316 Neb. Admin. Code, ch. 9, § 012

Current through September 17, 2024

Section 316-9-012 - DUTIES OF RETAILERS - COLLECTING, REPORTING, AND REMITTING LOCAL SALES AND USE TAXES

012.01 Collection and Remittance Governed by Revenue Act

Retailers operating or delivering property within the boundaries of a city or county that has imposed a local sales and use tax must collect, report, and remit the local sales and use tax along with the sales tax imposed by the Nebraska Revenue Act consistent with the Nebraska Revenue Act and Title 316 NAC Chapter 1.

012.02 Calculating the Amount of Tax

A bracket system correlating sales price to the appropriate state and local sales or use tax may be used by the retailer. The sales or use tax liability may also be computed by multiplying the sales price by the applicable tax rate. ( Reg-1-011, Bracket System for Adding and Collecting Sales Tax)

012.03 Permits and Certificates of Exemption

Any permits and certificates of exemption which are authorized or required under the Nebraska Revenue Act, for state sales and use tax exemption purposes, satisfy the requirements of the Local Option Revenue Act and Neb. Rev. Stat. §§ 13-319 through 13-326. ( Reg-1-013, Sale for Resale - Resale Certificate and Reg-1-014, Exempt Sale Certificate)

012.04 Returns

Retailers must file a return for each reporting period or portion of a reporting period. The return must be filed for every tax reporting period even if there have been no sales. The reporting frequency, due date, signature, and form requirements are as provided in Reg-1-010, The Sales and Use Tax Return.

012.05 Remittances

Remittance must be in the form of electronic funds transfer, check, credit card, draft, money order, or other payment method as approved by the Tax Commissioner, made payable to the Nebraska Department of Revenue .

012.06 Itinerant Salespersons

Where a distributor or home office reports sales tax for itinerant salespersons, and the sales are made for delivery in a city or county which imposes a local sales tax, it is the obligation of the distributor or home office to remit the local sales tax along with the state sales tax.

012.07 Records

Every retailer is required to keep records in order to determine the amount of sales and use tax due. These records must include the normal books of account ordinarily maintained by the average prudent businessperson engaged in a similar activity, together with all documents supporting entries in the books of accounts. Schedules and working papers used in the preparation of the tax returns and all resale certificates and exemption certificates must be retained. ( Reg-1-008, Records)

012.07A Records must be retained for a period not less than three years after the return is filed, or while any refund claim or redetermination of a deficiency is pending, unless the Department authorizes their destruction in writing at an earlier date. However, the Department may issue a deficiency determination within five years after any amount of tax is determined due and payable when a properly completed return has not been filed.

012.07B Retailers may use either the cash basis, accrual basis, or any other generally recognized accounting basis, which correctly reflects the operation of the business. When a basis of accounting has been adopted for reporting sales tax, the retailer may not change that basis of accounting without prior permission from the Department. ( Reg-1-009, Accounting Methods)

012.08 Pre-existing Contracts

When a local sales and use tax is enacted or the rate is changed, the provisions of Reg-1-016, Changes in Rate of Tax, will determine the impact of these changes on pre-existing contracts or obligations.

012.09 Penalties

Failure to comply with the requirements of this regulation could result in the assessment of penalties as provided in Reg-1-010, The Sales and Use Tax Return.

316 Neb. Admin. Code, ch. 9, § 012

Neb. Rev. Stat. §§ 13-324, 77-2705, 77-2708, 77-2709, and 77-27,147. November 17, 2013.