personal or professional services not before made the subject matter and within the scope of the present gross receipts tax law, as amended. (ii) The provisions of this subdivision (14)(C) shall not be construed as repealing or modifying any of the provisions therein;

(i) The provisions of this subdivision (14) shall be cumulative to the gross receipts tax law and shall not be construed as levying a tax on any receipts derived from personal or professional services not before made the subject matter and within the scope of the present gross receipts tax law, as amended.

(ii) The provisions of this subdivision (14)(C) shall not be construed as repealing or modifying any of the provisions therein;

(15) (A) "End user" means a person who purchases specified digital products or the code for specified digital products for his or her own use or for the purpose of giving away the product or code. (B) "End user" does not include a person who receives by contract a product transferred electronically for further commercial broadcast, rebroadcast, transmission, retransmission, licensing, relicensing, distribution, redistribution, or exhibition of the product, in whole or in part, to another person or persons;

(A) "End user" means a person who purchases specified digital products or the code for specified digital products for his or her own use or for the purpose of giving away the product or code.

(B) "End user" does not include a person who receives by contract a product transferred electronically for further commercial broadcast, rebroadcast, transmission, retransmission, licensing, relicensing, distribution, redistribution, or exhibition of the product, in whole or in part, to another person or persons;

(16) "Established business" means any business operated or conducted by any person in a continuous manner for any length of time from an established place or in an established manner;

(17) (A) "Food" and "food ingredients" mean substances, whether in liquid, concentrated, solid, frozen, dried, or dehydrated form, that are sold for ingestion or chewing by humans and are consumed for their taste or nutritional value. (B) "Food" and "food ingredients" do not include candy, a soft drink, an alcoholic beverage, tobacco, or a dietary supplement;

(A) "Food" and "food ingredients" mean substances, whether in liquid, concentrated, solid, frozen, dried, or dehydrated form, that are sold for ingestion or chewing by humans and are consumed for their taste or nutritional value.

(B) "Food" and "food ingredients" do not include candy, a soft drink, an alcoholic beverage, tobacco, or a dietary supplement;

(18) (A) "Forum" means a physical place or electronic location where sales occur. (B) "Forum" includes without limitation a: (i) Store; (ii) Booth; (iii) Publicly accessible internet website; (iv) Catalog; and (v) Place or location similar to the places and locations listed in subdivisions (18)(B)(i)-(iv) of this section;

(A) "Forum" means a physical place or electronic location where sales occur.

(B) "Forum" includes without limitation a: (i) Store; (ii) Booth; (iii) Publicly accessible internet website; (iv) Catalog; and (v) Place or location similar to the places and locations listed in subdivisions (18)(B)(i)-(iv) of this section;

(i) Store;

(ii) Booth;

(iii) Publicly accessible internet website;

(iv) Catalog; and

(v) Place or location similar to the places and locations listed in subdivisions (18)(B)(i)-(iv) of this section;

(19) (A) "Gross receipts", "gross proceeds", or "sales price" means the total amount of consideration, including cash, credit, property, and services, for which tangible personal property, specified digital products, a digital code, or services are sold, leased, or rented, valued in money, whether received in money or otherwise, without a deduction for the following: (i) The seller's cost of the property sold; (ii) The cost of materials used, labor or service cost, interest, any loss, any cost of transportation to the seller, any tax imposed on the seller, and any other expense of the seller; (iii) A charge by the seller for any service necessary to complete the sale, other than a delivery charge or an installation charge; (iv) Delivery charge; (v) (a) Installation charge. (b) Installation charges shall not be included in the gross receipts, gross proceeds, or sales price if they are not a specifically taxable service under this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., and the installation charges have been separately stated on the invoice, billing, or similar document given to the purchaser; or (vi) Credit for any trade-in. (B) "Gross receipts", "gross proceeds", or "sales price" does not include: (i) A discount including cash, term, or a coupon that is not reimbursed by a third party and that is allowed by a seller and taken by a purchaser on a sale; (ii) An interest, financing, or carrying charge from credit extended on the sale of tangible personal property, specified digital products, a digital code, or services if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and (iii) A tax legally imposed directly on the consumer that is separately stated on the invoice, bill of sale, or similar document given to the purchaser;

(A) "Gross receipts", "gross proceeds", or "sales price" means the total amount of consideration, including cash, credit, property, and services, for which tangible personal property, specified digital products, a digital code, or services are sold, leased, or rented, valued in money, whether received in money or otherwise, without a deduction for the following: (i) The seller's cost of the property sold; (ii) The cost of materials used, labor or service cost, interest, any loss, any cost of transportation to the seller, any tax imposed on the seller, and any other expense of the seller; (iii) A charge by the seller for any service necessary to complete the sale, other than a delivery charge or an installation charge; (iv) Delivery charge; (v) (a) Installation charge. (b) Installation charges shall not be included in the gross receipts, gross proceeds, or sales price if they are not a specifically taxable service under this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., and the installation charges have been separately stated on the invoice, billing, or similar document given to the purchaser; or (vi) Credit for any trade-in.

(i) The seller's cost of the property sold;

(ii) The cost of materials used, labor or service cost, interest, any loss, any cost of transportation to the seller, any tax imposed on the seller, and any other expense of the seller;

(iii) A charge by the seller for any service necessary to complete the sale, other than a delivery charge or an installation charge;

(iv) Delivery charge;

(v) (a) Installation charge. (b) Installation charges shall not be included in the gross receipts, gross proceeds, or sales price if they are not a specifically taxable service under this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., and the installation charges have been separately stated on the invoice, billing, or similar document given to the purchaser; or

(a) Installation charge.

(b) Installation charges shall not be included in the gross receipts, gross proceeds, or sales price if they are not a specifically taxable service under this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq., and the installation charges have been separately stated on the invoice, billing, or similar document given to the purchaser; or

(vi) Credit for any trade-in.

(B) "Gross receipts", "gross proceeds", or "sales price" does not include: (i) A discount including cash, term, or a coupon that is not reimbursed by a third party and that is allowed by a seller and taken by a purchaser on a sale; (ii) An interest, financing, or carrying charge from credit extended on the sale of tangible personal property, specified digital products, a digital code, or services if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and (iii) A tax legally imposed directly on the consumer that is separately stated on the invoice, bill of sale, or similar document given to the purchaser;

(i) A discount including cash, term, or a coupon that is not reimbursed by a third party and that is allowed by a seller and taken by a purchaser on a sale;

(ii) An interest, financing, or carrying charge from credit extended on the sale of tangible personal property, specified digital products, a digital code, or services if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and

(iii) A tax legally imposed directly on the consumer that is separately stated on the invoice, bill of sale, or similar document given to the purchaser;

(20) (A) (i) "Lease" or "rental" means any transfer of possession or control of tangible personal property for a fixed or indeterminate term for consideration. (ii) A lease or rental may include future options to purchase or extend. (B) "Lease" or "rental" does not include: (i) A transfer of possession or control of property under a security agreement or deferred payment plan that requires the transfer of title upon completion of the required payments; (ii) A transfer of possession or control of property under an agreement that requires the transfer of title upon completion of required payments and payment of an option price that does not exceed the greater of one hundred dollars ($100) or one percent (1%) of the total required payments; or (iii) (a) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. (b) A condition of this exclusion in this subdivision (20)(B)(iii) is that the operator is necessary for the equipment to perform as designed. (c) For the purpose of this subdivision (20)(B)(iii), an operator must do more than maintain, inspect, or set up the tangible personal property. (C) "Lease" or "rental" does include agreements covering motor vehicles and trailers if the amount of consideration may be increased or decreased by reference to the amount realized upon the sale or disposition of the property as defined in 26 U.S.C. § 7701(h)(2) , as in effect on January 1, 2007. (D) This definition of "lease" or "rental" shall: (i) Be used for sales and use tax purposes regardless of whether a transaction is characterized as a lease or rental under generally accepted accounting principles, the Internal Revenue Code of 1986, as in effect on January 1, 2007, the Uniform Commercial Code, § 4-1-101 et seq., or another federal, state, or local law; (ii) Be applied only prospectively from January 1, 2008, and shall have no retroactive impact on existing leases or rentals; and (iii) Impact neither any existing sale-leaseback exemption nor exclusion;

(A) (i) "Lease" or "rental" means any transfer of possession or control of tangible personal property for a fixed or indeterminate term for consideration. (ii) A lease or rental may include future options to purchase or extend.

(i) "Lease" or "rental" means any transfer of possession or control of tangible personal property for a fixed or indeterminate term for consideration.

(ii) A lease or rental may include future options to purchase or extend.

(B) "Lease" or "rental" does not include: (i) A transfer of possession or control of property under a security agreement or deferred payment plan that requires the transfer of title upon completion of the required payments; (ii) A transfer of possession or control of property under an agreement that requires the transfer of title upon completion of required payments and payment of an option price that does not exceed the greater of one hundred dollars ($100) or one percent (1%) of the total required payments; or (iii) (a) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. (b) A condition of this exclusion in this subdivision (20)(B)(iii) is that the operator is necessary for the equipment to perform as designed. (c) For the purpose of this subdivision (20)(B)(iii), an operator must do more than maintain, inspect, or set up the tangible personal property.

(i) A transfer of possession or control of property under a security agreement or deferred payment plan that requires the transfer of title upon completion of the required payments;

(ii) A transfer of possession or control of property under an agreement that requires the transfer of title upon completion of required payments and payment of an option price that does not exceed the greater of one hundred dollars ($100) or one percent (1%) of the total required payments; or

(iii) (a) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. (b) A condition of this exclusion in this subdivision (20)(B)(iii) is that the operator is necessary for the equipment to perform as designed. (c) For the purpose of this subdivision (20)(B)(iii), an operator must do more than maintain, inspect, or set up the tangible personal property.

(a) Providing tangible personal property along with an operator for a fixed or indeterminate period of time.

(b) A condition of this exclusion in this subdivision (20)(B)(iii) is that the operator is necessary for the equipment to perform as designed.

(c) For the purpose of this subdivision (20)(B)(iii), an operator must do more than maintain, inspect, or set up the tangible personal property.

(C) "Lease" or "rental" does include agreements covering motor vehicles and trailers if the amount of consideration may be increased or decreased by reference to the amount realized upon the sale or disposition of the property as defined in 26 U.S.C. § 7701(h)(2) , as in effect on January 1, 2007.

(D) This definition of "lease" or "rental" shall: (i) Be used for sales and use tax purposes regardless of whether a transaction is characterized as a lease or rental under generally accepted accounting principles, the Internal Revenue Code of 1986, as in effect on January 1, 2007, the Uniform Commercial Code, § 4-1-101 et seq., or another federal, state, or local law; (ii) Be applied only prospectively from January 1, 2008, and shall have no retroactive impact on existing leases or rentals; and (iii) Impact neither any existing sale-leaseback exemption nor exclusion;

(i) Be used for sales and use tax purposes regardless of whether a transaction is characterized as a lease or rental under generally accepted accounting principles, the Internal Revenue Code of 1986, as in effect on January 1, 2007, the Uniform Commercial Code, § 4-1-101 et seq., or another federal, state, or local law;

(ii) Be applied only prospectively from January 1, 2008, and shall have no retroactive impact on existing leases or rentals; and

(iii) Impact neither any existing sale-leaseback exemption nor exclusion;

(21) "Marketplace facilitator" means a person that facilitates the sale of tangible personal property, taxable services, a digital code, or specified digital products by: (A) Listing or advertising tangible personal property, taxable services, a digital code, or specified digital products for sale in a forum; and (B) Either directly or indirectly through an agreement or arrangement with a third party, collecting payment from a purchaser and transmitting the payment to the person selling the tangible personal property, taxable services, a digital code, or specified digital products, regardless of whether the person receives compensation or other consideration in exchange for the person's services in collecting and transmitting the payment;

(A) Listing or advertising tangible personal property, taxable services, a digital code, or specified digital products for sale in a forum; and

(B) Either directly or indirectly through an agreement or arrangement with a third party, collecting payment from a purchaser and transmitting the payment to the person selling the tangible personal property, taxable services, a digital code, or specified digital products, regardless of whether the person receives compensation or other consideration in exchange for the person's services in collecting and transmitting the payment;

(22) "Marketplace seller" means a person that has an agreement with a marketplace facilitator under which the marketplace facilitator facilitates sales for the person;

(23) "Motor vehicle" means a vehicle that is self-propelled and is required to be registered for use on the highway;

(24) "Person" includes any individual, partnership, limited liability company, limited liability partnership, corporation, estate, trust, fiduciary, or any other legal entity;

(25) "Prepared food" means: (A) Food sold in a heated state or heated by the seller; (B) Two (2) or more food ingredients mixed or combined by the seller for sale as a single item; or (C) (i) Food sold with an eating utensil provided by the seller, including a plate, knife, fork, spoon, glass, cup, napkin, or straw. (ii) As used in subdivision (25)(C)(i) of this section, "plate" does not include a container or packaging used to transport the food;

(A) Food sold in a heated state or heated by the seller;

(B) Two (2) or more food ingredients mixed or combined by the seller for sale as a single item; or

(C) (i) Food sold with an eating utensil provided by the seller, including a plate, knife, fork, spoon, glass, cup, napkin, or straw. (ii) As used in subdivision (25)(C)(i) of this section, "plate" does not include a container or packaging used to transport the food;

(i) Food sold with an eating utensil provided by the seller, including a plate, knife, fork, spoon, glass, cup, napkin, or straw.

(ii) As used in subdivision (25)(C)(i) of this section, "plate" does not include a container or packaging used to transport the food;

(26) "Referral" means the transfer by the referrer of a potential purchaser to a person that advertises or lists tangible personal property, taxable services, a digital code, or specified digital products for sale on the referrer's platform;

(27) (A) "Referrer" means a person, other than a person engaging in the business of printing or publishing a newspaper, that, under an agreement or arrangement with a marketplace seller or remote seller, does the following: (i) Agrees to list or advertise for sale tangible personal property, taxable services, a digital code, or specified digital products of the marketplace seller or remote seller via a physical or electronic medium; (ii) Receives consideration from the marketplace seller or remote seller from the sale offered in the listing or advertisement; (iii) Transfers by telecommunications, internet link, or other means, a purchaser to a marketplace seller or remote seller to complete a sale; and (iv) Does not collect a receipt from the purchaser for the sale. (B) "Referrer" does not include a person that: (i) Provides internet advertising services; and (ii) Does not: (a) Provide the marketplace seller's or the remote seller's shipping terms; or (b) Advertise whether a marketplace seller or remote seller collects sales or use tax;

(A) "Referrer" means a person, other than a person engaging in the business of printing or publishing a newspaper, that, under an agreement or arrangement with a marketplace seller or remote seller, does the following: (i) Agrees to list or advertise for sale tangible personal property, taxable services, a digital code, or specified digital products of the marketplace seller or remote seller via a physical or electronic medium; (ii) Receives consideration from the marketplace seller or remote seller from the sale offered in the listing or advertisement; (iii) Transfers by telecommunications, internet link, or other means, a purchaser to a marketplace seller or remote seller to complete a sale; and (iv) Does not collect a receipt from the purchaser for the sale.

(i) Agrees to list or advertise for sale tangible personal property, taxable services, a digital code, or specified digital products of the marketplace seller or remote seller via a physical or electronic medium;

(ii) Receives consideration from the marketplace seller or remote seller from the sale offered in the listing or advertisement;

(iii) Transfers by telecommunications, internet link, or other means, a purchaser to a marketplace seller or remote seller to complete a sale; and

(iv) Does not collect a receipt from the purchaser for the sale.

(B) "Referrer" does not include a person that: (i) Provides internet advertising services; and (ii) Does not: (a) Provide the marketplace seller's or the remote seller's shipping terms; or (b) Advertise whether a marketplace seller or remote seller collects sales or use tax;

(i) Provides internet advertising services; and

(ii) Does not: (a) Provide the marketplace seller's or the remote seller's shipping terms; or (b) Advertise whether a marketplace seller or remote seller collects sales or use tax;

(a) Provide the marketplace seller's or the remote seller's shipping terms; or

(b) Advertise whether a marketplace seller or remote seller collects sales or use tax;

(28) "Remote seller" means a person, other than a marketplace facilitator, that does not maintain a place of business in this state and that through a forum sells tangible personal property, taxable services, a digital code, or specified digital products, the sale or use of which is subject to the tax imposed by this chapter or the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq.;

(29) "Retail sale" or "sale at retail" means any sale, lease, or rental for any purpose other than for resale, sublease, or sub-rent;

(30) "Ringtones" means digitized sound files that: (A) Are downloaded onto a device; and (B) May be used to alert the customer with respect to a communication;

(A) Are downloaded onto a device; and

(B) May be used to alert the customer with respect to a communication;

(31) (A) "Sale" means the transfer of either the title or possession, except in the case of a lease or rental for a valuable consideration, of tangible personal property, specified digital products, or a digital code regardless of the manner, method, instrumentality, or device by which the transfer is accomplished. (B) "Sale" includes the: (i) Exchange, barter, lease, or rental of tangible personal property, specified digital products, or a digital code; or (ii) Sale, exchange, or other disposition of admissions, dues, or fees to clubs, to places of amusement, or to recreational or athletic events or for the privilege of having access to or the use of amusement, athletic, or entertainment facilities. (C) "Sale" does not include the: (i) Furnishing or rendering of services except as otherwise provided in this section; or (ii) Transfer of title to a vehicle by the vehicle owner to an insurance company as a result of the settlement of a claim for damages to the vehicle. (D) (i) In the case of a lease or rental of tangible personal property, including motor vehicles and trailers for less than thirty (30) days, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental regardless of whether Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (ii) (a) Except as provided in subdivision (31)(D)(ii) (b) of this section, in the case of a lease or rental of tangible personal property for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental unless Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (b) In the case of a lease or rental of a motor vehicle for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the motor vehicle during the term of the lease or rental;

(A) "Sale" means the transfer of either the title or possession, except in the case of a lease or rental for a valuable consideration, of tangible personal property, specified digital products, or a digital code regardless of the manner, method, instrumentality, or device by which the transfer is accomplished.

(B) "Sale" includes the: (i) Exchange, barter, lease, or rental of tangible personal property, specified digital products, or a digital code; or (ii) Sale, exchange, or other disposition of admissions, dues, or fees to clubs, to places of amusement, or to recreational or athletic events or for the privilege of having access to or the use of amusement, athletic, or entertainment facilities.

(i) Exchange, barter, lease, or rental of tangible personal property, specified digital products, or a digital code; or

(ii) Sale, exchange, or other disposition of admissions, dues, or fees to clubs, to places of amusement, or to recreational or athletic events or for the privilege of having access to or the use of amusement, athletic, or entertainment facilities.

(C) "Sale" does not include the: (i) Furnishing or rendering of services except as otherwise provided in this section; or (ii) Transfer of title to a vehicle by the vehicle owner to an insurance company as a result of the settlement of a claim for damages to the vehicle.

(i) Furnishing or rendering of services except as otherwise provided in this section; or

(ii) Transfer of title to a vehicle by the vehicle owner to an insurance company as a result of the settlement of a claim for damages to the vehicle.

(D) (i) In the case of a lease or rental of tangible personal property, including motor vehicles and trailers for less than thirty (30) days, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental regardless of whether Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (ii) (a) Except as provided in subdivision (31)(D)(ii) (b) of this section, in the case of a lease or rental of tangible personal property for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental unless Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (b) In the case of a lease or rental of a motor vehicle for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the motor vehicle during the term of the lease or rental;

(i) In the case of a lease or rental of tangible personal property, including motor vehicles and trailers for less than thirty (30) days, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental regardless of whether Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property.

(ii) (a) Except as provided in subdivision (31)(D)(ii) (b) of this section, in the case of a lease or rental of tangible personal property for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental unless Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property. (b) In the case of a lease or rental of a motor vehicle for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the motor vehicle during the term of the lease or rental;

(a) Except as provided in subdivision (31)(D)(ii) (b) of this section, in the case of a lease or rental of tangible personal property for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the tangible personal property during the term of the lease or rental unless Arkansas gross receipts tax or compensating use tax was paid by the lessor at the time of the purchase of the tangible personal property.

(b) In the case of a lease or rental of a motor vehicle for thirty (30) days or more, the tax shall be paid on the basis of rental or lease payments made to the lessor of the motor vehicle during the term of the lease or rental;

(32) "Seller" means a person making a sale, lease, or rental of tangible personal property, specified digital products, a digital code, or services;

(33) (A) "Soft drink" means a nonalcoholic beverage that contains natural or artificial sweeteners. (B) "Soft drink" does not include a beverage that contains milk or milk products, soy, rice, or similar milk substitutes, or that is greater than fifty percent (50%) of vegetable or fruit juice by volume;

(A) "Soft drink" means a nonalcoholic beverage that contains natural or artificial sweeteners.

(B) "Soft drink" does not include a beverage that contains milk or milk products, soy, rice, or similar milk substitutes, or that is greater than fifty percent (50%) of vegetable or fruit juice by volume;

(34) "Specified digital products" means the following when transferred electronically: (A) Digital audio works; (B) Digital audio-visual works; and (C) Digital books;

(A) Digital audio works;

(B) Digital audio-visual works; and

(C) Digital books;

(35) (A) "Tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched or that is in any other manner perceptible to the senses. (B) "Tangible personal property" includes electricity, water, gas, steam, and prewritten computer software. (C) "Tangible personal property" does not include specified digital products or a digital code;

(A) "Tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched or that is in any other manner perceptible to the senses.

(B) "Tangible personal property" includes electricity, water, gas, steam, and prewritten computer software.

(C) "Tangible personal property" does not include specified digital products or a digital code;

(36) "Tax period" or "taxable period" means either the calendar period or the taxpayer's fiscal period when a taxpayer has obtained a permit from the Secretary of the Department of Finance and Administration or from any of his or her authorized agents to use a fiscal period in lieu of a calendar period;

(37) "Taxpayer" means any person liable to remit a tax under this chapter or to make a report for the purpose of claiming any exemption from payment of a tax levied by this chapter;

(38) "Tobacco" means a cigarette, cigar, chewing or pipe tobacco, or any other item that contains tobacco; and

(39) "Transferred electronically" means obtained by the purchaser by means other than tangible storage media.

Amended by Act 2021, No. 144,§ 1, eff. 5/1/2021.

Amended by Act 2019, No. 822,§ 17, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 3817, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 3816, eff. 7/1/2019.

Amended by Act 2017, No. 141,§§ 6-10, eff. for tax years beginning on and after 1/1/2018.

Amended by Act 2013, No. 1164,§ 1, eff. on the first day of the calendar quarter following the effective date of this act.

Acts 1941, No. 386, § 2; 1953, No. 387, §§ 1, 2; 1965, No. 181, § 1; 1977, No. 340, § 1; A.S.A. 1947, §§ 84-1902, 84-1902.1, 84-1902.1n; Acts 1987 (1st Ex. Sess.), No. 13, § 1; 1989, No. 510, § 5; 1995, No. 835, § 1; 1995, No. 1160, § 21; 1997, No. 1076, § 1; 1997, No. 1266, § 1; 1999, No. 1220, § 1; 2003, No. 599, § 1; 2003, No. 1273, § 4; 2007, No. 154 §§ 1, 2; 2007, No. 181, § 11; 2007, No. 550, §§ 1, 2; 2009, No. 384, §§ 1, 2; .2009, No. 655, § 10
Ark. Code Ann. § 26-74-401 — AR Code / Title 26 / Chapter 74 / Subchapter 4 / Section 26-74-401
Definition
Status: in_force

As used in this subchapter, "calendar quarter" means the three-month period beginning on January 1, April 1, July 1, or October 1. Amended by Act 2019, No. 910,§ 4393, eff. 7/1/2019. Acts 1991, No. 885, § 1; 1995, No. 565, § 17.

As used in this subchapter, "calendar quarter" means the three-month period beginning on January 1, April 1, July 1, or October 1.

Amended by Act 2019, No. 910,§ 4393, eff. 7/1/2019.

Acts 1991, No. 885, § 1; 1995, No. 565, § 17.
Ark. Code Ann. § 26-51-1101 — AR Code / Title 26 / Chapter 51 / Subchapter 11 / Section 26-51-1101
Definitions
Status: in_force

As used in this subchapter: (1) "Accredited institution of higher education" means a four-year public college or university that offers bachelor's degrees and is recognized by the Division of Higher Education for credit; (2) "Cost" means: (A) In the case of a donation or sale below cost by a wholesale or retail business, the amount actually paid by the wholesaler or retailer to the supplier for the machinery and equipment; (B) In the case of a donation or sale below cost by a manufacturer of machinery and equipment, the enhanced value of the materials used to produce the machinery and equipment, which shall be deemed to be the lowest price at which the manufacturer sells the machinery and equipment; or (C) In the case of a cash donation by a taxpayer to a qualified educational institution for the purchase of new machinery and equipment, the amount actually paid by the qualified educational institution to the wholesale, retail, or manufacturing business, as documented by itemized receipts; (3) "Machinery and equipment" means tangible personal property used in connection with a qualified education program or a qualified research program that has been approved for a tax credit under rules prescribed by the Department of Finance and Administration; (4) "New" means the machinery and equipment are state-of-the-art machinery and equipment that have: (A) Never been used except for normal testing by the manufacturer to ensure that the machinery or equipment is of a proper quality and in good working order; or (B) Been used by the retailer or wholesaler solely for the purpose of demonstrating the product to customers for sale; (5) "Qualified education program" means a program conducted by a qualified educational institution under rules prescribed by the Division of Higher Education for programs in colleges, universities, or junior colleges, by the Division of Career and Technical Education for programs in vocational technical training schools and by the Division of Elementary and Secondary Education for programs in secondary schools, all of which programs are for the purpose of promoting the use of new machinery and equipment for classroom, laboratory, and other educational instruction; (6) "Qualified educational institution" means: (A) A public university, college, junior college, or vocational technical training school located in and supported by the State of Arkansas; (B) A private university, college, junior college, or vocational technical training school located in Arkansas and qualified for tax-exempt status under the Income Tax Act of 1929, § 26-51-101 et seq.; and (C) A public secondary school; (7) "Qualified research expenditures" means the sum of any amounts that are paid or incurred by a taxpayer during the taxable year in funding a qualified research program that has been approved for tax credit treatment under rules promulgated by the Department of Finance and Administration; (8) "Qualified research program" means a program of applied or basic research undertaken by a qualified educational institution under rules jointly promulgated by the Director of the Arkansas Economic Development Commission and the Division of Higher Education under § 15-3-110 ; (9) "Research park authority" means a public entity created under the Research Park Authority Act, § 14-144-101 et seq., to provide facilities and support for businesses engaged in research and development in pursuit of economic development opportunities; and (10) "State-of-the-art machinery and equipment" means machinery and equipment that are of the same type, design, and capability as like machinery and equipment that are currently sold or manufactured by the donee for sale to customers. Amended by Act 2019, No. 315,§ 2979, eff. 7/24/2019. Amended by Act 2019, No. 203,§ 3, eff. 7/24/2019. Amended by Act 2019, No. 203,§ 2, eff. 7/24/2019. Amended by Act 2019, No. 203,§ 1, eff. 7/24/2019. Amended by Act 2019, No. 910,§ 2402, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 2401, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 2400, eff. 7/1/2019. Amended by Act 2015EX1, No. 8,§ 118, eff. 7/1/2015. Amended by Act 2015EX1, No. 7,§ 118, eff. 7/1/2015. Acts 1985, No. 469, § 1; 1985, No. 759, § 1; A.S.A. 1947, § 84-2021.31; Acts 2007, No. 1045, § 2.

As used in this subchapter:

(1) "Accredited institution of higher education" means a four-year public college or university that offers bachelor's degrees and is recognized by the Division of Higher Education for credit;

(2) "Cost" means: (A) In the case of a donation or sale below cost by a wholesale or retail business, the amount actually paid by the wholesaler or retailer to the supplier for the machinery and equipment; (B) In the case of a donation or sale below cost by a manufacturer of machinery and equipment, the enhanced value of the materials used to produce the machinery and equipment, which shall be deemed to be the lowest price at which the manufacturer sells the machinery and equipment; or (C) In the case of a cash donation by a taxpayer to a qualified educational institution for the purchase of new machinery and equipment, the amount actually paid by the qualified educational institution to the wholesale, retail, or manufacturing business, as documented by itemized receipts;

(A) In the case of a donation or sale below cost by a wholesale or retail business, the amount actually paid by the wholesaler or retailer to the supplier for the machinery and equipment;

(B) In the case of a donation or sale below cost by a manufacturer of machinery and equipment, the enhanced value of the materials used to produce the machinery and equipment, which shall be deemed to be the lowest price at which the manufacturer sells the machinery and equipment; or

(C) In the case of a cash donation by a taxpayer to a qualified educational institution for the purchase of new machinery and equipment, the amount actually paid by the qualified educational institution to the wholesale, retail, or manufacturing business, as documented by itemized receipts;

(3) "Machinery and equipment" means tangible personal property used in connection with a qualified education program or a qualified research program that has been approved for a tax credit under rules prescribed by the Department of Finance and Administration;

(4) "New" means the machinery and equipment are state-of-the-art machinery and equipment that have: (A) Never been used except for normal testing by the manufacturer to ensure that the machinery or equipment is of a proper quality and in good working order; or (B) Been used by the retailer or wholesaler solely for the purpose of demonstrating the product to customers for sale;

(A) Never been used except for normal testing by the manufacturer to ensure that the machinery or equipment is of a proper quality and in good working order; or

(B) Been used by the retailer or wholesaler solely for the purpose of demonstrating the product to customers for sale;

(5) "Qualified education program" means a program conducted by a qualified educational institution under rules prescribed by the Division of Higher Education for programs in colleges, universities, or junior colleges, by the Division of Career and Technical Education for programs in vocational technical training schools and by the Division of Elementary and Secondary Education for programs in secondary schools, all of which programs are for the purpose of promoting the use of new machinery and equipment for classroom, laboratory, and other educational instruction;

(6) "Qualified educational institution" means: (A) A public university, college, junior college, or vocational technical training school located in and supported by the State of Arkansas; (B) A private university, college, junior college, or vocational technical training school located in Arkansas and qualified for tax-exempt status under the Income Tax Act of 1929, § 26-51-101 et seq.; and (C) A public secondary school;

(A) A public university, college, junior college, or vocational technical training school located in and supported by the State of Arkansas;

(B) A private university, college, junior college, or vocational technical training school located in Arkansas and qualified for tax-exempt status under the Income Tax Act of 1929, § 26-51-101 et seq.; and

(C) A public secondary school;

(7) "Qualified research expenditures" means the sum of any amounts that are paid or incurred by a taxpayer during the taxable year in funding a qualified research program that has been approved for tax credit treatment under rules promulgated by the Department of Finance and Administration;

(8) "Qualified research program" means a program of applied or basic research undertaken by a qualified educational institution under rules jointly promulgated by the Director of the Arkansas Economic Development Commission and the Division of Higher Education under § 15-3-110 ;

(9) "Research park authority" means a public entity created under the Research Park Authority Act, § 14-144-101 et seq., to provide facilities and support for businesses engaged in research and development in pursuit of economic development opportunities; and

(10) "State-of-the-art machinery and equipment" means machinery and equipment that are of the same type, design, and capability as like machinery and equipment that are currently sold or manufactured by the donee for sale to customers.

Amended by Act 2019, No. 315,§ 2979, eff. 7/24/2019.

Amended by Act 2019, No. 203,§ 3, eff. 7/24/2019.

Amended by Act 2019, No. 203,§ 2, eff. 7/24/2019.

Amended by Act 2019, No. 203,§ 1, eff. 7/24/2019.

Amended by Act 2019, No. 910,§ 2402, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 2401, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 2400, eff. 7/1/2019.

Amended by Act 2015EX1, No. 8,§ 118, eff. 7/1/2015.

Amended by Act 2015EX1, No. 7,§ 118, eff. 7/1/2015.

Acts 1985, No. 469, § 1; 1985, No. 759, § 1; A.S.A. 1947, § 84-2021.31; Acts 2007, No. 1045, § 2.
Ark. Code Ann. § 26-51-2208 — AR Code / Title 26 / Chapter 51 / Subchapter 22 / Section 26-51-2208
Effective dates
Status: in_force

This subchapter is effective for tax years beginning on or after January 1, 2009, and ending on or before December 31, 2037. Amended by Act 2021, No. 840,§ 3, eff. 7/28/2021. Added by Act 2015, No. 567,§ 3, eff. 3/20/2015.

This subchapter is effective for tax years beginning on or after January 1, 2009, and ending on or before December 31, 2037.

Amended by Act 2021, No. 840,§ 3, eff. 7/28/2021.

Added by Act 2015, No. 567,§ 3, eff. 3/20/2015.
Ark. Code Ann. § 26-77-203 — AR Code / Title 26 / Chapter 77 / Subchapter 2 / Section 26-77-203
Native wine producers
Status: in_force

(a) A municipality in which the manufacturing facilities of a native wine producer are located and which producer produces four hundred thousand gallons (400,000 gals.) of wine per year or more is authorized to levy a tax of not to exceed three percent (3%) on the gross receipts derived from the sale at retail of native wines at the retail outlet of the native wine producer located within the municipality. (b) The tax authorized in this section may be levied by ordinance of the governing body of the municipality and shall be collected and remitted to the city treasurer in such manner, and the proceeds thereof may be used for such purposes, as may be prescribed by ordinance. Acts 1979, No. 658, §§ 1, 2; A.S.A. 1947, §§ 19-4620, 19-4621.

(a) A municipality in which the manufacturing facilities of a native wine producer are located and which producer produces four hundred thousand gallons (400,000 gals.) of wine per year or more is authorized to levy a tax of not to exceed three percent (3%) on the gross receipts derived from the sale at retail of native wines at the retail outlet of the native wine producer located within the municipality.

(b) The tax authorized in this section may be levied by ordinance of the governing body of the municipality and shall be collected and remitted to the city treasurer in such manner, and the proceeds thereof may be used for such purposes, as may be prescribed by ordinance.

Acts 1979, No. 658, §§ 1, 2; A.S.A. 1947, §§ 19-4620, 19-4621.
Ark. Code Ann. § 26-75-203 — AR Code / Title 26 / Chapter 75 / Subchapter 2 / Section 26-75-203
Definitions
Status: in_force

As used in this subchapter: (1) "Acquire" means to obtain at any time by gift, purchase, or other arrangement any capital improvement of a public nature or any portion of a capital improvement of a public nature, whether constructed and equipped before acquisition, partially constructed and equipped before acquisition, or being constructed and equipped at the time of acquisition for such consideration and pursuant to such terms and conditions as the governing body of the municipality shall determine; (2) "Calendar quarter" means the three-month period beginning on January 1, April 1, July 1, or October 1; (3) "Capital improvements of a public nature" means: (A) Street facilities; (B) Road facilities; (C) Public parks and other recreational facilities; (D) Port facilities; (E) Tourism facilities; (F) Airport facilities; (G) Sewerage facilities; (H) Waterworks facilities; (I) Fire protection facilities; (J) Convention center facilities; (K) City halls and other municipal buildings; (L) Courthouses; (M) Police facilities; (N) Public transit facilities; (O) Auditoriums; (P) Prisons; (Q) Libraries; (R) Hospital and nursing home facilities; (S) Solid waste facilities; (T) Sanitation facilities; (U) Bridges; (V) Electric facilities; (W) Hydroelectric facilities; (X) Facilities for the securing and developing of industry; (Y) Natural gas facilities; (Z) Parking facilities; (AA) Public housing facilities; (BB) Pollution control facilities; (CC) Public education facilities; (DD) Drainage facilities; (EE) Pedestrian facilities; (FF) Lakes; (GG) Dams; (HH) Waterways; (II) Regional mobility authority surface transportation systems; and (JJ) Research parks; (4) "City" means any city of the first class, city of the second class, or incorporated town of the State of Arkansas; (5) "Construct" means to build, in whole or in part, in such manner and by such method, including contracting to build, and if contracting to build, by negotiation or bidding upon such terms and pursuant to such advertising as determined by the governing body of the municipality, under the circumstances existing at the time, as will most effectively serve the purposes of this subchapter; (6) "Equip" means to install or place in or on any building or structure equipment of any and every kind, whether or not affixed, including, without limitation, building service equipment, fixtures, heating equipment, air conditioning equipment, machinery, furniture, furnishings, and personal property of every kind; (7) "Facilities" means real property, personal property, or mixed property of any and every kind, including, without limitation, rights-of-way, utilities, vehicles, materials, equipment, fixtures, machinery, furniture, furnishings, buildings, and other improvements of every kind; and (8) "Lease" means a lease of a capital improvement of a public nature by and between a city as lessee and another person as lessor, except as used in § 26-75-214 . Amended by Act 2019, No. 910,§ 4415, eff. 7/1/2019. Acts 1981 (1st Ex. Sess.), No. 25, § 1; 1983, No. 726, § 1; A.S.A. 1947, § 19-4523; Acts 1995, No. 565, § 18; 2005, No. 1930, § 1; 2005, No. 2275, § 4; 2007, No. 1045, § 6.

As used in this subchapter:

(1) "Acquire" means to obtain at any time by gift, purchase, or other arrangement any capital improvement of a public nature or any portion of a capital improvement of a public nature, whether constructed and equipped before acquisition, partially constructed and equipped before acquisition, or being constructed and equipped at the time of acquisition for such consideration and pursuant to such terms and conditions as the governing body of the municipality shall determine;

(2) "Calendar quarter" means the three-month period beginning on January 1, April 1, July 1, or October 1;

(3) "Capital improvements of a public nature" means: (A) Street facilities; (B) Road facilities; (C) Public parks and other recreational facilities; (D) Port facilities; (E) Tourism facilities; (F) Airport facilities; (G) Sewerage facilities; (H) Waterworks facilities; (I) Fire protection facilities; (J) Convention center facilities; (K) City halls and other municipal buildings; (L) Courthouses; (M) Police facilities; (N) Public transit facilities; (O) Auditoriums; (P) Prisons; (Q) Libraries; (R) Hospital and nursing home facilities; (S) Solid waste facilities; (T) Sanitation facilities; (U) Bridges; (V) Electric facilities; (W) Hydroelectric facilities; (X) Facilities for the securing and developing of industry; (Y) Natural gas facilities; (Z) Parking facilities; (AA) Public housing facilities; (BB) Pollution control facilities; (CC) Public education facilities; (DD) Drainage facilities; (EE) Pedestrian facilities; (FF) Lakes; (GG) Dams; (HH) Waterways; (II) Regional mobility authority surface transportation systems; and (JJ) Research parks;

(A) Street facilities;

(B) Road facilities;

(C) Public parks and other recreational facilities;

(D) Port facilities;

(E) Tourism facilities;

(F) Airport facilities;

(G) Sewerage facilities;

(H) Waterworks facilities;

(I) Fire protection facilities;

(J) Convention center facilities;

(K) City halls and other municipal buildings;

(L) Courthouses;

(M) Police facilities;

(N) Public transit facilities;

(O) Auditoriums;

(P) Prisons;

(Q) Libraries;

(R) Hospital and nursing home facilities;

(S) Solid waste facilities;

(T) Sanitation facilities;

(U) Bridges;

(V) Electric facilities;

(W) Hydroelectric facilities;

(X) Facilities for the securing and developing of industry;

(Y) Natural gas facilities;

(Z) Parking facilities;

(AA) Public housing facilities;

(BB) Pollution control facilities;

(CC) Public education facilities;

(DD) Drainage facilities;

(EE) Pedestrian facilities;

(FF) Lakes;

(GG) Dams;

(HH) Waterways;

(II) Regional mobility authority surface transportation systems; and

(JJ) Research parks;

(4) "City" means any city of the first class, city of the second class, or incorporated town of the State of Arkansas;

(5) "Construct" means to build, in whole or in part, in such manner and by such method, including contracting to build, and if contracting to build, by negotiation or bidding upon such terms and pursuant to such advertising as determined by the governing body of the municipality, under the circumstances existing at the time, as will most effectively serve the purposes of this subchapter;

(6) "Equip" means to install or place in or on any building or structure equipment of any and every kind, whether or not affixed, including, without limitation, building service equipment, fixtures, heating equipment, air conditioning equipment, machinery, furniture, furnishings, and personal property of every kind;

(7) "Facilities" means real property, personal property, or mixed property of any and every kind, including, without limitation, rights-of-way, utilities, vehicles, materials, equipment, fixtures, machinery, furniture, furnishings, buildings, and other improvements of every kind; and

(8) "Lease" means a lease of a capital improvement of a public nature by and between a city as lessee and another person as lessor, except as used in § 26-75-214 .

Amended by Act 2019, No. 910,§ 4415, eff. 7/1/2019.

Acts 1981 (1st Ex. Sess.), No. 25, § 1; 1983, No. 726, § 1; A.S.A. 1947, § 19-4523; Acts 1995, No. 565, § 18; 2005, No. 1930, § 1; 2005, No. 2275, § 4; 2007, No. 1045, § 6.
Ark. Code Ann. § 26-18-305 — AR Code / Title 26 / Chapter 18 / Subchapter 3 / Section 26-18-305
Examinations and investigations
Status: in_force

(a) (1) (A) In the administration of any state tax law, the Secretary of the Department of Finance and Administration, for the purpose of determining the accuracy of a return or fixing any liability under any state tax law, may make an examination or investigation of the place of business, the tangible personal property, equipment, and facilities, and the books, records, papers, vouchers, accounts, and documents of any taxpayer or other person. (B) Every taxpayer or other person and his or her agents and employees shall exhibit to the secretary these places and items and facilitate any examination or investigation. (2) (A) The secretary may employ proper and reasonable audit methods as he or she deems necessary, including the use of sampling. (B) If sampling is to be employed as an audit method, the taxpayer's consent to the sampling technique must be obtained at the commencement of the audit. (b) No taxpayer shall be subjected to unnecessary examination or investigations, and only one (1) inspection of a taxpayer's books of account shall be made for each taxable year unless the taxpayer requests otherwise or unless the secretary, after investigation, notifies the taxpayer in writing that an additional inspection is necessary. (c) (1) When conducting an investigation or an audit of any taxpayer, the secretary may, in his or her discretion, examine the records and files of any person, except when privileged by law, any other business, institution, financial institution, the records of any state agency, agency of the United States Government, or agency of any other state when permitted by agreement or reciprocity. (2) (A) The secretary may compel production of these records by summons. (B) The summons may be served directly by the secretary. (d) In the administration of any state tax law, the secretary may: (1) Administer oaths, conduct hearings, and compel by summons the attendance of witnesses, testimony, and the production of any books, records, papers, or other data of any person or taxpayer; or (2) (A) Examine under oath any person regarding the business of any taxpayer concerning any matter incident to the administration of any state tax law. (B) (i) The fees of witnesses required by the secretary to attend any hearing shall be the same as those allowed to the witnesses appearing before circuit courts of this state. (ii) The fees shall be paid in the manner provided for the payment of other expenses incident to the administration of any state tax law. (e) (1) The investigation may extend to any person that the secretary determines has access to information which may be relevant to the examination or investigation. (2) When any summons requiring the production of records as described in subsection (c) of this section is served on a third-party recordkeeper, written notice of the summons shall be mailed to the taxpayer that his or her records are being summoned, at least fourteen (14) days prior to the date fixed in the summons as the day for the examination of the records. (3) Notice to the taxpayer required by this section is sufficient if it is mailed by certified mail to the last address on record with the secretary. (f) When the secretary has the power to issue a summons for his or her own investigative or auditing purposes, then the secretary shall honor any reasonable request by any taxpayer to issue a summons on the taxpayer's behalf. (g) (1) The secretary or the taxpayer may apply to the circuit court of the county of the taxpayer's residence, place of business, or county where the summons can be served as with any other case at law for any order compelling the production of the summoned records. (2) Failure to comply with the order of the court for the production of records may be punished by the court as for contempt. (h) (1) The cost of producing records of a third party required by a summons shall be borne by the taxpayer if he or she requests the summons to be issued. (2) (A) If the secretary initiates the summons for third-party records, the secretary shall bear the reasonable cost of producing the records. (B) The secretary may later assess the cost against any delinquent or deficient taxpayer as determined by the records. (i) (1) The secretary may examine the books, records, and other documents of transportation companies, agencies, firms, or persons that conduct business by truck, rail, water, airplane, or otherwise in order to determine any sales or use tax due on out-of-state purchases and to determine which dealers are importing or shipping articles of tangible personal property and are liable for any state tax. (2) If the transportation company, agency, firm, or person refuses to allow an examination of its books, records, and other documents, the secretary may petition the appropriate circuit court to require the transportation company, agency, firm, or person to show cause as to why its books, records, and other documents should not be examined and why a bond should not be required in an amount not to exceed two thousand dollars ($2,000) for a period of not more than one (1) year to guarantee compliance with the provisions of this section. (3) Refusal to permit the secretary to examine books, records, and other documents pursuant to this section is a Class C misdemeanor. Acts 1979, No. 401, § 14; A.S.A. 1947, § 84-4714; Acts 1995, No. 650, § 1; 1999, No. 1277, § 11.

(a) (1) (A) In the administration of any state tax law, the Secretary of the Department of Finance and Administration, for the purpose of determining the accuracy of a return or fixing any liability under any state tax law, may make an examination or investigation of the place of business, the tangible personal property, equipment, and facilities, and the books, records, papers, vouchers, accounts, and documents of any taxpayer or other person. (B) Every taxpayer or other person and his or her agents and employees shall exhibit to the secretary these places and items and facilitate any examination or investigation. (2) (A) The secretary may employ proper and reasonable audit methods as he or she deems necessary, including the use of sampling. (B) If sampling is to be employed as an audit method, the taxpayer's consent to the sampling technique must be obtained at the commencement of the audit.

(1) (A) In the administration of any state tax law, the Secretary of the Department of Finance and Administration, for the purpose of determining the accuracy of a return or fixing any liability under any state tax law, may make an examination or investigation of the place of business, the tangible personal property, equipment, and facilities, and the books, records, papers, vouchers, accounts, and documents of any taxpayer or other person. (B) Every taxpayer or other person and his or her agents and employees shall exhibit to the secretary these places and items and facilitate any examination or investigation.

(A) In the administration of any state tax law, the Secretary of the Department of Finance and Administration, for the purpose of determining the accuracy of a return or fixing any liability under any state tax law, may make an examination or investigation of the place of business, the tangible personal property, equipment, and facilities, and the books, records, papers, vouchers, accounts, and documents of any taxpayer or other person.

(B) Every taxpayer or other person and his or her agents and employees shall exhibit to the secretary these places and items and facilitate any examination or investigation.

(2) (A) The secretary may employ proper and reasonable audit methods as he or she deems necessary, including the use of sampling. (B) If sampling is to be employed as an audit method, the taxpayer's consent to the sampling technique must be obtained at the commencement of the audit.

(A) The secretary may employ proper and reasonable audit methods as he or she deems necessary, including the use of sampling.

(B) If sampling is to be employed as an audit method, the taxpayer's consent to the sampling technique must be obtained at the commencement of the audit.

(b) No taxpayer shall be subjected to unnecessary examination or investigations, and only one (1) inspection of a taxpayer's books of account shall be made for each taxable year unless the taxpayer requests otherwise or unless the secretary, after investigation, notifies the taxpayer in writing that an additional inspection is necessary.

(c) (1) When conducting an investigation or an audit of any taxpayer, the secretary may, in his or her discretion, examine the records and files of any person, except when privileged by law, any other business, institution, financial institution, the records of any state agency, agency of the United States Government, or agency of any other state when permitted by agreement or reciprocity. (2) (A) The secretary may compel production of these records by summons. (B) The summons may be served directly by the secretary.

(1) When conducting an investigation or an audit of any taxpayer, the secretary may, in his or her discretion, examine the records and files of any person, except when privileged by law, any other business, institution, financial institution, the records of any state agency, agency of the United States Government, or agency of any other state when permitted by agreement or reciprocity.

(2) (A) The secretary may compel production of these records by summons. (B) The summons may be served directly by the secretary.

(A) The secretary may compel production of these records by summons.

(B) The summons may be served directly by the secretary.

(d) In the administration of any state tax law, the secretary may: (1) Administer oaths, conduct hearings, and compel by summons the attendance of witnesses, testimony, and the production of any books, records, papers, or other data of any person or taxpayer; or (2) (A) Examine under oath any person regarding the business of any taxpayer concerning any matter incident to the administration of any state tax law. (B) (i) The fees of witnesses required by the secretary to attend any hearing shall be the same as those allowed to the witnesses appearing before circuit courts of this state. (ii) The fees shall be paid in the manner provided for the payment of other expenses incident to the administration of any state tax law.

(1) Administer oaths, conduct hearings, and compel by summons the attendance of witnesses, testimony, and the production of any books, records, papers, or other data of any person or taxpayer; or

(2) (A) Examine under oath any person regarding the business of any taxpayer concerning any matter incident to the administration of any state tax law. (B) (i) The fees of witnesses required by the secretary to attend any hearing shall be the same as those allowed to the witnesses appearing before circuit courts of this state. (ii) The fees shall be paid in the manner provided for the payment of other expenses incident to the administration of any state tax law.

(A) Examine under oath any person regarding the business of any taxpayer concerning any matter incident to the administration of any state tax law.

(B) (i) The fees of witnesses required by the secretary to attend any hearing shall be the same as those allowed to the witnesses appearing before circuit courts of this state. (ii) The fees shall be paid in the manner provided for the payment of other expenses incident to the administration of any state tax law.

(i) The fees of witnesses required by the secretary to attend any hearing shall be the same as those allowed to the witnesses appearing before circuit courts of this state.

(ii) The fees shall be paid in the manner provided for the payment of other expenses incident to the administration of any state tax law.

(e) (1) The investigation may extend to any person that the secretary determines has access to information which may be relevant to the examination or investigation. (2) When any summons requiring the production of records as described in subsection (c) of this section is served on a third-party recordkeeper, written notice of the summons shall be mailed to the taxpayer that his or her records are being summoned, at least fourteen (14) days prior to the date fixed in the summons as the day for the examination of the records. (3) Notice to the taxpayer required by this section is sufficient if it is mailed by certified mail to the last address on record with the secretary.

(1) The investigation may extend to any person that the secretary determines has access to information which may be relevant to the examination or investigation.

(2) When any summons requiring the production of records as described in subsection (c) of this section is served on a third-party recordkeeper, written notice of the summons shall be mailed to the taxpayer that his or her records are being summoned, at least fourteen (14) days prior to the date fixed in the summons as the day for the examination of the records.

(3) Notice to the taxpayer required by this section is sufficient if it is mailed by certified mail to the last address on record with the secretary.

(f) When the secretary has the power to issue a summons for his or her own investigative or auditing purposes, then the secretary shall honor any reasonable request by any taxpayer to issue a summons on the taxpayer's behalf.

(g) (1) The secretary or the taxpayer may apply to the circuit court of the county of the taxpayer's residence, place of business, or county where the summons can be served as with any other case at law for any order compelling the production of the summoned records. (2) Failure to comply with the order of the court for the production of records may be punished by the court as for contempt.

(1) The secretary or the taxpayer may apply to the circuit court of the county of the taxpayer's residence, place of business, or county where the summons can be served as with any other case at law for any order compelling the production of the summoned records.

(2) Failure to comply with the order of the court for the production of records may be punished by the court as for contempt.

(h) (1) The cost of producing records of a third party required by a summons shall be borne by the taxpayer if he or she requests the summons to be issued. (2) (A) If the secretary initiates the summons for third-party records, the secretary shall bear the reasonable cost of producing the records. (B) The secretary may later assess the cost against any delinquent or deficient taxpayer as determined by the records.

(1) The cost of producing records of a third party required by a summons shall be borne by the taxpayer if he or she requests the summons to be issued.

(2) (A) If the secretary initiates the summons for third-party records, the secretary shall bear the reasonable cost of producing the records. (B) The secretary may later assess the cost against any delinquent or deficient taxpayer as determined by the records.

(A) If the secretary initiates the summons for third-party records, the secretary shall bear the reasonable cost of producing the records.

(B) The secretary may later assess the cost against any delinquent or deficient taxpayer as determined by the records.

(i) (1) The secretary may examine the books, records, and other documents of transportation companies, agencies, firms, or persons that conduct business by truck, rail, water, airplane, or otherwise in order to determine any sales or use tax due on out-of-state purchases and to determine which dealers are importing or shipping articles of tangible personal property and are liable for any state tax. (2) If the transportation company, agency, firm, or person refuses to allow an examination of its books, records, and other documents, the secretary may petition the appropriate circuit court to require the transportation company, agency, firm, or person to show cause as to why its books, records, and other documents should not be examined and why a bond should not be required in an amount not to exceed two thousand dollars ($2,000) for a period of not more than one (1) year to guarantee compliance with the provisions of this section. (3) Refusal to permit the secretary to examine books, records, and other documents pursuant to this section is a Class C misdemeanor.

(1) The secretary may examine the books, records, and other documents of transportation companies, agencies, firms, or persons that conduct business by truck, rail, water, airplane, or otherwise in order to determine any sales or use tax due on out-of-state purchases and to determine which dealers are importing or shipping articles of tangible personal property and are liable for any state tax.

(2) If the transportation company, agency, firm, or person refuses to allow an examination of its books, records, and other documents, the secretary may petition the appropriate circuit court to require the transportation company, agency, firm, or person to show cause as to why its books, records, and other documents should not be examined and why a bond should not be required in an amount not to exceed two thousand dollars ($2,000) for a period of not more than one (1) year to guarantee compliance with the provisions of this section.

(3) Refusal to permit the secretary to examine books, records, and other documents pursuant to this section is a Class C misdemeanor.

Acts 1979, No. 401, § 14; A.S.A. 1947, § 84-4714; Acts 1995, No. 650, § 1; 1999, No. 1277, § 11.
Ark. Code Ann. § 26-35-502 — AR Code / Title 26 / Chapter 35 / Subchapter 5 / Section 26-35-502
Means of payment
Status: in_force

The county taxes of any county of this state levied in pursuance of law shall only be payable in the lawful currency of the United States or scrip or warrants of the county by whose authority they were issued, drawn in pursuance of law and not inconsistent with this section and §§ 14-20-103 , 14-20-104 , and 14-20-114 . Acts 1879, No. 77, § 11, p. 109; C. & M. Dig., § 1988; Pope's Dig., § 2533; A.S.A. 1947, § 84-927.

The county taxes of any county of this state levied in pursuance of law shall only be payable in the lawful currency of the United States or scrip or warrants of the county by whose authority they were issued, drawn in pursuance of law and not inconsistent with this section and §§ 14-20-103 , 14-20-104 , and 14-20-114 .

Acts 1879, No. 77, § 11, p. 109; C. & M. Dig., § 1988; Pope's Dig., § 2533; A.S.A. 1947, § 84-927.
Ark. Code Ann. § 26-18-1116 — AR Code / Title 26 / Chapter 18 / Subchapter 11 / Section 26-18-1116
Decisions
Status: in_force

(a) (1) (A) The Tax Appeals Commission shall render its decisions under this subchapter in writing. (B) A decision of the commission under this section shall: (i) Include without limitation concise findings of fact and conclusions of law; and (ii) Grant relief, invoke remedies, and issue orders as the commission deems appropriate to carry out the commission's decision. (2) For a proceeding assigned to one (1) commissioner, that commissioner shall prepare the written decision. (3) For a proceeding assigned to the commission en banc, the Chief Commissioner of the Tax Appeals Commission or other commissioner designated by the chief commissioner shall prepare a written decision that reflects the view of the majority of the commissioners participating in the case. (4) A decision issued under this section shall be published under § 26-18-1119 and shall be served upon the parties by the commission. (b) (1) (A) Except as provided in subdivision (b)(1)(B) of this section, a decision of the commission under this section shall be issued no later than ninety (90) days after the submission of the last pleading or brief filed or the completion of the hearing, whichever is later. (B) The commission shall issue a decision: (i) Within five (5) business days after a hearing is concluded under § 26-18-402 ; (ii) Within three (3) business days after a hearing is concluded under § 26-18-601(b) ; (iii) Within five (5) business days after a hearing is concluded under § 26-18-1002 ; (iv) Within twenty (20) calendar days after a hearing is concluded under § 26-18-507(e)(1)(B)(ii) , § 26-18-601(c) , or § 26-36-315(c) ; (v) Within twenty (20) calendar days after a hearing is concluded under § 26-55-224 , § 26-56-204 , or § 26-62-204 ; (vi) Within twenty (20) calendar days after a hearing is concluded under § 26-55-231 , § 26-56-311 , § 26-57-413 , or § 26-57-419 ; (vii) Within five (5) business days after a hearing is concluded under § 26-55-247 ; and (viii) Within five (5) business days after a hearing is concluded under § 26-57-1212 . (2) (A) Except as provided in subdivision (b)(2)(B) of this section, the commission may extend the period to render a decision under this section for a reasonable additional amount of time for good cause, which shall be documented in a letter mailed to the parties. (B) The commission shall not extend the period to render a decision under subdivision (b)(1)(B) of this section with regard to a hearing held under § 26-18-1115(k)(2) . (c) (1) A decision of the commission has the same effect and shall be enforced in the same manner as a decision of a circuit court of the state, unless judicial review of the decision is pending. (2) Unless the Secretary of the Department of Finance and Administration files with the commission a notice of intent to seek judicial review, the secretary shall comply with and implement a decision of the commission within thirty (30) days of service of the decision on the Department of Finance and Administration. (d) (1) The interpretation of a taxing statute adopted by the commission in a proceeding en banc shall be followed by the commission in subsequent cases involving the same statute. (2) The commission's application of a statute to the facts of a case in a proceeding en banc shall be followed by the commission in subsequent cases involving similar facts. (3) The commission is not required to follow a prior interpretation or application of law by the commission if: (A) The interpretation or application conflicts with an interpretation or application of Arkansas law by a federal court or Arkansas state court; or (B) The prior decision of the commission was overturned on appeal. Added by Act 2021, No. 586,§ 1, eff. 7/28/2021.

(a) (1) (A) The Tax Appeals Commission shall render its decisions under this subchapter in writing. (B) A decision of the commission under this section shall: (i) Include without limitation concise findings of fact and conclusions of law; and (ii) Grant relief, invoke remedies, and issue orders as the commission deems appropriate to carry out the commission's decision. (2) For a proceeding assigned to one (1) commissioner, that commissioner shall prepare the written decision. (3) For a proceeding assigned to the commission en banc, the Chief Commissioner of the Tax Appeals Commission or other commissioner designated by the chief commissioner shall prepare a written decision that reflects the view of the majority of the commissioners participating in the case. (4) A decision issued under this section shall be published under § 26-18-1119 and shall be served upon the parties by the commission.

(1) (A) The Tax Appeals Commission shall render its decisions under this subchapter in writing. (B) A decision of the commission under this section shall: (i) Include without limitation concise findings of fact and conclusions of law; and (ii) Grant relief, invoke remedies, and issue orders as the commission deems appropriate to carry out the commission's decision.

(A) The Tax Appeals Commission shall render its decisions under this subchapter in writing.

(B) A decision of the commission under this section shall: (i) Include without limitation concise findings of fact and conclusions of law; and (ii) Grant relief, invoke remedies, and issue orders as the commission deems appropriate to carry out the commission's decision.

(i) Include without limitation concise findings of fact and conclusions of law; and

(ii) Grant relief, invoke remedies, and issue orders as the commission deems appropriate to carry out the commission's decision.

(2) For a proceeding assigned to one (1) commissioner, that commissioner shall prepare the written decision.

(3) For a proceeding assigned to the commission en banc, the Chief Commissioner of the Tax Appeals Commission or other commissioner designated by the chief commissioner shall prepare a written decision that reflects the view of the majority of the commissioners participating in the case.

(4) A decision issued under this section shall be published under § 26-18-1119 and shall be served upon the parties by the commission.

(b) (1) (A) Except as provided in subdivision (b)(1)(B) of this section, a decision of the commission under this section shall be issued no later than ninety (90) days after the submission of the last pleading or brief filed or the completion of the hearing, whichever is later. (B) The commission shall issue a decision: (i) Within five (5) business days after a hearing is concluded under § 26-18-402 ; (ii) Within three (3) business days after a hearing is concluded under § 26-18-601(b) ; (iii) Within five (5) business days after a hearing is concluded under § 26-18-1002 ; (iv) Within twenty (20) calendar days after a hearing is concluded under § 26-18-507(e)(1)(B)(ii) , § 26-18-601(c) , or § 26-36-315(c) ; (v) Within twenty (20) calendar days after a hearing is concluded under § 26-55-224 , § 26-56-204 , or § 26-62-204 ; (vi) Within twenty (20) calendar days after a hearing is concluded under § 26-55-231 , § 26-56-311 , § 26-57-413 , or § 26-57-419 ; (vii) Within five (5) business days after a hearing is concluded under § 26-55-247 ; and (viii) Within five (5) business days after a hearing is concluded under § 26-57-1212 . (2) (A) Except as provided in subdivision (b)(2)(B) of this section, the commission may extend the period to render a decision under this section for a reasonable additional amount of time for good cause, which shall be documented in a letter mailed to the parties. (B) The commission shall not extend the period to render a decision under subdivision (b)(1)(B) of this section with regard to a hearing held under § 26-18-1115(k)(2) .

(1) (A) Except as provided in subdivision (b)(1)(B) of this section, a decision of the commission under this section shall be issued no later than ninety (90) days after the submission of the last pleading or brief filed or the completion of the hearing, whichever is later. (B) The commission shall issue a decision: (i) Within five (5) business days after a hearing is concluded under § 26-18-402 ; (ii) Within three (3) business days after a hearing is concluded under § 26-18-601(b) ; (iii) Within five (5) business days after a hearing is concluded under § 26-18-1002 ; (iv) Within twenty (20) calendar days after a hearing is concluded under § 26-18-507(e)(1)(B)(ii) , § 26-18-601(c) , or § 26-36-315(c) ; (v) Within twenty (20) calendar days after a hearing is concluded under § 26-55-224 , § 26-56-204 , or § 26-62-204 ; (vi) Within twenty (20) calendar days after a hearing is concluded under § 26-55-231 , § 26-56-311 , § 26-57-413 , or § 26-57-419 ; (vii) Within five (5) business days after a hearing is concluded under § 26-55-247 ; and (viii) Within five (5) business days after a hearing is concluded under § 26-57-1212 .

(A) Except as provided in subdivision (b)(1)(B) of this section, a decision of the commission under this section shall be issued no later than ninety (90) days after the submission of the last pleading or brief filed or the completion of the hearing, whichever is later.

(B) The commission shall issue a decision: (i) Within five (5) business days after a hearing is concluded under § 26-18-402 ; (ii) Within three (3) business days after a hearing is concluded under § 26-18-601(b) ; (iii) Within five (5) business days after a hearing is concluded under § 26-18-1002 ; (iv) Within twenty (20) calendar days after a hearing is concluded under § 26-18-507(e)(1)(B)(ii) , § 26-18-601(c) , or § 26-36-315(c) ; (v) Within twenty (20) calendar days after a hearing is concluded under § 26-55-224 , § 26-56-204 , or § 26-62-204 ; (vi) Within twenty (20) calendar days after a hearing is concluded under § 26-55-231 , § 26-56-311 , § 26-57-413 , or § 26-57-419 ; (vii) Within five (5) business days after a hearing is concluded under § 26-55-247 ; and (viii) Within five (5) business days after a hearing is concluded under § 26-57-1212 .

(i) Within five (5) business days after a hearing is concluded under § 26-18-402 ;

(ii) Within three (3) business days after a hearing is concluded under § 26-18-601(b) ;

(iii) Within five (5) business days after a hearing is concluded under § 26-18-1002 ;

(iv) Within twenty (20) calendar days after a hearing is concluded under § 26-18-507(e)(1)(B)(ii) , § 26-18-601(c) , or § 26-36-315(c) ;

(v) Within twenty (20) calendar days after a hearing is concluded under § 26-55-224 , § 26-56-204 , or § 26-62-204 ;

(vi) Within twenty (20) calendar days after a hearing is concluded under § 26-55-231 , § 26-56-311 , § 26-57-413 , or § 26-57-419 ;

(vii) Within five (5) business days after a hearing is concluded under § 26-55-247 ; and

(viii) Within five (5) business days after a hearing is concluded under § 26-57-1212 .

(2) (A) Except as provided in subdivision (b)(2)(B) of this section, the commission may extend the period to render a decision under this section for a reasonable additional amount of time for good cause, which shall be documented in a letter mailed to the parties. (B) The commission shall not extend the period to render a decision under subdivision (b)(1)(B) of this section with regard to a hearing held under § 26-18-1115(k)(2) .

(A) Except as provided in subdivision (b)(2)(B) of this section, the commission may extend the period to render a decision under this section for a reasonable additional amount of time for good cause, which shall be documented in a letter mailed to the parties.

(B) The commission shall not extend the period to render a decision under subdivision (b)(1)(B) of this section with regard to a hearing held under § 26-18-1115(k)(2) .

(c) (1) A decision of the commission has the same effect and shall be enforced in the same manner as a decision of a circuit court of the state, unless judicial review of the decision is pending. (2) Unless the Secretary of the Department of Finance and Administration files with the commission a notice of intent to seek judicial review, the secretary shall comply with and implement a decision of the commission within thirty (30) days of service of the decision on the Department of Finance and Administration.

(1) A decision of the commission has the same effect and shall be enforced in the same manner as a decision of a circuit court of the state, unless judicial review of the decision is pending.

(2) Unless the Secretary of the Department of Finance and Administration files with the commission a notice of intent to seek judicial review, the secretary shall comply with and implement a decision of the commission within thirty (30) days of service of the decision on the Department of Finance and Administration.

(d) (1) The interpretation of a taxing statute adopted by the commission in a proceeding en banc shall be followed by the commission in subsequent cases involving the same statute. (2) The commission's application of a statute to the facts of a case in a proceeding en banc shall be followed by the commission in subsequent cases involving similar facts. (3) The commission is not required to follow a prior interpretation or application of law by the commission if: (A) The interpretation or application conflicts with an interpretation or application of Arkansas law by a federal court or Arkansas state court; or (B) The prior decision of the commission was overturned on appeal.

(1) The interpretation of a taxing statute adopted by the commission in a proceeding en banc shall be followed by the commission in subsequent cases involving the same statute.

(2) The commission's application of a statute to the facts of a case in a proceeding en banc shall be followed by the commission in subsequent cases involving similar facts.

(3) The commission is not required to follow a prior interpretation or application of law by the commission if: (A) The interpretation or application conflicts with an interpretation or application of Arkansas law by a federal court or Arkansas state court; or (B) The prior decision of the commission was overturned on appeal.

(A) The interpretation or application conflicts with an interpretation or application of Arkansas law by a federal court or Arkansas state court; or

(B) The prior decision of the commission was overturned on appeal.

Added by Act 2021, No. 586,§ 1, eff. 7/28/2021.
Ark. Code Ann. § 26-18-1106 — AR Code / Title 26 / Chapter 18 / Subchapter 11 / Section 26-18-1106
Appointment of commissioners
Status: in_force

(a) (1) The Tax Appeals Commission shall consist of three (3) commissioners who are subject to the requirements of § 26-18-1107 . (2) Commissioners may be selected from a pool of candidates recommended as follows: (A) The Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state. (3) The Governor: (A) May appoint one (1) commissioner from each pool of candidates nominated under this subsection; (B) May appoint an individual who is not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 ; and (C) (i) With the advice of the Secretary of the Department of Inspector General, shall designate one (1) of the commissioners of the Tax Appeals Commission to serve as Chief Commissioner of the Tax Appeals Commission. (ii) The Governor may change the designation of Chief Commissioner of the Tax Appeals Commission at any time. (iii) A commissioner's designation as Chief Commissioner of the Tax Appeals Commission does not affect the commissioner's term of appointment. (b) The Chief Commissioner of the Tax Appeals Commission shall: (1) Meet the requirements stated in § 26-18-1107 for the position of Chief Commissioner of the Tax Appeals Commission; (2) Act as the executive officer of the commission; (3) Be subject to the same provisions of law as commissioners; (4) Be charged with the administration of the commission; (5) Apportion among the commission all causes, matters, and hearings coming before the commission; (6) Take any action necessary to enable the commission to properly exercise the duties, functions, and powers of the commission under this subchapter; and (7) Submit an annual report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Chair of the House Committee on Judiciary, the Chair of the Senate Committee on Judiciary, the cochairs of the Legislative Council, the Governor, and the Secretary of the Department of Inspector General that contains the following information for the year that is the subject of the report: (A) The case load of the commission; (B) The number of petitions filed; (C) The number of claims settled; (D) The number of decisions the commission rendered; (E) The number of decisions rendered: (i) In favor of the Department of Finance and Administration; (ii) In favor of the taxpayer; and (iii) Partially in favor of the department and partially in favor of the taxpayer; (F) The number of matters heard: (i) In person; (ii) By teleconference or videoconference; (iii) Using a combination of in-person and either teleconference or videoconference means; and (iv) Solely on the documents filed with the commission; and (G) The average time for a claim to be processed from the petition's being filed to a decision's being rendered, calculated for each type of hearing conducted by the commission. (c) Each commissioner: (1) Is appointed to a term of nine (9) years; and (2) Shall not serve more than two (2) terms. (d) Each commissioner shall receive an annual salary and benefits comparable to the salary and benefits provided to state district court judges. (e) Once appointed, each commissioner shall: (1) Continue his or her term until the: (A) Commissioner is removed from his or her position under subsection (g) of this section; (B) Commissioner is not appointed to a second term; (C) Commissioner's final term expires; (D) Commissioner retires his or her position; (E) Commissioner relinquishes his or her position; or (F) Commissioner is unable to perform his or her duties on a long-term basis; and (2) (A) Take an oath or make an affirmation that he or she will faithfully discharge his or her duties under this subchapter. (B) The oath or affirmation required under subdivision (e)(2)(A) of this section shall be filed with the Secretary of State's office. (f) (1) If a vacancy occurs on the commission, the Governor shall appoint a commissioner to fill the vacancy. (2) If the vacant position is one (1) that was filled by a candidate nominated by: (A) The Arkansas Bar Association or otherwise appointed by the Governor in lieu of Arkansas Bar Association nominees, the Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court or otherwise appointed by the Governor in lieu of Supreme Court nominees, the majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants or otherwise appointed by the Governor in lieu of Arkansas Society of Certified Public Accountants nominees, the Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state. (3) (A) The Governor may appoint: (i) A commissioner to fill a vacancy from the relevant pool of candidates nominated under this subsection; or (ii) An individual not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 . (B) If a vacancy occurs in the position of Chief Commissioner of the Tax Appeals Commission, the Governor shall designate one (1) of the commissioners to act as the interim Chief Commissioner of the Tax Appeals Commission until the vacancy is filled. (g) (1) The Governor may remove a commissioner for: (A) Neglect of duty; (B) Inability to perform duties; or (C) Malfeasance in office. (2) The Governor shall provide notice and an opportunity to be heard before removing a commissioner. (h) A commissioner shall conduct himself or herself in an impartial manner and may withdraw from a hearing under this subchapter at any time if the commissioner deems himself or herself disqualified from performing his or her duties in an impartial manner. (i) (1) Except as provided in subdivision (i)(2) of this section, a commissioner shall not: (A) Engage in a business or be employed outside of his or her position as commissioner; or (B) Hold office or a position of profit in this state or a political subdivision of this state, another state, or the United States of America. (2) A commissioner may own an interest in a business entity and earn income from incidental teaching and scholarly activities, unless owning the interest or earning income from the incidental teaching and scholarly activities conflicts with his or her duties as an impartial commissioner under this subchapter. (3) A commissioner shall withdraw from hearing a matter if he or she is related to the taxpayer or owns an interest in the business of the taxpayer. (j) If all of the commissioners have withdrawn from hearing a matter under this section, the Governor shall appoint a special master to act as a commissioner in the matter. Amended by Act 2023, No. 346,§ 2, eff. 3/21/2023. Amended by Act 2023, No. 346,§ 1, eff. 3/21/2023. Added by Act 2021, No. 586,§ 1, eff. 7/28/2021.

(a) (1) The Tax Appeals Commission shall consist of three (3) commissioners who are subject to the requirements of § 26-18-1107 . (2) Commissioners may be selected from a pool of candidates recommended as follows: (A) The Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state. (3) The Governor: (A) May appoint one (1) commissioner from each pool of candidates nominated under this subsection; (B) May appoint an individual who is not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 ; and (C) (i) With the advice of the Secretary of the Department of Inspector General, shall designate one (1) of the commissioners of the Tax Appeals Commission to serve as Chief Commissioner of the Tax Appeals Commission. (ii) The Governor may change the designation of Chief Commissioner of the Tax Appeals Commission at any time. (iii) A commissioner's designation as Chief Commissioner of the Tax Appeals Commission does not affect the commissioner's term of appointment.

(1) The Tax Appeals Commission shall consist of three (3) commissioners who are subject to the requirements of § 26-18-1107 .

(2) Commissioners may be selected from a pool of candidates recommended as follows: (A) The Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state.

(A) The Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state;

(B) The majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and

(i) Licensed to practice law in this state;

(ii) Certified as a certified public accountant in this state; or

(iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and

(C) The Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state.

(3) The Governor: (A) May appoint one (1) commissioner from each pool of candidates nominated under this subsection; (B) May appoint an individual who is not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 ; and (C) (i) With the advice of the Secretary of the Department of Inspector General, shall designate one (1) of the commissioners of the Tax Appeals Commission to serve as Chief Commissioner of the Tax Appeals Commission. (ii) The Governor may change the designation of Chief Commissioner of the Tax Appeals Commission at any time. (iii) A commissioner's designation as Chief Commissioner of the Tax Appeals Commission does not affect the commissioner's term of appointment.

(A) May appoint one (1) commissioner from each pool of candidates nominated under this subsection;

(B) May appoint an individual who is not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 ; and

(C) (i) With the advice of the Secretary of the Department of Inspector General, shall designate one (1) of the commissioners of the Tax Appeals Commission to serve as Chief Commissioner of the Tax Appeals Commission. (ii) The Governor may change the designation of Chief Commissioner of the Tax Appeals Commission at any time. (iii) A commissioner's designation as Chief Commissioner of the Tax Appeals Commission does not affect the commissioner's term of appointment.

(i) With the advice of the Secretary of the Department of Inspector General, shall designate one (1) of the commissioners of the Tax Appeals Commission to serve as Chief Commissioner of the Tax Appeals Commission.

(ii) The Governor may change the designation of Chief Commissioner of the Tax Appeals Commission at any time.

(iii) A commissioner's designation as Chief Commissioner of the Tax Appeals Commission does not affect the commissioner's term of appointment.

(b) The Chief Commissioner of the Tax Appeals Commission shall: (1) Meet the requirements stated in § 26-18-1107 for the position of Chief Commissioner of the Tax Appeals Commission; (2) Act as the executive officer of the commission; (3) Be subject to the same provisions of law as commissioners; (4) Be charged with the administration of the commission; (5) Apportion among the commission all causes, matters, and hearings coming before the commission; (6) Take any action necessary to enable the commission to properly exercise the duties, functions, and powers of the commission under this subchapter; and (7) Submit an annual report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Chair of the House Committee on Judiciary, the Chair of the Senate Committee on Judiciary, the cochairs of the Legislative Council, the Governor, and the Secretary of the Department of Inspector General that contains the following information for the year that is the subject of the report: (A) The case load of the commission; (B) The number of petitions filed; (C) The number of claims settled; (D) The number of decisions the commission rendered; (E) The number of decisions rendered: (i) In favor of the Department of Finance and Administration; (ii) In favor of the taxpayer; and (iii) Partially in favor of the department and partially in favor of the taxpayer; (F) The number of matters heard: (i) In person; (ii) By teleconference or videoconference; (iii) Using a combination of in-person and either teleconference or videoconference means; and (iv) Solely on the documents filed with the commission; and (G) The average time for a claim to be processed from the petition's being filed to a decision's being rendered, calculated for each type of hearing conducted by the commission.

(1) Meet the requirements stated in § 26-18-1107 for the position of Chief Commissioner of the Tax Appeals Commission;

(2) Act as the executive officer of the commission;

(3) Be subject to the same provisions of law as commissioners;

(4) Be charged with the administration of the commission;

(5) Apportion among the commission all causes, matters, and hearings coming before the commission;

(6) Take any action necessary to enable the commission to properly exercise the duties, functions, and powers of the commission under this subchapter; and

(7) Submit an annual report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Chair of the House Committee on Judiciary, the Chair of the Senate Committee on Judiciary, the cochairs of the Legislative Council, the Governor, and the Secretary of the Department of Inspector General that contains the following information for the year that is the subject of the report: (A) The case load of the commission; (B) The number of petitions filed; (C) The number of claims settled; (D) The number of decisions the commission rendered; (E) The number of decisions rendered: (i) In favor of the Department of Finance and Administration; (ii) In favor of the taxpayer; and (iii) Partially in favor of the department and partially in favor of the taxpayer; (F) The number of matters heard: (i) In person; (ii) By teleconference or videoconference; (iii) Using a combination of in-person and either teleconference or videoconference means; and (iv) Solely on the documents filed with the commission; and (G) The average time for a claim to be processed from the petition's being filed to a decision's being rendered, calculated for each type of hearing conducted by the commission.

(A) The case load of the commission;

(B) The number of petitions filed;

(C) The number of claims settled;

(D) The number of decisions the commission rendered;

(E) The number of decisions rendered: (i) In favor of the Department of Finance and Administration; (ii) In favor of the taxpayer; and (iii) Partially in favor of the department and partially in favor of the taxpayer;

(i) In favor of the Department of Finance and Administration;

(ii) In favor of the taxpayer; and

(iii) Partially in favor of the department and partially in favor of the taxpayer;

(F) The number of matters heard: (i) In person; (ii) By teleconference or videoconference; (iii) Using a combination of in-person and either teleconference or videoconference means; and (iv) Solely on the documents filed with the commission; and

(i) In person;

(ii) By teleconference or videoconference;

(iii) Using a combination of in-person and either teleconference or videoconference means; and

(iv) Solely on the documents filed with the commission; and

(G) The average time for a claim to be processed from the petition's being filed to a decision's being rendered, calculated for each type of hearing conducted by the commission.

(c) Each commissioner: (1) Is appointed to a term of nine (9) years; and (2) Shall not serve more than two (2) terms.

(1) Is appointed to a term of nine (9) years; and

(2) Shall not serve more than two (2) terms.

(d) Each commissioner shall receive an annual salary and benefits comparable to the salary and benefits provided to state district court judges.

(e) Once appointed, each commissioner shall: (1) Continue his or her term until the: (A) Commissioner is removed from his or her position under subsection (g) of this section; (B) Commissioner is not appointed to a second term; (C) Commissioner's final term expires; (D) Commissioner retires his or her position; (E) Commissioner relinquishes his or her position; or (F) Commissioner is unable to perform his or her duties on a long-term basis; and (2) (A) Take an oath or make an affirmation that he or she will faithfully discharge his or her duties under this subchapter. (B) The oath or affirmation required under subdivision (e)(2)(A) of this section shall be filed with the Secretary of State's office.

(1) Continue his or her term until the: (A) Commissioner is removed from his or her position under subsection (g) of this section; (B) Commissioner is not appointed to a second term; (C) Commissioner's final term expires; (D) Commissioner retires his or her position; (E) Commissioner relinquishes his or her position; or (F) Commissioner is unable to perform his or her duties on a long-term basis; and

(A) Commissioner is removed from his or her position under subsection (g) of this section;

(B) Commissioner is not appointed to a second term;

(C) Commissioner's final term expires;

(D) Commissioner retires his or her position;

(E) Commissioner relinquishes his or her position; or

(F) Commissioner is unable to perform his or her duties on a long-term basis; and

(2) (A) Take an oath or make an affirmation that he or she will faithfully discharge his or her duties under this subchapter. (B) The oath or affirmation required under subdivision (e)(2)(A) of this section shall be filed with the Secretary of State's office.

(A) Take an oath or make an affirmation that he or she will faithfully discharge his or her duties under this subchapter.

(B) The oath or affirmation required under subdivision (e)(2)(A) of this section shall be filed with the Secretary of State's office.

(f) (1) If a vacancy occurs on the commission, the Governor shall appoint a commissioner to fill the vacancy. (2) If the vacant position is one (1) that was filled by a candidate nominated by: (A) The Arkansas Bar Association or otherwise appointed by the Governor in lieu of Arkansas Bar Association nominees, the Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court or otherwise appointed by the Governor in lieu of Supreme Court nominees, the majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants or otherwise appointed by the Governor in lieu of Arkansas Society of Certified Public Accountants nominees, the Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state. (3) (A) The Governor may appoint: (i) A commissioner to fill a vacancy from the relevant pool of candidates nominated under this subsection; or (ii) An individual not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 . (B) If a vacancy occurs in the position of Chief Commissioner of the Tax Appeals Commission, the Governor shall designate one (1) of the commissioners to act as the interim Chief Commissioner of the Tax Appeals Commission until the vacancy is filled.

(1) If a vacancy occurs on the commission, the Governor shall appoint a commissioner to fill the vacancy.

(2) If the vacant position is one (1) that was filled by a candidate nominated by: (A) The Arkansas Bar Association or otherwise appointed by the Governor in lieu of Arkansas Bar Association nominees, the Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state; (B) The majority of the Supreme Court or otherwise appointed by the Governor in lieu of Supreme Court nominees, the majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and (C) The Arkansas Society of Certified Public Accountants or otherwise appointed by the Governor in lieu of Arkansas Society of Certified Public Accountants nominees, the Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state.

(A) The Arkansas Bar Association or otherwise appointed by the Governor in lieu of Arkansas Bar Association nominees, the Arkansas Bar Association shall nominate three (3) individuals who are licensed to practice law in this state;

(B) The majority of the Supreme Court or otherwise appointed by the Governor in lieu of Supreme Court nominees, the majority of the Supreme Court shall nominate three (3) individuals who are: (i) Licensed to practice law in this state; (ii) Certified as a certified public accountant in this state; or (iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and

(i) Licensed to practice law in this state;

(ii) Certified as a certified public accountant in this state; or

(iii) Both licensed to practice law in this state and certified as a certified public accountant in this state; and

(C) The Arkansas Society of Certified Public Accountants or otherwise appointed by the Governor in lieu of Arkansas Society of Certified Public Accountants nominees, the Arkansas Society of Certified Public Accountants shall nominate three (3) individuals who are certified as a certified public accountant in this state.

(3) (A) The Governor may appoint: (i) A commissioner to fill a vacancy from the relevant pool of candidates nominated under this subsection; or (ii) An individual not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 . (B) If a vacancy occurs in the position of Chief Commissioner of the Tax Appeals Commission, the Governor shall designate one (1) of the commissioners to act as the interim Chief Commissioner of the Tax Appeals Commission until the vacancy is filled.

(A) The Governor may appoint: (i) A commissioner to fill a vacancy from the relevant pool of candidates nominated under this subsection; or (ii) An individual not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 .

(i) A commissioner to fill a vacancy from the relevant pool of candidates nominated under this subsection; or

(ii) An individual not nominated under this subsection who meets the applicable licensure requirements of a particular pool and who otherwise meets the qualification requirements stated in § 26-18-1107 .

(B) If a vacancy occurs in the position of Chief Commissioner of the Tax Appeals Commission, the Governor shall designate one (1) of the commissioners to act as the interim Chief Commissioner of the Tax Appeals Commission until the vacancy is filled.

(g) (1) The Governor may remove a commissioner for: (A) Neglect of duty; (B) Inability to perform duties; or (C) Malfeasance in office. (2) The Governor shall provide notice and an opportunity to be heard before removing a commissioner.

(1) The Governor may remove a commissioner for: (A) Neglect of duty; (B) Inability to perform duties; or (C) Malfeasance in office.

(A) Neglect of duty;

(B) Inability to perform duties; or

(C) Malfeasance in office.

(2) The Governor shall provide notice and an opportunity to be heard before removing a commissioner.

(h) A commissioner shall conduct himself or herself in an impartial manner and may withdraw from a hearing under this subchapter at any time if the commissioner deems himself or herself disqualified from performing his or her duties in an impartial manner.

(i) (1) Except as provided in subdivision (i)(2) of this section, a commissioner shall not: (A) Engage in a business or be employed outside of his or her position as commissioner; or (B) Hold office or a position of profit in this state or a political subdivision of this state, another state, or the United States of America. (2) A commissioner may own an interest in a business entity and earn income from incidental teaching and scholarly activities, unless owning the interest or earning income from the incidental teaching and scholarly activities conflicts with his or her duties as an impartial commissioner under this subchapter. (3) A commissioner shall withdraw from hearing a matter if he or she is related to the taxpayer or owns an interest in the business of the taxpayer.

(1) Except as provided in subdivision (i)(2) of this section, a commissioner shall not: (A) Engage in a business or be employed outside of his or her position as commissioner; or (B) Hold office or a position of profit in this state or a political subdivision of this state, another state, or the United States of America.

(A) Engage in a business or be employed outside of his or her position as commissioner; or

(B) Hold office or a position of profit in this state or a political subdivision of this state, another state, or the United States of America.

(2) A commissioner may own an interest in a business entity and earn income from incidental teaching and scholarly activities, unless owning the interest or earning income from the incidental teaching and scholarly activities conflicts with his or her duties as an impartial commissioner under this subchapter.

(3) A commissioner shall withdraw from hearing a matter if he or she is related to the taxpayer or owns an interest in the business of the taxpayer.

(j) If all of the commissioners have withdrawn from hearing a matter under this section, the Governor shall appoint a special master to act as a commissioner in the matter.

Amended by Act 2023, No. 346,§ 2, eff. 3/21/2023.

Amended by Act 2023, No. 346,§ 1, eff. 3/21/2023.

Added by Act 2021, No. 586,§ 1, eff. 7/28/2021.
Ark. Code Ann. § 26-58-124 — AR Code / Title 26 / Chapter 58 / Subchapter 1 / Section 26-58-124
Distribution of severance tax generally
Status: in_force

(a) All taxes, penalties, and costs collected by the Secretary of the Department of Finance and Administration under the provisions of this subchapter, except for the taxes, penalties, and costs collected on natural gas, shall be deposited into the State Treasury to the credit of the State Apportionment Fund. (b) On or before the fifth of the month next following the month during which funds under subsection (a) of this section shall have been received by the Treasurer of State, the Treasurer of State shall allocate the funds in the following manner: (1) Three percent (3%) of the amount of the funds to the General Revenue Fund Account of the State Apportionment Fund to be used for defraying the necessary expenses of the state government; and (2) Ninety-seven percent (97%) of the amount of the funds, as follows: (A) (i) All of such amount of severance taxes, penalties, and costs on timber and timber products shall be credited to the State Forestry Fund until there has been distributed to the State Forestry Fund an amount not less than the total amount of severance taxes, penalties, and costs on timber and timber products distributed to the State Forestry Fund during the fiscal year ending June 30, 1980, plus an additional amount of two million dollars ($2,000,000) of the funds, to be used exclusively for the purpose of carrying out the functions and duties of the Arkansas Forestry Commission. (ii) (a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund. (b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii). (iii) All of such amount of severance taxes, penalties, and costs on timber and timber products collected during each fiscal year in excess of the amounts required to be distributed for each fiscal year as provided in subdivisions (b)(2)(A)(i) and (ii) of this section shall be distributed to the State Forestry Fund to be used exclusively for the support of carrying out the functions and duties of the Arkansas Forestry Commission; (B) Seventy-five percent (75%) of the amount of the severance taxes and penalties on diamonds shall be credited to the Arkansas State Parks Trust Fund to be used by the State Parks, Recreation, and Travel Commission for the preservation and protection of the natural resources of this state; (C) Seventy-five percent (75%) of the amount of the severance taxes and penalties, except those on timber and timber products and except those on diamonds, shall be general revenues and shall be allocated to the various State Treasury funds participating in general revenues in the respective proportions to each as provided by and to be used for the respective purposes set forth in the Revenue Stabilization Law, § 19-5-101 et seq.; and (D) (i) Twenty-five percent (25%) of such amount of the severance taxes and penalties, and costs, except those on timber and timber products, shall be special revenues and shall be allocated to the County Aid Fund. (ii) On or before the tenth of the month following the end of each calendar quarter, the Treasurer of State shall remit by state warrants to the various county treasurers all funds under subdivision (b)(2)(D)(i) of this section then received by him or her during the quarterly period and transferred to the County Aid Fund in the proportions of the funds as between the respective counties that, as certified by the secretary to the Treasurer of State, the total severance tax produced from each respective county bears to the total of the taxes produced from all counties. (iii) Upon receipt of any taxes under this subdivision (b)(2)(D), each county treasurer shall credit fifty percent (50%) of the amount to the county public school fund and fifty percent (50%) of the amount to the county highway fund for use for the same purposes as other moneys credited to the respective future funds. (c) All taxes, penalties, and costs collected by the secretary on natural gas shall be deposited into the State Treasury as follows: (1) The first six hundred seventy-five thousand dollars ($675,000) collected each fiscal year shall be deposited as general revenues; (2) (A) Five percent (5%) of the remainder shall be deposited as special revenues into the Road and Bridge Repair, Maintenance, and Grants Fund to be used exclusively for grants to counties for damages resulting from trucks and other heavy machinery used in the extraction of natural gas. (B) The grants awarded under subdivision (c)(2)(A) of this section shall be distributed to counties on a pro rata basis based on the number of active unconventional natural gas wells located within each county; and (3) Ninety-five percent (95%) of the remainder shall be classified as special revenues and shall be distributed as set forth in the Arkansas Highway Revenue Distribution Law, § 27-70-201 et seq. Amended by Act 2019, No. 910,§ 4260, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 4259, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 4258, eff. 7/1/2019. Amended by Act 2017, No. 1019,§ 3, eff. 8/1/2017. Amended by Act 2015, No. 536,§ 4, eff. 7/1/2015. Acts 1947, No. 136, § 12; 1953, No. 42, § 9; 1955, No. 100, § 2; 1981, No. 938, § 13; A.S.A. 1947, § 84-2112; Acts 1993, No. 1156, § 2; 1999, No. 736, § 5; 2007, No. 1245, § 13; 2008 (1st Ex. Sess.), No. 4, §§ 8, 9; 2008 (1st Ex. Sess.), No. 5, §§ 8, 9.

(a) All taxes, penalties, and costs collected by the Secretary of the Department of Finance and Administration under the provisions of this subchapter, except for the taxes, penalties, and costs collected on natural gas, shall be deposited into the State Treasury to the credit of the State Apportionment Fund.

(b) On or before the fifth of the month next following the month during which funds under subsection (a) of this section shall have been received by the Treasurer of State, the Treasurer of State shall allocate the funds in the following manner: (1) Three percent (3%) of the amount of the funds to the General Revenue Fund Account of the State Apportionment Fund to be used for defraying the necessary expenses of the state government; and (2) Ninety-seven percent (97%) of the amount of the funds, as follows: (A) (i) All of such amount of severance taxes, penalties, and costs on timber and timber products shall be credited to the State Forestry Fund until there has been distributed to the State Forestry Fund an amount not less than the total amount of severance taxes, penalties, and costs on timber and timber products distributed to the State Forestry Fund during the fiscal year ending June 30, 1980, plus an additional amount of two million dollars ($2,000,000) of the funds, to be used exclusively for the purpose of carrying out the functions and duties of the Arkansas Forestry Commission. (ii) (a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund. (b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii). (iii) All of such amount of severance taxes, penalties, and costs on timber and timber products collected during each fiscal year in excess of the amounts required to be distributed for each fiscal year as provided in subdivisions (b)(2)(A)(i) and (ii) of this section shall be distributed to the State Forestry Fund to be used exclusively for the support of carrying out the functions and duties of the Arkansas Forestry Commission; (B) Seventy-five percent (75%) of the amount of the severance taxes and penalties on diamonds shall be credited to the Arkansas State Parks Trust Fund to be used by the State Parks, Recreation, and Travel Commission for the preservation and protection of the natural resources of this state; (C) Seventy-five percent (75%) of the amount of the severance taxes and penalties, except those on timber and timber products and except those on diamonds, shall be general revenues and shall be allocated to the various State Treasury funds participating in general revenues in the respective proportions to each as provided by and to be used for the respective purposes set forth in the Revenue Stabilization Law, § 19-5-101 et seq.; and (D) (i) Twenty-five percent (25%) of such amount of the severance taxes and penalties, and costs, except those on timber and timber products, shall be special revenues and shall be allocated to the County Aid Fund. (ii) On or before the tenth of the month following the end of each calendar quarter, the Treasurer of State shall remit by state warrants to the various county treasurers all funds under subdivision (b)(2)(D)(i) of this section then received by him or her during the quarterly period and transferred to the County Aid Fund in the proportions of the funds as between the respective counties that, as certified by the secretary to the Treasurer of State, the total severance tax produced from each respective county bears to the total of the taxes produced from all counties. (iii) Upon receipt of any taxes under this subdivision (b)(2)(D), each county treasurer shall credit fifty percent (50%) of the amount to the county public school fund and fifty percent (50%) of the amount to the county highway fund for use for the same purposes as other moneys credited to the respective future funds.

(1) Three percent (3%) of the amount of the funds to the General Revenue Fund Account of the State Apportionment Fund to be used for defraying the necessary expenses of the state government; and

(2) Ninety-seven percent (97%) of the amount of the funds, as follows: (A) (i) All of such amount of severance taxes, penalties, and costs on timber and timber products shall be credited to the State Forestry Fund until there has been distributed to the State Forestry Fund an amount not less than the total amount of severance taxes, penalties, and costs on timber and timber products distributed to the State Forestry Fund during the fiscal year ending June 30, 1980, plus an additional amount of two million dollars ($2,000,000) of the funds, to be used exclusively for the purpose of carrying out the functions and duties of the Arkansas Forestry Commission. (ii) (a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund. (b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii). (iii) All of such amount of severance taxes, penalties, and costs on timber and timber products collected during each fiscal year in excess of the amounts required to be distributed for each fiscal year as provided in subdivisions (b)(2)(A)(i) and (ii) of this section shall be distributed to the State Forestry Fund to be used exclusively for the support of carrying out the functions and duties of the Arkansas Forestry Commission; (B) Seventy-five percent (75%) of the amount of the severance taxes and penalties on diamonds shall be credited to the Arkansas State Parks Trust Fund to be used by the State Parks, Recreation, and Travel Commission for the preservation and protection of the natural resources of this state; (C) Seventy-five percent (75%) of the amount of the severance taxes and penalties, except those on timber and timber products and except those on diamonds, shall be general revenues and shall be allocated to the various State Treasury funds participating in general revenues in the respective proportions to each as provided by and to be used for the respective purposes set forth in the Revenue Stabilization Law, § 19-5-101 et seq.; and (D) (i) Twenty-five percent (25%) of such amount of the severance taxes and penalties, and costs, except those on timber and timber products, shall be special revenues and shall be allocated to the County Aid Fund. (ii) On or before the tenth of the month following the end of each calendar quarter, the Treasurer of State shall remit by state warrants to the various county treasurers all funds under subdivision (b)(2)(D)(i) of this section then received by him or her during the quarterly period and transferred to the County Aid Fund in the proportions of the funds as between the respective counties that, as certified by the secretary to the Treasurer of State, the total severance tax produced from each respective county bears to the total of the taxes produced from all counties. (iii) Upon receipt of any taxes under this subdivision (b)(2)(D), each county treasurer shall credit fifty percent (50%) of the amount to the county public school fund and fifty percent (50%) of the amount to the county highway fund for use for the same purposes as other moneys credited to the respective future funds.

(A) (i) All of such amount of severance taxes, penalties, and costs on timber and timber products shall be credited to the State Forestry Fund until there has been distributed to the State Forestry Fund an amount not less than the total amount of severance taxes, penalties, and costs on timber and timber products distributed to the State Forestry Fund during the fiscal year ending June 30, 1980, plus an additional amount of two million dollars ($2,000,000) of the funds, to be used exclusively for the purpose of carrying out the functions and duties of the Arkansas Forestry Commission. (ii) (a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund. (b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii). (iii) All of such amount of severance taxes, penalties, and costs on timber and timber products collected during each fiscal year in excess of the amounts required to be distributed for each fiscal year as provided in subdivisions (b)(2)(A)(i) and (ii) of this section shall be distributed to the State Forestry Fund to be used exclusively for the support of carrying out the functions and duties of the Arkansas Forestry Commission;

(i) All of such amount of severance taxes, penalties, and costs on timber and timber products shall be credited to the State Forestry Fund until there has been distributed to the State Forestry Fund an amount not less than the total amount of severance taxes, penalties, and costs on timber and timber products distributed to the State Forestry Fund during the fiscal year ending June 30, 1980, plus an additional amount of two million dollars ($2,000,000) of the funds, to be used exclusively for the purpose of carrying out the functions and duties of the Arkansas Forestry Commission.

(ii) (a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund. (b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii).

(a) The next three hundred fifty thousand dollars ($350,000) or so much of the funds as may be collected in severance taxes, penalties, and costs on timber and timber products, over and above the amount distributed to the State Forestry Fund during each fiscal year as provided in subdivision (b)(2)(A)(i) of this section, shall be distributed and credited to the University of Arkansas at Monticello Fund.

(b) The University of Arkansas at Monticello shall transfer from general revenue to cash funds any timber severance tax funds as provided in this subdivision (b)(2)(A)(ii), to be set aside therein to be used solely and exclusively for providing additional support for the College of Forestry, Agriculture and Natural Resources of the University of Arkansas at Monticello, as per the intent of this subdivision (b)(2)(A)(ii).

(iii) All of such amount of severance taxes, penalties, and costs on timber and timber products collected during each fiscal year in excess of the amounts required to be distributed for each fiscal year as provided in subdivisions (b)(2)(A)(i) and (ii) of this section shall be distributed to the State Forestry Fund to be used exclusively for the support of carrying out the functions and duties of the Arkansas Forestry Commission;

(B) Seventy-five percent (75%) of the amount of the severance taxes and penalties on diamonds shall be credited to the Arkansas State Parks Trust Fund to be used by the State Parks, Recreation, and Travel Commission for the preservation and protection of the natural resources of this state;

(C) Seventy-five percent (75%) of the amount of the severance taxes and penalties, except those on timber and timber products and except those on diamonds, shall be general revenues and shall be allocated to the various State Treasury funds participating in general revenues in the respective proportions to each as provided by and to be used for the respective purposes set forth in the Revenue Stabilization Law, § 19-5-101 et seq.; and

(D) (i) Twenty-five percent (25%) of such amount of the severance taxes and penalties, and costs, except those on timber and timber products, shall be special revenues and shall be allocated to the County Aid Fund. (ii) On or before the tenth of the month following the end of each calendar quarter, the Treasurer of State shall remit by state warrants to the various county treasurers all funds under subdivision (b)(2)(D)(i) of this section then received by him or her during the quarterly period and transferred to the County Aid Fund in the proportions of the funds as between the respective counties that, as certified by the secretary to the Treasurer of State, the total severance tax produced from each respective county bears to the total of the taxes produced from all counties. (iii) Upon receipt of any taxes under this subdivision (b)(2)(D), each county treasurer shall credit fifty percent (50%) of the amount to the county public school fund and fifty percent (50%) of the amount to the county highway fund for use for the same purposes as other moneys credited to the respective future funds.

(i) Twenty-five percent (25%) of such amount of the severance taxes and penalties, and costs, except those on timber and timber products, shall be special revenues and shall be allocated to the County Aid Fund.

(ii) On or before the tenth of the month following the end of each calendar quarter, the Treasurer of State shall remit by state warrants to the various county treasurers all funds under subdivision (b)(2)(D)(i) of this section then received by him or her during the quarterly period and transferred to the County Aid Fund in the proportions of the funds as between the respective counties that, as certified by the secretary to the Treasurer of State, the total severance tax produced from each respective county bears to the total of the taxes produced from all counties.

(iii) Upon receipt of any taxes under this subdivision (b)(2)(D), each county treasurer shall credit fifty percent (50%) of the amount to the county public school fund and fifty percent (50%) of the amount to the county highway fund for use for the same purposes as other moneys credited to the respective future funds.

(c) All taxes, penalties, and costs collected by the secretary on natural gas shall be deposited into the State Treasury as follows: (1) The first six hundred seventy-five thousand dollars ($675,000) collected each fiscal year shall be deposited as general revenues; (2) (A) Five percent (5%) of the remainder shall be deposited as special revenues into the Road and Bridge Repair, Maintenance, and Grants Fund to be used exclusively for grants to counties for damages resulting from trucks and other heavy machinery used in the extraction of natural gas. (B) The grants awarded under subdivision (c)(2)(A) of this section shall be distributed to counties on a pro rata basis based on the number of active unconventional natural gas wells located within each county; and (3) Ninety-five percent (95%) of the remainder shall be classified as special revenues and shall be distributed as set forth in the Arkansas Highway Revenue Distribution Law, § 27-70-201 et seq.

(1) The first six hundred seventy-five thousand dollars ($675,000) collected each fiscal year shall be deposited as general revenues;

(2) (A) Five percent (5%) of the remainder shall be deposited as special revenues into the Road and Bridge Repair, Maintenance, and Grants Fund to be used exclusively for grants to counties for damages resulting from trucks and other heavy machinery used in the extraction of natural gas. (B) The grants awarded under subdivision (c)(2)(A) of this section shall be distributed to counties on a pro rata basis based on the number of active unconventional natural gas wells located within each county; and

(A) Five percent (5%) of the remainder shall be deposited as special revenues into the Road and Bridge Repair, Maintenance, and Grants Fund to be used exclusively for grants to counties for damages resulting from trucks and other heavy machinery used in the extraction of natural gas.

(B) The grants awarded under subdivision (c)(2)(A) of this section shall be distributed to counties on a pro rata basis based on the number of active unconventional natural gas wells located within each county; and

(3) Ninety-five percent (95%) of the remainder shall be classified as special revenues and shall be distributed as set forth in the Arkansas Highway Revenue Distribution Law, § 27-70-201 et seq.

Amended by Act 2019, No. 910,§ 4260, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 4259, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 4258, eff. 7/1/2019.

Amended by Act 2017, No. 1019,§ 3, eff. 8/1/2017.

Amended by Act 2015, No. 536,§ 4, eff. 7/1/2015.

Acts 1947, No. 136, § 12; 1953, No. 42, § 9; 1955, No. 100, § 2; 1981, No. 938, § 13; A.S.A. 1947, § 84-2112; Acts 1993, No. 1156, § 2; 1999, No. 736, § 5; 2007, No. 1245, § 13; 2008 (1st Ex. Sess.), No. 4, §§ 8, 9; 2008 (1st Ex. Sess.), No. 5, §§ 8, 9.
Ark. Code Ann. § 26-27-304 — AR Code / Title 26 / Chapter 27 / Subchapter 3 / Section 26-27-304
Selection of members
Status: in_force

(a) (1) When the county equalization board consists of five (5) members: (A) One (1) member shall be selected by the representatives of the several school districts in the county; (B) One (1) member shall be selected by the representatives of all cities and incorporated towns in the county; (C) One (1) member shall be appointed by the county judge; and (D) Two (2) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these two (2) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The five (5) members shall be selected from different sections of the county. (2) When the county equalization board consists of nine (9) members: (A) Two (2) members shall be selected by the representatives of the several school districts in the county; (B) Two (2) members shall be selected by the representatives of all cities and incorporated towns in the county; (C) Two (2) members shall be appointed by the county judge; and (D) Three (3) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these three (3) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The selecting or appointing agency in each instance shall select or appoint the members from different sections of the county. (b) (1) (A) (i) For the purpose of making the selection of its members of the county equalization board as provided in this section, the school district's superintendent or designee of each school district in each county shall serve as the representative of his or her respective school district. (ii) The representatives of the several school districts of each county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (B) The county judge shall serve as chair of the meeting and shall issue the call for the meeting, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the school board representatives present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the school board representatives in the county shall constitute a quorum. (2) (A) (i) For the purpose of making the selection of their members of the county equalization board, the representatives of the cities and incorporated towns in the county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (ii) The mayor of the city or town or his or her designee shall serve as the representative of his or her city or town. (B) The mayor or his or her designee of the county seat city or town or, if there are two (2) county seats, the mayor or his or her designee of the larger county seat city or town shall serve as chair of the meeting and shall issue the call, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the representatives of the cities and towns present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the representatives of all cities and incorporated towns in the county shall constitute a quorum. (iii) Each of the cities and incorporated towns within the county shall be entitled to one (1) vote. (3) The county judge and the county quorum court of each county shall make the appointment of their members of the county equalization board during the month of May of each year in which the term of any of their members of the county equalization board shall expire. Acts 1955, No. 230, §§ 3, 4; 1957, No. 235, § 1; 1975, No. 164, § 1; 1977, No. 287, §§ 1, 2; 1985, No. 294, § 1; A.S.A. 1947, §§ 84-702, 84-702.1; Acts 1999, No. 1326, § 3; 2001, No. 505, § 1; 2007, No. 12, § 1.

(a) (1) When the county equalization board consists of five (5) members: (A) One (1) member shall be selected by the representatives of the several school districts in the county; (B) One (1) member shall be selected by the representatives of all cities and incorporated towns in the county; (C) One (1) member shall be appointed by the county judge; and (D) Two (2) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these two (2) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The five (5) members shall be selected from different sections of the county. (2) When the county equalization board consists of nine (9) members: (A) Two (2) members shall be selected by the representatives of the several school districts in the county; (B) Two (2) members shall be selected by the representatives of all cities and incorporated towns in the county; (C) Two (2) members shall be appointed by the county judge; and (D) Three (3) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these three (3) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The selecting or appointing agency in each instance shall select or appoint the members from different sections of the county.

(1) When the county equalization board consists of five (5) members: (A) One (1) member shall be selected by the representatives of the several school districts in the county; (B) One (1) member shall be selected by the representatives of all cities and incorporated towns in the county; (C) One (1) member shall be appointed by the county judge; and (D) Two (2) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these two (2) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The five (5) members shall be selected from different sections of the county.

(A) One (1) member shall be selected by the representatives of the several school districts in the county;

(B) One (1) member shall be selected by the representatives of all cities and incorporated towns in the county;

(C) One (1) member shall be appointed by the county judge; and

(D) Two (2) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these two (2) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county.

(i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these two (2) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker;

(ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and

(iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county.

(E) The five (5) members shall be selected from different sections of the county.

(2) When the county equalization board consists of nine (9) members: (A) Two (2) members shall be selected by the representatives of the several school districts in the county; (B) Two (2) members shall be selected by the representatives of all cities and incorporated towns in the county; (C) Two (2) members shall be appointed by the county judge; and (D) Three (3) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these three (3) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county. (E) The selecting or appointing agency in each instance shall select or appoint the members from different sections of the county.

(A) Two (2) members shall be selected by the representatives of the several school districts in the county;

(B) Two (2) members shall be selected by the representatives of all cities and incorporated towns in the county;

(C) Two (2) members shall be appointed by the county judge; and

(D) Three (3) members shall be appointed by a majority vote of the county quorum court in the following manner: (i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these three (3) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker; (ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and (iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county.

(i) The county quorum court shall appoint a licensed real estate appraiser to at least one (1) of these three (3) positions, but if a licensed real estate appraiser is not available or willing to serve, the county quorum court may appoint a licensed real estate broker;

(ii) If a licensed real estate broker is not available or willing to serve, the county quorum court may appoint a licensed real estate salesperson; and

(iii) If a licensed real estate salesperson is not available or willing to serve, the county quorum court may appoint any qualified elector of the county.

(E) The selecting or appointing agency in each instance shall select or appoint the members from different sections of the county.

(b) (1) (A) (i) For the purpose of making the selection of its members of the county equalization board as provided in this section, the school district's superintendent or designee of each school district in each county shall serve as the representative of his or her respective school district. (ii) The representatives of the several school districts of each county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (B) The county judge shall serve as chair of the meeting and shall issue the call for the meeting, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the school board representatives present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the school board representatives in the county shall constitute a quorum. (2) (A) (i) For the purpose of making the selection of their members of the county equalization board, the representatives of the cities and incorporated towns in the county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (ii) The mayor of the city or town or his or her designee shall serve as the representative of his or her city or town. (B) The mayor or his or her designee of the county seat city or town or, if there are two (2) county seats, the mayor or his or her designee of the larger county seat city or town shall serve as chair of the meeting and shall issue the call, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the representatives of the cities and towns present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the representatives of all cities and incorporated towns in the county shall constitute a quorum. (iii) Each of the cities and incorporated towns within the county shall be entitled to one (1) vote. (3) The county judge and the county quorum court of each county shall make the appointment of their members of the county equalization board during the month of May of each year in which the term of any of their members of the county equalization board shall expire.

(1) (A) (i) For the purpose of making the selection of its members of the county equalization board as provided in this section, the school district's superintendent or designee of each school district in each county shall serve as the representative of his or her respective school district. (ii) The representatives of the several school districts of each county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (B) The county judge shall serve as chair of the meeting and shall issue the call for the meeting, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the school board representatives present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the school board representatives in the county shall constitute a quorum.

(A) (i) For the purpose of making the selection of its members of the county equalization board as provided in this section, the school district's superintendent or designee of each school district in each county shall serve as the representative of his or her respective school district. (ii) The representatives of the several school districts of each county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire.

(i) For the purpose of making the selection of its members of the county equalization board as provided in this section, the school district's superintendent or designee of each school district in each county shall serve as the representative of his or her respective school district.

(ii) The representatives of the several school districts of each county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire.

(B) The county judge shall serve as chair of the meeting and shall issue the call for the meeting, which shall specify the time, date, and place of the meeting.

(C) (i) The selection of members of the county equalization board shall be by majority vote of the school board representatives present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the school board representatives in the county shall constitute a quorum.

(i) The selection of members of the county equalization board shall be by majority vote of the school board representatives present, and no action shall be taken unless there is a quorum present.

(ii) A majority of all of the school board representatives in the county shall constitute a quorum.

(2) (A) (i) For the purpose of making the selection of their members of the county equalization board, the representatives of the cities and incorporated towns in the county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (ii) The mayor of the city or town or his or her designee shall serve as the representative of his or her city or town. (B) The mayor or his or her designee of the county seat city or town or, if there are two (2) county seats, the mayor or his or her designee of the larger county seat city or town shall serve as chair of the meeting and shall issue the call, which shall specify the time, date, and place of the meeting. (C) (i) The selection of members of the county equalization board shall be by majority vote of the representatives of the cities and towns present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the representatives of all cities and incorporated towns in the county shall constitute a quorum. (iii) Each of the cities and incorporated towns within the county shall be entitled to one (1) vote.

(A) (i) For the purpose of making the selection of their members of the county equalization board, the representatives of the cities and incorporated towns in the county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire. (ii) The mayor of the city or town or his or her designee shall serve as the representative of his or her city or town.

(i) For the purpose of making the selection of their members of the county equalization board, the representatives of the cities and incorporated towns in the county shall hold a meeting during the month of May of each year in which the term of any of their members of the county equalization board shall expire.

(ii) The mayor of the city or town or his or her designee shall serve as the representative of his or her city or town.

(B) The mayor or his or her designee of the county seat city or town or, if there are two (2) county seats, the mayor or his or her designee of the larger county seat city or town shall serve as chair of the meeting and shall issue the call, which shall specify the time, date, and place of the meeting.

(C) (i) The selection of members of the county equalization board shall be by majority vote of the representatives of the cities and towns present, and no action shall be taken unless there is a quorum present. (ii) A majority of all of the representatives of all cities and incorporated towns in the county shall constitute a quorum. (iii) Each of the cities and incorporated towns within the county shall be entitled to one (1) vote.

(i) The selection of members of the county equalization board shall be by majority vote of the representatives of the cities and towns present, and no action shall be taken unless there is a quorum present.

(ii) A majority of all of the representatives of all cities and incorporated towns in the county shall constitute a quorum.

(iii) Each of the cities and incorporated towns within the county shall be entitled to one (1) vote.

(3) The county judge and the county quorum court of each county shall make the appointment of their members of the county equalization board during the month of May of each year in which the term of any of their members of the county equalization board shall expire.

Acts 1955, No. 230, §§ 3, 4; 1957, No. 235, § 1; 1975, No. 164, § 1; 1977, No. 287, §§ 1, 2; 1985, No. 294, § 1; A.S.A. 1947, §§ 84-702, 84-702.1; Acts 1999, No. 1326, § 3; 2001, No. 505, § 1; 2007, No. 12, § 1.
Ark. Code Ann. § 26-52-207 — AR Code / Title 26 / Chapter 52 / Subchapter 2 / Section 26-52-207
Discontinuance of business - Unpaid taxes
Status: in_force

(a) (1) Any taxpayer operating under a permit as provided in this subchapter, upon discontinuance of business by sale or otherwise, shall return the permit to the Secretary of the Department of Finance and Administration for cancellation together with a remittance of any unpaid or accrued taxes. (2) Failure to surrender a permit and pay any and all accrued taxes shall be sufficient cause for the secretary to refuse the issuance of any permit in the future to the taxpayer to engage in or transact any other business in this state. (3) In the case of a sale of any business, the tax shall be deemed to be due at the time of the sale of the fixtures and equipment incident to the business and shall constitute a lien against the stock and the fixtures and equipment in the hands of the purchaser thereof or any other third party until the tax is paid. (b) The secretary shall not issue a permit to continue or conduct the business to the purchaser of the business until all tax claims due in the State of Arkansas under this section have been settled and paid. Amended by Act 2019, No. 910,§ 3829, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 3828, eff. 7/1/2019. Acts 1941, No. 386, § 12; A.S.A. 1947, § 84-1913; Acts 1987, No. 372, § 1.

(a) (1) Any taxpayer operating under a permit as provided in this subchapter, upon discontinuance of business by sale or otherwise, shall return the permit to the Secretary of the Department of Finance and Administration for cancellation together with a remittance of any unpaid or accrued taxes. (2) Failure to surrender a permit and pay any and all accrued taxes shall be sufficient cause for the secretary to refuse the issuance of any permit in the future to the taxpayer to engage in or transact any other business in this state. (3) In the case of a sale of any business, the tax shall be deemed to be due at the time of the sale of the fixtures and equipment incident to the business and shall constitute a lien against the stock and the fixtures and equipment in the hands of the purchaser thereof or any other third party until the tax is paid.

(1) Any taxpayer operating under a permit as provided in this subchapter, upon discontinuance of business by sale or otherwise, shall return the permit to the Secretary of the Department of Finance and Administration for cancellation together with a remittance of any unpaid or accrued taxes.

(2) Failure to surrender a permit and pay any and all accrued taxes shall be sufficient cause for the secretary to refuse the issuance of any permit in the future to the taxpayer to engage in or transact any other business in this state.

(3) In the case of a sale of any business, the tax shall be deemed to be due at the time of the sale of the fixtures and equipment incident to the business and shall constitute a lien against the stock and the fixtures and equipment in the hands of the purchaser thereof or any other third party until the tax is paid.

(b) The secretary shall not issue a permit to continue or conduct the business to the purchaser of the business until all tax claims due in the State of Arkansas under this section have been settled and paid.

Amended by Act 2019, No. 910,§ 3829, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 3828, eff. 7/1/2019.

Acts 1941, No. 386, § 12; A.S.A. 1947, § 84-1913; Acts 1987, No. 372, § 1.
Ark. Code Ann. § 26-80-405 — AR Code / Title 26 / Chapter 80 / Subchapter 4 / Section 26-80-405
Interrelationship between Amendments 59 and 74
Status: in_force

(a) Pursuant to the application of Arkansas Constitution, Amendment 74, to the rollback provisions of Arkansas Constitution, Amendment 59, for millage rates levied by the various school districts within the county, the multiplier that is used to reduce the millage which is determined in item number six (6) of the Base Year Millage Rollback Computation and Certification Form under § 26-26-404(d) shall not be used in item number seven (7) of the Base Year Millage Rollback Computation and Certification Form under § 26-26-404(d) to calculate the rollback of the uniform rate of tax. (b) Under § 26-26-404(d) , a multiplier of one (1) shall be applied to the uniform rate of tax, and the calculated multiplier shall apply to all other millage above the uniform rate of tax. Acts 2003 (2nd Ex. Sess.), No. 105, § 2.

(a) Pursuant to the application of Arkansas Constitution, Amendment 74, to the rollback provisions of Arkansas Constitution, Amendment 59, for millage rates levied by the various school districts within the county, the multiplier that is used to reduce the millage which is determined in item number six (6) of the Base Year Millage Rollback Computation and Certification Form under § 26-26-404(d) shall not be used in item number seven (7) of the Base Year Millage Rollback Computation and Certification Form under § 26-26-404(d) to calculate the rollback of the uniform rate of tax.

(b) Under § 26-26-404(d) , a multiplier of one (1) shall be applied to the uniform rate of tax, and the calculated multiplier shall apply to all other millage above the uniform rate of tax.

Acts 2003 (2nd Ex. Sess.), No. 105, § 2.