HomeMy WebLinkAbout2117
,
10
~ ..
.
.
.
.
.
~
1
2
3
4
5
ORDINANCE NO~ /~7
AN ORDINANCE OF THE CITY OF SAN BERNARDINO IMPOSING AN
EXCISE TAX ON TIlE SlORAGE, USE OR OTHER CONSUMPTION OF TANGIBLE
PERSONAL PROPERTY. .
TIlE MAYOR AND cOMMON COUNCIL OF nrn CIlY OF SAN BERNARDINO
DO ORDAIN AS FOLLOWS:
6
SECTION ONE: DEFINITIONS. The following words and
7 phrases, whenever used in this ordinance, shall be con~trued as
8 defined in this section unless it appears from the context that a
9 different meaning is intended.
A. "Sales price" means that total amount for which
11 tangible personal property is sold, valued in money, whether paid
12 in money or otherwise, without any deduction on account of any
13
14
15
16
17
of the following:
(1) The cost of the property sold;
(2) The cost of materials used, labor or service
cost,. interest charged, losses, or any other expenses;
(3) The cost of transportation of the proPerty prior
18 to its purchase.
19 The total amount for which the property is sold includes all of
20 the following:
21
22
(I) Any services that are a part of the sale;
(2) Any amount for which credit is given to the
23 purchaser by the seller.
24 "Sales price" does not include any of the following:
25
26
27
28
29
30
31
32
(1) Cash discounts allowed and taken on sales;
(2) The amount charged for property returned by
customers when that entire amount is refunded either in
cash or credit', but this ,~xc:lusion shall not apply in any
instance when the customer, in.order to obtain the refund,
is required to purchase other Jilroperty at a price greater
than the amount charged for the property that is returned.
(3) The amount charged for labor or services
-1-
1
2
;5
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
.
.
~
.
,
.'
rendered in installing or applying the property sold.
(4) The amount of any federal tax imposed upon or
with r espectto retail sales whether imposed upon the
retailer or upon the consumer and regardless of whether
or not the amount of federal tax is stated to customers
as a separate charge, and the amount of any California
state sales or use tax. (The term "gross receipts"
includes the amount of any manufacturer's or importer's
excise tax included in the price of the property sold,
even though the manufacturer or importer is also the
retailer thereof. and whether or not the amount of such
tax is stated as a separate charge.)
(5) Transportation charges separately stated, if the
transportation occurs after the purchase of the property
is made.
B. ''Use'' includes the exercise of any right or power
over tangible personal property incident to the ownership of that
property; subject. however, to the followingelCceptions:
(l) It does not include the sale of that property in
the regular course of business.
(2) It does not include the storage, use or other
consumption of tangible personal property, the gross re-
ceipts from the sale of or the cost of which has been
subject to Sales or use tax under a sales or use tax
ordinance, whether enacted in accordance with, or pur-
porting to be in accordance with, Part 1.5 of Division
2 of the Revenue and Taxation Code of the State of Calif-
ornia by any other city and county, county other than
San Bernardino County, or city in this state. or enacted
in accordance with the organic law of any such city.
(3) It does not include the storage or use of tangible
personal property in the transportation or transmission of
-2-
.'
1
2
:5
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
.
.
,
.
."
.
persons, property or communications, or in the generation,
transmission or distribution of electricity or in the
manufacture, transmission or distribution of gas in intra-
state, interstate or foreign commerce by public utilities
which are regulated by the Public Utilities Commission of
the State of California.
(4) It does not include the use or consumption of
proper ty pur chased by oper a tor s of common carr ier and
waterborne vessels to be used or consumed in the operation
of such common carriers or waterborne vessels principally
outside the City.
C. The word "storage," as u.sed in this article, includes
any keeping or retention in the City for any purpose except sale
in the regular course of business or subsequent use solely outside
this City of tangible pe:t"llonal property purcj:tased from a retailer.
SECTION T\\O: IMPOSITlON. AND RATE OF TAX. An excise tax .
is hereby imposed on the storage, u'se or other consumption in the
City of San Bern ar dino.of tangiblepersonl!l ' proper ty purchased
from any retailer on or after the effective date of this ordinance
for storage, use or other consumption in said City at the rate of
one percent (1%) of the sales price of the property.
Notwithstanding the .foregoing provisionsof this section,
where the sales price of tangible personal property purchased for
storage, use or other consumption in the Gity of San Bernardino
pursuant to a contract of sale actually executed in gOOd faith
prior to July 1. 1956. , includes San Bernardino
City sales or use tax, the rate of tax applied shall be that rate
in effect.when the contract is executed.
.
SECTION lHREE: USE TAX LEVIED IN SAME MANNER AS STAp!
30 TAX. The tax hereby levied, except as otherwise herein provided,
31 is levied in the same manner, to the same extent and under the
32 same conditions as use taxes .are levied pursuant to Part I of
-3-
.' .
.
.
:- ,J
1 Division 2 of the California Revenue and Taxation Code, known as
2 the "Sales and Use Tax Law" as, amended and in force and effect on
3
4
July 1, 1956 .. .
SECTION FOUR: ADOPTION OF STATE, USE TAX LAW BY REFERENCE.
5 EXCEPTIONS.
6
7
A. All of the provisions of the "Sales and Use Tax Law"
as amended and in force and effect on
July 1. 1956
,
8 except the provisions pertaining solely to the "Sales Tax" and
9 Sections 6008,6009,6011,6201 to 6204, inclusive, 6207,6226,
10 6241 to 6246, inclusive. 6355, 6403. 6453, 7052, 7056, 7057, 7101,
11 7102, 7151, 7152 and 7153, are hereby adopted and made a part of
12 this ordinance as though fully set forth herein, and all ~rovisions
13 of any other ordinance in cOnflict therewith are inapplicable to
14 this ordinance and the tax hereby imposed.
15
B. The term "sales price" shall not include the amount
16 of any California state sales tax or use tax.
17
C. All of the provisions of the "Sales and Use Tax Law"
18 hereby adopted providing for the adoption of rules and reg~lations
19
and for hearings on the ~art of the State Board of Equalization
20 shall be performed by the Common Council of the City of San Ber-
21 nardino. All other provisions of the state "Sales and Use Tax
22 La~' hereby adopted providing for the performance of official
23 action on the part of the State Board of Equalization shall be
..
24
performed by the City
Clerk
.
25 D. The City of San Bernardino shall be deemed
.
26 substituted for the State of California whenever the state is
27 referred to in said "Sales and Use Tax Law."
28
E. The City Attorney of San Bernardino shall be deemed
29 substituted for the Attorney General whenever the Attorney
30 General is referred to iIJ add "Sales and Use Tax Law."
31
F. The City
Clerk
shall be deemed..
32 substituted for the State Controller and State Board of Control
..
.
....4...
.. ,
.
.
I
.
.
J 1
1 whenever the State Controller or State Board of Control are re-
2 ferred to in said "Sales and Use Tax Law."
3
G. The County of San Bernardino shall be deemed substi-
4 tuted for the County of Sacramento whenever the County of Sacra-
5 mento is referred to in said "Sales and Use Tax Law."
6
SECTION FIVE: ADOPTION OF RULES AND REGUlA TIONS BY
7 REFERENCE. The rules and regulations of the State Board of Equal-
8 ization pertaining to the interpretation, administration and en-
9 for cement of the "Sales and Use Tax Law," insofar as applicable,
10 shall apply to the interpretation of this ordinance until speci-
11 fieally abandoned by the rules and regulations adopted by the
12 Common Council pursuant to this ordinance.
13
SECTION SIX: INTERPRETATION. The inclusion of any
14 clause, portion or part of the "Sales and Use Tax Law," Part 1,
15 Division 2, of the Revenue and Taxation Code of the State of Cal-
16 Hornia, verbatim in this ordinance shall not iIi or of itself be
17 deemed to exclude any of the remaining provisions of said "Sales
18 and Use Tax Law" that are made a part hereof by reference only.
19
SECTION SEVEN: DUTY 10 COLLECT TAX. Every r et ailer
20 maintain~ng a place of business in this City shall apply to the
21
City
Clerk
for authorization to collect the
22 tax imposed by this ordinance. Any retailer not maintaining a
23 place of business in tllis City may apply to the City Clerk for
24 authorization to collect the ..tax hereby imposed.
.. .
25 Upon receipt of any apPlication in such form as required by him,
26 the City Clerk, in the ease of a retailer maintaining a place of
27 business in the City, shall authorize, and in the case of a re-
28 tailer not maintaining a place of business in the City, may
29 . authorize the applicant to. make such collections and to forward
30 the same to the City Clerk .
31 SECTION EIGHT: PFRSONS LIABLE TO TAX. .Every person
32 storing, using or otherwise consuming in this City tangible
-5-
,
J
.
.
.
>
1 personal property purchased from a retailer, is liable for the
2 tax; provided, however, no tax shall be due hereunder if the tax
3
imposed by Ordinance No. 2116
of the City of San Bernardino
4 has been paid on the sale of such property. The liability of such
5 person is not extinguished until the tax has been. paid to the City
6 of San Bernardino except that a receipt from a retailer authorized
7 pursu.l!<nt to Section Seven hereof to collect the tax, given to tbe
8 purcbaser pursuant t.o Section Nine bereof, is sufficient to re-
9 lieve tbe purcbaser from furtber liability for the tax to wbicb
10 the receipt refers.
11
SECTION NINE: COLLECTION OF TAX BY RETAILER. Every re~
12 tailer who is authorized by the City Clerk to collect the tax
13 imposed by this ordinance and who makes sales of tangible personal
14 proPerty for storage, use or other consumption in this City, not
15 exempted under the provisions of this ordinance, shall collect
16 the tax from the purchaser at the time of making the sale, or,
17 if the stor age, use or other con~ulD:ptionof the tangible per sonal
18 property is not then taxable hereunder, at th~ time the storage,
19 use or other consumptipn l:>ecome$ ta,:luible. .. Upon collecting the
, . ,,"
20 tax, the retailer, on demandjshall give .to<the purchaser a receipt
21 therefor in the mann.er'and form pre,scriged by the City Clerk.
22 The tax so collected by the retailersha.U be held in trust by
23 him for the City and shall be paid to the City by the retailer in
24 the manner and at the times elsewhere provided in this ordinance.
"".
25
SECTION TEN: SEPARATE DISPLAY OF TAX FROM LIST OR OTHER
26 PRICE. The tax 50 collected by tne retailer from the purchaser
27 shall be displayed sepal: ately from the list. pr ice, the pr ice ad-
28 vertised in the premises, the marked price or other price on the
29 sales check or other proof of sale.
30
SECTION ELEVEN: PERSONAL PROPERTY TO WHICH TAX APPLIES.
31 Except as otherwise specifically exemptedt.the tax hereby imposed
32 applies to all tangible personal property located in this City
..6-
.
,-
'. .
-'
.
.
J
1 and purchased from a retailer; provided, however, that if the re-
2 tailer in good faith takes from the purchaser a certificate that
:5 the property was purchased prior to the effective date of this
4 ordinance or was no.t purchased for storage, use or consumption in
5 this City and has not been nor will be so. stored, used or con-
6 sumed, he shall be relieved of liability 'to collect and pay the
7 tax. The certificate shall be signed by and bear the name of the
8 purchaser, shall indicate the address of the purchaser and the
9 place where such tangible personal property will be stored, used
10 or consumed, the date of purchase, and shall be SUbstantially
11 in such form as the City- Clerk may prescribe.
12
SECTION TWELV:e: REGISTRATION OF RETAILERS. Every retailer
1:5 selling tangible personal property forc.. storage, use or other con-
14 sumption in the City of San Bernardino and which retailer main-
15 tains a place of business in said City or acts thr.ough agents 10-
16 cated in said City and which retailer is not licensed under the
17
provisions of Ordinance No. 2116
, shall register with the
.18 City
27
28
29
:50
:51
:52
r.lpl"k
and give the name and address of
19 such agent or agents and office or other place of business in the
20 city.
21
SECTION TIlIRTEEN: DUE DATE. OF TAXES. Taxes i;npos,edby
22 this ordinance are due and payable to the City' Chief 01 'police
23 on or cbefore the last day of the month next succeeding each
24 quarterly period, the. first quarterly .payment to be due and p'ay-
25 .ab1eunder this ordinance filn orb'efoJ;e the' last day of Octoper
t
26 1956. The Ci ty
C]~T~"
~aY require returns and pay-
mentof the amount of taxes for quarterly .P~riOds other than cal..
endar quarters depending upon th,eprin,oipa1 place of or the nature
~' ." "
..
.of the business of theisellep or!=,etailer. or may require returns
and payment of the amou!1t of, taxes'for ot,h:erCtl1anquarter1y periods.
SECTION FOURTEllN: . 'R:EruR~S~Ea.,Ch -return filed by a re-
. ;~, .:'-~P' '., I . .
tailer sha,l1 show the total sale price of the property sold by him
-7-
~
_. ,f'.',
-'
.
i
~"
.
" .
1 during the reporting period in respect of which he collected the
2 tax hereby imposed. Each return filed by a purchaser shall show
3 the total sale price of the property purchased by him during the
4 reporting period, in respect of which a tax is due under this
5 ordinance. All returns shall also show the amount of the taxes
6 for the period cover~d by the return and such other information
7
as the City
Clerk
deems necessary to the
8 proper administration of this .ordinance.
9
10
SECTI~N FIF~EEN. EXTENSION OF TIME. WAIVER OR COMPROMISE.
The City
Clerk
shall have the power, for good
11 Cause shown, to extend for a periOd of not to exceed thirty-one
12 (31) days the time for making any return or paying any amount re-
13 quired to be paid under this ordinance, when requested so to do
14 in writing, before the same becomes delinquent. The City Clerk
15 may, with the wr itten approval of the City Attorney,
16 waive or compromise any penalty or interest that would othe~wi,~
':':":"tii'::
17 accrue under the provisions of this ordinance. The Ci t,y Clerk
18 shall make and transmit to the Common Council
19 quarterlY.a detailed report of any sums so waived or compromised
20 with the reasons therefor.
21
SECTION SIXTEEN: SCHEDULES FOR PAYMENT OF TAX. The
22 Common Council, by resolution, shall adopt rules prescribing meth-
23 ods andsehedules for the collection anq payment of the tax. Such
24
25
26
27
28
29
schedules shall be so determined as to facilitate collection of
,"'\,
this tax at the same time that the retailer collects the tax im-
posed under the Califprnia Sales and Use. Tax Law and so as to
produceil.n average tax. return of one. percent (1%) on all purchases
subject to the use tax.
SECTION SEVENTEEN: SUIT FOR TAX. Atl taxes ,hereby
30 levied shall be payable to the City
Chief of Police
31 anc;l any civil suit for the collection thereof may be filed in
32 any court of competent jurisdiction in the State of California,
-8-
I
..
.
',., '
..
.
,..
,
1 and the City Attorney of said City Shall prosecute the action.
2
SECTION EIGHTEEN: RESALE CERTIFICATE. The City (;lerk
3 may at his option accept a State of California
4 Resale Certificate as evidence that any sale is not a sale for
5 storage, use or consumption in the City of San Bernardino, or he
6 may in his discretion require an affidavit from the seller setting
7 forth sUCh information respecting such sale as he deems necessary
8 to determine the nature of such sale.
9
SECTION NINETEEN: DISPOSITION OF PROCEEDS. All monies
10 collected under and pursuant to the provisions of this ordinance
11 shall be deposited and paid into the General Fund of the City of
12 San Bernardino.
13 SECTION TWENTY: DIVULGING OF INFORMATION FORBIDDEN. No.
14 officer or employee of the City of San Bernardino having an ad-
15 ministrative duty under this ordinance shall make known in any
16 manner Whatever the business affairs, operations, or information
17 obtained by an investigation of records and equipment of any re-
18 tailer or any other person visited or examined in the diScharge
19 of official duty, or the amount or source of income, profits,
20 losses, expenditures, or any particulars thereof. set forth or
21 disclosed in any return, or permit any return or copy thereof or
22 any book containing any abstract or particulars thereof to be seen
23 or examined by any perSOn. However, the Common Council may, by
24 resolution, authorize examination of the returns by federal or
25 state officers or employees or by the tax officers of this or,any
26 other city if a reciprocal arrangement exists. Successors, re-
27 ceivers, trustees, executors, administrators, assignees, and
28 guarantors, if directly interested, may be given information as
29 to the items included in the ,measure and amounts of any unpaid
30 tax or amounts of tax required to' be collected, interest and
31 penalties.
,I
32
SECTION TWENTY-ONE: ' F ,L\LSE AND FRAUDUIE NT REWRNS. No
-9-
8
9
10
.
",', .,
~
.'
.
..
,
1 person required to make, render, sign or verify any report under
2 the provisions of this ordinance, shall make any false or fraud-
3 ulent return, with intent to defeat or evade the determination of
4 an amount due and required to be paid hereunder.
5
SECTION TWENTY-TiIG:FAItURE TO MAKE RETURN OR FURNISH
6 DATA. No retailer or other person shall fail or r.efuse to furnish
7 any return required .to be made or fail or .refuse to furnish a
supplemental return or other da:tare.quiredby the City
or render a false or fraudulent return.
Clerk
SECTION TWENTY-Tl:lREE: PENAL PROVISIONS. Any person
11 v;l.olating any provision of this ordinance shall be guilty of a
12 misdemeanor, and upon conviction thereof shall be punishable by
13 a fine of not more than Five Hundred Dollars ($500.00), or by
14 imprisonment for a period of not mOre than six months, or by both
15 such fine and imprisonment.
16
SECTION Th'BNTY -FOUR: VALIDITY. If any section, subsec-
17 tion, sentence, clause, phrase, or portion of this ordinance is
18 for any reason held to be invalid or unconstitutional by the
19 decision of any court of competent juriSdiction, such decision
20 shall not affect the validity of the remaining portions of this
21 ordinance. The Common Council of this City hereby declares that
22
23
24
25
26
27
it would have adopted this ordinance and each section, subsection,
sentence, clause, phrase, or portion thereof, irrespective of
the fact that anyone or more sections, subsections, sentences,
clauses, phrases or portions be declared invalid or unconstitu-
tional.
SECTION TWENTY-FIVE: EFFECTIVE DATE. This ordinance
28 shall take effect and become operative on July I, 1956.
29 I HEREBY CERTIFY that the foregoing ordinance was duly
30 adopted by the Mayor and Common Council of the City of San Ber-
31
32
nardino
at a f:f,~h~
~rt
mmeting thereof held on the
1956, by the fOllowing vote, to wit:
day of
-10-
, "
1
2
3
4
5
6
7
8
9
10
11
12
13
r
14-
15
16
17
18
19
20
21
22
2:5
24
25
26
27
28
29
30
31
32
.
... , . .....
.
~ ;:
AYES'~wW~ ;rM~r/ttt':~.L ~
NOES :~~ ABSENT :441<<.- .
day of
~~4
1 ty Clerk
~eby apptove 'he 'o,e,o;n, .,d;nan,e 'hi, ~~
'r · i956.
no
Approved as to form:
FILED
...?J....
/ /
t:a . <<
/-~
/
/
MAY ~ 3 dbc
--..,
.----
. .,11-