Wis. Admin. Code § Tax 61.25 — Discretion of enforcement

Tax 61.25(1) (1) Consistent with s. 227.04 , Stats., the lottery shall exercise the following discretion in the enforcement of rules and guidelines against a small business:

Tax 61.25(1)(a) (a) For purposes of this section the definition of small business, under s. 227.114 (1) , Stats., shall include any retailer who holds a contract under s. Tax 61.08 , so that all retailers may expect the same treatment with respect to this section.

Tax 61.25(2) (2) If a retailer voluntarily discloses an actual or potential violation of lottery rules, guidelines, or terms of a contract with the lottery, the retailer shall be entitled to a reduction or waiver of any penalties associated with the disclosed potential violation. The amount of the reduction or the extent of the waiver shall be determined by the administrator on a case-by-case basis.

Tax 61.25(3) (3) Notwithstanding the provisions of sub. (2) , no reduction or waiver may be granted for any of the following situations:

Tax 61.25(3)(a) (a) The agency discovers the violation before the small business discloses the violation.

Tax 61.25(3)(b) (b) The violation is disclosed after an agency audit or inspection of the small business has been scheduled.

Tax 61.25(3)(c) (c) The violation was identified as part of the monitoring or sampling requirements that are consistent with the requirements under an existing permit.

Tax 61.25(3)(d) (d) The violation results in a substantial economic advantage for the small business.

Tax 61.25(3)(e) (e) The small business has repeatedly violated the same rule or guideline.

Tax 61.25(3)(f) (f) The violation may result in an imminent endangerment to the environment, or to public health or safety.

Tax 61.25(3)(g) (g) The violation is determined to be an act of deceit, fraud, misrepresentation or other conduct prejudicial to public confidence in the lottery.

Tax 61.25(3)(h) (h) The violation may give the retailer an unfair economic advantage over another retailer.

Tax 61.25(4) (4) A retailer may appeal a determination of inappropriate use of discretion as outlined in section s. Tax 61.10 . The administrator shall review each appeal on a case by case basis.