§ 27-3-38.1 - Insurance independently procured – Duty to report and pay tax.
SECTION 27-3-38.1
§ 27-3-38.1 Insurance independentlyprocured – Duty to report and pay tax. – (a) Each insured in this state who procures or continues or renews insurancewith an insurer not licensed to do an insurance business in this state onproperties, risks or exposures located or to be performed in whole or in partin this state, other than insurance procured through a surplus lines licensee,shall, within thirty (30) days after the date the insurance was so procured,continued or renewed, file a written report with the tax administrator, uponforms prescribed by the tax administrator, showing the name and address of theinsured or insured's, name and address of the insurer, the subject of theinsurance, a general description of the coverage, the amount of premiumcurrently charged and additional pertinent information reasonably requested bythe tax administrator.
(2) For the purposes of this subsection, properties, risks orexposures only partially located or to be performed in this state, which arecovered under a multi-state policy placed by a surplus lines licensee inanother state, shall be deemed to be insurance independently procured unlessthe insurer is licensed to do business in this state.
(b) Gross premiums charged for the insurance, less any returnpremiums, are subject to a tax at the rate of three percent (3%). At the timeof filing the report required in subsection (a) of this section, the insuredshall file with the tax administrator, in the form that he or she mayprescribe, a return under oath or affirmation containing information that maybe deemed necessary for the determination of the tax imposed by this section.The insured shall at the same time pay the tax due to the tax administrator.
(c) If an independently procured policy covers properties,risks or exposures only partially located or to be performed in this state, thetax payable by the insured shall be computed on the portion of the premiumproperly attributable to the properties, risks or exposures located or to beperformed in this state.
(d) This section does not abrogate or modify chapter 16 ofthis title (Unauthorized Insurance Business), or any other provision of thistitle.