Arkansas § 26-52-303 Border cities or towns - Tax rate - Exemptions

Arkansas Statutes

§ 26-52-303 — Border cities or towns - Tax rate - Exemptions

Arkansas § 26-52-303

Title26

This text of Arkansas § 26-52-303 (Border cities or towns - Tax rate - Exemptions) is published on Counsel Stack Legal Research, covering Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ark. Code Ann. § 26-52-303 (2026).

Text

(a)The rate of tax shall be one percent (1%) above the state sales tax rate as levied by the General Assembly, by initiatives enacted by the people of the State of Arkansas, and by amendments to the Arkansas Constitution if:

(1)An Arkansas city or incorporated town is divided by a state line from an incorporated city or town in an adjoining state;

(2)The city or town in the adjoining state is of greater population than the Arkansas city or town;

(3)A tax imposed in the adjoining state is in the nature of a selective sales tax or limited to specific items as a special excise tax; and (4) The border city has voted to levy an additional one-percent gross receipts tax in the city in lieu of paying state income taxes by individuals who are residents of the city as authorized by § 26-52-601

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(a) The rate of tax shall be one percent (1%) above the state sales tax rate as levied by the General Assembly, by initiatives enacted by the people of the State of Arkansas, and by amendments to the Arkansas Constitution if: (1) An Arkansas city or incorporated town is divided by a state line from an incorporated city or town in an adjoining state; (2) The city or town in the adjoining state is of greater population than the Arkansas city or town; (3) A tax imposed in the adjoining state is in the nature of a selective sales tax or limited to specific items as a special excise tax; and (4) The border city has voted to levy an additional one-percent gross receipts tax in the city in lieu of paying state income taxes by individuals who are residents of the city as authorized by § 26-52-601 et seq. (b) With respect to a motor vehicle sold in any such city or incorporated town, the exemption authorized in this section shall be applicable only to a motor vehicle sold to and registered by a bona fide resident of such an Arkansas city or incorporated town and shall not be applicable to a motor vehicle sold to a nonresident. (c) (1) The Secretary of the Department of Finance and Administration shall require any person claiming this exemption to file a sworn statement in writing that the person is a resident of that city or incorporated town and such other information as the secretary may determine is necessary to establish the residence of the person. (2) Upon conviction, a person filing a false statement or otherwise falsely obtaining or assisting another person to falsely obtain the benefits of the exemption authorized in this section is guilty of a violation and shall be fined in a sum of not less than one hundred dollars ($100) nor more than five hundred dollars ($500).

Legislative History

Amended by Act 2019, No. 910,§ 3832, eff. 7/1/2019. Acts 1941, No. 386, § 4; 1957, No. 158, § 1; 1957, No. 233, § 1; 1961, No. 252, § 1; 1965, No. 122, § 1; 1971, No. 214, § 2; 1979, No. 401, § 48; 1983 (1st Ex. Sess.), No. 63, § 1; A.S.A. 1947, §§ 84-1903.1, 84-1904; Acts 1991, No. 3, § 2; 1995, No. 1008, § 3; 1999, No. 1492, § 5; 2003, No. 1273, § 7; 2009, No. 655, § 12.