Sec. 12-34c. Enabling the Commissioner of Revenue Services to enter into agreements with other states for purposes of reciprocal enforcement of tax laws of participating states.
Sec. 12-34c. Enabling the Commissioner of Revenue Services to enter into
agreements with other states for purposes of reciprocal enforcement of tax laws
of participating states. (a) The Commissioner of Revenue Services may enter into
agreements with other states providing for reciprocal enforcement of the tax laws of the
states entering into such reciprocal arrangements. As used herein, "state" shall include
the District of Columbia. The provisions of such reciprocal arrangements may include,
but are not limited to, the following: (1) Each participating state may require any business
within such state to collect or withhold those taxes for which a person becomes liable
in another state in the arrangement as a result of a transaction or employment with such
business in the participating state, provided such taxes are required to be collected or
withheld under such circumstances in the other state; (2) each participating state may,
with regard to any business within such state, administer, enforce, audit, assess and
collect, on behalf of any other state participating in the agreement, the taxes which
are imposed on such business under the laws of such other participating state; (3) the
appropriate official of each participating state may bring suit to collect the taxes which
are imposed under the laws of such state in the courts of any other participating state;
(4) each participating state shall bear the costs which are incurred by it under such
reciprocal agreements, and (5) the participating states shall decide upon commencement
and termination of such reciprocal agreements.
(b) For purposes of making payment of any taxes which are collected by the Commissioner of Revenue Services on behalf of any other participating state under reciprocal
agreements as described in subsection (a) of this section, the Comptroller, upon certification by the commissioner, is authorized to draw on the Treasurer in the amount of such
payment and the Treasurer shall pay the amount thereof from the fund to which such
taxes are credited.
(P.A. 88-223, S. 1, 2.)