2.__Notify assessor.__A municipality that imposes a local option income tax under this section shall notify the assessor at least 90 days before the local tax is effective.

3.__Administered by State.__A taxpayer in a municipality that has imposed a local option income tax under this section shall pay that tax at the time of and in the manner provided for the payment of state income tax.__The tax is subject to the same interest, penalties and administrative actions as other taxes assessed under this Part.

4.__Transfer of revenue.__Each month the assessor shall identify the amount of revenue attributable to each municipality under this section, subtract 15% and certify the net amount due each municipality to the Treasurer of State and the Commissioner of Education.__The Treasurer of State shall make monthly payments to municipal treasurers of the net amounts certified by the assessor under this subsection.__ Revenue collected pursuant to this section is not considered to be receipts from the taxes imposed under this Part for purposes of transfers to the Local Government Fund under Title 30-A, section 5681.

5.__Use of income tax revenue.__The revenue raised by the adoption of a local option income tax must be expended by the municipality in the same manner that the municipality expends general purpose aid for local schools under Title 20-A, chapters 606 and 606-A.

6.__Referendum.__The question of whether to impose a local option income tax must be submitted to the legal voters of a municipality that seeks to impose the local option income tax.

The petition process and the voting at elections held in towns and plantations must be held and conducted in accordance with Title 30-A, sections 2528, 2529 and 2532 even if the municipality has not accepted the provisions of section 2528.__ The voting at

elections held in municipalities must be held and conducted in accordance with Title 21-A.

The municipal clerk shall make a return of the results, certify the results and send them to the Secretary of State.__ The Secretary of State shall forward the results to the assessor.

The local option income tax may be discontinued by referendum conducted in the same manner as is the referendum adopting the tax under this section.