A licensee must notify the secretary before discontinuing a licensed business, surrender the license, and, if the business is sold, transferred, or quit, make a final return and payment on time.
§818.123. Notice of discontinuance, sale, or transfer of business A. Prior to discontinuing any business to which a license has been issued pursuant to the provisions of this Subpart, the licensee shall notify the secretary in writing at least thirty days prior to the effective date of the discontinuance, sale, or transfer and shall surrender the license to the secretary. The notice shall state the effective date of the discontinuance and, if the licensee has transferred the business or otherwise relinquished control to another person by sale or otherwise, the date of the sale or transfer and the name and address of the person to whom the business was transferred or relinquished. The notice shall also include any other information required by the secretary. B. If a licensee liable for any tax, interest, or penalty levied in accordance with this Subpart sells or transfers the business or quits the business, the licensee shall make a final return and payment within fifteen days after the date of selling, transferring, or quitting the business. The purchaser or assigns, if any, shall withhold sufficient amounts of the purchase monies to cover the amount of taxes, interest, and penalties due and unpaid until such time as the former owner shall produce a receipt from the secretary showing that all taxes, interest, and penalties have been paid, or a certificate stating that no taxes, interest, or penalties are due. If the purchaser of a business fails to withhold purchase money, the purchaser shall be personally liable for the payment of the taxes, interest, and penalties accrued and unpaid on the account of the operation of the business by any former owner, owners, or assigns. C. In the case of a licensee who has quit a business but who subsequently opens another similar business under the same ownership, whether that ownership is individual, partnership, corporation, or other, that licensee shall be liable for any tax, interest, or penalty owed by the original business. Acts 2015, No. 147, §1, eff. July 1, 2015.