10-4-211. Provider or seller required to hold fee in trust for state -- penalty and interest. (1) A provider or seller required to collect the fee imposed by 10-4-201 holds it in trust for the state of Montana and for the payment of the fees to the department of revenue in the manner and at the time provided by 10-4-204.
(2) (a) If a provider or seller required to collect the fee fails to remit any amount held in trust for the state of Montana or if a subscriber, as defined in 10-4-101(21)(a), fails to pay the fee on or before the last day of the month following the end of each calendar quarter, the department of revenue shall add to the amount of the delinquent fee, in addition to any other penalty provided by law, a penalty equal to 10% of the delinquent fee plus interest at the rate of 1% a month or fraction of a month computed on the amount of the delinquent fee plus any unpaid penalties and interest. Interest is computed from the date the fee is due until the date of payment.
(b) The department of revenue may waive the penalty if the provider or seller establishes that the failure to pay on time was due to reasonable cause and was not due to neglect.
(3) (a) When a deficiency is determined and the additional fee becomes final, the department of revenue shall mail a notice and demand for payment to the provider or seller. The fee is due and payable at the expiration of 10 days after the notice and demand were mailed. Interest on any deficiency assessment bears interest until paid, at the rate of 1% a month or fraction of a month, computed from the original due date of the return.
(b) If payment is not made within 10 days, the amount of the deficiency is considered delinquent. A 10% penalty must be added to the amount of the deficiency.
(4) The 10% penalty provided for in subsection (3)(b) may be waived by the department of revenue if the provider or seller establishes that the failure to pay the proper amount of fees was due to reasonable cause and was not due to neglect.
(5) The department of revenue may enforce collection by the issuance of a warrant for distraint for the collection of the delinquent amount and all penalties, interest, and collection charges accrued on the delinquent amount. The warrant is governed by the provisions of Title 15, chapter 1, part 7.
History: En. Sec. 14, Ch. 635, L. 1985; amd. Secs. 1, 19, Ch. 676, L. 1991; amd. Sec. 9, Ch. 435, L. 2021.