229.1.1 PURPOSE.
The City Council of the City of Torrance hereby declares that the taxes required to be paid by this Chapter are assessed pursuant to the taxing power of the City of Torrance, and are solely for the purpose of producing revenue.
229.1.2 CHAPTER TITLE.
This Chapter is known and may be cited as the Construction Tax Law.
229.2.1 DEFINITIONS GOVERNING.
Unless otherwise specified, the definitions set forth in this Article govern the construction of this Chapter.
a) Person - includes any individual, firm, partnership, joint venture, association, corporation, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit.
b) Alter or alteration - is any change, addition, or modification in construction.
c) Building - is a structure, shelter, or enclosure but does not include a dwelling unit or addition or accessory structure thereto.
d) Building existing - is any building erected prior to the effective date of this Chapter, or one for which a legal building permit has been issued.
e) Structure - is that which is built or constructed, an edifice or building of any kind but does not include a dwelling unit or addition or accessory structure thereto, or any piece of work artificially built up or composed of parts joined together in some definite manner.
f) Building official - is the Director of Building and Safety for the City, or his authorized deputy.
g) Construction - is to erect, enlarge, alter, repair, improve, make, put together, or move any building or structure, or cause the same to be done.
h) City - shall mean the City of Torrance.
i) Value - is the total value of all construction work for which a building permit is issued, as well as all finish work, painting, roofing, electrical, plumbing, heating, air conditioning, elevators, fire extinguishing systems and any other permanent work or equipment.
229.3.1 CONSTRUCTION PROHIBITED.
It shall be unlawful for any person to erect, construct, enlarge, alter, repair, move, improve, make, put together, or convert any building or structure, as defined herein, in the City, or attempt to do so, or cause the same to be done without first paying the tax imposed by this Chapter.
229.3.2 RATE OF TAX.
(Amended by O-2739; O-3300)
A tax is hereby imposed upon every person who constructs or alters any building or structure, excluding a dwelling unit or addition or accessory structure thereto, in the City at the rate of one and one-half (1 1/2) percent of the total value of all construction work for which the building official requires a permit pursuant to Section 81.1.1. of this Code; provided, however, that the rate of tax therefor shall be one (1) percent for any building or structure which is exempt from taxation pursuant to the provisions of Section 214 of the State Revenue and Taxation Code (the welfare exemption) and which is constructed by or for any organization a contribution or gift to which would be a charitable contribution under the provisions of Section 170(C)(2) of the United States Internal Revenue Code of 1954 (26 U.S.C.-(C)(2)). The applicant for the reduced rate shall have the burden of proving compliance with the provisions of this Section.
229.3.3 VALUATION.
The determination of value or valuation under the provisions of this Chapter shall be made by the building official.
229.3.4 TIME OF PAYMENT.
The tax imposed by this Chapter shall be paid to the building official in the form of remittances payable to the City of Torrance at the time of the issuance of the building permit required for the proposed construction.
229.3.5 PAYMENT REQUIRED.
The building official shall not issue a building permit to any person prior to the payment of the tax imposed by this Chapter.
229.3.6 EXCEPTION; PAINTED SIGNS.
(Added by O-2332)
The tax imposed by this Chapter shall not apply to the painting of a sign or the repainting of an existing sign regardless of whether or not a permit has been issued therefor, where such work does not result in structural changes being made thereto.
229.4.1 REFUND OF TAX.
The tax imposed by this Chapter shall be refunded to the person who paid it in the event that the construction for which the tax was required to be paid is not started; provided that in the event of such refund, it shall be unlawful for any person to proceed in any way with further construction without first applying for another building permit, and paying the tax imposed by this Chapter.
229.4.2 LIMITATIONS ON REFUNDS.
The provisions of Section 229.4.1. above shall be subject to the requirements and limitations of Division 1, Chapter 1, Article 3 of this Code.
229.5.1 CREDITS.
The following sums shall be deducted from the amount of tax which is required by the provisions of Article 2 of this Chapter:
a) The amount of tax which has been paid to the City pursuant to Chapter 23 of Division 2 of this Code on account of the proposed construction of the same building or structure.