Chapter 5.04 BUSINESS LICENSES

For the purposes of this chapter, the following words and phrases shall have the meaning given by this section, unless otherwise specifically provided:

“Business” means any business, commercial enterprise, trade, calling, vocation, profession, or any means of livelihood whether or not carried on for gain or profit.

“Business license certificate,” or “certificate,” means the receipt given by the collector which indicates that the tax imposed by this chapter has been paid.

“City” means the city of Folsom, a municipal corporation, in the state of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.

“Collector” means the finance director or his or her designee.

“Engaged in business,” “carrying on business” or “transacting business,” herein used interchangeably, means commencing, conducting, operating, managing, engaging in or carrying on of a business by any person, whether done as owner or by means of an officer, agent, manager, employee, servant or lessee of any of them, whether operating from a fixed location in the city or coming into the city from an outside location to engage in said activities.

When any person shall sell or offer to sell any goods, wares, merchandise, service or other thing of value in the city; or when he shall by use of signs, circulars, cards, telephone book, newspaper, radio or television, advertise, hold out or represent that he is commencing, engaging in, conducting, operating, managing, carrying on, or soliciting any business in the city; or when any person holds an active license or permit issued by a governmental agency indicating he is in business in the city and such person fails to deny by a sworn statement that he is conducting a business in the city, after having been requested to do so by the administrator; then these facts shall be considered prima facie evidence that he is conducting or engaging in business in the city.

“Gross receipts” means the gross receipts of the preceding calendar year or part thereof, and is defined as follows:

The total amount actually received or receivable from all sales; the total amount or compensation 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; and gains realized from trading in stocks or bonds, interest discounts, rents, royalties, fees, commission, dividends or other emoluments, however designated. 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, except that the following shall be excluded therefrom:

1. Cash discounts allowed and taken on sales;

2. Credit allowed on property accepted as part of the purchase price and which property may later be sold, at which time the sales price shall be included as gross receipts;

3. Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser;

4. Such part of the sale price of property returned by purchasers upon recision of a contract of sale as is refunded either in cash or by credit;

5. Receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded;

6. 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 the agent or trustee has furnished the collector with the names and addresses of the others and the amounts paid to them. This exclusion shall not apply to any fees, percentages or other payments retained by the agent or trustee;

7. As to a retail gasoline dealer, the 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 Part 2 of Division 2 of Revenue and Taxation Code of the state of California;

8. 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 customer or purchaser;

9. Cash value of sales, trades or transactions between departments or units of the same business;

10. That portion of the receipts of a general contractor which represents payments to subcontractors; provided, that such subcontractors are licensed under this chapter, and provided the general contractor furnishes the collector with the names and addresses of the subcontractor and the amounts paid each subcontractor;

11. 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.

“Itinerant vendor” means and includes any person who engages in any of the occupations generally referred to as “peddling,” “hawking,” “selling as a transient merchant” or “vending,” and includes any person who, as an agent for another or on his own behalf, goes from place to place within the city, selling or offering for sale any goods, wares, merchandise, service or other thing of value, other than a “solicitor” as defined in this section. One who engages in the business of selling any goods, wares, merchandise, service or other thing of value from any fixed location within the city for a period of less than ninety days shall be considered an itinerant vendor.

“Manufacture” or “process” shall embrace all the activities of a commercial or industrial nature wherein labor or skill is applied, by hand or machinery, to materials so that as a result thereof a new, different or useful article of tangible personal property or substance of trade or commerce is produced. “Manufacture” includes the production or fabrication of specially made or custom-made articles.

“Person” includes all domestic and foreign corporations, associations, syndicates, joint stock corporation, 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 strictly as a salaried employee.

“Sale” or “sell” means, includes and refers to the making of any transfer of title, in any manner or by any means whatsoever, to tangible personal property or other property for a consideration; and to the serving, supplying or furnishing, for a consideration, of any tangible personal property or other property fabricated or made at the special order of consumers who do or do not furnish directly or indirectly the specification therefor. A transaction whereby the possession of property is transferred but the seller retains the title as security for the payment of the price shall likewise be deemed a sale. The foregoing definitions shall not be deemed to exclude any transaction which is or which, in effect, results in, a sale within the contemplation of law. “Sale” includes both wholesale and retail sales and sales by vending machines dispensing tangible personal property.

“Solicitor” means any person who goes from residence to residence or place to place within the city selling or offering to sell any goods, wares, merchandise, service or other thing of value for future delivery; or any person who by telephone or by mail or by any other means sells or offers to sell any goods, wares, merchandise, service or other thing of value for future delivery.

“Sworn statement” means a written statement, declaration or certification made under penalty of perjury.

“Utility” or “public utility” means any person furnishing the public with communication, water, light, heat or power, subject to regulation by the Public Utilities Commission of the state of California.

“Valid certificate” means a certificate which complies with all the requirements of this chapter, and any certificate which does not comply with these requirements shall not be deemed to be a valid certificate for the purposes of this chapter or any other purpose. (Ord. 762 § 2 (part), 1993)

5.04.020 Revenue measure only.

This chapter is enacted solely to raise revenue for municipal purposes and is not intended for regulation. The taxes imposed by this chapter shall be in addition to any other tax or fee which may be imposed by any other provision of this code or other ordinance or resolution of the city. The taxes imposed by this chapter are not property related and are not imposed as an incident of property ownership. (Ord. 875 § 2 (part), 1997)

5.04.030 Effect on other ordinances.

The payment of the tax imposed by this chapter, and its acceptance by the city, and the issuance of a certificate to any person, shall not entitle that person to carry on the business so licensed unless that person complies with all other applicable laws of the city or to carry on any business in any building or on any premises designated in the certificate if such building or premises is situated in a zone in which the conduct of such business is not allowed. The payment of such tax and its acceptance by the city and the issuance of a certificate shall in no way relieve the taxpayer from compliance with all applicable laws of the city, nor shall it be construed as authorizing the conduct or continuance of any illegal business or of a legal business in an illegal manner. (Ord. 762 § 2 (part), 1993)

5.04.040 Administration of chapter—Powers of collector.

A. This chapter shall be enforced pursuant to the provisions of Chapters 1.08 through 1.10, inclusive.

B. This chapter shall be administered and enforced by the director of finance or his or her designee acting as the collector.

C. The collector may make such rules and regulations not inconsistent with the provisions of this chapter as may be necessary or desirable to supplement or clarify such provisions or aid in their enforcement. When, by reason of the provision of the Constitution of the United States or the Constitution of California, the business tax imposed by this chapter cannot be enforced without there being an apportionment according to the amount of business done in the city, or in the state, as the case may be, the collector may make such rules and regulations for the apportionment of the tax as are necessary or desirable to overcome the constitutional objections.

D. The determination of the type or class of business or businesses a taxpayer is engaged in or about to engage in shall be an administrative function of the collector. In cases where a taxpayer believes he or she is placed in the wrong business or class of business or businesses, he or she may apply in writing to the collector for a change in classification setting forth in full the reason for requesting such change. The collector shall conduct an investigation and shall thereupon render a decision in writing as to the proper classification or classifications. If the taxpayer is aggrieved by the collector’s decision, he or she shall have the right of appeal to the city manager under Section 5.04.260.

E. The collector shall have such other powers as are set out in this chapter or as may be prescribed by the city council. (Ord. 875 § 2 (part), 1997)

5.04.050 Enforcement—Violation—Remedies.

A. The collector shall have the authority 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 city manager. Each department of the city which issues permits or entitlements of use shall require the production of a valid unexpired certificate prior to issuance of such permit. The immediate preceding sentence shall not be construed to require any person to obtain a certificate prior to doing business within the city if such requirement conflicts with the constitution or applicable statutes of the United States or of the state.

B. A violation of this chapter shall be an administrative violation as defined in Section 1.08.020. In addition to the enforcement by any procedure set forth in Chapters 1.08 through 1.10, inclusive, any violation of the provisions of this chapter or the knowing or intentional misrepresentation of a material fact to any officer or employee of the city in procuring the certificate herein provided for shall be punishable as a misdemeanor, which shall be punishable by a fine not to exceed $1,000, or by imprisonment in the county jail for not more than 6 months, or by both fine and imprisonment.

C. Each of the sanctions for administrative violations identified in Section 1.09.013 shall be available for enforcement of the provisions of this chapter.

D. In addition to the criminal penalty set forth in Section 5.04.050(B), based upon the criteria for the imposition of administrative sanctions set forth in Section 1.09.014, a violation of a provision of this chapter shall be subject to the following financial sanctions.

1. Except for a failure to pay a business license tax when due, a violation of any provision of this chapter shall be deemed a level C violation as that term is described in Section 1.09.012. The range of monetary sanctions available shall be as set forth in Section 1.09.012(A)(3).

2. The financial penalty for the failure to pay a business license tax shall be determined in accordance with the provisions of Section 5.04.290.

E. The conviction and punishment of any person for engaging in any business without a valid certificate shall not relieve such person from paying taxes and penalties due and unpaid at the time of such conviction, nor shall the payment of any tax or penalty prevent a criminal prosecution for the violation of any of the provisions of this chapter. All remedies prescribed in this chapter 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.

F. Any sum required to be paid under the provisions of this chapter shall be deemed a debt owed to the city, and any person who engages in any business without first obtaining and paying for a valid certificate as required by this chapter shall be liable in an action by and in the name of the city in any court of competent jurisdiction for recovery of any such sum. (Ord. 875 § 2 (part), 1997: Ord. 762 § 2 (part), 1993)

5.04.055 Enforcement procedures—Notice to correct.

A. Prior to the suspension, revocation or denial of any license or permit, or the assessment of any fee, penalty or charge, or the commencement of any other enforcement action pursuant to this chapter, the director of finance shall follow the procedures set forth in Sections 1.09.020 through 1.09.048, inclusive. The rights to judicial review set forth in Sections 1.09.050 through 1.09.059, inclusive, shall apply.

B. A notice to correct shall be served in accordance with the provisions of Section 1.09.023. The time to correct any violation of a provision of this chapter shall be governed by the provisions of Section 1.09.023. (Ord. 875 § 2 (part), 1997)

5.04.060 Business license certificate required.

It is unlawful for any person to commence, transact, engage in or carry on any business, trade, profession, calling, occupation or gainful activity within the city without first having obtained a valid business license certificate and having paid the business license tax imposed and prescribed by this chapter, or without complying with any and all applicable provisions of this chapter. (Ord. 762 § 2 (part), 1993)

5.04.070 Business license tax imposed.

Subject to the provisions of this chapter, there are imposed upon all business, trades, professions, callings, occupations and gainful activities engaged in or carried on in the city, business license taxes in the amounts prescribed in this chapter. (Ord. 762 § 2 (part), 1993)

5.04.080 Business without fixed place of business in city.

Every person not having a fixed place of business within the city who engages in business within the city shall be required to pay the business license tax at the same rate prescribed in this chapter for persons engaged in the same type of business and conducting that business from place of business within the city. Where the application of the business license tax rate on the proportion of the taxable events occurring in the city produces a tax due amount which is below the minimum tax limit, the matter is “de minimus” and no tax payment is due. (Ord. 762 § 2 (part), 1993)

5.04.090 Branch establishments.

A separate business license certificate must be obtained for each branch of a business where activities of such business are transacted and carried on and for each separate type of business at the same location, and each certificate shall authorize the licensee to transact and carry on only the business licensed thereby at the location or in the manner designated in such certificate; 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; and provided further, that any person conducting two or more types of businesses who uses a single set or integrated set of books and records, may, at his or her option, pay only one tax which shall be the tax that applies to the type of business of such person which requires the highest tax-payment, except that a business license tax of $10 for each additional branch or location shall be paid upon issuance. (Ord. 762 § 2 (part), 1993)

5.04.100 Constitutional apportionment.

A. None of the business license taxes provided for by this chapter shall be so applied as to occasion an undue burden upon interstate commerce or be violative of the equal protection and due process clauses of the Constitution of the United States and the state.

B. In any case where a business license tax is believed by a licensee or applicant for a certificate to place an undue burden upon interstate commerce or be violative of such constitutional clauses, he may apply to the collector for an adjustment of the tax. Such application may be made before, at, or within six months after payment of the prescribed business license tax. The applicant shall, by sworn statement and supporting testimony, show his method of business and estimated gross volume of business and such other information as the collector may deem necessary in order to determine the extent, if any, of such undue burden or violation. The collector shall then conduct an investigation and, after having first obtained the written approval of the city attorney, shall fix as the 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 tax to be charged, the collector shall have the power to base the license tax upon a percentage of gross receipts or any other measure which will assure that the tax assessed shall be uniform with that assessed on businesses of like nature, so long as the amount assessed does not exceed the tax as prescribed by this chapter. Should the collector determine the gross receipts measure of the tax to be the proper basis, he or she may require the applicant to submit, either at the time of termination of the applicant’s business in the city or at the end of each 3-month period, a sworn statement of the gross receipts and pay the amount of license tax therefor; provided, that no additional business license tax during any one calendar year shall be required after the licensee shall have paid an amount equal to the annual business license tax as prescribed in this chapter. (Ord. 762 § 2 (part), 1993)

5.04.110 Exemptions.

A. 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 applicable statutes of the United States or the state from the payment of such taxes as are herein prescribed.

B. The following persons, organizations and activities are exempt from payment of the business license tax:

1. Business conducted by a charitable, nonprofit or eleemosynary corporation, association or organization if the net proceeds of the business are used exclusively by such corporation, association or organization for a purpose which would qualify as a charitable deduction under Section 1772214 of the Revenue and Taxation Code of the state if the net proceeds were received as a gift by the organization;

2. The conduct of entertainment, concert, exhibition or lecture on scientific, historical, literary, religious or moral subjects, whenever the receipts are for a religious, educational or charitable purpose;

3. The conduct of entertainment, dance, concert, exhibition or lecture by a religious, charitable, fraternal, educational, amateur theatrical group, military, state, county or municipal organization or association, whenever the receipts are for the purpose and objects for which the organization or association is formed, and from which profit is not derived, directly or indirectly, by any individual;

4. A person doing business whose gross receipts do not exceed the maximum income allowed by U.S. law to persons drawing full Social Security benefits as provided by Title 42, U.S. Code, Section 403(f)(3), as presently written or as amended;

5. A disabled veteran holding an honorable discharge from a branch of the military service of the United states who is physically unable to earn a living by manual labor and who engages in itinerant vending or soliciting. (Ord. 762 § 2 (part), 1993)

5.04.120 Exemptions—Procedure for claiming.

A. Any person claiming an exemption pursuant to Section 5.04.110B shall file a sworn statement with the collector stating the facts upon which exemption is claimed. In the absence of such statement substantiating the claim, such person shall be liable for the payment of the taxes imposed by this chapter.

B. The collector shall, upon proper showing contained in the sworn statement, issue a business license certificate to such person claiming exemption under this section without payment to the city of the business license tax required by this chapter.

C. The collector, after issuing a notice to correct as required by Section 5.04.055, may revoke any certificate granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption as provided herein. The licensee shall be entitled to an administrative hearing and judicial review pursuant to the provisions of Chapters 1.08 through 1.10, inclusive. (Ord. 875 § 2 (part), 1997; Ord. 762 § 2 (part), 1993)

5.04.130 Issuance of business license certificate—Contents.

A. All business license certificates shall be issued by the collector upon submission of a completed application and payment of the prescribed business license tax.

B. The certificate shall contain the following information:

1. The name of the person to whom the certificate 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 certificate;

5. The following statement: “This license is issued without verification that the licensee is subject to or exempt from licensing by the state of California”;

6. Such information as my be necessary for the enforcement of the provisions of this chapter; and

7. A copy of the retail sales tax certificate where applicable.

C. Whenever the tax imposed under the provisions of this chapter is measured by the number of vehicles, devices, machines or other pieces of equipment used, or whenever the business license tax is measured by the gross receipts from the operation of such items, the collector shall issue only one certificate; provided, that he may issue for each tax period for which the business license tax has been paid, one sticker, tag, plate or symbol for each item included in the measure of the tax or used in a business where the tax is measured by the gross receipts from such items. (Ord. 762 § 2 (part), 1993)

5.04.140 Application for business license certificate—First certificate.

A. A person making application for the first certificate to be issued hereunder, or for a newly established business, or for a new ownership of a previously established business, shall furnish to the collector a sworn statement upon a form provided by the collector, setting forth the following information:

1. The exact nature or kind of business for which a certificate is requested;

2. The place where such business is to be carried on and, if the same is not to be carried on at any permanent place of business, the places of residence of the owners of same;

3. In the event that application is made for the issuance of a certificate to a person doing business under a fictitious name, the application shall set forth the names and places of residence of those owning the business;

4. In the event that the application is made for the issuance of a certificate to a corporation or a partnership, the application shall set forth the names of residences of the officers or partners thereof;

5. In all cases where the amount of the business license tax to be paid is measured by gross receipts, or by the number of machines or vehicles or other devices, the application shall set forth such information as may be required to determine the amount of the license tax to be paid by applicant;

6. Any further information which the collector may require to enable him to issue the type of certificate applied for.

B. If the amount of the business license tax to be paid by the applicant is measured by gross receipts, the applicant shall estimate the gross receipts for the period to be covered by the certificate to be issued. Such estimate, if accepted by the collector as reasonable, shall be used in determining the amount of tax to be paid by the applicant; provided, however, the amount of tax so determined shall be tentative only and such person shall, within thirty days after the expiration of the period for which the certificate was issued, furnish the collector with a sworn statement, upon a form furnished by the collector, showing the gross receipts during the period of such certificate and the business license tax for such period shall be finally ascertained and paid in the manner provided by this chapter for the ascertaining and paying of renewal taxes for other businesses after deducting from the payment found to be due the amount paid at the time such first certificate was issued.

C. The collector shall not issue to any person another certificate for the same or any other business until such person shall have furnished to him the sworn statement and paid the license tax as herein required. (Ord. 762 § 2 (part), 1993)

5.04.150 Application for business license certificate—Renewal.

In all cases, the applicant for the renewal of a business license certificate shall submit to the collector for his guidance in ascertaining the amount of the business license tax to be paid by the applicant, a sworn statement upon a form to be provided by the collector, setting forth such information concerning the applicant’s business during the preceding year as may be required by the collector to enable him to ascertain the amount of the business license tax to be paid by the applicant pursuant to the provisions of this chapter. (Ord. 762 § 2 (part), 1993)

5.04.160 Application—Sworn statement—Conclusiveness.

No statements 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. Such statement and each of the several items therein contained shall be subject to audit and verification by the collector or authorized employees of the city who are authorized to examine, audit and inspect such books and records of any licensee or applicant for a certificate as may be necessary in their judgment to verify or ascertain the amount of business license tax due, and who may demand that the licensee or applicant file a corrected statement. (Ord. 762 § 2 (part), 1993)

5.04.170 Business license certificate—Validity.

A certificate shall be valid only after collector’s stamp or endorsement has been affixed thereto indicating payment has been received of the amount of the tax penalties thereon, if any. A certificate, however, which has been paid for by a check or bank draft which subsequently dishonored by the bank upon which it was drawn shall not be a valid certificate even though the collector’s stamp or endorsement appears thereon, and the person operating the business for which the certificate was issued shall be deemed to be operating without a valid certificate and shall be subject to the penalties provided in this chapter for so operating. (Ord. 762 § 2 (part), 1993)

5.04.180 Business license certificate—Revocation.

A. Any certificate issued pursuant to the provisions of this chapter may be canceled for the following reasons:

1. A material false statement contained in the application;

2. Failure to comply with the requirements of this chapter.

B. Prior to taking any action to cancel any certificate issued pursuant to this chapter, the director of finance shall issue a notice to correct as provided for in Section 5.04.055. If the violation is not corrected within the time specified, or if the violation is not capable of correction, the director of finance shall cause the issuance of a notice of administrative violation. The procedures set forth in Title 1 of the Folsom Municipal Code shall thereafter govern the proceedings for revocation of the certificate.

C. The decision of the administrative hearing officer shall be final and any further rights to appeal shall be governed by the procedures set forth in Sections 1.09.050 through 1.09.052. (Ord. 875 § 2 (part), 1997)

5.04.190 Business license certificate—Withheld.

A. The collector shall not issue a certificate to any person for conducting any business while there is pending any action under this chapter against the person as the holder of any certificate at the same location until such action has been concluded.

B. No certificate for any ensuing current or unexpired period shall knowingly be issued or renewed to any person who at the time of making application therefor is indebted to the city for any unpaid business license tax.

C. If any person shall have upon two or more occasions made payment for his certificate with a check which was returned by the bank upon which it was drawn because of insufficient funds, the collector may thereafter require that such person make payment of his business license tax by cash payment or by money order or certified check.

D. The collector shall not renew any business license certificate if the holder of the certificate failed to satisfy in full an administrative penalty imposed pursuant to a notice of administrative violation or a final order of an administrative hearing officer or court, if such order exists. If the collector determines that an administrative penalty remains unpaid at the time for mailing a renewal notice and there is no appeal pending, the collector shall state in the renewal notice that the renewal will not be accepted unless the full administrative penalty is paid in full at or before the time of renewal. The person or entity may seek review of this determination through the procedures set forth in Sections 1.09.050 through 1.09.052. However, any such appeal shall be limited to a review of whether the administrative penalty has in fact been paid. (Ord. 875 § 2 (part), 1997; Ord. 762 § 2 (part), 1993)

5.04.200 Business license certificate not transferable.

No certificate issued pursuant to this chapter shall be transferable; provided, that where a certificate is issued authorizing a person to transact and carry on a business at a particular place, such licensee may, upon application therefor and paying a fee of $5, have the license amended to authorize, the transacting and carrying on of such business under the certificate at some other location to which the business is to be moved. Provided, further, that transfer whether by sale or otherwise, to another person under such circumstances that the real or ultimate ownership after the transfer is substantially similar to the ownership existing before the transfer, shall not be prohibited by this section. For the purpose of this section, stockholders, bondholders, partnerships or other persons holding an interest in a corporation or other entity herein defined to be a person, are regarded as having the real or ultimate ownership of such corporation or other entity. (Ord. 762 § 2 (part), 1993)

5.04.210 Business license certificates—Duplicates.

A duplicate business license certificate may be issued by the collector to replace any certificate previously issued thereunder which has been lost or destroyed, upon the licensee filing a statement and paying the collector a duplicate certificate fee of $5. (Ord. 762 § 2 (part), 1993)

5.04.220 Business license certificates—Posting and keeping.

A. Any licensee, transacting and carrying on business at a fixed place of business in the city, shall keep the certificate 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 certificate upon his person at all times while transacting and carrying on the business for which it is issued.

C. Whenever identifying stickers, tags, plates or symbols have been issued for each vehicle, device, machine or other piece of equipment included in the measure of a business license tax, the person to whom such stickers, tags, plates or symbols have been issued shall keep firmly affixed upon each vehicle, device, machine or piece of equipment, the identifying sticker, tag, plate or symbol which has been issued therefor at such locations as are designated by the collector. Such sticker, tag, plate or symbol shall not be removed from any vehicle, device, machine or piece of equipment in use during the period for which the sticker, tag, plate or symbol is issued.

D. No person shall fail to affix, as required herein, any identifying sticker, tag, plate or symbol to the vehicle, device, machine or piece of equipment for which it has been issued at the location designated by the collector.

E. No person shall give away, sell or transfer any identifying sticker, tag, plate or symbol, referred to above, to another person or permit its use by another person. (Ord. 762 § 2 (part), 1993)

5.04.230 Records.

All persons subject to the provisions of this chapter shall keep complete records of business transactions, including sales, receipts, purchases, expenditures, and any other records and data relevant to establishing and verifying the tax liability under this chapter. Such persons shall retain all such records for examination by the collector for a period of at least 3 years. No person required to keep records under this section shall refuse to allow authorized representatives of the collector to examine the records at reasonable times and places. (Ord. 762 § 2 (part), 1993)

5.04.240 Records—Confidentiality.

The collector or any authorized employee of the city shall not make known in any manner whatever the business affairs, operations or information obtained by an investigation of records and equipment of any person required to obtain a business license certificate and to pay a business license tax, or any other person visited or examined in the discharge of official duty, or the amount or source of income, profits, losses, expenditures or any particular thereof set forth in any statement or application, or to permit any statement or application or copy of either, or any book containing any abstract or particulars thereof to be seen or examined by any person; provided, that nothing in this section shall be construed to prevent:

A. The disclosure to, or the examination of records and equipment by, another city official, employee or agent for the collection of taxes for the sole purpose of administering or enforcing any provisions of this chapter or collecting taxes imposed hereunder;

B. The disclosure of information to, or the examining of records by, federal or state officials or the tax officials of another city or country if a reciprocal arrangement exists, or to a grand jury or court of law upon subpoena;

C. The disclosure of information and the results of the examination of records of particular taxpayers, or relating to such taxpayers, or to a court of law in a proceeding brought to determine the existence or amount of any tax liability of the particular taxpayers to the city;

D. The disclosure, after the filing of a written request to that effect, to the taxpayer himself or to his successors, receivers, trustees, executors, administrators, assignees and guarantors, if directly interested, of information as to the items included in the measure of any paid tax, any unpaid tax or amounts of tax required to be collected, interest and penalties; further provided, however, that the city attorney approves each such disclosure and that the collector may refuse to make any disclosure referred to in this subsection when, in his opinion, the public interest would suffer thereby;

E. The disclosure of the names and addresses of persons to whom business license certificates have been issued and the general type or nature of their business;

F. The disclosure by way of public meeting or otherwise of such information as may be necessary to the city council in order to permit it to be fully advised as to the facts when a taxpayer files a claim for refund of taxes or submits an offer of compromise with regard to a claim asserted by the city for taxes, or when acting upon any other matter;

G. The disclosure of general statistics regarding taxes collected or business done in the city. (Ord. 762 § 2 (part), 1993)

5.04.250 Failure to obtain business license certificate or to file statement or corrected statement.

A. If any person fails to file any required statement within the time prescribed or if, after demand therefor made by the collector, fails to file a corrected statement, or if any person subject to the tax imposed by this chapter fails to apply for and obtain a certificate, the collector may determine the amount of business license tax due from such person by means of such information as he may be able to obtain.

B. If the collector is not satisfied with the information supplied in applications or statements filed, he may determine the amount of any business license tax due by means of any information he may be able to obtain.

C. If such a determination is made, the collector shall give notice of the amount so assessed on a notice of administrative violation, as defined in Section 1.08.020. (Ord. 875 § 2 (part), 1997; Ord. 762 § 2 (part), 1993)

5.04.260 Appeals.

Any person aggrieved by any decision of the collector with respect to the determination of the amount of a business license tax, or the issuance or refusal to issue, or cancellation of any business license certificate may file a request for administrative hearing with the city clerk within 15 days after notice of the decision of the collector. The hearing shall be governed in all respects by the procedures set forth in Sections 1.09.030 to 1.09.049. The decision of the administrative hearing officer shall be final, and subject only to further judicial review as allowed for in Sections 1.09.050 to 1.09.052. (Ord. 875 § 2 (part), 1997)

5.04.270 Collector—Additional powers.

In addition to all other power conferred, the collector shall have the power, for good cause shown, to extend the time for filing any required sworn statement or application for a period not exceeding 30 days and, in such case, to waive any penalty that would otherwise have accrued, except that 7 percent simple interest shall be added to any tax determined to be payable. (Ord. 762 § 2 (part), 1993)

5.04.280 Business license tax—When payable.

A. Unless otherwise specifically provided, all annual business license taxes under provision of this chapter shall be due and payable in advance on the first day of July of each year; provided, that business license taxes covering new operations commenced after the first day of April may be prorated for the balance of the tax period.

B. Except as otherwise herein provided, business license taxes, other than annual taxes, required hereunder shall be due and payable as follows:

1. Semiannual taxes, measured by gross receipts, on the first day of July and the first day of January of each year;

2. Quarterly taxes, measured by gross receipts, on the first day of July, October, January and April of each year;

3. Monthly taxes, measured by gross receipts, on the first day of each and every month;

4. Weekly flat rate taxes on Monday of each week;

5. Daily flat rate taxes each day;

6. Other flat rate taxes are payable on the first day of business and, thereafter, on the first day of any applicable period. (Ord. 762 § 2 (part), 1993)

5.04.290 Business license tax—Delinquencies and penalties.

For failure to pay a business license tax when due the collector shall add a penalty of ten percent of the license tax on the first day of each month after the due date thereof; provided, that the total amount of such penalty to be added shall in no event exceed 50 percent of the amount of the business license tax due. (Ord. 762 § 2 (part), 1993)

5.04.300 Business license tax—Refunds.

No refund of an overpayment of taxes imposed by this chapter shall be allowed in whole or in part unless a claim for refund is filed with the collector within a period of 3 years from the last day of the calendar month following the period for which the overpayment was made and all such claims for refund of the amount of the overpayment must be filed with the collector on forms furnished by him and in the manner prescribed by him. Upon the filing of such a claim and upon the determination by the collector that an overpayment has been made, he shall refund the amount overpaid. (Ord. 762 § 2 (part), 1993)

5.04.310 Prior license certificates and taxes—Exemptions and continuing obligation.

A. Adoption of the ordinance enacting this chapter shall not relieve any person from any obligation or liability for payment to the city of a license tax arising under Folsom City Ordinance No. 315 or any other ordinance heretofore enacted by the city, and the obligation or liability shall continue.

B. Where a business license for revenue purposes has been issued to any person by the city upon payment of a license tax pursuant to Folsom City Ordinance No. 315 or any other ordinance heretofore enacted by the city, and the period of time for which the license was issued and the tax was paid has not expired, the business license tax prescribed for said person by this chapter shall not be payable until the expiration of said period of time. (Ord. 762 § 2 (part), 1993)

5.04.320 Business license tax—Establishment of rates.

The amount of the business license tax shall be set annually by council resolution in April. In making the annual revision of the business license tax, the city may change the tax rates set in the prior year by percentage change in the consumer price index for the prior 12-month period ending in March of the current year. (Ord. 762 § 2 (part), 1993)

5.04.330 Business license tax—Statutory public meeting.

Pursuant to California Government Code Sections 54994.2, 54994.1, the city clerk shall cause notice to be provided as set out in said Government Code Sections 54994.2, 54994.1 and 6062a and the city council periodically, and at least annually, shall receive at a public regularly scheduled meeting oral and written presentations concerning the change in the business license tax rates. Such notice, oral and written presentation, and public hearing shall be provided by the city council prior to taking any action on the proposed change to the business license tax rates. At least 1 such public hearing shall be held annually at the second regular council meeting in April. (Ord. 762 § 2 (part), 1993)