Chapter 3.38
TELEPHONE UTILITY TAX
Sections:
3.38.060 Late penalty and collection.
3.38.010 Definitions.
In construing the provisions of this chapter, unless otherwise clearly apparent from the context, the following definitions shall be applied:
“Cellular telephone service” means a two-way voice and data telephone/communications system based in whole or substantially in part on wireless radio communications and which is not subject to regulation by the Washington Utilities and Transportation Commission (WUTC). Cellular telephone service includes cellular mobile service. The definition of “cellular mobile service” includes other wireless radio communications, services such as specialized mobile radio (SMR), personal communications services (PCS), and any other evolving wireless radio communications technology which accomplishes a purpose similar to cellular mobile service. Cellular telephone service is telephone business.
“Gross income” means the value proceeding or accruing from the sale of tangible property or service, and receipts (including all sums earned or charged, whether received or not) by reason of the investment of capital in the business engaged in, including rentals, royalties, fees or other emoluments, however designated, derived from business activities conducted within the corporate limits of the city (excluding receipts or proceeds from the use or sale of real property, or any interest therein and proceeds from the use or sale of notes, bonds, mortgages, or other evidence of indebtedness or stocks and the like) and without any deduction on account of the cost of the property sold, and the cost of materials used, labor costs, interest, or any expenses whatsoever; provided, that the term “gross income” shall not apply to those monies collected by such business for reimbursement of the tax imposed by this chapter.
“Person” or “persons” means persons of either sex, firms, partnerships, corporations, public utility districts, public and private utilities, and other associations, whether acting by themselves or by servants, agents or employees.
“Tax year” or “taxable year” means the year commencing January 1st and ending on the last day of December of the same year.
“Taxpayers” means any person liable for paying the license fee or tax imposed by this chapter.
“Telephone business” means the business of providing network telephone service (as defined in RCW 82.04.065), local telephone network switching service, toll service, cellular telephone service, or coin telephone services, or providing telephonic, video, data, or similar communication or transmission for hire, via a local telephone network, toll line or channel, or similar communication or transmission system, and as more fully defined in RCW 82.04.065. (Ord. 536 § 1 (part), 2003)
3.38.020 Rates.
A. There is levied upon and shall be collected from and paid as hereinafter provided by every person on account of and for the privilege of engaging in business activities, a telephone utility tax sometimes herein referred to as “tax” against gross income of persons as defined herein for the three calendar months next preceding the beginning of each quarterly period. The quarterly periods are as follows:
First quarter—January, February, March
Second quarter—April, May, June
Third quarter—July, August, September
Fourth quarter—October, November, December
B. The taxes provided in this chapter shall be computed on the basis of gross income derived and at the rates established below for each of the following activities conducted within the corporate limits of the city. Those persons subject to the payment of the tax imposed herein are as follows:
1. Telephone Business. By authority of RCW 35.21.870, all persons engaged in or carrying on telephone business as defined in this chapter shall be levied a tax equal to six percent of the gross income so derived.
C. Any person engaged in, or carrying on any business subject to a tax under this chapter and who fails or refuses to pay the tax or any part thereof on or before the due date is operating in violation of this chapter. (Ord. 536 § 1 (part), 2003)
3.38.030 Payment dates.
A. In lieu of the quarterly payment of the taxes provided in Section 3.38.020 of this chapter, the taxpayer may pay the tax on a monthly basis.
B. Whenever a taxpayer commences to engage in business during any quarterly period, his first return and license fee or tax shall be based upon and cover the portion of the quarterly period during which the person engaged in business.
C. First payments and returns under this chapter shall be for gross income derived during the first quarter of the calendar year and after the effective date of the ordinance codified in this chapter. The tax and returns shall be made on a quarterly basis thereafter, the payments to be due and payable as provided in Section 3.38.020 of this chapter. (Ord. 536 § 1 (part), 2003)
3.38.040 Exceptions.
There is excepted and deducted from the total gross income upon which the tax is computed so much thereof as is derived from transactions in interstate or foreign commerce, or from business done for the government of the United States, and any amount paid by the taxpayer to the United States or the state of Washington, as excise taxes levied or imposed upon the sale or distribution of property or service. (Ord. 536 § 1 (part), 2003)
3.38.050 Payments—Records.
A. The tax payable shall at the time of the return required to be filed under this chapter, be paid to the city clerk-treasurer by bank draft, certified check, cashier’s check, personal check or money order or in cash. If payment is made by draft or check, the tax or fee shall not be deemed paid until the draft or check is honored in the usual course of business; nor shall the acceptance of any sum by the clerk-treasurer be an acquittal or discharge of the tax or fee due unless the amount of the payment is in the full and actual amount due.
B. It is the duty of every person liable for the payment of any tax imposed by this chapter to keep and preserve for the period of five years such books and records as will accurately reflect the amount of such person’s gross income as defined in this chapter and from which can be determined the amount of any tax for which such person may be liable under the provisions of this chapter and all books as provided herein shall be open for examination at all reasonable times by the city clerk-treasurer or his or her duly authorized agent. (Ord. 536 § 1 (part), 2003)
3.38.060 Late penalty and collection.
If any person, firm, or corporation subject to this chapter shall fail to pay any tax required by this chapter within thirty days after the due date thereof, there shall be added to such tax a penalty of twelve percent of the amount of such tax, and any tax due under this chapter and unpaid, and all penalties thereon, shall constitute a debt to the city of Bridgeport, Washington, and may be collected by court proceedings which remedy shall be in addition to all other remedies. (Ord. 536 § 1 (part), 2003)
3.38.070 Violations.
It is unlawful for any person liable to pay a tax pursuant to this chapter to fail or refuse to make the returns as and when required, or to pay the tax when due, or for any person to make any false or fraudulent return or any false statement or return or any false statement or representation in, or in connection with, any such return, or to aid or abet another in any attempt to evade payment of the tax, or any part thereof, or for any person to fail to appear and/or testify in response to subpoena issued pursuant thereto, or to testify falsely upon any investigation of the correctness of a return, or upon the hearing of any appeal, or in any manner to hinder or delay the city or any of its officers in carrying out the provisions of this chapter. (Ord. 536 § 1 (part), 2003)
3.38.080 Additional tax.
The taxes levied in this chapter are additional to any license or tax imposed or levied under any law or any other ordinance of the city. (Ord. 536 § 1 (part), 2003)
3.38.090 Penalty.
Any person who violates any of the provisions of this chapter shall be guilty of a misdemeanor and shall be subject to punishment as set forth in Bridgeport Municipal Code Section 1.20.020, as the same exists now or may be hereafter amended. (Ord. 536 § 1 (part), 2003)