CSSB 161(STA): "An Act relating to interest rates and calculation of interest under certain judgments and decrees and on refunds of certain taxes, royalties, or net profit shares; and providing for an effective date."
00CS FOR SENATE BILL NO. 161(STA) 01 "An Act relating to interest rates and calculation of interest under certain 02 judgments and decrees and on refunds of certain taxes, royalties, or net profit 03 shares; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 09.30.070 is repealed and reenacted to read: 06 Sec. 09.30.070. INTEREST ON JUDGMENTS; PREJUDGMENT INTEREST. 07 (a) Interest shall accrue on judgments and decrees for the payment of money. Interest 08 shall be calculated from the date of entry of the judgment or decree, at the rate 09 determined by the commissioner of revenue under (b) of this section, except that a 10 judgment or decree founded on a contract in writing, providing for an interest rate not 11 exceeding the legal rate of interest for that type of contract, bears interest at the rate 12 specified in the contract if the interest rate is set out in the judgment or decree. 13 (b) Not later than December 15 of each year the commissioner of revenue shall 14 determine the interest rate to be applied to judgments and decrees for the payment of
01 money for the following calendar year. The rate shall be set at an amount equal to the 02 average coupon issue yield equivalent, as determined by the secretary of the United 03 States Treasury, of the average accepted auction price for auctions of 52-week United 04 States' Treasury bills settled during the immediate December through November before 05 the determination, rounded to the nearest 1/100 percent. The commissioner of revenue 06 shall communicate this rate to the administrative director of the Alaska court system 07 and to the revisor of statutes. The Alaska court system shall distribute notice of the 08 interest rate. 09 (c) Except when the court finds that the parties have agreed otherwise, 10 prejudgment interest shall be awarded on a money judgment. Prejudgment interest 11 accrues from the date of injury or harm. Prejudgment interest shall be calculated at 12 the rate determined by the commissioner of revenue under (b) of this section for the 13 calendar year when the initial summons was issued or the initial counter claim or 14 cross-claim was filed. 15 (d) Interest shall be computed daily to the date of payment and may not be 16 compounded. 17 * Sec. 2. AS 29.45.500(b) is amended to read: 18 (b) If, in payment of taxes legally imposed, a remittance by a taxpayer through 19 error or otherwise exceeds the amount due, and the municipality, on audit of the 20 account in question, is satisfied that this is the case, the municipality shall refund the 21 excess to the taxpayer. The refund of the excess shall include payment of [ WITH] 22 interest on the excess tax payment computed from the date the municipality 23 received the excess tax payment to the date the municipality paid the refund at 24 a rate equal to the average percent of the return on all investments of the 25 municipality during the three-month period ending on the date the refund is made 26 [AT EIGHT PERCENT FROM THE DATE OF PAYMENT]. A claim for refund filed 27 one year after the due date of the tax is forever barred. 28 * Sec. 3. AS 38.05.135(e) is repealed and reenacted to read: 29 (e) If a royalty or net profit share payment to which the state is entitled under 30 AS 38.05.135 - 38.05.181 is overpaid, the amount overpaid bears interest in a calendar 31 quarter at the rate of two percentage points above the annual rate charged member
01 banks for advances by the 12th Federal Reserve District as of the first day of that 02 calendar quarter, compounded quarterly as of the last day of that quarter. However, 03 if the overpayment is the result of a correction made by the department, the amount 04 overpaid bears interest at the rate and in the manner provided in (d) of this section. 05 * Sec. 4. AS 43.05.280(a) is repealed and reenacted to read: 06 (a) If a tax levied under this title is overpaid, the amount overpaid bears 07 interest in a calendar quarter at the rate of two percentage points above the annual rate 08 charged member banks for advances by the 12th Federal Reserve District as of the first 09 day of that calendar quarter, compounded quarterly as of the last day of that quarter. 10 However, if the overpayment is the result of the correction of an assessment or return 11 made by the department, the amount overpaid bears interest at the rate and in the 12 manner provided in AS 43.05.225(1). 13 * Sec. 5. AS 45.45.010(a) is amended to read: 14 (a) The rate of interest in the state is the rate determined annually by the 15 commissioner of revenue under AS 09.30.070 [10.5 PERCENT A YEAR] and no 16 more on money after it is due except as provided in (b) of this section. 17 * Sec. 6. Beginning on January 1, 1994, postjudgment interest accrues under judgments or 18 decrees entered on or after January 1, 1994, at the rate and in the manner specified in 19 AS 09.30.070 as repealed and reenacted by sec. 1 of this Act. Postjudgment interest accrues 20 under judgments or decrees entered before January 1, 1994, at the rate and in the manner 21 specified under law in effect at the time that judgment or decree was entered. 22 * Sec. 7. For claims or causes of action for which judgment has not been entered before 23 January 1, 1994, prejudgment interest accrues before January 1, 1994, at the rate and in the 24 manner specified under law in effect at the time that claim or cause of action accrued. On 25 or after January 1, 1994, prejudgment interest accrues on that claim or cause of action at the 26 rate and in the manner specified in AS 09.30.070 as repealed and reenacted by sec. 1 of this 27 Act. 28 * Sec. 8. Beginning on the effective date of this section, interest accrues on overpayments 29 of royalties, net profit share payments, taxes, and on interest accrued on them before the 30 effective date of this Act, at the rates and in the manner specified in AS 29.45.500(b), as 31 amended by sec. 2 of this Act, in AS 38.05.135(e), as repealed and reenacted by sec. 3 of this
01 Act, and in AS 43.05.280(a), as repealed and reenacted by sec. 4 of this Act. 02 * Sec. 9. Notwithstanding AS 09.30.070, the commissioner of revenue, by December 15, 03 1993, shall determine the interest rate to be applied on judgments and decrees by the method 04 provided in AS 09.30.070, as amended by sec. 1 of this Act, for calendar year 1994, and shall 05 communicate that determination to the administrative director of the Alaska court system and 06 the revisor of statutes. 07 * Sec. 10. Except for secs. 1, 6, and 7 of this Act, this Act takes effect immediately under 08 AS 01.10.070(c). 09 * Sec. 11. Sections 1, 6, and 7 of this Act take effect January 1, 1994.