Failure to remit tax; civil penalty; exception

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20-417. Failure to remit tax; civil penalty; exception

A. If any surplus lines broker fails to remit the surplus lines tax provided for by section 20-416, the broker is liable for a civil penalty of not more than $25 for each additional day of delinquency. The director may collect the tax by distraint and may recover the civil penalty by an action in the name of this state against the insured and the surplus lines broker. All civil penalties are payable into the general fund of this state.

B. If the director requires the surplus lines tax to be paid electronically through a designated third-party service pursuant to section 20-416, a penalty does not accrue for any payment of tax or interest that is late due to delays caused by the third-party service.


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