AK SB136

Requires all taxpayers to submit tax returns and reports to the Department of Revenue electronically in a department-prescribed format, effective July 1, 2016.

Establishes a penalty of $25 or 1% of total tax (whichever is greater) for taxpayers who fail to submit returns electronically, unless they have received an exemption or can show reasonable cause.

Allows taxpayers to request a two-year exemption from electronic submission requirements by demonstrating lack of capability, with the option to reapply after the two-year period expires.

Repeals AS 43.52.255, eliminating the tax reduction for local levies on the commercial vessel passenger excise tax.

Amends the definition of "voyage" under the vessel passenger excise tax to mean any trip or itinerary lasting more than 72 hours, removing the geographic limitation to state marine waters.