KRS 143.035 — Collection and payment of tax by processor -- Agreement with department

Notwithstanding any other provisions of this chapter to the contrary, where the
department finds that it would facilitate and expedite the collection of the tax imposed by
this chapter, the department may authorize the taxpayer processing the coal to repor t and
pay the tax which would be due from the taxpayer severing the coal. Authorization from
the department shall be in the form of an agreement executed by the taxpayer processing
the coal, the taxpayer severing the coal and the department. The agreement shall be in
such form as the department may prescribe. The agreement must be signed by the owners
if the taxpayers are natural persons; in the case of a partnership or association by a partner
or member; in the case of a corporation, by an executive office r or some person
specifically authorized by the corporation to sign the application. The director of the sales
and severance tax division shall sign for the department. The agreement may be
terminated by any party to the agreement upon giving thirty (30) days written notice to the
other parties to the agreement; however, the department may terminate the agreement
immediately upon written notice to the other parties when either the taxpayer processing
the coal or the taxpayer severing the coal fails to comply with the terms of the agreement.