Arkansas Code of 1987 (2023) › Title 26 - TAXATION (§§ 26-1-101 — 26-82-119) › Subtitle 5 - STATE TAXES (§§ 26-50-101 — 26-65-108) › Chapter 55 - MOTOR FUELS TAXES (§§ 26-55-101 — 26-55-1308) › Subchapter 2 - MOTOR FUEL TAX LAW (§§ 26-55-201 — 26-55-250) › Section 26-55-231 - Failure to report or pay tax - Revocation or cancellation of license

(a)
(1)
If a distributor at any time files a false monthly report of the data or information required by this subchapter or fails, refuses, or neglects to file the monthly report required by this subchapter, or to pay the full amount of the tax as required by this subchapter, the Secretary of the Department of Finance and Administration may give notice to the distributor of an intention to revoke the license of the distributor.
(2)
(A)
The distributor is entitled to a period of five (5) days after receipt of the notice from the secretary within which to apply for a hearing on the question of having the distributor's license revoked.
(B)
A hearing conducted under this section shall be held under the Arkansas Tax Procedure Act, §
26-18-101
et seq., or the Independent Tax Appeals Commission Act, §
26-18-1101
et seq.
(3)
After the hearing, at which time the distributor is entitled to present evidence and argument of counsel, the secretary or the Tax Appeals Commission, as applicable, shall decide whether the distributor's license shall be revoked.
(4)
The distributor or the secretary may seek judicial relief from an adverse decision by filing suit under §§
26-18-602
and
26-18-1117
.
(5)
If the distributor fails to apply for a hearing within the time set out in subdivision (a)(2)(A) of this section, the secretary:
(A)
May cancel the license of the distributor and notify the distributor of the cancellation by registered mail to the last known address of the distributor appearing on the files of the secretary; and
(B)
Shall notify the surety company on the distributor's bond in like manner.
(b)
(1)
Upon receipt of a written request from any duly licensed distributor under this subchapter to cancel the license issued to the distributor, the secretary shall have the power to cancel the license effective sixty (60) days from the date of the receipt of the written request.
(2)
However, no license shall be cancelled upon the request of any distributor unless and until the distributor prior to the date of the cancellation shall have paid to the State of Arkansas all excise taxes payable under the laws of the State of Arkansas, together with any and all penalties, interest, and fines accruing under any of the provisions of this subchapter, and unless and until the distributor shall have surrendered to the secretary the license certificate theretofore issued to the distributor.
(c)
If upon investigation the secretary ascertains and finds that any person to whom a license has been issued under this subchapter is no longer engaged in the receipt, use, or sale of motor fuel as a distributor and has not been so engaged for a period of sixty (60) days, the secretary shall have the power to cancel the license by giving the person thirty (30) days' notice of the cancellation mailed to the last known address of the person, in which event the license certificate theretofore issued to the person shall be surrendered to the secretary.
(d)
In the event that the license of any distributor shall be cancelled by the secretary as provided in this section and in the further event that the distributor shall have paid to the State of Arkansas all excise taxes due and payable by it under this subchapter, together with any and all penalties accruing under any of the provisions of this subchapter, then the secretary shall cancel and surrender the bond filed by the distributor.
Amended by Act 2021, No. 593,§ 29, eff. 1/1/2023.
Amended by Act 2019, No. 910,§ 3958, eff. 7/1/2019.
Acts 1941, No. 383, § 11; A.S.A. 1947, § 75-1113.