Section 316-35-311 - TAXES311.01 A distributor shall pay to the Department, on a monthly basis, the statutory tax rate on the definite profit of each pickle card unit sold in Nebraska. The tax shall be remitted with and reported on a form prescribed by the Department and shall be due within thirty (30) days after the end of each monthly period or by the last day of the month following each monthly period, whichever comes first. When the last filing date for any return or report falls on a Saturday, Sunday, or day considered a holiday by the Tax Commissioner's office, the return or report shall be considered timely filed if mailed postage prepaid or personally delivered to the Department on the next succeeding day which is not a Saturday, Sunday, or a day considered a holiday by the Tax Commissioner's office. 311.01A Such tax shall be due and paid on the basis of the definite profit of the pickle card units sold as of the date the distributor transfers title or possession of the units. For the purposes of this regulation, title shall mean the right to take possession of the units even if the purchasing organization has not yet done so. Possession shall mean actual physical possession of the pickle card units purchased. 311.01A(1) If a licensed distributor is on a cash basis of accounting, the licensed distributor will report the tax at the rate as it exists at the time the distributor receives a cash payment without regard to whether the cash is in satisfaction of an obligation predating a change in the rate of tax.311.01A(2) A licensed distributor using a pure accrual basis of accounting will report the tax as it exists at the time the distributor records the sale in his or her books. 311.01B The tax as described in this regulation shall not be imposed on pickle card units which are sold by a licensed distributor to a federally recognized Indian tribe for use in a Class II gaming activity authorized by the federal Indian Gaming Regulatory Act.311.01C Unless otherwise provided by the Nebraska Pickle Card Lottery Act, no occupation tax may be assessed or collected on receipts derived from the conduct of a lottery by the sale of pickle cards, by any county, township, district, city, village or other governmental subdivision or body who has the power to levy, assess or collect such tax.311.02 A licensed distributor is required to obtain a Nebraska sales tax permit and must collect and remit the sales tax on the selling price of pickle card units except from those organizations deemed exempt from sales and use tax as set forth in the Nebraska Sales and Use Tax Regulations. A licensed distributor who is required to collect the Nebraska sales tax and who fails to do so will be liable for such tax and may be assessed in accordance with the Nebraska Revenue Act of 1967, as amended.311.03 The Nebraska sales tax is to be computed on the distributor's selling price of each pickle card unit plus any charge for imprinting and/or charges for the transportation of the property to the purchaser, if delivery of the property is made by facilities of the licensed distributor. The distributor's selling price shall include the pickle card tax that each distributor is required to pay to the state.311.04 Organizations licensed to conduct a lottery by the sale of pickle cards are required to pay the Nebraska sales and use tax on the cost of each pickle card unit purchased from the distributor unless the licensed organization is exempt from Nebraska sales and use tax as set out in the Nebraska Sales and Use Tax Regulations.311.05 A distributor may accept a properly completed exempt sale certificate, section B of the Nebraska Resale and Exempt Sale Certificate, Form 13, from licensed organizations that have received an exempt sales tax certificate from the Nebraska Department of Revenue. The types of organizations which are exempt from sales and use tax are listed in Sales and Use Tax Regulations.311.06 Licensed distributors are prohibited from accepting a completed resale certificate, section A of the Nebraska Resale and Exempt Sale Certificate, Form 13, on their sale of pickle card units to licensed organizations in lieu of collecting the sales tax since licensed organizations are the ultimate consumers of the pickle card units.316 Neb. Admin. Code, 35, § 311
Section 77 - 2704, R.R.S. 1996. Sections 9 - 343 and 9 - 344, R.R.S. 1997. Sections 9 - 322 and 77 - 2703, R.S.Supp., 2002. November 12, 2002.