HomeMy WebLinkAboutCC ORD 1946-726 Sales tax (4.24)/v
726
ORDINANCE NO. 726
AN ORDINANCE ESTABLISHING
AND LEVYING A SALES TAX
ON RETAIL SALES WITHIN THE
CITY OF NATIONAL CITY,
STATE OF CALIFORNIA.
The City Council of the City of `ice
National City does ordain: j x
SECTION ] : For the privilege of =� \
selling tangible personal property at
retail, a tax is hereby imposed upon '4iy
all retailers at the rate of one-half
of one per cent of the gross receipts
of any retailer from the sale of all
tangible personal property sold at
retail in the City of National City
on or after January 1, 1947.
SECTION 2: The tax imposed by
this section is in addition to any
and all other taxes imposed by the
City of National City. Said taxes
shall be collectible monthly or quar-
terly as the rules and regulations
hereinafter referred to shall pro-
vide.
SECTION 3: The tax hereby im-
posed shall be collected by the re-
tailer from tie consumer.
SECTION 4: It is unlawful for any
retailer to advertise or hold out or
state to the public or to any cus-
tomer, directly or indirectly, that
the sales tax or a.ny part thereof
will be assumed or absorbed by the
retailer or that it will not be added
to the selling price of the property
sold or that if added it or any part
thereof will be refunded.
SECTION 5:
(a) The sales taxes imposed by
this ordinance, and the re-
turn required to be filed, shall be
due, payable and filed with the
Treasurer en or before the expira-
tion of fifteen (15) days next suc-
ceeding each monthly or quarter-
ly Period.
(b) The Treasurer of the City
of National City, for good
cause, may from time to time
extend for not more than thirty
(30) days the time for making
any return or paying any sum
required to be paid hereunder.
Upon proper showing additional
extension of time may be granted;
provided, that in no event shall the
maximum period of extension ex-
ceed one hundred twenty (120)
days from the due date.
(c) All taxes paid hereunder
shall be deemed delinquent
if not paid within the time re-
quired. Whenever any tax re-
quired to be paid by this section
is not paid on or before the date
on which itbecomes delinquent, or
within the period of extension
granted pursuant hereto, a pen-
alty shall he imposed of ten per
cent (10%) of the tax or amount
of the tax in addition to the tax
or amount of the tax, plus in-
terest at the rate of one-half of
one per cen.t per month, or frac-
tion thereof, from the date on
which the tax or the amount of
the tax required to be collected
became due and payable to the
City of National City until the
date of payment.
SECTION 6:
(a) Every retailer selling tangi-
ble personal property in this
City shall register with the City
Treasurer, giving such informa-
tion as the Treasurer may re-
quire.
(b) Every person desiring to en-
gage in or conduct business
as a seller within the City of
National City shall secure from
the City Treasurer of said City
a permit for each place of busi-
ness. Such permits shall be issued
by the City Treasurer upon re-
ceipt of a written application
therefor setting forth the name
under which the applicant
transacts or intends to trans-
act business, the location of his
place or places of business, and
such other information as the
City Treasurer may require. A
permit is not assignable and is
valid only for the person in whose
name it is issued and for the
transaction of business at the
place designated therein. A change
of location may be endorsed upon
the permit by the City Treasurer
.upon the payment of a fee of
$1.00. The permit shall at all
times be conspicuously displayed
at the place for which issued.
SECTION 7: Whenever any person
fails to comply with any provisions
of this ordinance, or of any rule or
regulation adopted pursuant thereto,
the City Treasurer upon hearing,
after giving such person ten (10)
days' notice in writing specifying the
time and place of hearing, and re-
quiring him to show cause why his
tX,\\'permit or permits should not be re -
yoked, may revoke or suspend any
one or more of the permits held by
such person. The notice may be
served personally or by registered
mail. The City Treasurer shall not
issue a new permit after the revo-
cation of a permit unless he is sat-
isfied that the former holder thereof
will thereafter comply with the pro-
visions of this ordinance and the
rules and regulations adopted pur-
suant hereto, and until a fee of
$1.00 is collected therefor; provided,
however, that before any such sales
tax permit shall be revoked after
determination by the City Treasurer
that good cause has been shown
that such permit should be revoked,
said permittee may within five (5)
days appeal to the City Council of
the City of National City from said!
determination, and the ruling of said
City Council thereon shall be final.
SECTION 8: Any person who en-
gages in the business as a seller in
this City without a permit or per-
mits or after a permit has been
suspended or revoked, and each of-
ficer or any corporation who so en-
gages in business, is guilty of a
misdemeanor.
SECTION 9:
(a) For the purpose of the prop-
er administration of this or-
dinance, and to prevent evasion
of sales tax, it shall be presumed
that all gross receipts are subject
to the tax until the contrary is
established by the permittee.
SECTION 10: The City Treasurer
may, and he is hereby authorized,
at his option, to accept a State of
California Resale Certificate as evi-
dence that any sale is not a sale at
retail, or he may in his discretion
require an affidavit from the seller
setting forth such information re-
specting such sale as he deems neces-
sary to determine the nature of such
sale.
SECTION 11:
(a) All taxes hereby levied shall
be payable to the City Treas-
urer of the City of National City,
and any civil suit for the collec-
tion thereof may be filed in any
court of competent jurisdiction in
the State of California, and the
City Attorney of said City shall
prosecute the same.
(b) Whenever any dispute arises
between the taxpayer and the
City Treasurer as to any ruling
or assessment, appeal to the City
Council from said ruling or as-
sessment, and the determination
of the City Council in that re-
gard shall be final. Any hearing
held by the City Council under
this Section shall be upon due
notice to the taxpayer, who shall
be given full opportunity to pre-
sent all of the facts.
SECTION 12: The term "gross re-
ceipts," as used herein, does not in-
clude (1) the amount of any federal
tax imposed upon or with respect
to retail sales, whether imposed upon
the retailer or upon the consumer,
and regardless of whether or not
the amount of federal tax is stated
to customers as a separate charge;,
and (2) the amount of any California
State Sales or Use Tax.
The term "gross receipts" includes
the amount of any manufacturers'
or importers' excise tax included in
the price of the property sold, even
.though the manufacturer or importer
is also the retailer thereof and
whether or not the amount of such
tax is stated as a separate charge.
SECTION 13: In addition to the
exemptions contained in Section 11
of this Ordinance, there shall be ex-
cluded from the computation of the
tax, gross receipts from:
1. Sales made to or by the State
of California, or any agency,
department, political subdivision,
district or municipal corporation
thereof;
2. Sales of property to be used
in connection with the erec-
tion, construction, repair or alter-
726
ation of either public works or
buildings belonging to or being
constructed by or on behalf of, or
for the use of the United States
Government, State of California,
or any agency, department, po-
litical subdivision, district or pub -I.
lic or municipal corporation of
the State;
3. Sales made pursuant to con-
tracts actually executed in
good faith prior to January 1,
1947;
4. Sales of meals, foods and
drinks sold or served on com-
mon carriers operating into,
through or out of this City from
or to points outside this City;
SECTION 14: The City Treasurer
shall administer and enforce the
provisions ofthis ordinance, and
shall prescribe, adopt and enforce
reasonable rules and regulations for
the purpose of administering and
enforcing this ordinance. Each of
said rules and regulations which re-
late to the time, form and manner
of making returns in payment of the
taxes imposed hereby shall govern
notwithstanding any other provision
of this ordinance to the contrary.
Such rules and regulations may,
among other things, require each
retailer to keep such records, re-
ceipts, invoices and other pertinent
papers in the manner set forth
therein; provided, however, that be-
fore any rules or regulations of said
City Treasurer shall be of any force
and effect, they shall first be ap-
proved and adopted by resolution of
the City Council of the City of Na-
tional City ; and provided, further,
that in so far as applicable the
rules and regulations of the State
Board of Equalization pertaining to
the interpretation, administration and
enforcement of the provision of the
Revenue and Taxation Code of the
State of California shall apply in the
interpretation of this ordinance until
specifically abandoned by rules and
regulations adopted by the City
Treasurer pursuant to the authority
granted under this section.
SECTION 15: "Exempted from the
taxes imposed by this part" as used
in this article, means, in case of the
sales tax, exempted from the com-
putation of the amount of tax im-
posed.
SECTION 16: There are exempted
from the taxes imposed by this part
the gross receipts from the sale in
this City of tangible personal prop-
erty the gross receipts from the sale
of which, this City is prohibited
, from taxing under the Constitution
or laws of the United States or
under the Constitution of this State.
SECTION 17: There are exempted
from the taxes imposed by this part
the gross receipts from the sales,
furnishing, or service of and other
consumption in this City of gas,
electricity, and water when delivered
to consumers through mains, lines,
or pipes.
SECTION 18: There are exempted
from the taxes imposed by this part
the gross receipts from the sale of
gold bullion, gold concentrates, or
gold precipitates by the producer or
refiner in this City of gold bullion,
gold concentrates, or gold precipitates
when sold by the producer or refiner.
= SECTION 19; There are exempted
' from the taxes imposed by this part
the grcss receipts from the sale in
this City of tangible personal prop-
erty used for the performance of a con-
tract on public works executed prior
to July 31, 1933.
SECTION 20: There are exempted
from the taxes imposed by this part
.the gross receipts from sales of ves-
sels of more than 1000 tons burden
by the builders thereof which is
purchased in this City from the
builders and with respect to which
the use tax would, if the ship had
been purchased outside the State of
California, or in interstate com-
merce, be inoperative because pro-
hibited under the Constitution or the
laws of the United States or the
Constitution of the State of Califor-
nia.
SECTION 21: There are exempted
from the taxes imposed by this part
.the gross receipts from the sale of
motor fuels.
SECTION 22: There are exempted
from the taxes imposed by this part
the gross receipts from sales of:
(a) Livestock and poultry of a
kind the products of which
ordinarily constitute food for hu-
man consumption.
(b) Feed for livestock and poul-
try of a kind the products
of which ordinarily constitute
food for human consumption, or
are to be sold in the regular
course of business.
(c) Sleds and annual plants the
products of which ordinarily
constitute food for human con-
sumption or are to be sold in the
regular course of business.
(d) Fertilizer to be applied to
land the products of which
are to be used as food for human
consumption or sold in the regular
course of business.
SECTION 23:
There are exempted from the
taxes imposed by this part
the gross receipts from the
sale of food products for human
consumption.
"Food products" include cer-
eals and cereal products, milk and
milk products, oleomargarine,
meat and meat products, fish and
fish products, eggs and egg pro-
ducts, vegetables and vegetable
products, fruit and fruit products,
spices and salt, sugar and sugar
products other than candy and
confectionery, coffee and coffee
substitutes, tea, cocoa and cocoa
products other than candy and
confectionery.
"Food products" do not in-
clude spiritous, malt, or vinous
liquors, soft drinks, sodas, or
beverages such as are ordinarily
dispensed at bars and soda foun-
tains or in connection therewith,
medicines, tonics and preparations
in liquid, powdered, granular,
tablet, capsule, lozenge, and pill
form sold as dietary supplements
or adjuncts.
"Food Products" also do not
include meals served on or off
the premises of the retailer or
drinks or foods furnished, pre-
pared, or served for consumption
at tables, chairs, or counters or
from trays, glasses, dishes, or
other tableware provided by the
retailer.
SECTION 24: There are exempted
from the taxes imposed by this part,
the gross receipts from the sale of,
in this City, tangible personal prop- 1
erty which becomes an ingredient
or component part of any publiLa-
tion regularly issued at average
intervals not exceeding one month
and any such publication.
SECTION 25-: There are exempted
from the taxes imposed by this part
the gross receipts from the sale, in
this City, of meals served by public
or private schools, school districts,
student organizations, and parent -
teacher associations to the students
or teachers of a school, and meals
served by employers or employee
organizations to the employees en-
gaged in work upon a particular
project or undertaking.
SECTION 26: There are exempted
from the taxes imposed by this part,
the gross receipts from sales, in
this City, of :
(a) Nonreturnable c. o n t a i n e r s
when sold without the con-
tents to persons who place the
contents in the container and sell
the contents together withthe
container.
(b) Containers when sold with
the contents if the sales
priceof the contents is not re-
quired to be included in the
measure of the taxes imposed by
this part.
(c) Returnable containers when
sold with the contents in
connection with a retail sale of
the contents or when resold for
refilling.
As used herein the term.
"returnable containers" means
containers of a kind customarily
returned by the buyer of the
contents for reuse. All other
containers are "nonreturnable
containers."
SECTION 27: There are exempted
from the computation of the am ,unt
of the sales tax the gross receipts
from the sale of any tangible per-
726
sonal property to:
(a) The United States, its unin-
corporated agencies and in-
strumentalities;
(b) Any incorporated agency or
instrumentality of the United
States wholly owned by the United
States or by a corporation wholly
owned by the United States.
(c) The American National Red
Cross, its chapters and bran-
ches.
SECTION 28: There are exempted
from the computation of the amount
of the sale tax the gross receipts
from sales of aircraft and parts
therefor made to the United States
for purposes of National Defense.
SECTION 29: Notwithstanding any
other provision of law the tax im-
posed under this part shall apply
to the gross receipts from the sale
of any tangible personal property
to contractors purchasing such prop-
erty either as the agents of the
United States or for their own ac-
count and subsequent resale to the
United States for use in the per-
formance of contracts with the Unit-
ed States for the construction of
improvements on or to real property.
SECTION 30. There are exempted
from the computation of the amount
of the sales tax the gross receipts
from sales of tangible personal prop-
erty to a common carrier, shipped
by the seller via the purchasing car-
rier under a bill of lading whether
the freight is paid in advance, or
the shipment.. is made freight charges
collect, to a point outside this. City
land - the property isactually trans-
ported to the out -of -city destination
for use by the carrier in -the conduct.
of its business as a common carrier.
SECTION 31: It is unlawful for
any officeror employee of the City
of National City having an admin-
istrative duty under .this ordinance
to make known in any manner what-
ever the business affairs, operations
or information obtained by an inves-
tigation of records and equipment
of any retailer 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 or disclosed in any
return, or to permit any return or
copy thereof or any book containing any
abstract or particulars thereof to
be seen or examined by any person.
Vowever, the City Council may, by
$resolution, authorize examination of
the returns by Federal or State offi-
cers or employees or by the tax of-
ficers of this or any other city if a
reciprocal arrangement exists. Suc-
cessors, receivers, trustees, execu-
tors, administrators, assignees, and
guarantors, if directly interested,
may be given information as to the
items included in the measure and
amounts of any unpaid tax or
amounts of tax required to be col-
lected, interest and penalties.
SECTION 32: If any section, sub-
section, sentence, clause, phrase, or
portion of this ordinance, including
but not limited to any exemption, 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 val-
idity of the remaining portions of
this ordinance. The Council of this
City hereby declares that it would
have adopted this ordinance, and
each section, subsection, sentence,
clause, phrase or portion thereof, ir-
respective of the fact that any one
or more sections, subsections, clauses,
phrases, or portions be declared in-
valid or unconstitutional.
SECTION 33: The return to be
filed and the taxes to be paid shall
be due and payable, and said re-
turn shall be filed, at the same time
or times as is required by the State
of California under the Sales Tax
provisions of the Revenue and Taxa-
tion Code. Any retailer who has
been authorized by the State Board
of Equalization to make return
monthly is hereby authorized to
make return to the City monthly.
Any retailer who has been authorized
by the State Board of Equalization
to make return quarterly is hereby
authorized to make return to the
City of National City quarterly. !.
Any retailer who has been authori-
zed by the State Board of Equaliza-
tion to make return annually is
hereby authorized to make return
to the City of National City annual-
ly.
SECTION 34: No extension of time
for the filing of any return, or the
making of any payment, shall be
granted by the City Treasurer, un-
less request therefor be made in
writing and the reasons therefor
stated therein.
SECTION 35: Sales tax shall apply
to sales of property which is:
(a) Shipped from a point out-
side the City to the retailer
in this City, and redelivered by
the retailer to the purchaser here,
if the retailer is an independent
dealer and not the agent of an
out -of -city retailer;
(b) Sold and delivered to the
purchaser or his representa-
tive in this City, whether or not
the disclosed or undisclosed in-
tention of the purchaser is to
transport the property outside the.
City, and whether or not the
property is actually so transport-
ed;
(c) Sold by agents, peddlers and
house -to -house canvassers,
where the goods are delivered
from a regularly established place
of business situated within the
City of National City.
SECTION 36: Sales tax does not
apply to the sale of alcoholic bever-
ages containing more than one-half
of one per cent of alcohol by volume,
where such sales are made either in
original packages or for consumption
on the premises.
SECTION 37: For the purpose of
these rules and regulations, "place of
business" means any office or other
p 'emises regularly used by a re-
tailer for the transaction of business.
It includes, but is not confined to,
any office, distribution house, sales
room or house, warehouse or other
premises maintained by the retailer
or under his authority for use in
the furtherance of sales made by
him or on his behalf of purchases
within the City of National City.
SECTION 38: This ordinance shall
be in full force and effect on the
31st day after date of final passage.
SECTION 39: The City Clerk is
hereby directed to publish this or-
dinance once in the National City
News, a newspaper of weekly cir-
culation, printed and published in
the City of National City, Califor-
nia.
PASSED AND ADOPTED by the
City Council of the City of National
City, California, this 27th day of
November, 1946, by the following
vote, to -wit:
AYES: Councilmen Cordingly,
Newberry, Thatcher, Fritz.
NAYS: Councilmen Adams.
ABSENT: None.
GILBERT E. FRITZ,
Mayor of the City of
National City, California.
ATTEST: FRANK W. ROGERS,
City Clerk.
I hereby approve the foregoing Or-
dinance this 27th day of November,
1946.
GILBERT E. FRITZ,
Mayor of the City of
National City, California.
I hereby certify that the above and
foregoing is a full and true copy of
Ordinance No. 726 of the Ordinances
of the City of National City, Califor-
nia, as adopted by the City Council
of said City, and approved by the
Mayor of sal, City, on the 27th d
of Novemb•. , 1946.
9NK W. RO
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