AB560,8,21 139.89 (title) Proof of payment or exemption. The department shall create a uniform system of providing, affixing and displaying stamps, labels or other evidence that the tax under s. 139.88 has been paid or that the dealer is exempt from tax under s. 139.885 (1). Stamps or other evidence of payment shall be sold at face value. Evidence of exemption under s. 139.885 (1) shall be issued without charge to a dealer who is determined to be exempt using the procedure under s. 139.885 (3). No dealer may possess any schedule I controlled substance or, any schedule II controlled substance or any plants or other material containing tetrahydrocannabinols unless the tax under s. 139.88 has been paid on it, as evidenced by a stamp or other official evidence issued by the department , or unless the dealer is exempt from tax under s. 139.885 (1). The tax under this subchapter is due and payable immediately upon acquisition or possessing of the schedule I controlled substance or, schedule II controlled substance or plants or other material containing tetrahydrocannabinols in this state, unless the dealer is exempt from tax under s. 139.885 (1), and the department at that time has a lien on all of the taxpayer's property. Late payments are subject to interest at the rate of 1% per month or part of a month. No person may transfer to another person a stamp or other evidence of payment or any evidence of exemption under s. 139.885 (1).

AB560, s. 8 Section 8. 139.90 (title) of the statutes is amended to read:

AB560,8,23 139.90 (title) No Limited immunity; presumption.

AB560, s. 9 Section 9. 139.90 of the statutes is renumbered 139.90 (1).

AB560, s. 10 Section 10. 139.90 (2) and (3) of the statutes are created to read:

AB560,9,3 139.90 (2) A dealer to whom the department has issued evidence of exemption under s. 139.885 (1) is immune from collection action under s. 139.95 (1) and criminal prosecution under s. 139.95 (2).

AB560,9,7 (3) Acquisition of evidence of exemption under s. 139.885 (1) does not create immunity for a dealer from criminal prosecution under ch. 961 but does provide the presumption under s. 961.437 (5) (a) that the medical necessity defense under s. 961.437 applies to the dealer.

AB560, s. 11 Section 11. 139.91 of the statutes is renumbered 139.91 (1) and amended to read:

AB560,9,12 139.91 (1) The department may not reveal facts obtained in administering this subchapter, except that the department may publish statistics that do not reveal the identities of dealers.

AB560,9,16 (2) Dealers may not be required to provide any identifying information in connection with the purchase of stamps, but dealers may be required to provide identifying information in connection with an application for exemption under s. 139.885 (1). No information

AB560,9,19 (3) (a) Except as provided in par. (b) and s. 139.885 (5), information obtained by the department may be used against a dealer in any criminal proceeding unless only if that information has been independently obtained, except in.

AB560,9,24 (b) The department may use information obtained in administering this subchapter, other than information specified in s. 139.885 (5), in connection with a proceeding involving possession of schedule I controlled substances or schedule II controlled substances on which the tax has not been paid or in connection with taxes due under s. 139.88 from the dealer.

AB560, s. 12 Section 12. 139.92 of the statutes is renumbered 139.92 (1) and amended to read:

AB560,10,12 139.92 (1) For Except as provided in sub. (2), for the purposes of determining the amount of tax that should have been paid, determining whether or not the dealer should have paid taxes or collecting any taxes under s. 139.88, the department may examine, or cause to be examined, any books, papers, records or memoranda that may be relevant to making those determinations, whether the books, papers, records or memoranda are the property of or in the possession of the dealer or another person. The department may require the attendance of any person having knowledge or information that may be relevant, compel the production of books, papers, records or memoranda by persons required to attend, take testimony on matters material to the determination, issue subpoenas and administer oaths or affirmations.

AB560, s. 13 Section 13. 139.92 (2) of the statutes is created to read:

AB560,10,19 139.92 (2) For the purpose of determining whether or not a dealer is exempt under s. 139.885 (1), the department may examine, cause to be examined or compel the production of only those parts of the medical records of the dealer or of the person with the medical need that relate to whether the dealer or the person with the medical need satisfies the requirements under s. 139.885 (2) and, if applicable, s. 139.885 (2m).

AB560, s. 14 Section 14. 139.93 (1) of the statutes is amended to read:

AB560,10,24 139.93 (1) The taxes, penalties and interest under this subchapter shall be assessed, collected and reviewed as are income taxes under ch. 71, except that applications for determination of exemption shall be reviewed as provided under s. 139.885.

AB560, s. 15 Section 15. 139.93 (2) of the statutes is amended to read:

AB560,11,25 139.93 (2) If Except as provided in s. 139.885, if the department finds that the collection of the tax under this subchapter is jeopardized by delay, the department may issue, in person or by registered mail to the last-known address of the taxpayer, a notice of its intent to proceed under this subsection, may make a demand for immediate payment of the taxes, penalties and interest due and may proceed by the methods under s. 71.91 (5) and (6). If the taxes, penalties and interest are not immediately paid, the department may seize any of the taxpayer's assets. Immediate seizure of assets does not nullify the taxpayer's right to a hearing on the department's determination that the collection of the assessment will be jeopardized by delay, nor does it nullify the taxpayer's right to post a bond. Within 5 days after giving notice of its intent to proceed under this subsection, the department shall, by mail or in person, provide the taxpayer in writing with its reasons for proceeding under this subsection. The warrant of the department shall not issue and the department may not take other action to collect if the taxpayer within 10 days after the notice of intent to proceed under this subsection is given furnishes a bond in the amount, not exceeding double the amount of the tax, and with such sureties as the department of revenue approves, conditioned upon the payment of so much of the taxes as shall finally be determined to be due, together with interest thereon. Within 20 days after notice of intent to proceed under this subsection is given by the department of revenue, the person against whom the department intends to proceed under this subsection may appeal to the department the department's determination that the collection of the assessment will be jeopardized by delay. Any statement that the department files may be admitted into evidence and is prima facie evidence of the facts it contains. Taxpayers may appeal adverse determinations by the department to the circuit court for Dane county.

AB560, s. 16 Section 16. 139.93 (3) of the statutes is amended to read:

AB560,12,4 139.93 (3) The taxes and penalties assessed by the department are presumed to be valid and correct. The Except as provided in s. 139.955 (2) and (3), the burden is on the taxpayer to show their invalidity or incorrectness.

AB560, s. 17 Section 17. 139.93 (5) of the statutes is amended to read:

AB560,12,8 139.93 (5) No Except as provided in s. 139.885 (5), no court may issue an injunction to prevent or delay the levying, assessment or collection of taxes or penalties under this subchapter.

AB560, s. 18 Section 18. 139.95 of the statutes is amended to read:

AB560,12,16 139.95 Penalties. (1) Any dealer who possesses a schedule I controlled substance or, a schedule II controlled substance or plants or other material containing tetrahydrocannabinols that does do not bear evidence that the tax under s. 139.88 has been paid or that the dealer is exempt under s. 139.885 (1) shall pay, in addition to the tax under s. 139.88, a penalty equal to the tax due. The department shall collect penalties under this subchapter in the same manner as it collects the tax under this subchapter.

AB560,12,21 (2) A dealer who possesses a schedule I controlled substance or, a schedule II controlled substance or plants or other material containing tetrahydrocannabinols that does do not bear evidence that the tax under s. 139.88 has been paid or that the dealer is exempt under s. 139.885 (1) may be fined not more than $10,000 or imprisoned for not more than 5 years or both.

AB560,13,5 (3) Any person who falsely or fraudulently makes, alters or counterfeits any stamp or procures or causes the same to be done or who knowingly utters, publishes, passes or tenders as true any false, altered or counterfeit stamp or who affixes a counterfeit stamp to a schedule I controlled substance or , a schedule II controlled substance or plants or other material containing tetrahydrocannabinols or who possesses a schedule I controlled substance or, a schedule II controlled substance or plants or other material containing tetrahydrocannabinols to which a false, altered or counterfeit stamp is affixed may be fined not more than $10,000 or imprisoned for not less than one year nor more than 10 years or both.

AB560, s. 19 Section 19. 139.955 of the statutes is created to read: