136.636 Security for compliance.

383 words·~2 min read·/ky/chapter-136/136-636

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)Whenever it is deemed necessary to ensure compliance with KRS 136.600 to

136.660, the department may require any person required to collect the taxes

imposed by KRS 136.604 or 136.616 to place security with the department. The

amount of the security shall be fixed by the department, but shall not be greater than

three

(3)times the estimated average monthly liability of the provider. This

limitation shall apply regardless of the type of security placed with the department.

(2)The amount of the security may be increased or decreased by the department subject

to the limitations provided in subsection

(1)of this section.

(3)If necessary, the department may sell the security at public auction to recover any

tax, interest, or penalty due. However, security in the form of a bearer bond issued

by the United States or any state or local governmental unit that has a prevailing

market price may be sold by the department at a private sale at a price not lower

than the prevailing market price.

(4)The department shall provide notice of the date, time, and place of the sale to the

person who placed the security with the department. Notice shall be sent by certified

mail to the person's last known address, as reflected in the records of the

department, or delivered to the person.

(5)As used in this section, "delivery" or "delivered to" means mailing the notice to the

person to whom it is addressed, leaving it at his or her place of business with the

person in charge of the place of business, or, if there is no one in charge, leaving it

in a conspicuous place at the place of business. If the place of business is closed or

the person to be served has no place of business, delivery includes:

(a)Leaving it at the person's home with some person of suitable age and

discretion residing in the home;

(b)Serving it upon the person's agent for service process; or

(c)Any other method permitted by the Kentucky Revised Statutes.

(6)Notice by certified mail shall be postmarked no later than ten

(10)days prior to the

sale.

(7)Any surplus above the amounts due to the department after the sale shall be

returned to the person who placed the security.