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HomeMy WebLinkAboutOrdinance 444 N.C.S. 05/31/1956/3 1 1 1 ORDINANCE NO. 444 N. C. S. Introduced by Councilman JOHN J. M-,G Seeonded by Councilman MILTON GUSTAFSON AN ORDINANCE OF THE CITY OF PETALUM : a, IMPOSING A CITY SALES AND USE TAX; PROVID- i.\-G FOR THE PERFORMANCE BY THE STATE BOARD OF EQUALI- 2ATION OF ALL FUNCTIONS IN- CIDE.vT TO THE ADMINISTRA- TION, OPERATION AND COLI EC- TION OF THE. SALES AND USE TAX HEREBY IMPOSED. SUS- PENDING THE PROVISIONS OF ORDINANCES NO. 442 N. C. S. AND 443 •N. C. S. DURING SUCH TIME AS .'Tills ORDINANCE IS OPERA- TIVE; AND PROVIDING PENAL- TIES FOR VIOLATION THEREOF. BE IT ORDAINED BY THE COUN- CIL OF THE, CITY OF PETALUMA AS FOLLOWS: Section 1. SHORT TITLE. This or- ('inance steal) 'be known as the Uni- Corm 'Local Sales and Use Tax Ordi- nance of the City of Petaluma. Section 2. PURPOSE. The City Council of the City of Petaluma hereby declares that this ordinance is adopted to achieve the following„ zmong other, purposes, and directs (:'rat: the provisions hereof be inter- in order to accomplish 'those. 1, 1 "Oses (a) To adopt a sales and use tax c n, nce which complies with the rec u rcrients and limitations con - t red in Part 1.5 of Division 2 of the .revenue and Taxation -Code of ti.,e State of California; b:i. To adopt a sales and use tax orulnantx which incorporates provi- lions identical to those of the Sales _ and Use Tax 'Law of the - State of California insofar as those provi- sions are not inconsistent with the requirements and limitations con- tained, in Part 1.5 of Division 2 of the said Revenue and Taxation Code; (c) To adopt a sales arid use tax ordinance which imposes a 0.875 per. cent (.375 tax and provides a mea- sure itherefor that can be admin- ister6d and collected by the State Board of Equalization in a manner that adapts itself as fully as practical to and requires the least possible cieviation from, the existing statutory and adn procedures fol- lowed by the State Board of Equali zation in administering and collecting the California State Sales and Use 'Faxes; (d) To adopt a sales and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with. the provi'• ' sions -of Part 1.5 of Division 2 of tile said R_ evenue and Taxation Code, nniniinize the cost. of collecting city sales and use taxes and at the same time iminimize the burden of record keeping i�pgn persons subject to tax - atinn: under the provisions of this ordinance; (e) To adopt a sales and use tax ordinance which can be administered in a manner 'thaiC will exclude the receipts of particular sales from the measure of the sales tax imposed by this City which 'have' been included in the measure of "the sales tax im- posed, by any' i6thii city and. county, county, other than the county in which this city, ^is', located, or city in this State, ,arid avoid imp_osJng a ,use. tax .on'' the storage, use or other consumption of tangible per- sonal',property in this City when 'the. gross receipts from the sale of, or the Ilse of,,'that property has been subject. to a sales or use tax by tiny other city and county, county other than the county in which this city is located "or city in this State, pur uanf to a sales and use tail . ordi- nance enacted under the provisions, of Part 1.5 of Division 2 of the said_ Revenue and.'Taxation Code. Section 3: OPERATIVE DATE:, CON= -TRACT WITH ,STATE. This `ordinance shall' become operative on July 1„ 1956; and prior thereto this City shall; contract with the State Board 'of Equalization to perform all functions' incident to the administration and operation of this sales and use tax ordinance; provided, that if this City shall not have contracted with the said State Board of Equalization, as above set forth, prior to, July 1, 1956, this ordinance shall not be operative until the first day of the first calen- dar quarter following the execution of such a contract by the City and by the State Board of Equalization, provided further that this ordinance shall not become operative prior to the operative date of the, Uniform Local Sales and Use Tax Ordinance of the County of Sonoma: Section 4. SALES TAX. (a) (1) For the privilege of selling tangible personal property at retail a tax is hereby imposed upon all retailers in the city at the 'rate of 0;875 percent (.875 %) of--the gross receipts of the retailer from the sale of all tangible personal property sold at retail in the City of Petaluma on and after the operative date of this ordinance. (2) For-the purposes of this ordi- nance, all retail sales shall be pre- sumed to have been consummated. at the plac of business of the retailer unless t hee p tangible ersonal property sold is delivered by the retailer- or his agent- to an out -of -state destina- tion or to a common carrier for de- livery to an out -of =state destination. Delivery charges shall be included in the gross receipts by which the tax is measured, regardless of the place to which delivery is made, when such charges are included in the measure of the sales or use tax, imposed by the State of California. In the event .a etailer has no permanent place of business in the State -of Califor- nia, or has more than one place of business, the place or places at which retail' sales are consummated shall be a`s' determined under' rules and regulations prescribed and adopted by the Board of Equalization. (b) (1) Except as hereinafter pro - vided, and except'insofar as they are inconsistent with the provisions of Part .1.5 of Division .2 of the said RnvenuP and Taxation Code, all of the provisions of Part 1' of Division 2 of said Code, as amended and in force and effect on July 1, 1956, ap- plicable to sales taxes are hereby' adopted and made apart of this sec- tion as though fully set forth here - in.. (2) Wherever, and to the.* extent that, in'Part 1 of "Division 2 of the; said Revenue and' Taxation' Code the State ,of. California is named or re- ferred,.,to as the taxing agency, the City of Petaluma shall be substituted therefor. Nothing in this subdivision shall be deemed to require the sub- stitution of the name of the City of Petaluma for the word "State" when that word is used as part of the title of the State Controller, the. State Treasurer. the State Board of Con- trol, the State Board of Equalization, or the name of the State 'Treasury, or of the Constitution of the State of California; nor shall the name of the City be substituted for that of the State in any section when the result of that substitution would re- quire action to betaken by or against the City or any4agericy thereof, rath- er than by or; against the State Board of Equah720,0n, in performing the, functions incident to, ;the administra- tion or operation of this ordinance; and neither shall the substitution be deemed to have been <mad'e in those !a,'where' the result ,of the i would be to provide air from this ;tax; with respect gross receipts which would der the: provisions - of Part 1 of Divi. sion 2' ,of the "said Revenue• and Tax- 'Ho ,Code„ nor "'to impose this tax with•;respect to certain gross receipts which would' not tie subject to, tax by, the State under the said provi- sions'''of that Code; and, in addition, the name of tlie' City 'shall not be substituted for that of the State in Sections 6701, 6702 (except in the last sentence 'thereof), 6711, 6715, 6737, 6797 and 6828 of the said Revenue and Taxation Code as adopted. (3) If a seller's permit has been is- sued to a retailer under Section 6068 of the said Revenue and Taxation Code, an additional seller's permit shall not be required by reason of this section. . (4) . There shall be excluded frorA the gross receipts by which the tax- is measured: (i) The amount of any sales or use tax imposed by the State of California upon a retailer or con- sumer. (ii) Receipts from the sale of - -tan- gible personal property upon which - a sales or use 'tax has become due by .reason of the same transaction to any other city` and - county, coun- ty other than the county in which this city is located, or city in this State under a sales or use tax ordinance enacted by that city and county, county ;other,. than the county in which - .this city is loca- ted, or city with this State in ac- cordance with .Part 1.5 of Division 2 of the said Revenue and Taxa- tion Code. (iii) Receipts from sales to oper- ators of common carrier and water- borne vessels of property to be .used or consumed in the operation of such common carriers or water- borne vessels principally outside of the City. Section 5. USE TAX. (a) An excise tax is hereby im- posed on the storage, use or other consumption in the City of Peta- luma of tangible personal property purchased from any retailer on or after the operative date of this or dinance, for storage, use or other consumption in the city at the rate of 0.875 percent (.875 %) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to State sales or use tax regardless of the place to which delivery is made. (b) (1) Except as hereinafter pro- vided, and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the said Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of said Code, as amended and in force and effect on July 1, 1956, ap plicable to use taxes are hereby adopted and made a part of this section as though fully set forth here- in. (2) Wherever, and to the extent, in Part 1 of Division 2 of the said Rev. enue and Taxation Code the State of California is named or referred to as the taxing agency, the City of Peta- luma shall be substituted therefor. Nothing in -this subdivision shall b3. deemed to require the substitution of the name of the City of Petaluma for the word "State" when that word is used as part of the title of the State Controller, the State Treasurer; the State Board of Control, the State Board of Equalization, or the name of the State Treasury, or of the Con stitution of the State of California; nor shall the name of the City be substituted for that of the State in any section when the result of that substitution would require action to be taken by or against the City or any agency thereof rather than by or against the State Board of Equali zation, in performing the functions incident to the administration or op- eration of this ordinance; and neither shall the substitution be deemed to have been made in those sections, in- cluding but not necessarily limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to provide an exemption from this tax with respect to certain storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such storage, use of other consumption remains subject to tax by the State under the pro- visions of Part 1 of Division 2 of the said Revenue and Taxation Code, or to impose this tax with respect to certain storage, use or other con- sumption of tangible personal prop- (continued) / S 1 ORDINANCE NO. 444 N. C. S. (continued) erty which would not be subject to tax by the State. under the said pro- visions of that Code, and in addition, the 'name of the City shall not be substituted . for that of the State in Sections 6701; .6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 and 6828 of the said Rev- enue and Taxation Code as adopted. (3) There shall be exempt from the tax due under this section: (1) The amount of any sales or use tax imposed by the State of California upon a retailer or con- sumer. (ii) The storage, use or other con- sumption of tangible personal prop- erty, the gross receipts from the sale of or the cost of which has been subject to sales or use tax under a sales or use tax ordinance . enacted in accordance with Part 1.5 of Division 2 of the said Revenue and Taxation Code by any other city and county, county other than the county in which this city is located,. or city in this State. (iii) The storage or use of tangible personal property in the transpor- tation or transmission of persons, property or communications, or in the generation, transmission or dis- tribution of electricity or in the manufacture, transmission or distri- bution of gas in intrastate, inter- state or foreign commerce of pub- lic utilities which are regulated by the Public Utilities Commission of the State of California: (iv) The use or consumption of property purchased by operators of ,- common carrier and waterborne °vessels to be used or consumed in the operation of such common car- riers or waterborne vessels prin- cipally outside the City.. Section 6. AMENDMENTS. All Amendements of the said Revenue and Taxation Code enacted subse- quent to the effective date of this ordinance which relate to the sales and use tax and which are not in- consistent with Part 1.5 of Division 2 of the said Revenue and Taxation Code shall automatically become a part of this ordinance. Section 7. ENJOINING COLLEC- TION FORBIDDEN. No injunction or writ of mandate or other legal or equitable process shall .issue in any suit, action or proceeding in any court against the State or this City, or against any officer of the State or this City, to prevent to enjoin the collection under this ordinance, or Part 1.5 of Division 2 of the Rev- enue and Taxation Code, of any tax or any amount of tax required to be collected. Section 8. EXISTING SALES AND USE TAX ORDINANCES SUSPEND- ED. At this time this ordinance .goes into operation, the provisions of Or- dinances Nos. 442 N. C. S. and 443 _N. C. S. (existing city sales and use tax ordinances) shall be suspended and shall not again be of any force or effect until and unless for any reason the State Board of Equalization' ceases to perform the functions inci- dent to the administration and op- eration of the sales and use tax here- by imposed; provided, however, that if for any reason it is determined that the City of Petaluma-is-without power to adopt this-,ofilinance, or` that the State Board of Equalization is without power" to perform the functions incident to -the` adminis- tration and operation of the taxes imposed by this,-ordinance, the pro- visions of Ordinances' ' 442 N. C. S. and 443 ' N."C. S. (existing city sales and use�tax ordinances) shall . not be deemed to have been sus- pended, but be deemed to have been in full force and effect at the rate of one ;percent (1 %) continuous -, ,ly from and after July 1, 1956. Upon the ceasing = of—the State Board of Equalization to perform the functions Incident to -the administration' and operation of the taxes imposed by this ordinance, the provisions of Ordinances `Nos. 442 N. C. S. and 443: N. C. S. '(existing city sales and use tax ordinances) shall again be in full force and effect at the rate oU one percent (1 %). Nothing in this ordi- nance shall ,be, construed as relieving any person of the obligation to pay to the 'City of Petaluma any sales or use tax accrued and owing by reason of the provisions of Ordi- nances Nos. 616 C. S., 619 C. S., 622 C. 'S., 625 C. S., 117 N. C. S. and 217 N. C. S. and all amendments thereto in force and effect prior to and in- cluding June 30, 1956. Section 9. PENALTIES. Any person violating any of the provisions of this ordinance shall be deemed guilty of a misdemeanor, and upon convic- tion thereof shall be punishable by a fine of not more than Five Hun- dred Dollars ($500:00) or bp- imprison- ment for a period of not more than six (6) ,months in the City Jail, or by both such fine and imprisonment. Section 10. SEVERABILITY. If any section, subsection, sentence, clause, phrase or portion of this ordinance, including but not limited to any ex- emption, is for any reason held to be invalid or unconstitutional by the decision of any court of competent .jurisdiction, such decision shall not affect the 'validity of the remaining portions of this ordinance. The Coun- cil of the City of Petaluma hereby declares that it would have adopted this ordinance and each section, sub- section, sentence, clause, phrase or portion thereof, irrespective of the fact that any one or more sections, subsections; sentences, clauses, phrase es . or portions be declared invalid or unconstitutional. Section 11. EFFECTIVE DATE. This ordinance shall be in full force and effect from and after July 1, 1956, or as soon thereafter as all conditions precedent of law have been com- plied with. Ordered published this 24th day of May, 1956. AYES: Councilinen Brown, Gustaf. son. King and Norwood. NOES: Councilman Adams and Mayor Schoeningh. ABSENT: Councilman Bigelow. Signed. Vincent . J. Schoeningh Mayor of the City of Petaluma Attest: Gladys R. Wallin City Clerk i4 I hereby certify that the within ordinance was published in full once in the Petaluma Argus - Courier, a daily paper of general circulation, published within the City of Petaluma, to -wit: May 29, 1956, and that the said Petaluma Argus- Courier is the official newspaper of the City of Petaluma. I hereby certify that the whole number of members of the Council of the City of Petaluma is seven, and that the foregoing ordinance was passed by the Council at its meeting of the 31st day of May, 1956, by the following vote, to-wit AYES: Councilmen - Bigelow, Brown and Gustafson. NOES: Councilman Norwood' and Mayor Schoeningh. ABSENT: - Councilmen Adams and King. -Attest: (SEAL) ity, Clerk. 'Me. foregoing Ordinance Number .444 N, C. S: , having been regularly passed and presented to me this 31st day of May, 1956, is hereby approved by me this 31st day of May, 1956. EFFECTIVE DATE: July 1, 1956. i