Business Registration Requirements
Who must register?
Who must register --Any person, firm, or business entity must register with the sales tax administrator before making sales, rendering services, or making rentals within the City and Borough of Juneau.
Collecting the sales tax.
Collecting the sales tax -- All merchants are required to collect sales tax at the time of purchase, at the rate of
5% on the sales of all goods, all services and all non-residential rentals. (Rentals
include commercial real property & tangible personal property.)
An additional tax of 3% will be collected on all sales of alcoholic beverages; this
means these beverages, in whatever form, are taxed at the rate of 8%.
An additional tax of 7% will be collected on all room rentals (stays of less than 30
days duration); this means hotel/motel/Bed 8; Breakfast rooms, are taxed at the rate of 12%.
Under the sales tax ordinance there are 37 exemptions from the sales tax. It is the
responsibility of the "buyer" to provide proper documentation that the sale would be exempt
from the sales tax. It is the merchant's responsibility to document the exempt transaction.
Reporting Requirements (CBJ 69.05.170)
Filing of Tax Returns and Payment of Tax -- Every seller of goods or provider of
services or rentals must file a return for each reporting period regardless of the level
of sales or the amount of tax due.
The return forms will be mailed to each business before the end of each quarter. However,
merchants will not be excused from filing a return if no form has been furnished.
Merchants should obtain proper forms in ample time to report and remit within the time
prescribed by Sales Tax ordinances.
Report is Required -- Even if your business has not transacted any business, made
any sales and received any business income, you are required to file a timely tax report.
A late fee, of $25, will be assessed on all late returns the post mark date will determine
timely filed return; even if you have not transacted any business.
Returns Due -- Quarterly tax reports are due the last day of the month following the
end of each calendar quarter. If the last day of the month falls on a weekend or holiday the
deadline is extended to the next business day.
Deposits -- If your business collects more than $1,000 in sales tax, in a one-month
period, you are required to deposit the estimated sales tax by the fifteenth of the following
month. If the fifteenth of the following month is on a weekend or holiday the deposit is due
on the following business day. The deposits are in addition to the quarterly sales tax
filings not in place of them. Merchants who deposit all monies due are still required to
file a quarterly sales tax return, when due, to be considered timely.
Closing your account -- A final sales tax report must be filed within 15 days of closing.
Failure to File -- $25 late filing fee applies even if sales are zero.
Method of Accounting -- Merchants are required to use the same basis of accounting for
sales tax purposes, cash or accrual as used for reporting your federal income tax.
Record keeping and auditing.
Record Keeping and Auditing (69.05.090) -- Supporting records must be maintained for a period of three years. Failure to maintain
adequate records to support exemptions claimed will result in the loss of deduction for
that particular transaction. A seller shall make available for review all relevant records,
books and other documents upon request by the Sales Tax Auditor.
Changes in address or ownership.
Changes in Address or Ownership -- Please notify the Sales Tax Office of any changes
to the information provided on the registration form. This will ensure timely mailings and data integrity.
Termination of the Business -- A final sales tax report must be filed within 15 days of closing.
Sale of Business -- Successor liability (69.05.130). The seller must file a final return within 15
days of the sale. The buyer will be liable for any unpaid tax, penalty and interest on account of the
business operations of the former owner.
Responsibilities of the merchant.
Responsibilities of the Merchant -- It is your responsibility to comply with the laws and
regulations that pertain to your business environment in which you operate. A copy of the Uniform
Sales Tax Code can be obtained from the Sales Tax Office. If you are still uncertain of how the
tax applies in general or to specific transactions please call or write the Sales Tax Office.
We appreciate your efforts in collecting and remitting sales tax in compliance with our ordinances.
Please contact the Sales Tax office for answers to your questions.
- Business Personal Property Tax Forms
- Interpretations of selected sales tax exemptions. (PDF)
- Detailed listing of sales tax registration and reporting forms.