This bill amends the gross receipts tax laws in Arkansas by requiring buyers of new or used motorboats to remit the gross receipts tax directly to the Department of Finance and Administration, rather than having the seller collect it. The new section added to the Arkansas Code defines "motorboat" and "seller," clarifying that the seller refers to a motorboat dealer and not an individual. The consumer is responsible for paying the tax at or before the time of registration of the motorboat, as mandated by existing law.

Additionally, the bill establishes penalties for consumers who fail to pay the taxes when due, including a ten percent penalty on the amount owed. The registration of the motorboat will not be completed until the taxes and any applicable penalties are paid. The provisions of this act will take effect on the first day of the calendar quarter following its effective date.