00                  CS FOR SENATE BILL NO. 102(L&C) am(efd fld)                                                            
01 "An Act increasing the amount of revenue received by the state from charitable gaming                                   
02 activities, and relating to taxes on pull-tabs."                                                                        
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 05.15.128(a) is amended to read:                                                                  
05            (a)  The department shall revoke the license of an operator who does not                                     
06                 (1)  report an adjusted gross income of at least 15 percent of gross                                    
07       income annually based on the total operation of the operator; [OR]                                                
08                 (2)  pay to each authorizing permittee annually at least 30 percent of the                              
09       adjusted gross income, as determined under (1) of this subsection, from a pull-tab                                
10       activity or at least 10 percent of the adjusted gross income, as determined under (1) of                          
11       this subsection, from a gaming activity other than pull-tabs, received from activities                            
12       conducted on behalf of the authorizing permittee; or                                                          
13                 (3)  pay the tax imposed under AS 05.15.184.                                                      
14    * Sec. 2.  AS 05.15.184 is amended to read:                                                                        
01            Sec. 05.15.184.  Pull-tab tax.  A pull-tab distributor shall collect a tax of 15                       
02       [THREE] percent of [AN AMOUNT EQUAL TO] the ideal net on [GROSS                                               
03       RECEIPTS LESS PRIZES AWARDED ON] each series of pull-tabs distributed.  The                                       
04       pull-tab distributor shall pay to the department the tax collected in the preceding                               
05       month at the time that the report under AS 05.15.183(d) is filed with the department.                             
06    * Sec. 3.  AS 29.10.200(51) is amended to read:                                                                    
07                 (51)  AS 29.45.650(c), (d), (e), [AND] (f), and (i) (sales and use tax);                            
08    * Sec. 4.  AS 29.45.650 is amended by adding a new subsection to read:                                             
09            (i)  A borough may not levy or collect a sales or a use tax on pull-tabs used in                             
10       charitable gaming.  This subsection applies to home rule and general law                                          
11       municipalities.                                                                                                   
12    * Sec. 5.  AS 29.45.700(d) is amended to read:                                                                     
13            (d)  A city that levies and collects sales and use taxes under (a) of this section                           
14       may not levy and collect a sales tax on a purchase made with (1) food coupons, food                               
15       stamps, or other types of allotments issued under 7 U.S.C. 2011 - 2036 (Food Stamp                                
16       Program); or (2) food instruments, food vouchers, or other type of certificate issued                             
17       under 42 U.S.C. 1786 (Special Supplemental Food Program for Women, Infants, and                                   
18       Children). For purposes of this subsection, the value of a food stamp allotment paid in                           
19       the form of a wage subsidy as authorized under AS 47.25.975(b) is not considered to                               
20       be an allotment issued under 7 U.S.C. 2011 - 2036 (Food Stamp Program).  A city                               
21       that levies and collects sales and use taxes under (a) of this section may not levy                           
22       and collect a sales or use tax on pull-tabs used in charitable gaming.  This                                  
23       subsection applies to home rule and general law municipalities.                                                   
24    * Sec. 6.  The uncodified law of the State of Alaska is amended by adding a new section to                         
25 read:                                                                                                                   
26       TRANSITION:  REGULATIONS.  Notwithstanding sec. 8 of this Act, the                                                
27 Department of Revenue may proceed to adopt regulations necessary to implement the changes                               
28 made by this Act.  The regulations take effect under AS 44.62 (Administrative Procedure                                 
29 Act), but not before the effective date of secs. 1 - 5 of this Act.