and destination determination. Sec. 406. General administrative matters. Sec. 407. Jurisdiction. 401. Authority for States to collect tax (a) In General The tax imposed by section 101 on gross payments for the use or consumption of taxable property or services within a State shall be administered, collected, and remitted to the United States Treasury by such State if the State is an administering State. (b) Administering State For purposes of this section, the term administering State means any State— (1) which maintains a sales tax, and (2) which enters into a cooperative agreement with the Secretary containing reasonable provisions governing the administration by such State of the taxes imposed by the subtitle and the remittance to the United States in a timely manner of taxes collected under this chapter. (c) Cooperative Agreements The agreement under subsection (b)(2) shall include provisions for the expeditious transfer of funds, contact officers, dispute resolution, information exchange, confidentiality, taxpayer rights, and other matters of importance. The agreement shall not contain extraneous matters. (d) Timely Remittance of Tax (1) In general Administering States shall remit and pay over taxes collected under this subtitle on behalf of the United States (less the administration fee allowable under paragraph (2)) not later than 5 days after receipt. Interest at 150 percent of the Federal short-term rate shall be paid with respect to amounts remitted after the due date. (2) Administration fee An administering State may retain an administration fee equal to one-quarter of 1 percent of the amounts otherwise required to be remitted to the United States under this chapter by the administering State. (e) Limitation on Administration of Tax by United States The Secretary may administer the tax imposed by this subtitle in an administering State only if— (1) (A) such State has failed on a regular basis to timely remit to the United States taxes collected under this chapter on behalf of the United States, or (B)