Chapter 4.02
BUSINESS LICENSE TAX
Sections:
4.02.040 License and penalties constitute debt to City.
4.02.080 Exemptions – Claim for.
4.02.090 Exemptions – Revocation.
4.02.010 Purpose.
The purpose of this chapter is to generate revenue and is not intended for the purpose of regulation. [Ord. 12-004.]
4.02.020 Definitions.
For the purpose of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section:
“Business” means professions, trades, occupations, gainful activities, and all and every kind of calling whether or not carried on for profit.
“City” means the City of Dixon, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.
“Collector” means the Director of Finance or other City officer or employee charged with the administration of this chapter.
“Fixed place of business” means the premises occupied in the City for the particular purpose of conducting a business there and regularly kept open for that purpose with a competent person in attendance for the purpose of attending to such business.
“Person” means all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, business or common law trusts, societies and individuals transacting and carrying on any business in the City.
“Sworn statement” means an affidavit sworn to before a person authorized to take oaths or declaration or certification made under penalty of perjury. [Ord. 12-004.]
4.02.030 Imposition of tax.
Every person who engages in business within the City shall pay a business license tax at the rate set, from time to time, by resolution of the City Council. [Ord. 12-004.]
4.02.040 License and penalties constitute debt to 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 delinquent license tax and penalties. [Ord. 12-004.]
4.02.050 Payment – Due date.
Unless otherwise specifically provided, the following shall apply:
A. An annual license tax under the provisions of this chapter shall be due and payable in advance on the first day of the licensing year applicable to the business. The licensing year shall be on a calendar year basis.
B. A licensee paying a tax covering a new operation commencing in the first quarter of a licensing year shall pay the entire license tax; in the second quarter of a licensing year shall pay seventy-five percent (75%) of the license tax; in the third quarter of a licensing year shall pay fifty percent (50%) of the license tax; and in the fourth quarter of the licensing year shall pay twenty-five percent (25%) of the license tax.
C. The Collector is not required to send a renewal, delinquency, or other notice or bill to any person subject to the provisions of this chapter, and failure to send such notice or bill shall not affect the validity of any license tax or penalty due under the provisions of this chapter. [Ord. 12-004.]
4.02.060 Payment – Penalties.
A. For failure to pay any annual business license tax when due, the Collector shall add a penalty of ten percent (10%) of the business license tax on the first day of the month following the due date thereof and ten percent (10%) on the first day of each month thereafter while the tax remains unpaid; provided, that the amount of the penalty to be added shall in no event exceed one hundred percent (100%) of the amount of the tax.
B. Any business license tax which has not been received by the Collector by 5:00 p.m. on the day due shall have added to the amount thereof a penalty of twenty-five percent (25%).
C. If any person has failed to apply for and secure a valid license to operate a business, the business license tax due shall be that amount due and payable from the first date on which the person was engaged in business in the City together with applicable penalties.
D. Should court action be required to collect any business tax or penalties, any additional penalty shall be charged equal to costs of suit, including attorney’s fees. The penalties shall be added to the tax and they shall become due and payable and collected along with the delinquent tax.
E. Any person violating any provisions of this chapter or knowingly or intentionally misrepresenting to any officer or employee of the City any material fact in procuring a license provided for in this chapter shall be deemed a misdemeanor. [Ord. 12-004.]
4.02.070 Exemptions.
The following are exempted from the payment of a license tax under this chapter:
A. Any charitable institution, organization, or association organized and conducted for charitable purposes only. The exemption shall not apply to promoters employed by charitable organizations.
B. Any soldier, sailor or marine of the United States who is currently on active duty or has received an honorable discharge or a release from active duty under honorable conditions from such service; any spouse or widow of any such soldier, sailor or marine.
C. Any natural person or group of persons under the age of eighteen (18) years who are bona fide residents of the City and have been so domiciled for at least thirty (30) calendar days prior to filing a claim for exemption.
D. Any person conducting or staging any concert, exhibition, lecture, dance, amusement or entertainment where the receipts, if any are derived therefrom, are to be used solely for charitable or benevolent purposes and not for private gain or for the private gain of any person in whole or in part.
E. Any public utility which pays to the City a tax under a franchise or similar agreement.
F. Any religious, fraternal, educational, military, state, county or municipal organization or association conducting any business which is open to members thereof only and not open to the public.
G. Any religious, fraternal, educational, military, state, county or municipal organization or association conducting or staging any amusement or entertainment, concert, exhibition, lecture, dance or athletic event, when the receipts derived are to be wholly for the benefit of such organization and not in the whole or any part for private gain of any person. [Ord. 12-004.]
4.02.080 Exemptions – Claim for.
Any person desiring to claim exemption from the payment of a license tax and to have a free license issued to him shall make application therefor upon forms prescribed by the Collector and shall furnish such information and make such affidavits as may be required. Upon the determination being made that the applicant is entitled to an exemption from the payment of license taxes for any reason set forth in this chapter, the Collector, upon the applicant complying with the provisions of this chapter or any ordinance of the City which may require a permit for the doing of the particular act proposed to be done, shall issue a free license to such person which shall show upon its face that the license tax is exempt. [Ord. 12-004.]
4.02.090 Exemptions – Revocation.
The Collector may revoke any exempt license granted pursuant to the provisions of this chapter upon information that the licensee is not entitled to the exemption as provided therein. In such revocation the procedure to be followed and right of appeal shall be as provided in DMC 4.02.120 for determination of a disputed tax. [Ord. 12-004.]
4.02.100 Exclusions.
Except as may be otherwise specifically provided in this chapter, the terms hereof shall not be deemed or construed to apply to any of the following persons:
A. Banks, to the extent that a City may not levy a license tax upon them under the provisions of Article XIII, Section 27 of the California Constitution.
B. Insurance companies and associations, to the extent that a City may not levy a license tax upon them under the provisions of Article XIII, Section 28 of the California Constitution.
C. Financial corporations and banks, to the extent the City may not levy a license tax upon them under Cal. Rev. & Tax. Code § 23182.
D. Any person whom the City is not authorized to license under any law or Constitution of the United States or the State. The Collector may require the filing of a verified statement from any person claiming to be excluded by the provisions of this section, which statement shall set forth all facts upon which the exclusion is claimed. [Ord. 12-004.]
4.02.110 Refunds.
No license fee or tax collected under the provisions of this chapter shall be refundable in any manner. However, if the licensee establishes to the satisfaction of the Collector that he has overpaid his license fee and, within a period of one (1) year from the day on which the overpayment was made, files with the Collector a claim for refund of the overpayment, the Collector may refund the amount so overpaid. [Ord. 12-004.]
4.02.120 Appeals.
Any person aggrieved by any decision of an administrative officer or agency with respect to the amount of a license tax may appeal to the Council by filing a notice of appeal with the Collector within fifteen (15) days of such decision. The Council shall fix a time and place for hearing such appeal and the Collector shall give notice in writing to such person of the time and place of hearing by serving it personally or by depositing it in the post office in the City, postage prepaid, addressed to such person at the address appearing on his last license or application. The findings of the Council shall be final and conclusive and shall be served upon the applicant in the manner prescribed above for service of notice of hearing.
The amount of any license tax finally determined as provided in this section shall be due and payable as of the date the original license fee was due and payable, together with any penalties that may be due thereon; provided, however, if the amount of such license tax shall be fixed in accordance with the original statement of the applicant, then no penalty shall attach by reason of any delinquency. [Ord. 12-004.]