1. (a) A private entity contracted by a county or municipality to audit business privilege taxes or business license taxes, when sending any written communication to a business entity that may owe a business privilege tax or business license tax, shall also send a letter or other official notice from the county or municipality that declares the private entity’s authority to collect taxes on behalf of the county or municipality.
2. (b) A county or municipality, on a form supplied by the Department of Revenue, shall notify the department if a private entity is contracted to collect business privilege taxes or business license taxes on behalf of the county or municipality.
3. (c) If a private entity fails to comply with subsection (a) or attempts to collect a business privilege tax or business license tax when the entity knows that the tax is not lawfully due, the entity shall be subject to a private right of action.
4. (d) Nothing in this section shall be construed as creating or implying a cause of action against a county or municipality, a county or municipal official, a county or municipal employee, or a county or municipal agency, board, or instrumentality.

(Act 2025-408, §5.)