4.30.080 Sales Tax.
(1) Application of Tax. The Tribal Sales Tax shall apply to all sales within Samish Indian Country, except as provided in this section.
(2) Definitions. For purposes of this section, the following definitions shall apply:
(a) “Beverage” means all nonalcoholic and alcoholic beverages. It does not include beverages in unopened, original containers or packages when sold as a single unit or greater and intended only for consumption off the premises of the restaurant or retailer.
(b) “Business” means any person engaged in trade, commerce, manufacturing, power production, construction, or any other productive activity, whether for profit or not, wholly or in part within Samish Indian Country.
(c) “Cash discount” means a deduction from the invoice price of goods or charge for services that is allowed if the bill is paid on or before a specific date.
(d) “Complimentary” means free of any charge, exchange of value or compensation of any kind or nature.
(e) “Control” means the direct or indirect power to direct the management and policies of a person, whether through ownership of voting securities, by contract, or otherwise.
(f) “Food products” are food items generally sold in or by grocery stores, convenience stores, supermarkets, bakeries, fish markets, produce markets, and other like places. “Food products” do not include prepared food, alcoholic beverages, soft drinks, sodas or beverages that are ordinarily dispensed at restaurants or other similar establishments. “Food products” include, but are not limited to: cereals and cereal products; flour and flour products; milk, milk products, milk substitutes and milk substitute products; oleomargarine; meat and meat products; fish and fish products; eggs and egg products; vegetables and vegetable products; fruit and fruit products; spices and salts; sugar and sugar products, other than candy and confectionery; coffee and coffee substitutes when used for household consumption; and water.
(g) “Prepared food item for immediate consumption” or “prepared food” means and includes any and all food, whether solid, semisolid or liquid, used or intended to be used for human consumption and for nourishment of the human body. The term defined herein includes any and all alcoholic and nonalcoholic beverages. The term shall include and be limited to:
(i) Food items purchased at establishments where facilities are provided for on-premises consumption, including but not limited to restaurants, cafes, cafeterias and other similar establishments, whether or not consumed on premises or off premises;
(ii) Food items purchased from delicatessens, concession stands, snack shops, convenience stores and other similar establishments which sell food items primarily in individual-sized servings, such as candy bars and individually served sandwiches, for immediate on-premises or off-premises consumption; and
(iii) Food items that are purchased for immediate on-premises and off-premises consumption from catering establishments and restaurants with delivery services.
(h) “Restaurant” means and includes any public place kept, used, maintained, advertised and held out to the public as a place at which prepared food items for immediate consumption are served and/or prepared, whether or not consumed or intended to be consumed on the premises.
(i) “Taxable event” means any sale or any use upon which a sales or use tax is imposed pursuant to this section.
(3) Tax Imposed Upon Sales.
(a) Tribal Sales Tax. There is imposed and shall be collected a tax, known as the Tribal Sales Tax, upon all sales within Samish Indian Country. The Tribal Sales Tax rate shall be set annually by regulation.
(b) Tribal Sales Tax Exemptions. The Tribal Sales Tax shall not apply to the following items and transactions:
(i) Purchases made by the Tribe for goods or services to be used for Tribal governmental purposes;
(ii) Purchases made by Samish citizens for personal use;
(iii) Complimentary foods and beverages given to customers or employees;
(iv) Food products, as that term is defined in subsection (2)(f) of this section;
(v) Newspapers;
(vi) Products sold from vending machines;
(vii) Art produced by Samish citizens;
(viii) Cigarettes, which are subject to the Tribal cigarette tax and Tribal cigarette sales tax under STC 4.30.090;
(ix) Marijuana or marijuana products, which are subject to the Tribal marijuana tax under STC 4.30.110;
(x) Motor vehicle fuel, which is subject to the Tribal motor vehicle fuel tax under STC 4.30.120; and
(xi) The provision of utilities, which is subject to the Tribal utility business activity tax under STC 4.30.140.
(4) Application of Tribal Sales Tax to Prepared Food and Beverages.
(a) Application to Prepared Food. The Tribal sales tax shall apply to sales of prepared food items for immediate consumption within Samish Indian Country.
(b) Application to Beverages. The Tribal Sales Tax applies to all nonalcoholic beverages sold within Samish Indian Country except those fitting the definition of “food products” pursuant to subsection (2)(f) of this section.
(5) Payment of Tax. The Tribal Sales Tax shall be paid by the buyer to the retailer, and each retailer shall collect from the buyer the full amount of the tax payable in respect to each taxable event in accordance with this section.
(6) Tax Stated Separately From Selling Price.
(a) The Tribal sales tax to be collected by the retailer may be stated separately from the selling price in any sales invoice or other instrument of sale. If not stated separately on the sales invoice or other instrument of sale, then the tax shall be accounted for separately in the records of the transaction by the retailer.
(b) For purposes of determining the tax due from the buyer to the retailer and from the retailer to the Tribe, it shall be conclusively presumed that the selling price quoted in any price list, sales document, contract or other agreement between the parties does not include the tax imposed by this section, but if the retailer advertises the price as including the tax or that the retailer is paying the tax, the advertised price shall not be considered the selling price.
(7) Collection and Remittance of Tax.
(a) Collection. The tax due is computed by multiplying the total gross receipts for the taxable term by the tax rate. The Tribal Sales Tax shall be collected from the buyer by the retailer and remitted quarterly to the Tribe.
(b) Failure to Remit. Where a buyer has failed to pay to the retailer the tax imposed by this section and the seller has not remitted the amount of the tax to the Tribe, the Tribe may, at its discretion, proceed directly against the buyer for collection of the tax. The retailer remains liable, however.
(c) Records. The retailer shall maintain accurate written records of the sales, and shall make such records available for inspection by the Tribe and/or a third-party auditor retained by the Tribe. Records shall be maintained for no less than three years following the audit. [Res. 2023-10-018 §§ 1, 2, 2023; Res. 2021-07-011 § 2, 2021.]