8.54.040 Exemptions.
The following sales are exempt from the collection of the marijuana and marijuana product tax:
A. Sales within the City of Fairbanks and the city of North Pole are partially exempt from the Borough tax by the amount of sales tax the city separately levies on the same item up to five percent of the sales price subject to the following limitations:
1. The Borough does not intend to act as a collection agent for city taxes on retail sales.
2. If any municipality within the Borough imposes a city tax on retail sales exceeding the tax imposed by the Borough, neither the seller nor the buyer is entitled to a refund from the Borough from such retail sales.
3. If any municipality within the Borough does not impose a city tax on any retail sales, imposes a city tax only on certain retail sales, or imposes a city tax on retail sales that is less than five percent times the selling price, the seller shall:
a. Collect a tax equal to five percent times the selling price minus any city tax imposed by such municipality on that same retail sale; and
b. Remit this tax to the Borough in accordance with the requirements of this chapter.
B. Any wholesale sale (sale for resale) of marijuana or marijuana products by a state licensed marijuana cultivation facility or a marijuana product manufacturing facility. (Ord. 2016-67 § 2, 2016.)