A. Every severer or harvester of resources subject to tax, except those subject to tax under KIBC 3.45.020(D), shall register with the finance director prior to beginning a severance or harvesting activity. There shall be no penalty for failure to register so long as the tax is paid as required under subsection D of this section.
B. A purchaser of resources severed or harvested under KIBC 3.45.020(D) shall register, collect, and transmit the tax on the severer’s behalf.
1. A purchaser who timely and correctly files a properly completed tax statement along with full payment of all taxes due under this chapter shall be entitled to retain five percent of the total tax collected during the calendar quarter to defray administrative costs.
2. The purchaser shall hold the tax collected in trust for the borough until paid. The purchaser shall be entitled to keep any interest accruing to the tax account if the payment is timely.
3. The gross production value for the calendar quarter shall include the amount paid to any severer or harvester for taxable resources purchased but not paid for by the purchaser during any prior calendar quarter.
4. An offshore processor which processes, delivers, catches, or receives fish products within the boundaries of the borough is liable for and shall pay the tax. The gross production value will be based on the gross weight of the raw fish products and the current sales price for fish products of like quality and character.
C. Every severer or harvester shall submit to the finance director a severance tax return, under oath, at the time the tax is paid, containing the following information:
1. A description of the property from which the resource was severed or harvested by legal description or borough-assigned account number.
2. The gross amount of recovered units severed or harvested during the calendar quarter.
3. The gross sales value of all recovered units severed or harvested and sold during the calendar quarter.
D. The return or tax statement along with all taxes due the borough for the calendar quarter must be received by the finance director on or before the last business day of the month following the end of the calendar quarter for which the return or statement is required.
E. Those harvesters subject to tax under KIBC 3.45.020(B) may file an abbreviated return with the assessor at the time the tax is paid. The return will be confidential. The return shall state the gross production value for the calendar quarter. The harvester may retain five percent of the tax paid for the calendar quarter on which the filing is made as long as:
1. All information and documentation in support of and used to determine the tax is held for three years from the date of filing and made available upon request;
2. The harvester filing the abbreviated form agrees to have an audit performed annually of the tax records to verify that the tax was calculated and paid as required by this chapter;
3. The auditor shall submit a copy of the auditor’s report performed under subsection (E)(2) of this section to the finance director prior to the last day of September following the end of the fiscal year for which the taxes are filed; and
4. The auditor is an independent certified public accounting firm approved by the finance director and directed by the assessor prior to beginning the audit, and all fees associated with the audit are paid by the party filing the return.
F. This tax constitutes a lien chargeable against the property owned by the severer. The lien may be foreclosed by the borough in the same manner as any other lien against real or personal property.