NOTICE OF PROPOSED CHANGES TO DEPARTMENT OF REVENUE REGULATIONS FOR FISHERIES PRODUCT DEVELOPMENT TAX CREDITS

BRIEF DESCRIPTION

The Alaska Department of Revenue proposes to change regulations for the Fisheries Product Development Tax Credit.

The Alaska Department of Revenue (department) proposes to add regulations and repeal existing regulations in Chapter 75 of Title 15 of the Alaska Administrative Code: 15 AAC 75, Fisheries Business Tax. The proposed regulations add language for administering the fisheries product development tax credit enacted through the passage of SB 33 in 2022, CHAPTER 31 SLA 22, and repeal regulations no longer in effect. Other changes or additions proposed by the public on this subject may also be considered by the department.

The department proposes to repeal and reenact or repeal regulations under 15 AAC 75, Fisheries Business Tax, of the Alaska Administrative Code as follows:

The following are repealed and reenacted:

1. 15 AAC 75.060: Expenditures eligible for tax credit;
2. 15 AAC 75.070: Application for fisheries business tax credit;
3. 15 AAC 75.090: Limitation on credit.

1. 15 AAC 75.030(a): Liability for tax;
2. 15 AAC 75.040(a) & (b): Statement of value; records;
3. 15 AAC 75.080: Placed in service rule;
4. 15 AAC 75.085: Exception to placed-in-service rule.

A conforming change is proposed to 15 AAC 75.040(e), Statement of value; records.

You may comment on the proposed regulation changes, including the costs to private persons of complying with the proposed changes, by submitting written comments to: Susan Jakonis, Income & Excise Tax Specialist, Alaska Department of Revenue, 550 W. 7th Ave., Ste. 500, Anchorage, AK 99501.  Additionally, the Department of Revenue will accept comments by electronic mail at susan.jakonis@alaska.gov, or by facsimile at (907) 269-6644.  Comments must be received no later than 4:30 p.m., on Tuesday, August 30, 2022.

You may submit written questions relevant to the proposed action to Susan Jakonis by email at susan.jakonis@alaska.gov or by mail at Alaska Department of Revenue, 550 W. 7th Ave., Ste. 500, Anchorage, AK 99501.  The questions must be received at least 10 days before the end of the public comment period.  The department will aggregate its response to substantially similar questions and make the questions and responses available on the Alaska Online Public Notice System and Tax Division website at (http://www.tax.alaska.gov).

If you are a person with a disability who needs a special accommodation in order to participate in this process such as auxiliary aides, services, or special modifications, please contact Susan Jakonis at Alaska Department of Revenue, 550 W. 7th Ave., Ste. 500, Anchorage, AK 99501, susan.jakonis@alaska.gov or the TDD number (907) 269-8411 by 4:30 pm, Tuesday, August 23, 2022.

A copy of the proposed regulation changes is available on the Alaska Online Public Notice System, the Tax Division website, and by contacting Susan Jakonis at susan.jakonis@alaska.gov or (907) 269-0082.

After the public comment period ends on Tuesday, August 30, 2022, the department will either adopt the proposed regulation changes or other provisions dealing with the same subject, without further notice, or decide to take no action.  The language of the final regulation may be different from that of the proposed regulation.  You should comment during the time allowed if your interests could be affected.  Written comments received are public records and are subject to public inspection.

Statutory Authority:  AS 43.05.080.

Statutes Being Implemented, Interpreted, or Made Specific:  AS 40.25.100, AS 43.05.230, AS 43.75.037.

Fiscal Information: The proposed regulation changes are not expected to require an increased appropriation.

The department keeps a list of individuals and organizations interested in its regulations.  Those on the list will automatically be sent a copy of all of the department’s notices of proposed regulation changes.  If you would like to be added or removed from the department's "Interested Parties" list server to receive email notification of any proposed action, you may do so at http://list.state.ak.us. Simply scroll down to the links beginning with “tax-”.

The department reserves the right to waive technical defects in this publication.

Date: July 26, 2022
Anchorage, Alaska

By: /s/ Colleen M. Glover
Colleen M. Glover                             
Director, Tax Division
(907) 269-1033