Arkansas Code of 1987 (2023)
Title 26 - TAXATION (§§ 26-1-101 — 26-82-119)
Subtitle 2 - ADMINISTRATION OF STATE TAXES (§§ 26-17-201 — 26-21-115)
Chapter 21 - STREAMLINED SALES TAX ADMINISTRATIVE ACT (§§ 26-21-101 — 26-21-115)
Section 26-21-111 - Certification and payment of service providers and automated systems

• (a) The Secretary of the Department of Finance and Administration may:
  • (1) Certify service providers and automated systems to aid in the administration of sales and use tax collections; and
  • (2) Provide a monetary allowance to the certified service providers, certified automated systems, and to sellers that do not have a requirement to register to collect the gross receipts tax levied by the Arkansas Gross Receipts Act of 1941, § 26-52-101 et seq., or the compensating use tax levied by the Arkansas Compensating Tax Act of 1949, § 26-53-101 et seq.

• (b)
  • (1) A certified service provider or model 2 seller using a certified automated system is not liable to the State of Arkansas or its local jurisdictions for charging and collecting the incorrect amount of sales or use tax.
  • (2) The relief from liability provided in this section is not available to a certified service provider or model 2 seller that has incorrectly classified an item or transaction into a product category certified by the state.
  • (3)
    • (A) If the Department of Finance and Administration determines that an item or transaction is incorrectly classified as to its taxability, it shall notify the certified service provider or model 2 seller of the incorrect classification.
    • (B) The certified service provider or model 2 seller shall have ten (10) days to revise the classification after receipt of the notice.
    • (C) Upon the expiration of ten (10) days, the certified service provider or model 2 seller is liable for the failure to collect the correct amount of sales or use tax due.

• (c) A certified service provider has the same relief from liability as sellers provided in § 26-21-107.

Amended by Act 2019, No. 910,§ 3679, eff. 7/1/2019.

Acts 2005, No. 2163, § 1; 2007, No. 181, § 9; 2011, No. 291, § 7.