[9-14-2021 by Ord. No.
2021-016]
It is the purpose of this article to implement the provision
of New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace
Modernization Act, P.L. 2021, (signed into law February 22, 2021), which
authorizes the governing body of a municipality to adopt an ordinance
imposing a transfer tax at a uniform percentage rate not to exceed
2% of the receipts from each sale by a cannabis cultivator; 2% of
the receipts from each sale by a cannabis manufacturer; 1% of the
receipts from each sale by a cannabis wholesaler; and 2% of the receipts
from each sale by a cannabis retailer located in the Township, which
shall be in addition to any other tax or fee imposed pursuant to statute
or local ordinance or resolution by any governmental entity upon the
dispensary.
[9-14-2021 by Ord. No.
2021-016]
The tax rate for each category of license shall be as follows:
a. Cannabis cultivator: 2% of the receipts from each sale by a cannabis
cultivator.
b. Cannabis manufacturer: 2% of the receipts from each sale by a cannabis
manufacturer.
[9-14-2021 by Ord. No.
2021-016]
Every cannabis business and/or licensee shall remit taxes collected
and due and owing on a quarterly basis to the Municipal Chief Financial
Officer, along with certified copies of sales receipts and product
transfer ledgers or documentation. The dates of tax remission shall
be on or before January 2, April 1, July 1 and October 1, or as established
by the Chief Financial Officer. Each licensee shall certify to the
truth and accuracy of the receipts and product transfer ledgers or
documentation, and shall remit a return in a form determined by the
Chief Financial Officer.
[9-14-2021 by Ord. No.
2021-016]
All unpaid taxes as required under this article shall be subject
to the accrual of interest and penalties at rates and penalties set
forth and established for delinquent ad valorem taxes within the Township
of Frankford.
[9-14-2021 by Ord. No.
2021-016]
Each cannabis establishment owner and/or licensee shall be personally
liable for any and all taxes imposed under this article and any interest
and penalty accruing thereon. In addition, any unpaid balance and
interest and penalties accruing thereon shall constitute a lien on
the real property in which the cannabis establishment is located,
and such liens shall be enforced in the same manner as municipal tax
liens.
[9-14-2021 by Ord. No.
2021-016]
Every cannabis establishment and/or licensee within the Township
of Frankford is subject to audit, no greater than once per annum,
of the establishment's or licensee's business records, receipts and
accounting books, such audit to be performed at the Chief Financial
Officer's discretion, by a certified public accountant. Every cannabis
establishment and licensee shall be obligated to fully comply with
the requirements of an auditor. Failure to cooperate with the audit,
or any misrepresentation or fraud committed by the establishment or
licensee, shall result in the immediate suspension of the license.