SUBJECT: Public Hearings Required to Find Evidence to Support the Revocation of a Registered Retail Merchant's Certificate (RRMC)

REFERENCES: IC 6-2.5-8-1; IC 6-2.5-8-7

DISCLAIMER: Information bulletins are intended to provide nontechnical assistance to the general public. Every attempt is made to provide information that is consistent with the appropriate statutes, rules, and court decisions. Any information that is not consistent with the law, regulations, or court decisions is not binding on either the department or the taxpayer. Therefore, the information provided herein should serve only as a foundation for further investigation and study of the current law and procedures related to the subject matter covered herein.

SUMMARY OF CHANGES

Only nonsubstantive, technical changes have been made to this bulletin. It has been primarily changed to reflect updated formatting.

INTRODUCTION

Indiana law requires that a public hearing be held prior to the Indiana Department of Revenue's determination that a registered retail merchant's certificate (or RRMC, issued pursuant to IC 6-2.5-8-1) should be revoked, so that evidence supporting revocation can be presented. The department has a basis for revocation of the RRMC if the department finds, by a preponderance of the evidence, in the public hearing that a registered retail merchant has committed any of the following:

• IC 6-2.5-8-7(a)(2) - Being charged with a violation of any provision under IC 35 (Indiana Criminal Law and Procedure);

• IC 6-2.5-8-7(g) - A violation of IC 35-45-5-3 (Professional Gambling), IC 35-45-5-3.5 (Electronic Gambling, Maintaining a Professional Gambling Site), or IC 35-45-5-4 (Promoting Professional Gambling);

• IC 6-2.5-8-7(i) - A conviction for an offense under IC 35-48-4 involving the sale of or the offer to sell, in the normal course of business, a synthetic drug (as defined in IC 35-31.5-2-321), a controlled substance analog (as defined in IC 35-48-1-9.3), or a substance represented to be a controlled substance (as described in IC 35-48-4-4.6); or

• IC 6-2.5-8-7(j) - Prior to July 1, 2019, a conviction for a violation of IC 35-48-4-10.5 (before its repeal on that date, which pertained to dealing in Synthetic Drugs and dealing in Synthetic Drug Lookalike Substances) as an infraction.

Additionally, the department is required to suspend the RRMC for a place of business for one year if the department finds in a public hearing by a preponderance of the evidence that a person has a conviction for a violation of IC 35-48-4-10(d)(3), which involves marijuana, hash oil, hashish, or salvia packaged in a manner that appears to be low THC hemp extract. The department also may not issue for one year another RRMC to any person whose retail merchant certificate was suspended for a violation of IC 35-48-4-10(d)(3).

LOCATION OF PUBLIC HEARING

The department's hearings shall be held for the benefit of the public at the department's offices in Marion County, Indiana.

NOTICE OF THE PUBLIC HEARING

Notice of the Public Hearing shall be provided as required under the Public Meetings Act (Open Door Law) IC 5-14-1.5-1 et seq.

PROCEDURES

The procedures for the department's hearings shall be informal in order to permit members of the public a full and fair opportunity to provide evidence to the department. This allows the department to decide if revocation of the RRMC is required. Any party may record the public hearing. The department shall provide one employee to officiate and keep minutes of the meeting at the public hearing and one employee or designee to provide evidence on behalf of the department or other governmental entity. The department shall comply with all requirements of Indiana's Open Door Law, including, but not limited to, posting an agenda, and keeping a memoranda of minutes.

RRMC revocation hearing questions should be directed to the following address:

If you have any questions concerning this bulletin, please contact the Tax Policy Division at taxpolicy@dor.in.gov.

_________________________

Robert J. Grennes, Jr.

Commissioner