Colo. Code Regs. 40-10.1-607.5

Current through Register Vol. 47, No. 19, October 10, 2024

Rule 40-10.1-607.5 - Prearranged Ride Fees

Basis and Purpose. The bases for this rule are sections 24-35-108, 39-21-112(1), 39-21-102(7), 25-7.5-103(7), 40-10.1-607.5, and 43-4-1303(7), C.R.S. The purpose of this rule is to set forth the manner in which the prearranged ride fee is collected, administered, and enforced.

(1)General Rules. For each prearranged ride requested and accepted through a transportation network company's digital network on or after July 1, 2022, the transportation network company shall pay to the Department the prearranged ride fee in the manner set forth in this rule.

(2)Definitions. As used in this rule, unless the context otherwise requires:

(a) "Prearranged ride fee" means the sum of the clean fleet per ride fee imposed by section 25-7.5-103(7)(b)(I) or (II), C.R.S., and the air pollution mitigation per ride fee imposed by section 43-4-1303(7)(b)(I) or (II), C.R.S.

(b) "Reporting period" means a calendar quarter.

(c) "Transportation network company" has the same meaning as set forth in section 40-10.1-602(3), C.R.S.

(3)Imposition. The prearranged ride fee is imposed on the transportation network company. For purposes of the reduced fee specified in section 25-7.5-103(7)(b)(I), C.R.S. and section 43-4-1303(7)(b)(I), C.R.S., a transportation network company has the burden of proving to the Department that a prearranged ride was a carshare ride or that a driver transported the rider in a zero-emissions motor vehicle.

(4)Registration. Every transportation network company who is liable and responsible for the remittance of the prearranged ride fees shall register with the Department in the manner it prescribes. The one-time registration will create a prearranged ride fee account.

(a) A transportation network company who fails to register as required in paragraph (4) of this rule is nonetheless liable and responsible for the full amount of the prearranged ride fee due, plus any applicable interest.

(b) A transportation network company that is no longer liable and responsible for the remittance of the prearranged ride fee shall promptly close its prearranged ride fee account as instructed by the Department. The transportation network company shall file returns in accordance with paragraph (5) of this rule through the closure date.

(5)Filing and Remittance. Every transportation network company shall file a return and remit the amount described in paragraph (5)(c) of this rule for each reporting period.

(a)Filing Schedules and Due Dates. Unless otherwise authorized, a return must be filed, and any prearranged ride fee due must be remitted, on or before October 31, 2022, and on or before the last day of the month following the close of each reporting period thereafter.

(b)Filing Requirements. Returns, and any required supplemental forms, must be completed in full, in the form and manner prescribed by the Department, and filed with the Department on or before the due date. The Department shall determine what information the return must contain, how the returns must be made, and the type of forms that must be used.

(i) If no prearranged rides are requested and accepted through the transportation network company's digital network during the reporting period, the transportation network company shall nonetheless file a return reporting zero prearranged rides on or before the due date.

(ii) A transportation network company that fails to submit a complete and accurate return in the form and manner prescribed by the Department, including any zero return filings, on or before the due date is subject to interest pursuant to paragraph (8) of this rule.

(c)Remittance Requirements. A transportation network company is liable and responsible to remit to the Department, on or before the due date, an amount equal to the product of the applicable prearranged ride fee in effect for the reporting period and the number of prearranged rides requested and accepted through the company's digital network in the reporting period.

(i) A transportation network company is required to remit, with the filing of each return, the total prearranged ride fees shown to be due on the return.

(ii) A transportation network company that fails to pay any prearranged ride fee due to the Department by the due date prescribed in paragraph (5)(a) of this rule is subject to interest pursuant to paragraph (8) of this rule.

(iii) A transportation network company is not permitted to retain any portion of the prearranged ride fee to cover the transportation network company's expense in remitting the prearranged ride fee.

(6)Refunds. The transportation network company must file any claim for refund not later than three years after the date of payment. If the Department determines that the transportation network company has overpaid the prearranged ride fee within the time periods provided for the filing of claims for refund, the Department shall issue a refund under section 39-21-108, C.R.S. The right to a refund is not assignable and must be made to the same transportation network company that remitted the amount described in paragraph (5) of this rule. A rider may not claim a refund from the Department for any overpayment of the prearranged ride fee.

(7)Books, Accounts, and Records. The transportation network company shall keep and preserve for a period of at least three years the books, accounts, and records as may be necessary to determine the amount of prearranged ride fee liability. The books, accounts, and records must be open for examination at any time by the executive director of the Department of Revenue or any duly authorized agent.

(8)Delinquency. If a transportation network company neglects or refuses to make a timely return or correctly account for the prearranged ride fee as required by this rule, the Department shall make an estimate, based upon the information that may be available, of the amount of prearranged ride fees due or not accounted for or incorrectly accounted for on a return for the reporting period for which the transportation network company is delinquent.

(a) The Department shall add to the estimated amount of prearranged ride fees due or not accounted for interest, if applicable, under section 39-21-110.5, C.R.S.

(b) The Department shall provide the delinquent taxpayer with written notice of the estimated taxes and interest as set forth in section 39-21-105.5, C.R.S.

(c) The estimate described in this paragraph (8) becomes a notice of deficiency as provided in section 39-21-103, C.R.S. A transportation network company may protest the notice of deficiency in the manner provided in section 39-21-103, C.R.S., and may appeal the final determination in the manner provided in section 39-21-105, C.R.S.

(9)Statute of Limitations. The provisions of section 39-21-107, C.R.S., not including section 39-21-107(2), C.R.S., apply to the assessment, collection, and enforcement of the prearranged ride fee. Any claim for refund of the prearranged ride fee under paragraph (6) of this rule, and under section 39-21-108, C.R.S., must be filed not later than three years after the date of payment.

(10)Collection, Administration, and Enforcement. The collection, administration, and enforcement of the prearranged ride fees shall be performed by the Department in the same manner as the collection, administration, and enforcement of state taxes pursuant to article 21 of title 39.

40-10.1-607.5

45 CR 23, December 10, 2022, effective 12/30/2022

46 CR 06, March 25, 2023, effective 4/14/2023