SB683,29,12 111.34 (3) Notwithstanding s. 111.322, this subchapter does not apply to any act of an employer based upon an individual's use of medical marijuana.

SB683,20 Section 20 . Subchapter IV of chapter 139 [precedes 139.97] of the statutes is created to read:

SB683,29,15 chapter 139

SB683,29,16 subchapter Iv

SB683,29,17 medical marijuana tax

SB683,29,18 139.97 Definitions. In this subchapter:

SB683,29,19 (1) “Commission” means the medical marijuana regulatory commission.

SB683,29,20 (2) “Department” means the department of revenue.

SB683,29,21 (3) “Dispensary” has the meaning given in s. 73.17 (1) (c).

SB683,29,22 (4) “Marijuana" has the meaning given in s. 961.01 (14).

SB683,29,23 (5) “Medical marijuana" has the meaning given in s. 73.18 (1) (e).

SB683,29,24 (6) “Processor" has the meaning given in s. 73.17 (1) (h).

SB683,29,25 (7) “Producer” has the meaning given in s. 73.17 (1) (i).

SB683,30,3 139.971 Medical marijuana tax. (1) An excise tax is imposed on a processor at the rate of 10 percent of the sales price on each wholesale sale in this state of marijuana to a dispensary.

SB683,30,8 (2) Each person liable for the taxes imposed under sub. (1) shall pay the taxes to the commission no later than the 15th day of the month following the month in which the person's tax liability is incurred and shall include with the payment a return on a form prescribed by the commission. The commission shall deposit all taxes collected under this section into the medical marijuana fund.

SB683,30,22 (3) The commission may increase or decrease the rate under sub. (1) by submitting a request to the joint committee on finance. A request made under this subsection may not propose to increase or decrease the rate by more than a 5-percent increment. In addition to the proposed rate, the commission shall include in its request its rationale for the proposed rate, the impact that the proposed rate may have on the regulation of medical marijuana, and the first date on which the proposed rate would apply. If the cochairpersons of the joint committee on finance do not notify the commission that the committee has scheduled a meeting for the purpose of reviewing the request within 30 working days after the date of the submission, the commission may implement the proposal. If within 30 working days after the date of the submission, the cochairpersons of the committee notify the commission that the committee has scheduled a meeting for the purpose of reviewing the request, the commission may implement the proposal only upon approval of the committee.

SB683,31,5 139.972 Records and reports. (1) Every producer and processor shall keep accurate and complete records of its production and sales of marijuana and medical marijuana in this state. The records shall be kept on the premises described in its license application under s. 73.17 and in such manner as to ensure permanency and accessibility for inspection at reasonable hours by the authorized personnel of the commission or department. The commission shall prescribe reasonable and uniform methods of keeping records and making reports and shall provide the necessary forms to producers and processors.

SB683,31,15 (2) If the commission determines that any records of a producer or processor are not kept in the prescribed form or are in such condition that the commission requires an unusual amount of time to determine from the records the amount of the tax due, the commission shall give notice to the producer or processor that it is required to revise its records and keep them in the prescribed form. If the producer or processor fails to comply within 30 days, it shall pay the expenses reasonably attributable to a proper examination and tax determination at the rate of $30 a day for each auditor used to make the examination and determination. The commission shall send a bill for such expenses, and the producer or processor shall pay the amount of such bill within 10 days.

SB683,31,25 (3) If any producer or processor fails to file a report when due, it shall be required to pay a late filing fee of $10. A report that is mailed is filed on time if it is mailed in a properly addressed envelope with postage prepaid, the envelope is officially postmarked, or marked or recorded electronically as provided under section 7502 (f) (2) (c) of the Internal Revenue Code, on the date due, and the report is actually received by the commission or at the destination that the commission prescribes within 5 days of the due date. A report that is not mailed is timely if it is received on or before the due date by the commission or at the destination that the commission prescribes. For purposes of this subsection, “mailed" includes delivery by a delivery service designated under section 7502 (f) of the Internal Revenue Code.

SB683,32,6 (4) Sections 71.78 (1), (1m), and (4) to (9) and 71.83 (2) (a) 3. and 3m., relating to confidentiality of income, franchise, and gift tax returns, apply to any information obtained from any producer or processor under this subchapter on a tax return, report, schedule, exhibit, or other document or from an audit report relating to any of those documents, except that the commission shall publish production and sales statistics.

SB683,32,9 139.973 Administration and enforcement. (1) The commission, in consultation with the department, shall administer and enforce this subchapter and promulgate rules necessary to administer and enforce this subchapter.

SB683,32,11 (2) The duly authorized employees of the commission and the department have all necessary police powers to prevent violations of this subchapter.

SB683,32,18 (3) Authorized personnel of the commission, the department of justice, and the department of revenue, and any law enforcement officer, within their respective jurisdictions, may at all reasonable hours enter the premises of any producer or processor and examine the books and records to determine whether the tax imposed by this subchapter has been fully paid and may enter and inspect any premises where marijuana or medical marijuana is produced, processed, made, sold, or stored to determine whether the producer or processor is complying with this subchapter.

SB683,32,22 (4) The commission may suspend or revoke the license of any producer or processor who violates s. 100.30, any provision of this subchapter, or any rules promulgated under sub. (1). The commission shall revoke the permit of any producer or processor who violates s. 100.30 3 or more times within a 5-year period.

SB683,33,5 (5) No suit shall be maintained in any court to restrain or delay the collection or payment of the tax levied in s. 139.971. The aggrieved taxpayer shall pay the tax when due and, if paid under protest, may at any time within 90 days from the date of payment sue the state to recover the tax paid. If it is finally determined that any part of the tax was wrongfully collected, the secretary of administration shall pay the amount wrongfully collected out of the medical marijuana fund. A separate suit need not be filed for each separate payment made by any taxpayer, but a recovery may be had in one suit for as many payments as may have been made.

SB683,33,11 (6) (a) Any person may be compelled to testify in regard to any violation of this subchapter of which the person may have knowledge, even though such testimony may tend to incriminate the person, upon being granted immunity from prosecution in connection with the testimony, and upon the giving of such testimony, the person shall not be prosecuted because of the violation relative to which the person has testified.

SB683,33,13 (b) The immunity provided under par. (a) is subject to the restrictions under s. 972.085.

SB683,33,15 (7) The provisions on timely filing under s. 71.80 (18) apply to the tax imposed under this subchapter.

SB683,33,21 (8) Sections 71.74 (1), (2), (10), (11), and (14), 71.77, 71.91 (1) (a) and (c) and (2) to (7), 71.92, and 73.0301 as they apply to the taxes under ch. 71 apply to the taxes under this subchapter. Section 71.74 (13) as it applies to the collection of the taxes under ch. 71 applies to the collection of the taxes under this subchapter, except that the period during which notice of an additional assessment shall be given begins on the due date of the report under this subchapter.