§ 12.50.260. Prohibited acts.

In addition to other acts and omissions prohibited by this chapter:

A.

No person shall engage in business as a retailer or conduct any exchange or barter for consideration, in any manner or by any means whatsoever, of marijuana or marijuana products to a consumer in the municipality without a proper and current registration under this chapter.

B.

No person shall fail or refuse to pay the tax imposed by this chapter.

C.

A retailer or responsible party shall not advertise or state to the public or to any consumer directly or indirectly that the tax or any part of it will be assumed or absorbed by the retailer, or that the tax will not be added to the retail sale, or that the tax will be refunded except as provided in this chapter.

D.

A retailer or responsible party shall not absorb or fail to add the tax or any part of it or fail to state the tax separately to the consumer.

E.

No retailer or responsible party shall deny the chief fiscal officer, subsequent to proper identification, access to the retailer's required records and inventory of marijuana and marijuana products for purposes of inspection under this chapter.

F.

No person, retailer, or responsible party shall charge or collect in excess of the proper amount of tax due under this chapter.

G.

No person, retailer, or responsible party shall fail to make a required remittance to the department of funds collected and to be held in trust for the municipality.

H.

A person shall not divert or otherwise appropriate for business or personal use funds required to be held in a fiduciary capacity under this chapter. Use of funds held in a fiduciary capacity under this chapter for any purpose other than the one for which the funds are being held is prohibited. Prohibited purposes under this section include, but are not limited to, using funds held or received in a fiduciary capacity to:

1.

Pledge as collateral to secure an amount owing;

2.

Guarantee a contract of surety; or

3.

Assign.

I.

A person required under AMC chapter 12.50 to collect from the consumer and remit to the department a retail marijuana sales tax shall not fail to collect the tax from the consumer at the time of sale, regardless of billing practices, installment agreements, credit procedures, or bad debts.

J.

A person shall not prepare and submit to the department a false tax return with the intent to fail to remit taxes due pursuant to this chapter.

K.

No person whose certificate is expired, suspended or revoked shall acquire, sell, or offer to sell marijuana or marijuana products or permit marijuana or marijuana products to be sold or offered for sale during the period of the suspension or revocation on any premises occupied or controlled by that person.

L.

A retailer shall not sell marijuana or marijuana products except in transactions authorized by state law.

M.

A person shall not knowingly use, allow or permit the use of real property in the municipality by a retailer for use in conducting its business as a retailer, unless the retailer is properly registered with the department under this chapter. Providing such real property after notice from the department that such provision of real property violates this subsection is prima facie evidence of the violation.

N.

A person shall not knowingly provide advertising, web hosting, or other marketing services to a retailer in the municipality that is not properly registered under this chapter. Providing such services after notice from the department that such provision of services violates this subsection is prima facie evidence of the violation.

( AO No. 2016-49(S), § 1, 5-10-16 )