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HomeMy WebLinkAboutOrd 0996ORDINANCE NO. 996 AN ORDINANCE AMENDING CHAPTER 4.08 (UNIFORM LOCAL SALES AND USE TAX) OF THE MUNICIPAL CODE IMPOSING A SALES AND USE TAX TO BE ADMINISTERED BY THE STATE BOARD OF EQUALIZATION AND PROVIDING PENALTIES FOR VIOLATIONS The City Council of the City of Burlingame does ordain as follows: amended to provide as follows: "Chapter 4.08 UNIFORM LOCAL SALES AND USE TAX Sections: 4.08.010 4.08.020 4.08.030 4.08.040 4.08.050 4.08.060 4.08.070 4.08.080 4.08.090 4.08.100 4.08.110 4.08.120 4.08.130 4.08.140 Section 1: Amendment. Chapter 4.08 Short title. Rate. Operative date. Purpose. Contract with State. Sales tax. Place of sale. Use tax. Adoption of provisions of State law. Limitations on adoption of State law. Permit not required. Exclusions and exemptions. Exclusions and exemptions. Application of provisions relating to exclusions and exemptions. (Uniform Sales and Use Tax) of the Municipal Code of the City of Burlingame is amended to provide as follows: "Chapter 4.08 UNIFORM LOCAL SALES AND USE TAX Sections: 4.08.010 4.08.020 4.08.030 4.08.040 4.08.050 4.08.060 4.08.070 4.08.080 4.08.090 4.08.100 4.08.110 4.08.120 4.08.130 4.08.140 Short title. Rate. Operative date. Purpose. Contract with State. Sales tax. Place of sale. Use tax. Adoption of provisions of State law. Limitations on adoption of State law. Permit not required. Exclusions and exemptions. Exclusions and exemptions. Application of provisions relating to exclusions and exemptions. 4.08.150 4.08.160 4.08.170 Amendments. Enjoining collection forbidden. Penalties. - 1 - §4.08.010. SHORT TITLE. This chapter shall be known as the Uniform Local Sales and Use Tax Ordinance. §4.08.020. RATE. The rate of sales tax and use tax imposed by this ordinance shall be Ninety-five hundredths of one per cent. 94.08.030. OPERATIVE DATE. This ordinance shall be operative on January 1, 1974. §4.08.040. PURPOSE. The City Council hereby declares that this ordinance is adopted to achieve the following, among other, purposes, and directs that the provisions hereof be inter- preted in order to accomplish those purposes: (a) To adopt a sales and use tax ordinance which complies with the requirements and limitations contained in Part 1.5 of Division 2 0£ the Revenue and Taxation Code; (b) To adopt a sales and use tax ordinance which incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those pro- visions are not inconsistent with the requirements and limi- tations contained in Part 1.5 of Division 2 of the Revenue and Taxation Code; (c) To adopt a sales and use tax ordinance which imposes a tax and provides a measure therefor that can be administered and collected by the State Board of Equaliza- tion in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Board of Equalization in administering and col- lecting the California State Sales and Use Taxes; - 2 - (d) To adopt a sales and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting city sales and use taxes and at the same time minimize the burden of record keeping upon persons sub- ject to taxation under the provisions of this ordinance. §4.08.050. CONTRACT WITH STATE. Prior to the operative date this city shall contract with the State Board of Equalization to perform all functions incident to the administration and opera- tion of this sales and use tax ordinance; provided, that if this city shall not have contracted with the State Board of Equaliza- tion prior to the operative date, it shall nevertheless so con- tract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract rather than the first day of the first calendar quarter following the adoption of this ordinance. §4.08.060. .SALES TAX. For the privilege of selling tangible personal property at retail a tax is hereby imposed upon all retailers in the city at the rate stated in §4.08.020 of the gross receipts of the retailer from the sale of all tangible per- sonal property sold at retail in this city on and after the operative date. 5 4.08.070. PLACE OF SALE. For the purposes of this ordinance, all retail sales are consummated at the place of bus i- ness of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out -of -State des- tination or to a common carrier for delivery to an out -of -State - 3 - destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the State sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no .permanent place of business in the ': State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Board of Equalization. §4.08.080. USE TAX. An excise tax is hereby imposed on the storage, use or other consumption in this city of tangible personal property purchased from any retailer on and after the operative date for storage, use or other consumption in this city at the rate stated in §4.08.020 of the sales price of the property The sales price shall include delivery charges when such charges are subject to State sales or use tax regardless of the place to which delivery is made. §4.08.090. ADOPTION OF PROVISIONS OF STATE Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of the Revenue and Taxation Code are here- by adopted and made a part of this ordinance as though fully set forth herein. §4.08.100. LIMITATIONS ON ADOPTION OF STATE LAW. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the State of California is named or referred to as the taxing agency, the name of this City shall be - 4 - substituted therefor. The substitution, however, shall not be made when the word "State" is used as part of the title of the State Controller, the State Treasurer, The State Board of Control,' the State Board of Equalization, the State Treasury, or the Constitution of the State of California; the substitution shall not be made when the result of that substitution would require action to be taken by or against the City, or any agency thereof rather than by or against the State Board of Equalization, in per- forming the functions incident to the administration or operation of this ordinance; the substitution shall not be made in those sections, including, but not necessarily limited to, sections re- ferring to the exterior boundaries of the State of California, where the result of the substitution would be to provide an exemp- tion from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the L provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or to impose this tax with respect to certain sales, stor- age, use or other consumption of tangible personal property which would not be subject to tax by the State under the said provisions of that Code; the substitution shall not be made in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797'' or 6828 of the Revenue and Taxation Code; and the substitution shall not be made for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 or in the definition of that phrase in Section 6203. - 5 - §4.08.110. PERMIT NOT REQUIRED. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional seller's permit shall not be required by this ordinance. §4.08.120. EXCLUSIONS AND EXEMPTIONS. There shall be excluded from the measure of tax: (a) The amount of any sales or use .tax imposed by the State of California upon a retailer or consumer. (b) The storage, use or other consumption of tan - Bible personal property, the gross receipts from the sale of which has been subject to sales tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of Division 2 of the Revenue and Taxation Code by any city and county, county, or city in this State. (c) The gross receipts from sales to, and the storage, use or other consumption of property purchased by, operators of common carriers and waterborne vessels to be used or consumed in the operation of such common carriers or waterborne vessels principally outside this city. (d) The storage or use of tangible personal pro- perty in the transportation or transmission of persons, property or communications, or in the generation, trans- mission or distribution of electricity or in the manufacture, transmission or distribution of gas in intrastate, interstate or foreign commerce by public utilities which are regulated by the Public Utilities Commission of the State of California 9 4.08.130. EXCLUSIONS AND EXEMPTIONS. (aJ The amount subject to tax shall not include any sales or use tax imposed by the State of California upon a retailer or consumer. and (b) The storage, use, or other consumption of tan- gible personal property, the gross receipts from the sale of which have been subject to tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of Division 2 of the Revenue and Taxation Code by any city and county, county, or city in this State shall be exempt from the tax due under this ordinance. (c) There are exempted from the computation of the amount o£ the sales tax the gross receipts from the sale of tangible personal property to operators of waterborne vessels to be used or consumed principally outside the city in which the sale is made and directly and exclusively in the carriage of persons or property in such vessels for com- mercial purposes. (d) The storage, use, or other consumption of tan- gible personal property purchased by operators of waterborne vessels and used or consumed by such operators directly and exclusively in the carriage of persons or property of such vessels for commercial purposes is exempted from the use tax. (e) There are exempted from the computation of the amount of the sales tax the gross receipts from the sale of tangible personal property to operators of aircraft to be used or consumed principally outside the city in which the sale is made and directly and exclusively in the use of such - 7 - aircraft as common carriers of persons or property under the authority of the laws of this state, the United States, or any foreign government. (f) In addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code the storage, use, or other consumption of tangible personal property purchased by operators of aircraft and used or con- sumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public con- venience and necessity issued pursuant to the law of this state, the United States, or any foreign government is exempted from the use tax. §4.08.140: APPLICATION OF PROVISIONS RELATING TO EXCLUSIONS AND EXEMPTIONS. (a) §4.08.130 of this ordinance shall become operative on January 1st of the year following the year in which the State Board of Equalization adopts an assessment ratio for state -assessed property which is identical to the ratio which is required for local assessments by Section 401 of the Revenue and Taxation code, at which time 54.08.120 of this ordinance shall become inoperative. (b) In the event that 5 4.08.130 of this ordinance becomes operative and the State Board of Eaualization sub- sequently adopts an assessment ratio for the state -assessed property which is higher than the ratio which is required for local assessments by Section 401 of the Revenue and - 8 - Taxation Code, §4.08.120 of this ordinance shall become operative on the first day of the month next following the month in which such higher ratio is adopted, at which time X4.08.130 of this ordinance shall be inoperative until the First day of the month following the month in which the Board again adopts an assessment ratio for state -assessed property which is identical to the ratio required for local assessments by Section 401 of the Revenue and Taxation Code, at which time §4.08.130 shall again become operative and §4.08.120 shall become inoperative. §4.08.150. AMENDMENTS. All subsequent amendments of the Revenue and Taxation Code which relate to the sales and use tax and which are not inconsistent with Part 1.5 of Division 2 of the Revenue and Taxation Code shall automatically become a part of this ordinance. §4.08.160. ENJOINING COLLECTION FORBIDDEN: No injunc- tion or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or this City, or against any officer of the State or this City, to prevent or enjoin the collection under this ordinance, or Part 1.5 of Division 2 0£ the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. 9 4.08.170. PENALTIES. Any person violating any of the provisions of this ordinance shall be deemed guilty of a misde- meanor, and upon conviction thereof shall be punishable by a fine of not more than $500.00 or by imprisonment for a period of not more than six months, or by both such fine and imprisonment." - 9 - Section 2: Severability If any provision of this ordinance or the application thereof to any person or circum- stance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. Section 3: Repeals. Chapter 4.08 as adopted by •...Ordinance No. 726 is hereby repealed; provided, however, that said ordinance, as amended, shall remain applicable for the pur- poses of the administration of said ordinance and the imposition of and the collection of tax with respect to the sales of, and the storage, use, or other consumption of tangible personal pro- perty prior to January 1, 1974, the making of refunds, effecting credits, the disposition of monies collected, and for the com- mencement or continuance of any action or proceeding under said ordinance. w MAYOR I, HERBERT K. WHITE, City Clerk of the City of Burlingame, do hereby certify that the foregoing Ordinance was introduced at a regular meeting of the City Council held on the 17th day of September , 1973, and adopted thereafter at a regular meeting of the City Council held on the 1 day of October , 1973, by the following vote: AYES: COUNCILMEN: Amstrup, Crosby, Cusick, Mangini, Martin NOES: COUNCILMEN: None ABSENT: COUNCILMEN: None ClYY CLERK