00                      CS FOR HOUSE BILL NO. 193(FIN)                                                                    
01 "An Act relating to the joint administration of tobacco taxes by the state and a                                        
02 municipality."                                                                                                          
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1. AS 43.05.230(c) is amended to read:                                                                   
05            (c)  The department may permit the proper officer of the United States, [OR                              
06       OF] a state, territory or possession of the United States, [OR OF] Canada, [OR OF] a                      
07       province or territory of Canada, a political subdivision of the state, or the officer's                       
08       authorized representative, to inspect tax returns or reports filed with the department, or                        
09       may furnish to the officer or representative a copy of the tax return, if the other                               
10       jurisdiction grants substantially similar privileges to the department or its                                     
11       representative, or to counsel for the state, and if the department determines that the                        
12       other jurisdiction provides adequate safeguards for the confidentiality of the returns                            
13       and reports, and that the returns and reports will be used for tax purposes only. The                             
14       department may also permit the employment security division of the state Department                               

01       of Labor and Workforce Development to inspect tax returns or reports filed with the                               
02       department or may furnish a copy of the tax returns for tax purposes only.                                        
03    * Sec. 2. AS 43.50.150 is amended by adding new subsections to read:                                               
04            (c)  The department may enter into an agreement with a municipality that                                     
05       imposes a tax on cigarettes for the purpose of jointly auditing a person liable for the                           
06       tax under AS 43.50.010 - 43.50.200 and the municipal tax on cigarettes.                                           
07            (d)  The department may enter into an agreement with a municipality that                                     
08       collects a tax on cigarettes through the use of a stamp similar to that used by the                               
09       department under AS 43.50.500 to distribute and collect money for the stamps issued                               
10       by the municipality on behalf of the municipality in conjunction with the distribution                            
11       and sale of stamps under AS 43.50.500 - 43.50.700. An agreement under this                                        
12       subsection must provide for the municipality to reimburse the department for the cost                             
13       of distributing the municipality's stamps and collecting the money for those stamps.