Section 40-17.5-104 - Prepaid wireless 988 charge - collection - rules(1)(a) The seller shall collect, on behalf of the 988 crisis hotline enterprise, the prepaid wireless 988 charge imposed by the enterprise pursuant to section 27-64-103 (4)(b) from the consumer on each retail transaction occurring in the state. The amount of the prepaid wireless 988 charge shall be either disclosed to the consumer or separately stated or stated on the same line item as the 911 surcharge created in section 29-11-102.3 on an invoice, receipt, or other similar document the seller provides to the consumer. A seller shall elect to either disclose or separately state the charge and shall not change the election without the written consent of the department. The seller is deemed to have collected the charge notwithstanding the seller's failure to separately disclose or state the charge on an invoice, receipt, or other similar document the seller provides to the consumer.(b) For purposes of this section, a retail transaction occurs in Colorado if:(I) The consumer effects the retail transaction in person at a business location in Colorado;(II) If subsection (1)(b)(I) of this section does not apply, the product is delivered to the consumer at a Colorado address provided to the seller;(III) If subsections (1)(b)(I) and (1)(b)(II) of this section do not apply, the seller's records, maintained in the ordinary course of business, indicate that the consumer's address is in Colorado and the records are not made or kept in bad faith;(IV) If subsections (1)(b)(I) to (1)(b)(III) of this section do not apply, the consumer gives a Colorado address during the consummation of the sale, including the consumer's payment instrument if no other address is available, and there is no indication that the address is given in bad faith; or(V) If subsections (1)(b)(I) to (1)(b)(IV) of this section do not apply, the mobile telephone number is associated with a Colorado location.(c) The prepaid wireless 988 charge is the liability of the consumer and not of the seller; except that the seller is liable to remit all prepaid wireless 988 charges that the seller collects from a consumer as provided in subsection (2) of this section.(d) The amount of the prepaid wireless 988 charge that is collected by a seller from a consumer is not included in the base for measuring any tax, fee, surcharge, or other charge that is imposed by the state, any political subdivision of the state, or any intergovernmental agency.(2)(a) The seller shall remit any collected prepaid wireless 988 charges to the department at the times and in the manner provided in part 1 of article 26 of title 39. The department shall establish, by rule, registration and payment procedures that substantially coincide with the registration and payment procedures that apply under part 1 of article 26 of title 39. A seller is subject to the penalties under part 1 of article 26 of title 39 for failure to collect or remit a prepaid wireless 988 charge in accordance with this section.(b) A seller may deduct and retain three and three-tenths percent of the prepaid wireless 988 charges that are collected by the seller from the consumers.(c) The audit and appeal procedures applicable to the state sales tax pursuant to part 1 of article 26 of title 39 apply to prepaid wireless 988 charges.(d) The department shall, by rule, establish procedures by which a seller may document that a transaction is not a retail transaction, which procedures must substantially coincide with the procedures for documenting that a sale was wholesale for purposes of the sales tax pursuant to part 1 of article 26 of title 39.(e)(I) The state treasurer shall credit the prepaid wireless 988 charges remitted to the department pursuant to subsection (2)(a) of this section to the 988 crisis hotline cash fund created in section 27-64-104.(II) The department may retain up to three percent of the collected charges necessary to reimburse the department for its direct costs of administering the collection and remittance of prepaid wireless 988 charges.(3) The prepaid wireless 988 charge imposed pursuant to section 27-64-103 (4)(b) is the only direct 988 funding obligation imposed with respect to prepaid wireless telecommunications service in the state. No tax, fee, surcharge, or other charge to fund the 988 crisis hotline is imposed by the state, any political subdivision of the state, or any intergovernmental agency upon a seller or consumer with respect to the sale, purchase, use, or provision of prepaid wireless telecommunications service.Added by 2021 Ch. 360, § 2, eff. 9/7/2021.L. 2021: Entire article added, (SB 21-154), ch. 2351, p. 2351, § 2, effective September 7. 2021 Ch. 360, was passed without a safety clause. See Colo. Const. art. V, § 1(3).