CHAPTER 10B
BUSINESS LICENSE TAXES

10B.1 Definitions.

For the purpose of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section:

"Business." Includes professions, trades and occupations and all and every kind of calling whether or not carried on for profit.

"Business Tax" or "Business License Tax" shall mean the privilege tax imposed upon persons engaged in the businesses or occupations described in this chapter for the privilege of engaging in such businesses or occupations within the city.

"Collector." The city tax collector, finance director or other city officer charged with the administration of this chapter.

"Conduct" or "carry on" shall mean and include engaging in, carrying on, owning, maintaining, managing, or operating any business, trade, art, profession, calling, employment, or occupation or any commercial, industrial, or professional pursuit or vocation.

"Fixed place of business." The premises occupied in the city for the particular purpose of conducting a business thereat and regularly kept open for that purpose with a competent person in attendance for the purpose of attending to such business.

"Gross Receipts." Includes the total of amounts actually received or receivable from sales and the total amounts actually received or receivable 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 materials used, labor or service costs, interest paid or payable or losses or other expenses whatsoever. Excluded from "gross receipts" shall be the following:

(a) Cash discounts allowed and taken on sales;

(b) Any tax which is measured by the sales price, or the gross receipts from the sale or which is a stated sum per unit of such property sold included in or added to the purchase price and collected from the consumer or purchaser;

(c) Such part of the sale price of property returned by purchasers upon recision of the contract of sale is refunded either in cash or by credit;

(d) 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; provided that the agent or trustee has furnished the collector with the names and addresses of the others and the amounts paid to them;

(e) Receipts of refundable deposits, except that refundable deposits forfeited and taken into income of the business shall not be excluded;

(f) As to a real estate agent or broker, the sales price of real estate sold for the account of others except that portion which represents commission or other income to the agent or broker;

(g) As to a retail gasoline dealer, a portion of his receipts from the sale of motor vehicle fuels equal to the motor vehicle fuel license tax imposed by and previously paid under the provisions of part 2 of division 2 of the Revenue and Taxation Code of the state;

(h) As to a retail gasoline dealer, the special motor fuel tax imposed by section 4041 of title 26 of the United States Code if paid by the dealer or collected by him from the consumer or purchaser;

(i) As to automobile dealers, such part of the sale price of vehicles represented by the trade in allowance for vehicles accepted as part of the purchase price, provided such exclusion shall not exceed 25% of the dealer's annual gross receipts. This exclusion shall be further limited to transactions which are recorded and maintained in business records of the dealer. Sales of vehicles accepted as trade-ins shall be included in gross receipts in the year in which the vehicle is sold. (Ord. 83-35, § 1.)

"Newly established business." A business in existence and operation for less than three months.

"Person." Includes all domestic and foreign corporations, association, syndicates, joint stock corporations, partnerships of every kind, clubs, Massachusetts business or common law trusts, societies and individuals transacting and carrying on any business in the city other than as an employee.

"Sale." Includes the transfer in any manner or by any means whatsoever of title to property for a consideration; the serving, supplying or furnishing for a consideration of any property; and a transaction whereby the possession of property is transferred and the seller retains the title as security for the payment of the price shall likewise be deemed a sale. The foregoing definitions shall be deemed to exclude any transaction which is or which in effect results in a sale within the contemplation of law.

"Vehicle." Every device in, upon or by which any person or property is or may be transported or drawn upon a public street or highway, except devices moved by human power or used exclusively upon stationary rails or tracks. (Ord. No. 2013-14, § 1.)

10B.2 Required – in general.

There are hereby imposed upon the businesses, trades, professions, callings and occupations specified in this chapter license taxes in the amounts hereinafter prescribed.

No person shall transact and carry on any business, trade or profession, calling or occupation in the city without first having procured a license from the city.

This section shall not be construed to require any person to obtain a license prior to doing business within the city if such requirement conflicts with applicable statutes of the United States or the state.

No license shall be issued hereunder until all applicable regulations under other ordinances of the city have been complied with.

No business license issued under the provisions of this chapter shall be construed as authorizing the conduct or continuance of any unlawful business or practice, or the furnishing, sale, or providing of any services, goods, or products that are unlawful under any city, state or federal law or regulation. (Ord. No. 2013-14, § 1.)

10B.3 Same – Branch establishments.

Separate license must be obtained for each branch establishment or location of the business engaged in as if each such branch establishment or location were a separate business, and each license shall authorize the licensee to engage only in 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. (Ord. No. 2013-14, § 1.)

10B.4 Same – Joint license.

If two or more businesses are conducted on the same premises by the same person and such businesses are subject to the gross receipts tax, only one license shall be required based upon the total gross receipts of such businesses and under that classification which applied to the principal business conducted at the location. (Ord. No. 2013-14, § 1.)

10B.5 Application – Contents; form; fee.

Every person required to have a license under the provisions of this chapter shall make application for the same to the collector of the city. Such application shall be a written statement upon a form provided by such collector and shall be written by the applicant under penalty of perjury or sworn to by the applicant before a person authorized to administer oaths. The application shall set forth such information as may be necessary properly to determine the nature of the business and the amount of the license tax to be paid by the applicant.

The business license application shall require, but not be limited to, the following information:

(a) The exact nature or kind of business for which the license is required; and

(b) The address where such business is to be carried on or conducted; and

(c) The name, address, and phone number of the owner of the business and any fictitious business names used by the owner; and

(d) An affirmation by the applicant that the business does not furnish or provide any service, good, or product that is illegal under any city, state or federal law or regulation; and

(e) If the amount of the license tax to be paid by the applicant is based upon gross receipts, such application shall set forth the gross receipts for the applicable period. (Ord. No. 2008-02, § 3; Ord. No. 2013-14, § 1.)

10B.6 Same – For first license.

Every person making application for a license shall pay to the collector the minimum license tax for the business in which he is engaged.

The minimum license tax thus paid shall be tentative only, and such person shall, within thirty days after the expiration of the period for which such license was issued, furnish the collector with a sworn statement upon a form, to be provided by such collector setting forth such information as may be therein required and showing, during the period of such license, the gross receipts, the number of vehicles used by such persons, or the number of tables, alleys, or other devices used for any game, etc., or other applicable basis. The license tax shall be ascertained and paid upon such applicable basis; credit is to be given for the minimum license tax previously paid. (Ord. No. 2013-14, § 1.)

10B.7 Same – For renewal.

In all cases, the applicant for the renewal of license shall submit to the collector for his guidance in ascertaining the amount of the license tax to be paid by the applicant, a written statement, upon a form to be provided by such collector, written under penalty of perjury or sworn to before a person authorized to administer oaths. Such form shall set forth such information concerning the type of the applicant's business and the gross receipts derived therein during the preceding year as may be required by the collector to enable him to ascertain the amount of the license tax to be paid by such applicant pursuant to the provisions of this chapter. (Ord. No. 2013-14, § 1.)

10B.8 Same – Information – confidential.

Information furnished or secured pursuant to the provisions of this chapter, the disclosure of which to other persons would result in unfair competitive disadvantage, shall not be subject to public inspection, and shall be kept so that the contents thereof shall not become known except to the persons charged with the administration of this chapter.

Unless in compliance with judicial order or as may be required for the proper administration of this chapter, the collector, his agents or employees shall not divulge facts or information, as hereinabove described, obtained in the administration hereof. (Ord. No. 2013-14, § 1.)

10B.9 Same – Same – Not conclusive.

No statement shall be conclusive as to the matters set forth therein, nor shall the filing of the same preclude the city from collecting by appropriate action such sum as is actually due and payable hereunder. (Ord. No. 2013-14, § 1.)

10B.10 License to be conspicuously posted.

All licenses must be kept and posted in the following manner:

(a) Any licensee transacting and carrying on 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.

(b) Any licensee transacting and carrying on business but not operating 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.

(c) Any licensee to whom a license has been issued, which license is determined by the number of vehicles used by such licensee in the conduct of his business in this city shall prominently display within each such vehicle a sticker, device, sign or license facsimile used by the collector for identifying such business. (Ord. No. 2013-14, § 1.)

10B.11 Contents of license.

All licenses shall be prepared and issued by the collector of the city upon payment of the sum to be paid therefor, and each license so issued shall state upon the face thereof the following:

(a) The date of the expiration of such license.

(b) The kind or kinds of business license thereby.

(d) The name of the person to whom the license is issued.

(e) Such other information as the collector shall determine. (Ord. No. 2013-14, § 1.)

10B.12 Duplicates.

Duplicate licenses may be issued by the collector to replace any license previously issued which has been lost or destroyed, upon the licensee filing an affidavit attesting to such fact, and at the time of filing such affidavit paying to the collector the fee set by the finance director based upon actual cost to provide the service. (Ord. No. 2013-14, § 1.)

10B.13 Tax constitutes a 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 and any person carrying on any business without first having procured a license from the city to do so shall be liable to an action in the name of the city in any court of competent jurisdiction for the amount of the license tax and penalties imposed on such business. (Ord. No. 2013-14, § 1.)

10B.14 Determination of tax in certain cases.

If any person fails to file any required statement within the time prescribed or, if, after demand therefor has been made by the collector, he fails to file a corrected statement within fifteen days after notification to do so or it appears to the satisfaction of the collector that a statement filed does not set forth the true facts of the business for which a license is required, the collector shall determine the amount of license tax due from such person by means of such information as it may be able to obtain.

In case such determination is made, the collector shall give notice of the amount so assessed by serving it personally or by depositing it in the post office in the city, postage prepaid, addressed to the person so assessed at the address appearing on his last license or application. Such person may within ten days after the serving or mailing of such notice make application in writing to the collector for a hearing on the amount of the license tax. If such application is made, the collector shall give not less than five days’ written notice in the manner prescribed herein to the licensee to show cause at a time and place fixed in such notice why the amount specified therein should not be fixed for such license. After such hearing the tax collector shall determine the proper tax to be charged and shall forthwith give written notice to the licensee in the manner prescribed herein of such determination and the amount of such tax.

If application by the licensee for a hearing is not made within the time prescribed, the license tax determined by the collector shall become final and conclusive. (Ord. No. 2013-14, § 1.)

10B.15 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 honorably discharged or honorably relieved soldier, sailor or marine of the United States who is physically unable to obtain a livelihood by manual labor, or any person who is considered disabled under Social Security law and can demonstrate that he/she receives supplemental Social Security income for disabled persons, and who is a voter of this state, distributing circulars or hawking, peddling or vending any goods, wares or merchandise owned by him/her, except alcoholic beverages at any place in the city other than a fixed place of business.

(c) Any natural person of eighteen years of age or less whose annual gross receipts from any and all business are seven hundred fifty dollars or less.

(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. No. 2010-09, § 1; Ord. No. 2013-14, § 1.)

10B.16 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 Revenue and Taxation Code section 23182. (Ord. No. 85-24, § 1.)

(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. No. 2013-14, § 1.)

10B.17 Claims for exemption.

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. No. 2013-14, § 1.)

10B.18 Revocation of exemption.

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 sections 10B.33 and 10B.14 herein for determination of a disputed tax. (Ord. No. 2013-14, § 1.)

10B.19 Limitation of charges.

No greater or lesser amount of money shall be charged or received for any license tax than provided for in this chapter, and no license shall be sold or issued for any period of time other than provided for in this chapter; provided, that this section shall not refer to such penalties as are herein provided for. (Ord. No. 2013-14, § 1.)

10B.20 Manner of payment.

All license taxes due hereunder shall be paid in advance in lawful money of the United States at the office of the collector. (Ord. No. 2013-14, § 1.)

10B.21 Proration of tax.

No proration of any license due hereunder shall be made for any portion of the period for which a license is payable, except in the case of a first annual license the tax may be prorated as follows:

(a) If application is made during the quarter beginning January first, one hundred percent of such fee shall be paid;

(b) If application is made during the quarter beginning April first, seventy five percent of such fee shall be paid;

(d) If application is made during the quarter beginning October first, twenty five percent of such fee shall be paid. (Ord. No. 2013-14, § 1.)

10B.21A Optional quarterly payment.

On a form designated by the director of finance, an applicant for a license other than a first license for a newly established business, who is required to obtain an annual license, may elect to pay the annual license fee in quarterly payments. A person electing the quarterly payment option shall be subject to the due dates and delinquency penalties prescribed in section 10B.23, with one fourth of the annual amount being due and payable quarterly. (Ord. No. 2013-14, § 1.)

10B.22 Refunds.

No refunds will be made on any amount paid as a license tax, except in case of an error on the part of the city in the determination of the amount of the license tax, in the event of double payment for license or in case of an illegally collected license tax. (Ord. No. 2013-14, § 1.)

10B.23 When tax due; when tax delinquent.

All license taxes due hereunder shall be due and payable, and delinquent as follows:

(a) Annual license. Due on the first day of January. Delinquent at 5:00 p.m. on the thirty first of January.

(b) Daily license. Due on its effective date and delinquent at 5:00 p.m. of due date.

(c) Monthly license. Due on the first day of each month for which the license is sought and delinquent at 5:00 p.m. on the tenth day of the month.

(d) Quarterly license. Due on the first day of January, April, July, and October. Delinquent at 5:00 p.m. on the twentieth day of the first month in which the quarterly license is due.

(e) Semi-annual license. Due on the first day of January and July. Delinquent at 5:00 p.m. the last day of the first month in which the semi-annual license is due.

To all delinquent licenses there shall be added a penalty of 15 percent of the amount of the tax due for the period, and an additional 15 percent for each month delinquent thereafter; provided, that the amount of such penalty to be added shall in no event exceed one hundred percent of the amount of the license tax due. (Ord. No. 2013-14, § 1.)

10B.24 Duration.

No license shall be issued for a period of more than 12 months. No license shall be issued for any period extending beyond the thirty first day of December. All semiannual licenses shall expire either on June 30 or December 31. (Ord. No. 2013-14, § 1.)

10B.25 Stickers – Vehicles generally.

Upon the issuance of a license the collector shall deliver to the licensee one sticker, emblem, device, sign or license facsimile for each vehicle used by the licensee in the conduct of his business. (Ord. No. 2013-14, § 1.)

10B.26 Same – Coin and vending machines.

Upon the issuance of a license, the collector shall deliver to the licensee one sticker for each coin or vending machine used by the licensee in the conduct of his business, which sticker shall be attached in a conspicuous place on such machine. (Ord. No. 2013-14, § 1.)

10B.27 Same – Form and content.

Each such sticker shall have thereon the words "Fairfield, California" or any abbreviation thereof, the current year and shall be in such form and color and contain such other information as the collector shall determine. (Ord. No. 2013-14, § 1.)

10B.28 Same – Substitute vehicles.

Additional stickers, emblems, devices, signs or license facsimiles may be issued by the collector for substitute or alternate vehicles if the licensee applies in writing to the collector setting forth that such substitute or alternate vehicles will not be used in the city on days when the regular vehicle or vehicles will be used in the city. (Ord. No. 2013-14, § 1.)

10B.29 Transfer of license.

No license issued pursuant to this chapter shall be transferred, except that when a licensee transfers his business from one location to another in the city the license previously issued may be amended to authorize the conduct of the business at the new location. The license transfers and amendments herein authorized may be obtained upon application therefor to the collector and the payment of the sum of two dollars. (Ord. No. 2013-14, § 1.)

10B.30 Administration of oaths.

For the purpose of this chapter, the collector, his deputies and authorized agents are authorized to administer oaths. (Ord. No. 2013-14, § 1.)

10B.31 Denial or revocation of business license.

Except as otherwise provided in this chapter, the collector may deny a business license application or revoke a business license on the grounds stated in section 10B.32. The collector shall give written notice to the applicant or licensee that the license is denied or revoked with a statement of the grounds for the decision. The notice shall also advise the applicant or licensee of the right to appeal the decision of the collector to the council according to section 10B.33. (Ord. No. 2013-14, § 1.)

10B.32 Grounds for denial or revocation of business license.

Except as otherwise provided in this chapter, a business license may be denied or revoked upon one or more of the following grounds:

(a) The applicant has failed to complete the application for a business license or renewal as prescribed in this chapter; or

(b) The applicant has knowingly made any false, misleading, or fraudulent statement of material fact in the application for the business license or in any report or statement required to be filed with the city; or

(c) The business or the activities or conduct of the business at the proposed location is prohibited by any provision of this code or any local, state, or federal law, statute, rule, or regulation; or

(d) The building, structure, premises, or the equipment used to conduct the business activity fails to comply with all applicable health, zoning, fire, building, and safety laws of the city or state; or

(e) The prescribed taxes for the business have not been paid.

Upon revocation of a business license, no refund of any license tax shall be made; and the amount of the tax shall be forfeited to the city. No business shall be conducted or operated during any period of license revocation, except as provided in section 10B.33. (Ord. No. 2013-14, § 1.)

10B.33 Appeal to council; findings conclusive.

Any person aggrieved by any decision of the collector with respect to the issuance or denial of a license, the revocation of a license, or the amount of a license tax may appeal to the council by filing a notice of appeal with the collector within fifteen days of such decision. The notice of appeal shall describe the reason why the decision of the collector should be reversed or modified. 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. If a timely appeal is filed, the effect of the decision of the collector shall be stayed until the appeal is decided by the council. 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 or section 10B.14 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. No. 2013-14, § 1. Formerly 10B.31.)

10B.34 Effect of chapter – Generally.

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 to 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. (Ord. No. 2013-14, § 1. Formerly 10B.32.)

10B.35 Same – Unexpired licenses.

Any person who on the effective date of this chapter has a valid unexpired license for any business issued by the city under the provisions of any ordinance heretofore enacted, shall receive credit on the amount of the license tax imposed by this chapter for a pro rata of the license tax previously paid based upon the unexpired portion of the period for which such previous license was issued. In the event that the pro rata credit for an unexpired license is greater than the license tax required by this chapter, then and in that event, the amount on the license tax under this chapter shall be the amount of the credit for the unexpired license fee or fees paid under each other ordinance or ordinances. (Ord. No. 2013-14, § 1. Formerly 10B.33.)

10B.36 Effect of mistake.

In no case shall any mistake made by the city in stating the amount of a license tax prevent or prejudice the collection by the city of what shall be actually due from anyone carrying on a business subject to a license tax under this chapter. (Ord. No. 2013-14, § 1. Formerly 10B.34.)

10B.37 Enforcement.

It shall be the duty of the collector, his deputy, agents or employees and they and each of them are hereby directed to enforce each and all of the provisions of this chapter. Each department of the city which issued permits for work to be done shall require the production of a valid unexpired license prior to the issuance of such a permit.

The collector 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 collector is authorized to examine, audit and inspect any financial books and records of any licensee, applicant for a license, or person engaged in business, as may be necessary to verify or ascertain the amount of license tax due from such licensee, applicant, or person in the specific classification, to ascertain the nature of the business, or to enforce the terms of the license.

All licensees, applicants for licenses, and persons engaged in business are required to permit such an examination of their financial books and records for the purposes and under the conditions aforesaid. (Ord. No. 85-24, § 2; Ord. No. 2013-14, § 1. Formerly 10B.35.)

10B.38 Evidence of liability.

In any action brought under or arising out of any of the provisions of this chapter or of any ordinance imposing a license tax, the fact that a party thereto represented himself as engaged in any business or calling for the transaction of which a license is required or that such party exhibited a sign indicating such business or calling shall be conclusive evidence of the liability of such party to pay for a license for such business. (Ord. No. 2013-14, § 1. Formerly 10B.36.)

10B.39 Purpose.

This chapter is enacted to raise revenue for municipal purposes and to provide a regulatory mechanism for the city to maintain an accurate record of the types of businesses conducting business in the city and to ensure that businesses are conducted in accordance with all applicable laws, including but not limited to all land use and zoning regulations. (Ord. No. 2013-14, § 1. Formerly 10B.37.)

10B.39A Remedies cumulative.*

All remedies prescribed 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 this chapter. (Ord. No. 2013-14, § 1. Formerly 10B.38.)

* This section is numbered 10B-40 as amended by Ord. No. 2013-14. It has been editorially renumbered to avoid duplication.

Article II. License Tax Schedules.

10B.40 Established.

The amount of license taxes to be paid to the city by any person conducting or carry on any business activities within the City of Fairfield is hereby established as herein provided. Such license tax shall be paid by every person engaged in conducting or carrying on any such profession, trade, occupation, calling or business in its city.

10B.41 License Taxes, Gross Receipts.

Every person who engages in the business activities described in classifications “A,” “B”,” and “C,” of this Section within the City of Fairfield shall pay a business license tax based upon gross receipts category at the rate listed for each category and in the gross receipts classifications set forth below:

Fairfield Business License Tax 2024 –
Proposed Tax Table
Index	From (Greater Than Equal To)	To (Less Than)	Class A	Class B	Class C
Index	From (Greater Than Equal To)	To (Less Than)	Rate	Rate	Rate
1	$0	$50,000	$55	$111	$55
2	$50,000	$100,000	$105	$131	$63
3	$100,000	$200,000	$242	$365	$96
4	$200,000	$300,000	$374	$563	$154
5	$300,000	$400,000	$462	$695	$206
6	$400,000	$500,000	$575	$864	$271
7	$500,000	$600,000	$667	$1,002	$326
8	$600,000	$700,000	$759	$1,485	$395
9	$700,000	$800,000	$840	$1,838	$470
10	$800,000	$900,000	$888	$1,982	$528
11	$900,000	$1,000,000	$936	$2,126	$585
12	$1,000,000 and greater (Gross Receipts)		$936 + $0.165/ $1,000	$2,126+ $0.165/ $1,000	$585 + $0.115/ $1,000

As of January 01, 2026, and annually thereafter, the tax rates and tiers in this table shall be adjusted by a percentage equal to the average of each of the percent change in the Consumer Price Index (CPI) for Urban Wage Earners and Clerical Workers (CPI-W) in the following three areas: 1) San Francisco-Oakland-Hayward, CA, 2) West, and 3) U.S. city average. This CPI data will be obtained from the Bureau of Labor Statistics, or its successor agency and the comparison will be made between the CPI values for October of the current fiscal year and the preceding October. The new tax rates and tiers shall be rounded to the nearest one (1.00) dollar; for the additional tax on Gross Receipts per every $1,000 above $1,000,000 in tier 12 the tax rate amount shall be rounded to the nearest whole cent (0.01).

(a) Classification "A" - Retail Sales, General Services Contractors, Subcontractors, Rentals, and Other Businesses.

(1) Every business not enumerated elsewhere in this chapter being conducted, managed, or carried out by a person in the City shall be classified in this category.

(2) Personal and repair services, including barber and beauty salons, except professionals and contractors, as defined in the California Business and Professions Code. (Ord. No. 85-24, § 3.)

(3) Every person engaged in business as a contractor, subcontractor or specialty contractor shall be classified in this category. The business license tax for all contractors and subcontractors shall be due and payable at the time of issuance of permits and shall be paid at the same time the permit fees are paid.

It shall be the responsibility of every general building, engineering or prime contractor to require subcontractors under his control or direction to pay a business license tax as herein provided before permitting said subcontractor to begin or perform services for said general building, engineering or prime contractor. Each general building, engineering or prime contractor shall furnish the collector with a list of each subcontractor upon forms furnished by the collector.

(4) Every person conducting, managing or carrying on the business consisting mainly of leasing or renting apartments, business rentals, industrial or commercial real property, rooms or suites in any multiple dwelling, office building, guest or boarding home, hotel or motel consisting of four (4) or more units will be classified in this category. (Ord. No. 85-24, § 4.)

(5) Advertising and Handbill Distribution:

Every person not having a fixed place of business within the city and conducting the business of commercial advertising by the distribution of handbills, circulars, or other written or printed commercial advertising material shall pay a license tax of $100.00 annually or $10.00 daily.

(6) Auctioneer:

Every person conducting the business of auctioneer within the City shall pay a license tax of $200.00 annually or $50.00 daily.

(7) Carnivals, Circus and Other Transient Amusements:

Every person conducting a business of carrying on a carnival, circus and other transient amusement operations shall pay a license tax based upon Classification "A" under section 10B.41.

The payment of such license tax shall not relieve such persons from obtaining a permit, as provided in chapter 5A of the city code.

(8) Closing out, Bankrupt and Similar Sales:

Every person conducting, managing or carrying on businesses which are represented as a closing out, bankrupt, insolvent, assignee, adjusters, trustees, executors, administrators, receivers, wholesalers, jobber, and similar sales within the city, shall pay a license tax of $50.00 per day.

(9) Flea Markets, Craft Fairs and Similar Businesses:

Every person conducting a business of the nature or similar to a "flea market," wherein such person for a fee makes available to the other persons a space, room, area, table, booth, enclosure or other fixed location from which such person can sell such goods, wares and merchandise as he desires to sell, shall pay a license fee of 5% of any rental fees charged.

Notwithstanding the above provisions, if any person shall occupy a space, room, booth or enclosure in such market on a regular basis, he may at his option, be classed as a retail business and shall pay the business operations tax in the same manner and rate as any other retail merchant.

(10) Pawnbroker, Junk Dealers and/or Auto Wreckers:

Every person conducting the business of pawnbroking; junk dealing, junk collecting and/or automobile wrecking shall pay a license tax of $100.00 annually.

The payment of such license tax shall not relieve such persons from obtaining a permit, as provided in chapter 13 of the city code.

(b) Classification "B" - Professions, Semi-Professions and Similar Businesses

(1) Every person engaged in business considered to be of a professional or semi-professional nature shall be classified in this category:

(2) Professions, Semi-professions and similar businesses shall include but not be limited to the following:

Accountants

Advertising agents (except outdoor advertising)

Appraisers

Architects (including landscape)

Attorneys

Bookkeeping services

Chemists

Chiropractors

Collection agencies

Consultants

Dentists

Detective/Investigative agencies

Engineers (all types)

Funeral services and crematories

Geologists

Insurance claim adjusters

Laboratories

Oculists

Optometrists

Osteopathic physicians

Physicians

Real Estate Agents and Brokers

Stockbrokers

Surgeons

Surveyors

Tax Consultants

Taxidermists; and

Veterinarians

(Ord. No. 85-24, § 5.)

(1) Any person engaged in the business of manufacturing, processing and/or selling at wholesale any goods, wares, or merchandise shall be classified in this category.

(2) Any support activity for businesses not operating in Fairfield including administrative headquarters, the services and activities in the city by a public utility, or any other similar activity shall be classified in this category.

(Ord. No. 85-24 §§3--5; Ord. No. 84-4 §1; Ord. No. 2024-04, §§ 1 – 4.)

10B.42 License Taxes, Flat Rates.

Every person who engages in the following business activities within the City of Fairfield shall pay a license tax based on flat rates at the rates and in the classifications set forth below. Said flat rates shall be adjusted annually by the collector according to the percentage change in the San Francisco Oakland Area Consumer Price Index for All Urban Consumers for the twelve (12) months from October to October preceding the next tax year. Said adjustment will be effective January 1, 1984.

(a) – (f) Recodified to Section 10B.41(a) by Ord. No. 2024-04.

(g) Personal Care Centers:

Every person conducting, managing or carrying on a personal care center shall pay a license fee for the maximum number of persons cared for during any portion of a year in accordance with the following schedule:

No. of Persons Cared For	Tax
1 through 5	$10.00
6 through 15	$20.00
16 through 25	$30.00
Each additional person over 25	$1.00

"Personal Care Centers" shall include, but not be limited to, boarding homes, boarding schools, convalescent centers, day care centers, foster family homes, hospitals not exempt from the payment of income taxes, institutions, nursery schools, nursing homes, rest homes and sanitariums.

(h) Solicitors, Peddlers and Itinerant Merchants:

Solicitor shall be defined as any person who engages in the business of going house to house, place to place within the city, selling or taking orders for future delivery or for services to be performed in the future.

Peddler shall be defined as any person who sells and makes immediate delivery or offers for sale and immediate delivery any goods, wares, merchandise or thing in the possession of the peddler at any place in the city other than a fixed place of business.

Itinerant merchant shall be defined to include any person or persons who engages in a temporary business in the city by selling or offering for sale goods, wares, merchandise and articles of value for a period of not more than one hundred ninety (190) days.

Every person conducting the business of soliciting, peddling and engaging in the business of an itinerant merchant within the city shall pay a license tax of $150.00 annually per person.

Principal’s Solicitor or Peddler License. Any person, firm or corporation either employing or contracting with one or more individuals to have such individuals solicit the retail sale of any goods, wares, merchandise, services or other things of value for future delivery or to sell or peddle such goods, wares and merchandise who operate in the city longer than one hundred ninety days and who do not have a regularly established place of business within the city may obtain a principal’s solicitor or peddler license and pay a license fee of one hundred dollars plus: twenty dollars for one solicitor; forty dollars for two to five solicitors; sixty dollars for six to ten solicitors; eighty dollars for eleven to fifteen solicitors; one hundred dollars for sixteen or more solicitors.

The principal solicitor or peddler shall promptly notify the collector of the name and address of each individual solicitor or peddler hired or contracted with by such principal for such solicitation or peddling.

Other persons not maintaining a fixed place of business in the City of Fairfield, but who regularly render personal or other services or products either by appointment, call, referral or otherwise from place to place or house to house in the city are subject to the provisions of this section.

Any person maintaining a fixed place of business in the city; provided, that a license fee is specifically required under any other section of this ordinance, shall not be required to pay any further license fee under the provisions of this chapter but shall be required to obtain the necessary solicitor’s permits for each employee so engaged according to the license tax provided above.

License identification cards. All peddlers and solicitors whether operating under a peddler or solicitor license or under a principal’s peddler or solicitor license shall be required to maintain an identification card and photograph at all times as required in chapter 5B of the city code.

The payment of such license tax shall not relieve such persons from obtaining a permit, as provided in chapter 5B of the city code. (Ord. No. 2008-02, § 4; Ord. No. 2024-04, § 4.)

10B.43 Reserved for future legislation.

10B.44 Trucking.

(a) Every person not having a fixed place of business within the city who makes wholesale or retail deliveries of goods or services by motor vehicles within the city or who maintains, installs or repairs goods, wares, merchandise, or equipment inside the city, or who provides a service not otherwise covered in this section, shall pay an annual license tax of forty dollars for the first vehicle plus twenty dollars for each additional vehicle.

(b) Every person conducting or carrying on the business of making deliveries of gasoline or other motor fuels either within the city limits or from outside the city limits to places within the city limits shall pay an annual license tax of seventy-two dollars per vehicle.

(c) The provisions of this subsection are subject to the terms and provisions of the State Highway Carriers’ Uniform Business Tax License Tax (California Public Utilities Code § 4300, et seq.).

(d) The number of vehicles shall be the average number of vehicles per day used in the city during the license year. (Ord. No. 83-19, § 1; Ord. No. 83-35, § 1.)

CHAPTER 10BBUSINESS LICENSE TAXES