Section R19-2-604. Annual Bond, Event Bond, Claims

A.      Annual bond.

1.        A promoter shall deposit the annual bond with the Department no later than weigh-in for the first event pro- moted.

2.        Upon receipt of written notice from the Commission that a promoter’s obligations for all events during the calendar year are satisfied, the Department shall release the pro- moter from the annual bond responsibility for that year.

B.       Event bond.

1.        The Commission shall notify the Department in writing of the amount of an event bond and deposit the bond with the Department no later than the weigh-in for the event. The Department shall retain the event bond until notice is received from the Commission that the promoter has sat- isfied all obligations concerning the bond guarantee.

2.        Upon receipt of written notice from the Commission that the promoter’s obligations for an event are satisfied, the Department shall return the bond to the promoter.

3.        If an event is not held, the Commission shall notify the Department, not later than 22 business days after the scheduled event, whether the promoter’s obligations for the event have been satisfied and whether the promoter’s event bond can be returned.

C.      Department claim. The Department shall notify:

1.        A promoter by registered or certified mail, return receipt requested, that:

a.         The unpaid tax on gross receipts shall be paid within 10 business days from receipt of the notice; and

b.        If the payment is not received within the 10 business days, forfeiture proceedings against the bond may be initiated based on the Department’s determination of whether a promoter’s obligations have been faith- fully performed.

2.        The Commission if a promoter fails to pay the required tax on gross receipts.

D.      The Department shall not release any bond for which a claim is pending.

Historical Note

New Section recodified from Section R4-3-418 at 5

A.A.R. 1175, April 23, 1999 (Supp. 99-2). Section

repealed; new Section adopted by final rulemaking at 7

A.A.R. 805, effective January 18, 2001 (Supp. 01-1).