§ 6-240. Excise tax on liquor by the drink.

(a)

Definitions.

City. The City of Chamblee and all the incorporated territory of the city wherein the City of Chamblee is empowered to impose an excise tax pursuant to O.C.G.A. § 3-4-130.

Drink. Any alcoholic beverage served for consumption on the premises which may or may not be diluted by any other liquid.

Due date. The 20th day after the close of the monthly period for which the excise tax is to be computed.

Licensee. Any person who holds a license or permit from the City of Chamblee to dispense liquor by the drink for consumption on the premises.

Liquor or distilled spirits. Any alcoholic beverage obtained by distillation or containing more than 21 percent alcohol by volume, including, but not limited to, all fortified wines.

Monthly period. The calendar months of the year.

Person. An individual, firm, partnership, joint venture, social club, fraternal organization, joint stock company, corporation, cooperative, estate, trust, receiver, trustee, nonprofit corporation, syndicate, or any other group or combination acting as a unit, the plural as well as the singular number, excepting the United States of America, the State of Georgia, and any political subdivision of either thereof upon which the city is without power to impose the excise tax herein provided.

Purchase price. The consideration received for the sale of liquor or distilled spirits by the drink valued in money, whether received in cash or otherwise, including all receipts, cash, credits and property or services of any kind or nature and also the amount for which credit is allowed by the licensee to the purchase, without any deduction therefrom whatsoever.

Purchaser. Any person who orders and gives present or future consideration for any liquor or distilled spirits dispensed by the drink.

Return. Any return filed or required to be filed by this section.

Tax. Any tax imposed by this section.

(b)

Rate of tax imposed. There is hereby imposed, and there shall be paid, a tax of three percent on the sale of liquor by the drink in the city.

(c)

Collection of excise tax. Every licensee holding a license to dispense liquor or distilled spirits for consumption on the premises is authorized and required to collect the tax imposed under this article from the purchasers of liquor sold by the drink within the licensee's premises.

(d)

Determination of excise tax; returns, payment of tax.

(1)

Due date of taxes. All amounts of such taxes collected by the licensee shall be due and payable to the City Clerk of the City of Chamblee on or before the 20th day of every month next succeeding each respective monthly period.

(2)

Return; persons required to file; contents. The remittance of the taxes collected under this article shall be made and a return shall be filed by every licensee with the city clerk showing the gross sales of liquor by the drink and the amount of tax collected or otherwise due for the period, along with such other information as may be required by the city clerk.

(3)

Collection fee allowed licensees. Licensees collecting the tax shall be allowed a percentage of the tax due and accounted for and shall be reimbursed in the form of a deduction in submitting, reporting and paying the amount due, if the amount is not delinquent at the time of payment. The rate of the deduction shall be the same rate authorized for deduction from state sales and use tax as provided in O.C.G.A. § 48-8-50, the Georgia Retailers and Consumers Sales and Use Tax Act.

(4)

Penalty and interest for failure to pay tax by due date. A penalty of 15 percent is imposed for failure to timely pay any amount of the tax when due and payable to the city. Delinquent amounts shall bear interest at the rate of one percent per month, or fraction thereof, until paid in full.

(e)

Deficiency determinations.

(1)

Re-computation of tax; authority to make; basis of re-computation. If the city clerk is not satisfied with the return or returns of the tax or the amount of the tax required to be paid to the city by any person, the city clerk may compute and determine the amount required to be paid upon the basis of any information within the city clerk's possession or that may come into the clerk's possession. One or more deficiency determinations may be made of the amount due for one or more monthly periods.

(2)

Penalty and interest for failure to pay tax. A specific penalty of 15 percent is imposed upon the amount of any determination. Additionally, the amount of any determination shall bear interest at the rate of one percent per month, or fraction thereof, from the due date of taxes until the date of payment.

(3)

Notice of determination; service of. The city clerk shall give to the licensee written notice of the clerk's determination. The notice may be served personally or by mail. If notice is served by mail such service shall be addressed to the licensee at his business address as it appears in the records of the city. Service by mail is complete when it is mailed, with adequate postage thereon, by certified mail, return receipt requested.

(4)

Time within which notice of deficiency determination to be mailed. Except in case of failure to make a return, every notice of a deficiency determination shall be mailed within three years after the 20th day of the calendar month following the monthly period for which the amount is proposed to be determined or within three years after the return is filed, whichever shall last expire.

(f)

Determination if no return made.

(1)

Estimate of gross receipts. If any person fails to make a return, the city clerk shall make an estimate of the amount of the gross receipts of the licensee from the sale of liquor by the drink, or as the case may be, of the amount of total such receipts in the city which are subject to the tax. The estimate shall be made for the period or periods during which the person failed to make the return and shall be based upon any information which is or may come into the possession of the city clerk. Written notice shall be given in the manner prescribed in subsection (e)(3) above.

(2)

Penalty and interest for failure to pay tax. Penalty and interest shall be applied to the estimated taxes due in the manner prescribed in subsection (e)(2) above.

(g)

Collection of unpaid tax.

(1)

Alcohol license to dispense by the drink conditional upon payment and remittance of tax. As a condition of holding a valid license to dispense liquor by the drink, a licensee must comply with this article and collect and remit the tax imposed in the manner prescribed. Failure to comply will subject the licensee to suspension of alcohol dispensing privileges as provided in section 6-51 of this Code.

(2)

Action for delinquent tax. At any time within three years after any tax or any amount of tax required to be collected becomes due and payable and at any time within three years after the delinquency of any tax or any amount of tax required to be collected, the city clerk may bring an action in a court of competent jurisdiction in the name of the city to collect the amount delinquent, together with penalty, interest, court fees, filing fees and other legal fees incurred incident thereto.

(3)

Duty of successors or assignees of licensee to withhold tax from purchase price. If any licensee liable for any amount due under this section transfers ownership of the business, then any successor or assignee shall withhold sufficiently from the purchase price to pay the amount of excise tax due and such amount shall be withheld until such time as the former licensee produces a receipt issued by the city clerk reflecting payment in full of the amount due or a certificate stating that no amount is due.

(4)

Liability for failure to withhold. If the purchaser of a licensed business fails to withhold from the purchase price as required above, the purchaser shall become personally liable for the payment of the amount required to be withheld, but in no event shall such purchaser be liable for an amount greater than the purchase price of the business. Within 30 days after receiving a written request from such purchaser for a certificate, the city clerk shall either issue the certificate or mail notice to the purchaser at the purchaser's address as it appears on the records of the city of the amount that must be paid as a condition of issuing the certificate. The time within which the obligation of a successor may be enforced shall begin at the time the former operator sells the business or at the time that the determination against the operator becomes final, whichever shall later occur.

(h)

Credits for overpayments. If it is determined that a licensee has overpaid the tax imposed under this article, has overpaid penalties or interest, or has paid the tax more than once, the city clerk may, upon filing of a claim by the licensee and audit of the claim, authorize credit of the overpayment toward the current amount of tax due and payable from the licensee. All claims for overpayments must be made by the licensee, his administrators or executors and must be made in writing within three years from the date of payment stating the specific grounds upon which the claim is based.

(i)

Administration generally; record keeping.

(1)

Authority of city clerk. The city clerk or designee shall administer and enforce the provisions of this article for the levy and collection of the tax herein imposed. The city clerk shall have the authority to make and publish reasonable rules and regulations not inconsistent with this article or other laws of the city and State of Georgia for the administration and enforcement of the provisions of this article and the collection of the taxes provided herein.

(2)

Records required. Every licensee for the sale of liquor by the drink in the city shall retain, for a minimum of three years, all records, receipts, invoices and other pertinent papers as the city clerk may require and in such form as the city clerk may request.

(3)

Examination of records; audits. The city clerk or designee may examine the books, papers, records, financial reports, inventory, equipment and other facilities of any licensee liable for the excise tax for the purpose of verification of the accuracy of any return made, or if no return is made, to ascertain and determine the amount required to be paid.

(4)

Authority to require reports; contents. In administering the provisions of this article, the city clerk may require the filing of reports by any person or class of persons having in their possession or custody information relating to the sale of liquor by the drink. The reports shall be filed with the city clerk when required and shall set forth the gross sales from the sale of liquor by the drink, the amount of tax collected thereon, or such other information as the city clerk may require.

( Ord. No. 667 , pt. I, 6-17-14)