Arkansas Code § 26-52-606 - Election Results -- Effect

(a) (1) In the event a majority of the qualified electors of the Arkansas border city or town voting on the issue at the election vote FOR the imposition of an additional one percent (1%) gross receipts tax on taxable sales in the border city or town, then the additional one percent (1%) tax shall be levied effective January 1 next following the date of the election and thereafter.

(2) For as long as the additional one percent (1%) gross receipts tax is levied in the city, individuals who are residents of the city shall not be subject to the imposition of the Arkansas income tax, as levied by the Income Tax Act of 1929, ยง 26-51-101 et seq.

(b) If a majority of the qualified electors of the Arkansas border city or town shall vote AGAINST the levy of an additional one percent (1%) gross receipts tax in lieu of payment of the state income tax in the city, then the citizens of the city or town shall continue to pay state gross receipts tax and state income tax, as provided by law.

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Last modified: November 15, 2016