HomeMy WebLinkAboutPH 3 BUS TAX ORD. 11-07-83OATE:
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November 7, 1983
PUBLIC HEARINGS
NO. 3
11-7-83
Inter-Corn
Honorable Mayor & City Council Members
Community Development Department
Amendment to the Business Tax Ordinance
O~scusston
The City of Tustin, like most cities throughout the State of California, has a
business tax ordinance, commonly known as a business license ordinance, for the
purpose of generating revenue and monitoring zoning compliance for'
non-residential land uses. Tustin has existed for many years with a business
tax ordinance and fee schedule which has not been changed in relation to
inflation or to the cost of administering this program. Our present fee
schedule of $25.00 to a maximmn of $100.00 annually has not been changed since
1963. While it is reasonable to believe a low tax schedule helps attract new
business to our city, a fee schedule which is this abnormally low is virtually
not worth the cost to collect. In staff's opinion, the major businesses which
generate gross annual revenues exceeding $600,000 are ~aying a
disproportionately small tax of $100.00 in relation to the business grossing
$25,000 annually which pays $25.00.
A staff committee, comprised of the City Manager, Finance Director and Director
of Community Development has met with the Chamber of Commerce sub-committee on
business tax to resolve an equitable solution which benefits both interests.
Essentially, the Chamber. of Commerce responded with recommendations to increase
the base fee from $25.00 to $50.00 but cap the annual maximum fee at $2,500.
Staff is therefore finalizing the proposed fee schedule which will be submitted
to Council at a future meeting. However, the business tax ordinance required
several other technical changes which are necessar~ at this time. Attached is
staff's proposed amendment to the City code which, when adopted, will allow
Council to establish the fee schedule by resolution at a future meeting.
Staff will be prepared at the Council meeting to discuss proposed modifications
to the Code and questions Council may have.
Recommendation
That Ordinance No. 897 have first reading by title only.
That ~dinance No. 897 be introduced.
Director' of Community Development
DDL:jh
Attachment
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ORDINANCE NO. 897
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN,
CALIFORNIA, AMENDING SECTION 2500 ET. SEQ. OF THE TUSTIN
CITY CODE, RELATIVE TO BUSINESS LICENSE TAXES
The City Council of the City of Tustin does hereby ordain as
follows:
I. That Section 2500 et. seq. of the Tusttn City Code is
hereby amended in its entirety to read as follows:
2511 INTRODUCTION
a Definitions
"Business" includes professions, trades and
occupations, and all and every kind of calling,
whether or not for profit.
"Person" includes all domestic and foreign
corporations, associations, syndicates, joint stock
corporations, partnerships of every kind, clubs,
institutions, business or con~aon law trusts,
societies and individuals transacting and carrTing on
any business in the City, other than as an employee.
:'Retail Business" includes all businesses that
generate over 50% of their gross receipts, as deftned
in Section 2522b, from the retail sale of goods and
products.
"Wholesale Business" includes al'l businesses that
generate over 50% of their gross receipts, as defined
in Section 2522b, from the wholesale sale of goods
and products.'
"Manufacturing" includes all businesses, consisting
primarily of manufacturing, packing, processing,
assembling, canning or fabricating goods for produce.
"Service" includes all professions, trades ~r
occupations, not including retail or wholesale sales,
or manufacturing, and not otherwise specifically
named or described, and involving principally a
service rather than a sale or the furnishing or
rendering of a facility or thing.
b Chapter for Revenue Purposes
This Chapter is enacted soley to raise revenue for
municipal purposes, and is not intended for
regulation.
Ordinance 897
Page 2
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c Not Substitute for Other Licensing Measures
Persons required to pay a license tax for transacting
and carrying on any business under this Chapter shall
not be relieved from the payment of any license tax
for the privilege of doing such business as required
by any other ordinance of the City, and shall remain
subject to the regulatory provisions of other
ordinances.
d Effect on Prior' Obligations and Actions
Neither the adoption of this Chapter nor its
superseding of any portion of any other ordinance of
the City shall in any manner be construed to affect
prosecution for violation of any other ordinance
committed prior to the effective date hereof, nor be
construed as a waiver of any license or any penal
provision applicable tm any such violation, nor be
construed to affect the validity of any bond or cash
deposit, required by any ordinance to be posted, filed
or deposited, and all rights and obligations
thereunto appertaining shall continue in full force
and effect.
2512 LICENSE REQUIRED'
a License Tax Imposed
There are hereby imposed upon the businesses, trades,
professions, callings and occupations specified in
this Chapter, license taxes in the amounts
hereinafter prescribed. It shall be unlawful for any
person to transact and carry on any business, trade,
profession, calling or occupation in the City without
first having procured a license from the City to do
so, or without complying with any and all applicable
provisions of this Chapter.
b Certain Businesses Exempted
Subsection (a) shall not be construed to require any
person to pay a license tax prior to doing business
within the City if such requirement conflicts with
applicable statutes of the United State of America or
of the State. However, persons not required to
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Ordinance 897
Page 3
pay a business l(cense tax shall subm(t a completed
application and shall receive a license certificate
for display as required by Section 2512(i) of this
Chapter.
There shall be exempt from the provisions, of this
Chapter, the business of any express corporation,
freight forwarder, motor transportation broker, or
person or corporation owning or operating motor
vehicles in the transportation of property for hire
upon the public highways, under the jurisdiction of
the Public Utilities Commission of the State of
California, which consists of the transportation of
property, and every service performed in connection
therewith, other than where the origin point and the
destination point of such transported property are
within the boundaries of the City of Tustin.
c Branch Establishments
A separate license must be obtained for each branch
establishment or location of the business transacted
and carried on, and for each type of business at the
same location, and each license shall authorize the
licensee to transact and carry on only the business
licensed thereby at the location or in the manner
designated in such license; provided, that warehouses
and distributing plants used in connection with and
incidental to a business licensed under the
provisions of this Chapter shall not be deemed to be
separate places of business or branch establishments.
d Issuance of License
Every person required to have a license under the
provisions of this Chapter shall make application to
the Director of Community Development of the City in
such form as the Director of Community Development
shall designate, and upon payment of a prescribed
license tax, the Director of Community Development
shall issue to such person a license which shall
contain (1) the name of the person to whom the
license is issued,'(2) the business licensed, (3) the
place where such business is to be transacted and
carried on, (4) the date of expiration of such
license, and (5) such other information as the
Director of Community Development may deem reasonable
or necessary for the enforcement of the provisions of
this Chapter.
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Ordinance No. 897
Page 4
All information specified to be set forth on any
application form prescribed by the Director of
Community Development shall be submitted completely
and accurately and the license subsequently issued
shall be based upon the information submitted. Any
license shall be deemed based upon the application on
file, and if the information is incomplete or
inaccurate, the license shall be deemed invalid. If
information submitted in an application subsequently
becomes incomplete or inaccurate by reason of a
change in circumstances, the license shall thereafter
be deemed invalid. Upon the Director of Community
Development learning of any inaccuracy or
incompleteness, notice shall be given forthwith to
the licensee, at the address shown on the license,
that the license is invalid.
Upon notification that a license is invalid, the
licensee shall furnish all information necessary to
correct the license to the Director of Community
Development within ten (10) days.
e Investigation of Application
The Director of Community Development shall make such
investigations and inspections required for
particular businesses as may be necessary, and may
designate investigations and inspections to be made
by other departments in accordance with the following
general guides:
(1) The Department of Building and Safety shall
review applications involving a change of occupancy
of any portion of a building, and in such other
circumstances as may involve questions of compliance
with building, electrical, plumbing or other
construction codes.
(2) The Fire Department shall review
applications which involve businesses or premises
which may constitute substantial fire risks, or any
risks of serious danger to human life or property.
(3) The Police Department shall review
applications for businesses which may affect public
morals, involve substantial danger of fraud or
deception, pose unusual police problems, may involve
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Ordinance No. 897
Page 5
the handling or receiving of stolen goods to a higher
degree than usual, tend to affect traffic control,
involve public assembly, include police-type
functions, are of a kind which tend to attract or.
involve undesirable persons or otherwise
substantially affect public safety. ~f the Police
Department, in the person of the Chief of Police or
his designated representative, determines that it is
reasonable or necessary, it may require
fingerprinting and photographing of a proposed
licensee, and any or all of its officers, partners,
owners, managers, or employees.
(4) The Health Department shall review
applications for businesses which involve the
preparation, storage or sale of food or drink, except
in sealed containers.
(5) Other departments, agencies or officers
shall review applications when the proposed business
poses .special problems dealt with'by such department,
agency or officer.
Based upon request of any of the departments
mentioned in this Section, the Director of Community
Development may withhold issuance of the license
until all information required by the department(s)
is submitted.
f Appeal Decision of Director of Community
Development
Any person may appeal to the City Council any
decision of the Director of Community Development
with respect to the issuance or refusal to issue such
license by filing a notice of appeal with the Clerk
of the Council. The Council shall thereupon fix a
time and place for hearing such appeal. The Clerk of
the Council shall give' notice to such person of the
time and place of hearing by serving it personally or
by depositing it in the United States Post Office at
Tustin, California, postage prepaid, addressed to
such person at his last known address. The Council
shall have the authority to determine all questions
raised on such appeal. No determination shall
conflict with any substantive provision of this
Chapter.
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Ordinance No. 897
Page 6
g Licenses Not Transferable
No license issued pursuant to this Chapter shall be
transferable; provided, that where a license is
issued authorizing a person to transact and carry on
a business at a particular place, such licensee may,
upon application therefor and payment of a fee to be
set by resolution by the City Council, have the
license amended to authorize the transacting and
carrying on of such business under such license at
some other location to which the business is or is to
be moved.
h Duplicate Licenses
A duplicate license may be issued by the Director of
Community Development to replace any license
previously issued hereunder which has been lost or
destroyed, upon the licensee filing a statement of
such fact.
i posting and Display of LicenseI
All licenses must be kept and posted in the following
manner:
(1) Any licensee transacting or carrying on a
business at a fixed place of business in the City
shall keep the license posted in a conspicuous place
upon the premises where such business is carried on.
(2) Any licensee transacting or carrying on
business but not operated at a fixed place of
business in the City shall keep the license upon his
person at all times while transacting and carrying on
such business. Any agent Or employee of any such
licensee shall carry in his possession an employee's
license card, which shall be provided to any such
licensee upon request by the Director of Community
Development.
2513 EXEMPTIONS FROM TAX PAYMENT
a Generally
Nothing in this Chapter shall be deemed or construed
to apply to any person transacting and carrying on
any business exempt, by virtue of the Constitution or
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Ordlnance No. 897
Page 7
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applicable statutes of the United States of America
or of the State, from the amount of such taxes as are
herein precribed.
None of the license taxes provided for by this
Chapter shall be so applied as to occasion an undue
burden upon interstate commerce. In any case where a
license tax is believed by a licensee or applicant
for a license to place an undue burden upon such
commerce, he may apply to the Director of Community
Development for an adjustment of the tax so that it
shall not be discriminatory or unreasonable as to
such commerce. Such applciation may be made before,
at or within six (6) months after payment of the
prescribed license tax. The applicant shall, by
affidavit and supporting testimony, show his method
of business and the gross 9olume or estimated gross
volume of business, and such other information as the
Director of Community Development may deem necessary
in order to determine the extent, if any, of such
undue burden on such commerce. The Director of
Community Development shall then conduct an
investigation, and, after first having obtained the
written approval of the City Attorney, shall affix as
the license tax for the applicant an amount that is
reasonable and nondiscriminatory, or, if the license
tax has alreadY been paid, shall order a refund of
the amount over and above the license tax so fixed.
In fixing the license tax to be charged, the Director
of Community Development shall have the power to base
the license tax upon a percentage of gross receipts,
or any other measure which will assure that the
license assessed will. be uniform with that assessed
on business of like nature, so long as the amount
assessed does not exceed the license tax as
prescribed by this Chapter. Should the Director of
Community Development determine the gross receipts
measure of license tax to be the proper basis, he may
require the applicant to submit, either at the time
of termination of applicant's business in the City or
at the end of each three-month period, a sworn
statement of the gross receipts, and pay the amount
of license tax therefrom; provided, that no
additional license tax, during any one calendar year,
shall be required after licensee shall have paid an
amount equal_to the annual license tax, as prescribed
in this Chapter.
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Ordinance No. 897
Page 8
b Organizations and Persons Exempted
No person shall solicit donations or contributions
within the City without first having obtained a
license and endorsement of such license by the
Director of Community Development giving approval for
a particular solicitation for stated purposes for a
specified period only.
A license may be obtained without payment of the
usual tax under the provisions of this Section by the
following:
(1) Any institution or organization which is
conducted, managed or carried on wholly for the
benefit of charitable, religious, eleemosynary or
benevolent purposes, and from which no profit is
derived, either directly or indirectly, subject to
compliance with the provisions of this Chapter.
(2) Any non-profit institution or organization
.as to particular entertainment, fund-raising venture,
solicitation, carnival, fair or other enterprise,
when all of the net proceeds of the entertainment,
fund-raising venture, solicitation, carnival, fair or
other enterprises are set aside for a church, school,
religious, benevolent, charitable or eleemosynary
purpose, and no profit or benefit is derived from the
proceeds of said entertainment, fund-raising venture,
solicitation, carnival, fair or other enterprise by
any person, directly or indirectly and provided
further, that no solicitation or function shall be
engaged in within the City except in conformance with
the provisions of all applicable ordinances of the
City regulating such activities.
Provided further, however, that a part of the
proceeds of a particular entertainment, fund-raising
venture, solicitation, carnival, fair or other
enterprise are to be received by a non-profit
institution or charitable organization and part of
the funds are to be received by, or are, for the
direct or indirect benefit of any other person,
institution or organization, then in such event the
tax which would ordinarily be charged for such
venture if it were wholly a profit venture shall be
reduced to the same percentage of such ordinary
charge as the percentage of the proceeds to be
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Ordinance No. 897
Page 9
received by any institution, organization or person
other than the non-profit institution or organization
bears to the total proceeds of the venture.
(3) Any former member of the armed forces of the
Untted States who has received an honorable discharge
or a release from acttve duty under honorable
conditions from such service as to sellfng or
deltvery of circulars, peddling or vendtng of any
goods, wares or merchandise owned by him, except
spirituous, malt, vtnous or other intoxicating liquor
If physically unable to obtain a livelihood by manual
labor due to service incurred disability.
(4) Any doctor, lawyer, architect or other
professional person licensed by the State not having
a fixed place of business within the City, and not
doing business within the City other than occasional
furnishing of professional services wholly negotiated
and contracted for outside the City.
(5) Any public utility making franchise payments
to the City, as to the franchise activity upon which
such payments are based.
(6) Any farmer or grower within the City limits
who sells at wholesale only.
c Procedure for Obtaining Tax-Exempt Licenses
(1) A tax-exempt license may be issued by the
Director of Community Development to any person when
the application for issuance of a business license is
accompanied by a verified, or certified under penalty
of perjury, statement of the facts clearly showing
that the applicant meets the requirements of one or
more of .the classifications set forth in Section
2513b.
(2) The burden of proof of entitlement to
exemption shall in all cases be upon the applicant to
establish the facts showing entitlement to a
tax-exempt license. The Director of Community
Development may prescribe the form or forms of
statements of fact required and may require the
applicant to present such other proof of entitlement
as may be reasonable in the particular case.
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Ordinance No. 897
Page 10
d Appeal of Denial of Tax-Exempt License
Any person denied a tax-exempt license or endorsement
for a particular solicitation by the Director of
Community Development, after compliance with the
procedural requirements thereof, and believing
himself to be entitled to receive tax-exemption or
solicitation endorsement on the basis of the
information filed with the Director of Community
Development, may appeal to the City Council for its
order directing the Director of Community Development
to grant such exemption or solicitation endorsement.
Appeal shall be in writing, filed in triplicate with
the Director of Community Development, and shall
clearly and consisely state:
(1) Subdivision of Section 2513b entitling such
applicant to such exemptions or solicitation
endorsement.
(2) The facts relied upon to establish that
applicant meets the requirements and conditions of
such subdivisions.
(3) That the applicant has disclosed all such
facts to the Director of Community Development.
(4) That the applicant has filed a duly executed
statement of facts as required, and such other proof
of entitlement as the Director of Community
Development has requested.
The City Council may decide such appeal and shall
deny the same unless it finds that the written appeal
complies with the requirements of this Section, that
the applicant has furnished to the Director of
Community Development all of the documents and data
reasonably ~equired by him and that the applicant,
upon the record, is entitled to exemption from the
usual taxes or to a solicitation endorsement.
e Limitations on Tax-Exempt Licenses
(1) Ever7 license issued without payment of the
usual tax shall be stamped "Exempt" upon its face.
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Ordinance No. 897
Page 1!
(2) Any license issued as tax-exempt may be
revoked by the Director of Community Development in
the event it ts determined by the Director of
Community Development that the applicant is not
entitled to exemption, except that no such ltcense
shall be revoked without forty-eight (48) hours
notice to the licensee.
(3) Any license issued as tax-exempt shall be
void and shall afford no defense in any civil or
criminal prosecution if any material statement
contained in the application, statement of facts or
any other document or representation made to the
Director of Community Development in claiming
exemption is false or fraudulent.
(4) No tax-exempt license may be transferred.
(5) Upon any uncertainty, for lack of
information or otherwise, as to the entitlement of
any organization or activity to a tax-exempt license,
the Director of Community Development may require the
filing of a verified report of all funds received and
disbursed by any licensee. Upon demand such licensee
shall file its report in the form and detail as
required by the Director of Community Development
within fifteen (15) days after demand.
2514 STATEMENTS
a Renewal Affidavit
In all cases the applicant for renewal of a license
shall submit to the Director of Community Development
for his guidance in ascertaining the amount of
license tax to be paid by applicant, a written
statement upon a form to be provided by the
Director of Community Development, sworn to before a
person authorized to administer oaths, or certified
under penalty of perjury, setting forth such
information concerning the applicant's business
during the preceding year as may be required by the
Director of Community Development to enable him to
ascertain the amount of license tax to be paid by
such applicant pursuant to the provisions of this
Chapter.
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Ocdinance No. 897
Page 12
b Not Conc.1 usive
No statement shall be conclusive as to the matters
set forth therein, nor shall the filing thereof
preclude the City from collecting, by appropriate
action, such sum as is actually due and payable
hereunder.
c Examination by Experts
The Director of Community Development, with the
approval of the City Council, is hereby authorized
and empowered to retain from time to time accountant
or accountants licensed by the State to examine,
audit and inspect the books and records Of any
licensee or applicant for a license to ascertain and
verify that the matters in any statement or
statements are correct. Upon any such verification
by accountant or accountants no information shall be
given to the Director of Community Development by
such accountant or accountants other than that the
statement is correct or incorrect.
All licensees, applicants for licenses and persons
engaged in business in the City are hereby required
to permit examination of their books and records for
the purposes aforesaid.
All information furnished or secured on all
applications pursuant to this Section and/or Section
2512(d) shall be considered confidential except the
following:
(1) name, address and telephone number of
business;
(2) name of business owner;
(3) status of business (sole proprietor,
partnership, corporation, etc..);
(4) date license originally issued.
Any unauthorized disclosure or use of such
information considered to be.confidential by any
officer or employee of the City or by any accountant
or accountants retained as provided herein shall
constitute a misdemeanor, and such person shall be
subject to the penalty provisions of Section 1121, in
addition to any other penalties provided by law.
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Ordinance No. 897
Page 13
d Failure to File; Hearing Before City Council
If any person fails to file any required statement
within the time prescribed, or if at the demand
therefor made by the Director of Community
Development he fails to file a corrected statement,
the Director of Community Development may determine
the amount of license tax due from such person by
means of such information as he may be able to
obtain.
If such determination is made, the Director of
Community Development shall give a notice of the
amount so assessed by serving it personally or
depositing it in the United States Post Office in
Tustin, California, postage prepaid, addressed to the
person so assessed at his last-known address. Such
person may, within fifteen (15) days after the
mailing or serving of such notice, make application
in writing to the Director of Community Development
for a hearing on the amount of the license tax. If
such application is made, the Director Of Community
Development shall cause the matter to be set for
hearing within fifteen (15) days before the City
Council. The Director of Community Development shall
give at least ten (10) days notice to such person of
the time and place of hearing in the manner
prescribed for service of notices of assessment. The
City Council shall consider all evidence produced and
shall make findings thereon, which shall be final.
Notice of such findings shall be served upon the
applicant in the manner' prescribed above for serving
notices of assessment.
e Extension of Time for Filing
In addition to all other power conferred upon him,
the Director of Community Development shall have the
power, for good cause shown, to extend the time for
filing any required sworn statement for not exceeding
thirty (30) days, and in such case to waive any
penalty that would otherwise have accrued; and shall
have the further power, with the consent of the City
Council, to compromise any claim as to the amount of
license tax due.
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Ordinance No. 897
Page 14
2515 UNLAWFUL BUSINESS NOT AUTHORIZED
No license issued under the provisions of this
Chapter, or the payment of any tax required under the
provisions of this Chapter shall be construed as
authorizing the conduct or continuance of any illegal
business or of a legal business in an illegal manner.
2516 ENFORCEMENT OF CHAPTER; RIGHT OF ENTRY
It shall be the duty of the Director of Community
Development, and he is hereby directed,.to enforce
each and all of the provisions of this Chapter, and
the Chief of Police shall render such assistance in
the enforcement hereof as may from time to time be
required by the Director of Community Development or
the City Council.
The Director of Community Development, in the
exercise of the duties imposed upon him hereunder,
and acting through his deputies or duly authorized
assistants, shall examine or cause to be examined all
places of business in the City to ascertain whether
the provisions of this Chapter have been complied
with.
The Director of Community Development and each and
all of his assistants and any police officer shall
have the power and authority to enter', fre~ of charge
and at any reasonable time, any place of business
required to be licensed herein and demand an
exhibition of its license certificate. Any person
having such license certificate theretofore issued in
his possession or under his control who willfully
fails to exhibit the same on demand shall be guilty
of a misdemeanor and subject to the penalties
provided for by Section 1121. It shall be the duty
of the Director of Community Development and each of
his assistants to cause a complaint to be filed
against any and all persons found to be violating any
of such provisions.
2517 REMEDIES DEEMED CUMULATIVE
All remedies precribed hereunder shall be cumulative
and the use of one or more remedies by the City shall
not bar the use of any other remedy for the purpose
of enforcing the provisions of this Chapter.
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Ordinance No. 896
Page 15
3
PART 2 TAXES
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2521 REQUIRED TO BE PAID
a Generally
Every person who engages in business within the City
shall pay a license tax upon business done within the
City annually, unless otherwise provided in this
Chapter, in the amounts and at the rates herein after
designated.
b Unexpired Licenses
Where a license for revenue purposes has been issued
to any business by the City, and the tax paid
therefor under the provisions of any ordinance
heretofor enacted, and the terms of such license have
not expired, then the license tax prescribed by this
Chapter for' such business shall not be payable until
the exp!ration of the term of such unexpired license.
c Penalties for Failure to Pay When Due
For failure to pay the license tax when due, the
Director of Community Development shall add a penalty
of twenty-five percent (25%) of such license tax on
the last day of each month after the due date
thereof; provided, that the amount of such penalty to
be added shall in no event exceed one hundred percent
(100%) of the amount of the license tax due.
d When Payable
Unless otherwise specifically provided, all annual
license taxes under the provisions of this Chapter
shall be due and payable in advance on the first day
of January of each year; provided, that license taxes
covering new operations commenced after the first day
of January may be pro-rated for the balance of the
license period, by quarters.
Except as otherwise herein provided, license taxes
required hereunder shall be due and payable as
follows:
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Ordinance No. 897
Page 16
(1) Annual: Due and payable on the first day of
January of each year; delinquent on January 31 of the
same year.
(Z) Weekly flat-rate license taxes: On Monday of
each week, in advance.
(3) Daily fl at-rat~ license taxes: Each day, in
advance.
(4) New businesses: Due immediately prior to
commencement of business, and delinquent on the first
day of commencement of business.
e Deemed Debt Owed City
The amount of any license tax and penalty imposed by
the provisions of this Chapter shall be deemed a debt
to the City. An action may be commenced in the name
of the City in any court of competent jurisdiction
for the amount of any deliquent license tax
penalites.
2522 TAX BASED ON GROSS RECEIPTS
a Original License
Upon a person making application for the first
license to be issued hereunder or for a newly
established business, such person if engaged in
business or registering in the first quarter of the
calendar year shall pay a sum in advance determined
by resolution of the City Council.
The Director of Community Development shall not issue
to any person another'license for the same or any
other business until such person shall have furnished
to him the written statement and paid the license tax
required by this Chapter.
b Determination of Tax
The license tax for any business whose license is
obtained for retail or wholesale sales, manufacturer
or professional services, shall be based upon the
gross reCetpts of such buslness for the preceding
year, except that in the case of a new business as
described in Section 2522a. All other businesses
shall be taxed based upon an enumerated business
schedule to be established by resolution of the City
Council.
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Ordinance No. 897
Page 17
Persons making application for any bustnes license
shall furnish to the Director of Community
Development a verified written statement upon the
form provided by the Director of Community
Development setting forth such information as may be
herein referred to and required and as may be
necessary to determine the amount of license tax to
be paid by the applicant, which estimate, if accepted
by the Director of Community Development as
reasonable, shall be used to determine the amount of
license tax to be paid.
"Gross receipts" shall include the total amount of
the sale price of all sales and the total amount
charged or received for the performance of any act or
service of whatever nature it may be for. which a
charge is made or credit allowed, whether or not such
act or' service is done as a part of or in connection
with the sale of materials, goods, wares or
merchandise.
Included in "gross receipts" shall be all receipts,
cash, credits and property of any kind or nature'
without any deduction therefrom on account of the
cost of the property sold, the cost of the materials
used, labor or service costs, interest paid or
payable or losses or other expenses whatsoever.
Also, included in "gross receipts" shall be the
wholesale value of any product manufactured, packed,
processed, assembled, canned or fabricated, but not
sold from the same location within the City.
Excluded from "gross receipts" shall be cash
discounts allowed and taken on sales; credit allowed
on property sold; and tax required by law to be
included in or added to the purchase price and
collected from the consumer, or purchaser; such part
of the sale price of property returned by purchasers
upon recission of the contract of sale as is refunded
either in cash or by credit; amounts collected
for others where the business is acting as an agent
or trustee to the extent that such amounts are paid
to those for whom collected, established by
resolution of the City Council.
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Ordinance No. 897
Page 18
PASSED AND ADOPTED at a regular meeting of the City Council, held on
the day of , 1983.
ATTEST:
Ronald B. Hoesterey, Mayor
Mary E. Wynn
City C1 erk