SitNews - Stories in the News - Ketchikan, Alaska

Borough Reaches Settlement with Ketchikan Business Owner Over Deliquent Sales Tax, Fines

 

August 01, 2013
Thursday


(SitNews) Ketchikan, Alaska - Ketchikan Gateway Borough Manager Dan Bockhorst announced yesterday that after two days of negotiating -- and with the concurrence and recommendation of Borough Attorney Scott Brandt- Erichsen and Borough Finance Director Mike Houts -- that he has reached an agreement with Seamus Brodie d/b/a The Alaska Gem Store, LLC; and The Ketchikan Gem Museum, LLC, over the disputed claim by the borough for collection of sales taxes, fines, and costs.

According to a news release, the agreement provides for Brodie to pay $20,000 for sales taxes owed since 2010-2012, and the fines and costs.  Additionally, the agreement compels Brodie to immediately remit sales taxes due for 2013, and to timely file monthly returns in the future.  

As a result of the agreement, the Ketchikan Gateway Borough will withdraw the pending motion for a preliminary injunction prohibiting Brodie from operating a business in Ketchikan.  Additionally, on or about September 30, 2013, the Borough will agree to dismiss the case against Brodie provided he performs as required under the terms of the agreement.  Should he fail to do so, the Borough will immediately proceed with the case and re-file the motion to prevent Brodie from operating in Ketchikan in the future until all accounts are current.

This settlement is the compromise of a disputed claim under KGB Code 4.50.210. Bockhorst stated the Finance Director and the Borough Attorney concur with and recommend this settlement based upon: (1) the dispute as to the difference between the Borough’s estimated taxes due and Brodie’s representations as to actual sales; and (2) the age of the debts; and (3) that the Ketchikan Gem Museum has not existed since 2010.   

The settlement amount approximates the full amount sought in the complaint in connection with Alaska Gem Store, the business which has operated for the past 3 seasons.

 

Edited by Mary Kauffman, SitNews

Related News:

Borough Seeks Injunction To Shut-down Business For Failure to Pay Sales Tax By MARY KAUFFMAN - Ketchikan Borough Manager Dan Bockhorst advised the Borough Assembly members yesterday that the Borough filed a motion Monday afternoon in Superior Court seeking a preliminary injunction against Seamus Brodie d/b/a The Alaska Gem Store, LLC; and The Ketchikan Gem Museum, LLC., both seasonal tourist related businesses operated only during the summer months.  - More...
Tuesday - July 30, 2013

 

Source of News: 

Ketchikan Gateway Borough
www.borough.ketchikan.ak.us/

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