HomeMy WebLinkAboutORD 1448CITY OF RENTON - BUSINESS TAX ORDINANCE (1953)
ORDINANCE NO. 1448
An ordinance of the City of Ren-
ton, Washington, relating to and
providing for a license or occu-
pation tax upon certain busi-
nesses, occupations, pursuits and
privileges; defining offenses and
prescribing penalties.
BE IT ORDAINED BY THE MAYOR
AND CITY COUNCIL OF THE
CITY OF RENTON:
Section 1. EXERCISE OF REV-
ENUE LICENSE POWER. The pro-
visions of this Ordinance shall be
deemed an exercise of the power of
the City of Renton to license for
revenue.
Section 2. DEFNITIONS: In con-
struing the provisions of this ordi-
nance, save when otherwise de-
clared or clearly apparent from the
context, the following definitions
shall be applied:
(a) The term "tax year" or "tax-
able year" shall mean either the
calendar year or the taxpayer's fis-
cal year when permission is ob-
tained from the Clerk to use a
fiscal year in lieu of the calendar
year.
(b) The word "person" or word
"company," herein used inter-
changeably, means any individual,
receiver, assignee, trustee in bank-
ruptcy, trust, estate, firm, co -part-
nership, joint venture, club, com-
pany, joint-stock company, business
trust, corporation, association, so-
ciety, or any group of individuals
acting as a unit, whether mutual,
cooperative, fraternal, non-profit or
otherwise, and includes the United
States or any instrumentality there-
of, provided a valid tax may be
levied upon or collected therefrom
under the provisions of this ordi-
nance.
(c) The word "sale" includes the
exchange of property as well as
the sale thereof for money; and
also includes conditional sales con-
tracts, leases and any other con-
tract under which possession of
the property is given to the pur-
chaser .but title is retained by the
vendor as security for the payment
of the purchase price or rental.
It shall also beconstrued to include
the furnishing of food, drink, or
meals for compensation, whether
consumed upon the premises or not.
(d) The term "gross proceeds of
sales" means the value proceeding
or accruing from the sale of tangible
personal property and for services
rendered without any deduction on
account of the cost of property sold,
the cost of materials used, labor
costs, interest, discount paid, de-
livery costs, taxes, or any other
expense whatsoever paid or accrued
and without any deduction on ac-
count of losses.
(e) The term "gross income of
the business" means the value pro-
ceeding or accruing by reason of
the transaction of the business en-
gaged in and includes gross pro-
ceeds of sales, compensation for the
rendition of services, gains realized
from trading in stocks, bonds or
other evidences of indebtedness, in-
terest, discount, rents, royalties,
fees, commissions, dividends and
other emoluments however des-
ignated, all without any deduction
on account of the cost of the com-
modity or tangible property sold,
the cost of materials used, labor
costs, interest, discount, delivery
costs, taxes or any other expense
whatsoever paid or accrued and
without any deduction on account
of losses.
(f) The term "value proceeding
or accruing" means the considera-
tion, whether money, credits, rights
or other property expressed in terms
of money, actually received or ac-
crued. The term shall be applied,
in each case, on a cash receipts or
accrual basis according to which
method of accounting is regularly
employed in keeping the books of
the taxpayer. The value pro-
ceeding or accruing from sales
on the installment plan under con-
ditional contracts of sale may be
reported as of the dates when the
payments become due.
(g) The word "extractor" means
every person who, from, his own
land or from the land of another
under a right or license granted
by lease or contract, either directly
or by contracting with others for
the necessary labor or mechanical
services, for sale purposes, mines,
quarries, takes or produces coal,
oil, natural gas, ore, stone, sand,
gravel, clay, mineral or other
natural resource product or fells,
cuts or takes timber or other
natural products, or takes, culti-
vates, or raises fish, shell fish, or
other sea or inland water foods or
products, but does not include per-
sons performing under contract the
necessary labor or mechanical serv-
ices for others.
(h) The word "manufacturer"
means every person who, either
directly or by contracting with
others for the necessary labor or
mechanical services, manufactures
for sale any articles, substances or
commodities. When the owner of
equipment or facilities furnishes,
or sells to the customer prior to
manufacture, all or a portion of
the materials that become a part
or whole of the manufactured
article, the City Council shall pre-
scribe equitable rules for de-
termining, tax liability.
(i) The term "manufacture"
embraces all the activities of a
commercial nature wherein labor
or skill is applied, by hand or ma-
chinery, .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 and shall in-
clude the production or fabrication
of special made or custom made
articles.
(j) The word "business" includes
all activities engaged in with the
object of gain, benefit or advantage,
to the taxpayer or to another per-
son or class, directly or indirectly.
(k) The term "engaging in busi-
ness" means commencing, conduct-
ing or continuing , in business and
also the exercise of corporate or
franchise powers as well as liqui-
dating a business when the liqui-
dators thereof hold themselves out
to the public as conducting such
business.
(1) The term "cash discount"
means a deduction from the in-
voice price of goods or charge for
services which is allowed if the
bill is paid on or before a speci-
fied date.
(m) The term "tuition fee" shall
be construed to include library,
laboratory, health service and other
special fees, and amounts charged
for�room and board by an educa-
tional institution when the prop-
erty or service for which such
charges are made is furnished ex-
clusively to the students or faculty
of such institution: Provided, That
the term "educational institution,"
as used herein, shall be construed
to mean only those institutions
created or generally accredited as
such by the State and offering to
students an educational program of
a general academic nature, or those
institutions which are not operated
for profit and which are privately
endowed under a deed of trust to
offer instruction in trade, industry
and agriculture, but not including
specialty schools, business colleges,
trade schools or similar institutions.
(n) The word "successor" means
any person who shall, through
direct or mesne conveyance, pur-
chase or succeed to -the business,
or portion thereof, or the whole or
any part of the stock of goods,
wares or merchandise or fixtures
or any interest therein of a tax-
payer quitting, selling out, exchang-
ing or otherwise disposing of his
business. Any person obligated to
fulfill the terms of a contract shall
be deemed a successor to any con-
tractor defaulting in the perform-
ance of any contract as to which
such person is surety or guarantor.
(o) The word "taxpayer" in-
cludes any individual, group of in-
dividuals, corporation or association
required to have a Business Li-
cense hereunder, or liable for any
license fee or tax, or for the col-
lection of any license fee or tax
hereunder, or who engages in any
business or who performs any act,
for which a license fee or tax is
imposed by this ordinance.
(p) Words in the singular number
shall. include the plural, and the
plural shall include the singular.
Words in one gender shall include
all other genders.
(q) "Bi -monthly period" shall
mean a two-month period beginning
the first day of the odd -numbered
month and including the last day
of the next succeeding month.
(r) The word "Clerk" shall mean
the City Clerk of the City of Ren-
ton.
(s) The word ".Treasurer" shall
mean the City Treasurer of the
City of Renton.
(t) The word "City" shall mean
the City of Renton.
Section 3. BUSINESS LICENSE
REQUIRED. Every person en-
gaging within the city of Renton
during the calendar year 1953 in
any business or activity for which
a license fee or tax is provided by
this Ordinance, whether such per-
son is subject to the payment of
any tax thereunder or not, shall
apply for and obtain from the City
Clerk a "BUSINESS LICENSE"
for such calendar year or portion
thereof; and on and after the last
day of January, 1953, if this ordi-
nance is then in effect, otherwise
on and after the effective date of
this ordinance and during the year
1953 no person, whether subject to
the payment of a tax or not, shall
engage in any business activity
within the City of Renton for
which a license fee or tax is im-
posed by this ordinance without
(a) having first obtained and be-
ing the holder of a valid and sub-
sisting license so to do, to be known
as a "Business License", issued for
such calendar year under the pro-
visions of this Ordinance as herein-
after provided, and (b) having paid
the license fee and tax imposed by
this Ordinance. The fee or tax for
the "Business License" shall be the
license fee or tax imposed by this
Ordinance, and in addition the sum
of $12.00 as a license fee which
shall accompany the application for
the license.
Said license shall expire at the
end of the calendar year. Each
license shall be personal and non-
transferable. In case business is
transacted at two (2) or more sep-
arate places by one taxpayer, a 1
separate license shall be required,
foy each place but for such addi-
tional licenses no additional $12.00
fee shall be required.
All licenses shall be issued by
the City Clerk on forms prescribed
and furnished by him and the Clerk
shall keep a register thereof. Each
license shall be numbered, shall
show the name, place and char-
acter of business of the taxpayer,
such other information as the City
Clerk shall deem necessary, and
shall at all times be posted in the
place of business for which it is
issued. When the place of business
of a taxpayer is changed, the tax-
payer shall return the license to
the City Clerk and a new license
shall be issued for the new place
of business free of charge. No per-
son shall engage in any business
for which a business license is re-
quired under this Section, without
being registered and licensed in
compliance with the provisions of
this Section; nor shall any person
holding such a "Business License"
suffer or allow any other person,
for whom separate license is re-
quired, to operate under or display
his license.
Section 4. ENUMERATION OF
PERSONS SUBJECT TO TAX;
MEASURE AND RATES OF TAX.
On and after the first day of Janu-
ary 1953, if this Ordinance is then
in effect, otherwise on and after
the effective date of this Ordinance,
and during the calendar year 1953,
there is hereby levied upon and
shall be collected from and paid
as hereinafter specified by every
person on account of and for the
privilege of engaging in business
activities, a license fee or occupa-
tion tax, sometimes herein referred
to as the "tax", in amounts to be
determined by application of rates
given against value of products,
gross proceeds of sales, or gross in-
come of business, as the case may
be, for the two calendar months
next preceding the beginning of
each bi-monthly period, as follows:
(a) Upon every person engag-
ing within this City in business
as a manufacturer or as an ex-
tractor; as to such persons the
amount of the tax with respect
to such business shall be equal
to the value of the products
manufactured or extracted for
sale, multiplied by the rate of
six 'hundredths of one per cent
(.0006) ;
The measure of the tax is the
value of the products so manu-
factured or extracted, regardless
of the place of sale or the fact
that deliveries may .be made to
points outside the City.
(b) Upon every person engaging
within this City in the business
of making sales at wholesale
or retail; as to such persons the
amount of the tax with respect
to such business shall be equal
to the gross proceeds of such sales
of the business without regard to
the place of delivery of articles,
commodities or merchandise sold,
multiplied by the rate of six
hundredths of one per cent
(.0006);
(c) Upon every person engag-
ing within this City in the busi-
ness of (1) printing or publication
of newspapers, periodicals or
magazines; (2) building, repairing
or improving any publicly owned
street, place, road, highway,
bridge or trestle which is used, or
to be used, primarily for foot or
vehicular traffic; as to such per-
sons the amount of tax with re-
spect to such business shall be
equal to the gross income of the
business multiplied by the rate of
six -hundredths of one per cent.
(.0006); .
(d) Upon every person engag-
ing within this City in any of
the following professions and
businesses (which for the pur-
poses of this Ordinance are clas-
sified as preponderantly in the
nature of rendering services):
1. Doctor of medicine; other
healing art or science; dentist or
dental technician; attorney at
law; accountant, bookkeeper, or
tax services; real estate broker
or agency thereof; insurance
broker, agent, or representative;
other brokerage; funeral director;
rest home, nursing home or place
of refuge; specialized private
training schools in music, avia-
tion or other skills
2. The business of selling or
furnishing water for compensa-
tion:
3. The business of urban trans-
portation;
4. Telegraph business;
5. The business of selling, fur-
nishing or distributing electricity,
(exclusive of electricity sold for
the purpose of resale, and the
revenue therefrom):
6. The business of selling, fur-
nishing, distributing, or produc-
ing gaseous gas for commercial
or domestic use.
As to such persons the amount
of the tax with respect to such
profession or business shall be
equal to the gross income de-
rived from such profession or
business multiplied by the rate
of one-fifth of one per cent.
(.002).
In respect to utility businesses
herein mentioned the term "gross
income" as heretofore defined
shall include the gross operating
revenue of the business;
(e) Upon every person engag-
ing within this City in any busi-
ness activity other than or in
addition to those enumerated in
sub -sections (a), (b), (c) and
(d) above; as to such persons
the amount of the tax with re-
spect to any such business ac-
tivity shall be equal to the gross
income of the business multiplied
by the rate of six-hundrwlths of
one percent (.0006).
This sub -section (e) includes,
among others, and without limit-
ing the scope thereof, (whether or
not title to material used in the
performance of such business pass-
es to another by accession, con-
fusion or other than by outright
sale), persons engaged in the busi-
ness of rendering any type of serv-
ice other than or in addition to
those enumerated in sub -section
(d) above.
Section 5. TAXABLE AS TO
EACH ACTIVITY: Every' person
engaging in activities which are
within the purview of the provi-
sions of two or more paragraphs
designated (a), (b), (c), (d), and
(e) of Section 4 of this ordinance,
shall be taxable under each ap-
plicable paragraph; Provided, that
persons taxable under Paragraph
(b) of said section on products
sold for delivery within the State
of Washington shall not be taxable
under Paragraph (a) thereof with
respect to extracting or manufac-
turing of such products so sold; and
that persons taxable under Para-
graph (a) thereof as manufacturer
shall not be taxable under said
Paragraph (a) with respect to ex-
tracting the ingredients of the pro-
duct so manufactured.
Section 6. DETERMINATION OF
VALUES: The value of products
extracted or manufactured shall be
determined by the gross proceeds
derived from the sale thereof,
whether such sale is at wholesale
or at retail, except:
(a) Where such products are
shipped, transported or transferred
out of the City, or to another per-
son, without prior sale or are sold
under circumstances such that the
gross proceeds from the sale are
not indicative of the true value of
the subject -matter of the sale.
In the above cases the value shall
correspond as nearly as possible to
the gross proceeds from sales in
this City of similar products of like
quality and character, and in simi-
lar quantities by other taxpayers.
The City Council shall prescribe
uniform and equitable rules for the
purpose of ascertaining such values.
Section 7. APPORTIONMENT
OF BUSINESS.
(a) As to any person engaged in
a business activity both within and
without the City, or partially with-
in and partially without the City,
but maintaining an office or place
of business within this City and
not elsewhere, the tax shall be
measured upon the entire business
activity without regard to the
place where the products are de-
livered or the sales are made or
the services are rendered.
(b) Persons maintaining offices,
plants warehouses, or other busi-
ness establishments in the State of
Washington, part of which, are
within the City and part of which
are outside the City, shall be tax-
able on the value of products or
gross proceeds of sales or gross
income of the business attributable
to business within the City ascer-
tained either:
(1) by a segregation of business
within and business outside the
City shown and supported by sep-
arate accounting records; or
(2) by an apportionment to the
City of that part of the value of
products, gross proceeds of sales,
or gross income of the business,
in the State of Washington, which
bears the same proportion to the
whole thereof that the total num-
ber of its employees employed
within the City bears to the total
number of its employees within
the State; or
(3) when the use of such appor-
tionment factor is impracticable or
grossly inequitable, by a fair and
equitable apportionment of value
of products, gross proceeds of sales,
or gross income of the business,
upon such reasonable basis as shall
be agreed upon between the City
(acting through the City Clerk and
Council) and the taxpayer after
consideration of the facts.
Section 8. SALES BY CON-
SIGNEE, BAILEE, FACTOR OR
AUCTIONEER: Every consignee,
bailee, factor or auctioneer having
either actual or constructive pos-
session of tangible personal prop-
erty, or having possession of the
documents of title thereto, with
power to sell such tangible per-
sonal property in his or its own
name and actually so selling, shall
be deemed the seller of such
tangible personal property within
the meaning of this ordinance; and
further, the consignor, bailor, prin-
cipal or owner shall be deemed a
seller of such property to the con-
signee, bailee, factor or auctioneer.
The burden shall be upon the
taxpayer in every case to establish
the fact that such taxpayer is not
engaged in the business of selling
tangible .personal property but is
acting merely as broker or agent
in promoting sales for a principal;
such claim will be allowed only
when the taxpayer's account rec-
ords are kept in such manner as
shall clearly confirm the claim.
Section 9. EXEMPTIONS. The
provisions of this ordinance shall
not apply to:
(a) Any person in respect to a
business activity with respect to
which the tax liability is specifi-
cally imposed under the provisions
of: Ordinances Nos.. 900 (theatres);
1174 (admissions); 1212 (games of
skill); 1319 (music devices); 1236
(taxicabs); all as amended.
(b) Any person in respect to in-
surance business upon which a tax
based on gross premiums is paid
to the State of Washington; Pro-
vided, however, That the provi-
sions of this sub -section shall not
exempt any person engaging in the
business of representing any in-
surance company, whether as gen-
eral or local agent or acting as
broker for such companies; And
provided, further, That the provi-
sions of this sub -section shall not
exempt .any bonding company from
tax with respect to gross income
derived from the completion of any
contract as to which it is a surety,
or as to any liability as successor
to the liability of the defaulting
contractor.
(c) Any fruits, vegetables, ber-
ries ,butter, eggs, fish, milk, poul-
try, meats or any farm products
or edibles raised, caught, produced
or manufactured within the State
of Washington and sold by the
farmer or gardener raising, catch-
ing, producing or manufacturing
the same.
(d) Any person in respect to the
business of conducting boxing con-
tests and sparring and/or wrestling
matches and exhibitions for the
conduct of which a license must be
secured from the State Athletic
Commission.
(e) Any person in respect to the
business of conducting .race meets
for the conduct of which a license
must be secured from the State
Horse Racing Commission.
(f) Any person in respect to his
employment in the capacity of an
employee or servant as distin-
guished from that of an independent
contractor.
(g) Fraternal benefit societies, as
defined in Rem. Rev. Stat., Section
7259; fraternal fire insurance asso-
ciations, as described in sub -division
third of Rem. Rev. Stat., Section
7131, and beneficiary corporations
or societies organized under and
existing by virtue of Rem. Rev.
Stat., Sections 3872 and 3883, inclu-
sive, if such corporations or societies
provide in their by-laws for the
payment of death benefits as set
forth in Rem. Rev. Stat., Section
3879.
(h) The gross income received by
the United States or any instru-
mentality thereof, by the State of
Washington, or any municipal sub-
division thereof, or by any religious
society, association or corporation,
through the operation of any hos-
pital, clinic, resort or other insti-
tution devoted exclusively to the
care or healing of human beings:
Provided, That no exemption is
granted where the income there-
from inures to the benefit of any
physician, surgeon, stockholder or
individual by virtue of ownership
or control of such hospital, clinic,
resort or other institution.
(i) Amounts derived from the
lease, rental or sale of real estate;
Provided, however, That nothing
herein shall be construed as an ex-
emption of the business activity of
operating a hotel or a multiple.
apartment house renting more than
four apartments andlor stores and
shops, if taxable under the State
business and occupation tax law
(Chap. 180, Laws of 1935 as amend-
ed), nor be construed to allow
a deduction of amounts derived
from engaging in any business
dep
wherein a me>* license to use or that he is exempt under this See -
enjoy real property is granted, or tion 11.
to allow a deduction of amounts
received as commissions from the Section 12. BI -MONTHLY RE -
sale or rental of real estate: TURNS and PAYMENTS. 'The h -
(j) National banks, state banks, cense fee or tax imposed by this
trust companies, mutual savings ordinance, except the $12.00 fee
banks, building and loan and sav- required to accompany the an-
ings and loan associations with re- nual application for the Business
spect to their banking business, License, shall be due and payable
trust business or savings and loan in bi-monthly installments, and re -
business but not with respect to mittance therefor shall be made to
engaging in any other business City Treasurer on or before the
taxable hereunder, even though 25th day of the month next suc-
such other business be conducted ceeding the end of the bi-monthly
primarily for the purpose of liquid- period in which the tax accrued.
ating the assets thereof. The -license-taxpayer, on or before
(k) The business of manufactur- said 25th day of said month, shall
ing, selling, or. distributing motor also transmit to the City Treasurer
vehicle fuel, as that term is de- a Return, upon a form to be pre -
fined in Chapter 58, that,
of 1933,- scribed and provided by the City
as amended. Clerk; which Return shall contain
(1) Liquor as defined by State a statement by the taxpayer'of the
law (Sec. 7306-3, Rem. Rev. Stat.). amount of the tax for which he is
liable for the preceding bi-monthly
.Section 10:. DEDUCTIONS AL-
LOWED IN COMPUTING LICENSE
FEES: in computing the license
fee or tax there may be deducted
from the measure of tax _ the fol-
lowing items:
(a) Amounts, derived by persons,
other than those engaging in bank-
ing, loan, security or other finan-
cial businesses, from investments or
the use of money. as such.
(b) Amounts derived from bona
fide initiation fees, dues, contribu-
tions, donations, tuition fees as
heremabove defined, and endow-
ment funds. The provisions of
this paragraph shall not be con-
strued to exempt any persons, as-
sociation or society from tax ha=
bility upon selling tangible personal
property or upon providing facili-
ties or services for which a special
charge is made to members or
others: Provided, That dues which
are for, or graduated upon, the
amount of service rendered by the
recipient thereof are not permitted
as a deduction hereunder.
(c) The amount of cash discount
actually taken by the purchaser.
This deduction is not allowed in
arriving at the taxable amount
under the extractive and/or manu-
facturing classifications with re-
spect to articles produced or manu-
factured, the values of which, for
the purpose of this tax, have been
computed according to the provi-
sions of Section 6 hereof.
(d) The amount of credit losses
actually sustained by taxpayers
whose regular books of account are
kept upon an accrual basis.
(e) Amounts derived from busi-
ness which the City is prohibited
from taxing under the constitution
or laws of the State or the consti-
tution or laws of the United States,
and any amounts collected by the
taxpayer as an excise tax.
Section 11. LOW VOLUME EX-
EMPTION. Whenever a person
engages in one or more business
activities wherein the value of
products, gross proceeds of sale or
gross income of the taxable busi-
ness is less than $1700.00 for a bi-
monthly period such person shall
be exempt from payment of the
tax under Section 4, but shall
nevertheless make and file the bi-
monthly sworn information Return
required under Section 12, stating
period under and computed accord-
ing to the provisions of this ordi-
nance. Upon such Return the tax-
payer shall swear (or affirm) that
the information therein given and
the amount of tax liability therein
reported are full and true and that
he .knows the same to be so. The
Return, .when thus sworn (or af-
firmed) to, need not disclose the
value of products, gross proceeds
of sales, or . gross income of the
business, constituting the measure
of the tax liability therein re-
ported. Provided however, .that the
City Council in its discretion may at
any time by Resolution require an
annual or other additional Return,
sworn (or .affirmed) to as above,
from any taxpayer, setting forth
the value, of products, gross pro-
ceeds of sales, or gross income of
the business constituting measure
of the tax hereunder, and such ad-
ditional information as it may deem
necessary. to correctly determine
license fee or tax liability under
this ordinance.
Whenever the total tax for which
any person is liable under this or-
dinance does not exceed the sum
of $2.00 for any bi-monthly period,
an annual Return may be made
upon written request, to and writ-
ten approval by the City Clerk.
First payments and returns under
this Ordinance shall be made on
or before March 25, 1953.
Section 13. PAYMENT OF LI-
CENSE TAX. The license fee or
tax payable hereunder shall at the
time the return is required to be
filed hereunder be paid to the City
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 unless the check or
draft is honored in the usual course
of business; nor shall the accept-
ance of any sum by the Treasurer
be an acquittance or discharge of
the tax or fee due unless the
amount of the payment is in the
full and actual amount due. The
return shall first be presented to
the City Treasurer, who shall en-
dorse thereon the date and amount
of the payment received and shall
thereupon forthwith file the return
with the Clerk.
The Clerk is authorized, but not
required, to mail to taxpayers forms
for applicati6ns for- license and
forms for returns, but failure of the
taxpayer to receive any such forms
shall not excuse the taxpayer from
making application for and securing
the license required, making re-
turns, and payment of the license
fee or tax, when and as due here-
under.
Section 14. PRESERVING RE-
CORDS. It shall be the duty of
every person liable for the pay-
ment of any fee or tax imposed by
this ordinance to keep and pre-
serve for the period of five years
such books and records as will ac-
curately reflect the amount of his
gross income, gross proceeds of sale
or value of products, as the case
may be, and from which can be
determined the amount of -any fee
or tax for which he may be liable
underthe provisions of this ordi-
nance; and all books, records, in-
voices ,inventories and stocks of
goods, wares and merchandise shall
be. open for examination at all
reasonable times by the Clerk or
his duly authorized agent.
Section 15. FINAL . PAYMENT
PUBLIC WORK CONTRACT—LI-
CENSE FEES TO BE PAID FIRST:
The Clerk shall, before issuing any
warrant making final payment to
any person performing any public
work .contract for the City, require
such person to pay in full all license
fees or taxes due under this ordi-
nance from such person on account
of such contract, or otherwise.
Section 16. EXTENSION OF TIME
FOR FILING RETURNS—PENAL-
TIES. The Clerk for good cause
shown may extend the time for
making and filing any return as
required under this ordinance and
may grant such reasonable addition-
al time within which to file such
returns as he may deem proper:
Provided, That any extension in
excess of thirty (30) days shall be
conditioned upon payment of in-
terest of one-half (i/2) of one per
cent Q%) for each thirty (30) days
or portion thereof on the amount
of the tax from the date upon
which said tax became due.
If payment of any tax is not
received within ten (10) days from
the due date of such tax, there
shall be added a penalty as fol-
lows:
11 to 40 days delinquency 10%
with a minimum penalty of $1.00;
41 to 70 days delinquency, 15% with
a minimum penalty of $2.00; and
71 or more days delinquency, 20%
with a minimum penalty of $3.00.
Section 17. SALE OR TRANS-
FER OF BUSINESS: Upon the
sale or transfer during any bi-
monthly period of a business on
account of which a license fee or
tax is hereby required, the pur-
chaser or transferee shall, if the fee
or tax has not been paid in full
for said bi-monthly period, be .re-
sponsible for the payment of the
fee or tax for that portion of the
bi-monthly period during which he
carries on such business.
Section 18. APPLICATIONS AND
RETURNS CONFIDENTIAL: The
s
returns made to the. Tititasurer.,and
Clerk pursuant to this ordinance
shall not be made public, not shall
they be subject to the inspection
of any person except the Mayor,
City Attorney, Treasurer, City
Clerk or his authorized agent, and
members of the City Council; and it
shall be unlawful for any person to
make public or to inform any other
person as to the contents or any
information contained in or to per-
mit inspection of any return ex-
cept as in this section authorized,
and except in any proceedings for
determination and/or collection of
the tax.
Section 19. OVER OR UNDER-
PAYMENT OF TAX. Whenever a
taxpayer makes an overpayment,
and within two (2) years after date
of such overpayment makes appli-
cation for a refund or credit of the
overpayment, his claim shall be
allowed and if the request is for
an overpayment the overpayment
shall be repaid from the. General
Fund, when approved by.. the City
Clerk. If refund or credit is not
applied for within two (2) years
from date of overpayment no re-
fund shall be allowed. If the Clerk
finds that the fee or tax or pen-
alty paid is less than the amount
due the Clerk shall mail the tax-
payer a statement showing the bal-
ance due and may add thereto a
requirement that interest shall be
paid on such balance at the rate
of 6% per annum from date of
underpayment until paid and the
taxpayer shall within three (3) days
from the date of mailing statement
pay the amount shown thereon as
the balance due plus such interest.
No demand for an additional fee or
tax or penalty shall be made by
the Clerk more than four (4) years
after the close of the year in
which the same accrued except:
(1) Against a taxpayer who is
not registered as required by this
ordinance; (2) as against a tax-
payer who has been guilty of fraud
or misrepresentation of a material
fact or (3) where a taxpayer has
executed a written waiver of such
limitations.
Section 20. ENFORCEMENT AND
PENALTIES.
(a) Failure To Make Returns.
If any taxpayer fails, neglects or
refuses to make his return as and
when required herein, or if upon
examination or investigation the
Clerk finds that the amount of tax
liability reported or paid by any
taxpayer appears to be less than
the correct amount of his tax lia-
bility under this ordinance, the
Clerk is authorized to determine
the amount of the tax payable, and
by mail to notify such taxpayer of
the amount so determined. The
amount so fixed shall thereupon
become the tax and be immedi-
ately due and payable.
(b) Collection As Debt. Any li-
cense fee or tax due and unpaid
and delinquent under this ordi-
nance, and all penalties thereon,
may be collected by civil action,
which remedy shall be in addition
to any and all other existing rem-
edies and penalties.
(c) False Returns. It shall be
unlawful for any person subject
to ine tax itereunder to fail or re-
fuse to secure the license, to make
the returns as and when required,
or to pay the fee or tax when due,
or for any person to make any
false or fraudulent application or
return or any false statement or
representation in or in connection
with any such application or re-
turn, or to aid or abet another in
any attempt to evade payment of
the fee or tax, or any part there-
of, or for any person to fail to ap-
pear andlor testify in response to
subpoena issued pursuant hereto,
or to testify falsely upon any in-
vestigation 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 pro-
visions of this ordinance.
(d) Revocation of License. The
Clerk may revoke the license is-
sued to any taxpayer who is in
default in any payment of any li-
cense fee or tax hereunder, or
who shall fail to comply with any
of the provisions of this ordinance.
Notice of such revocation shall be
mailed to the taxpayer by the
Clerk, and on and after the date
thereof any such taxpayer who
continues to engage in business
shall be deemed to be operating
without a license and shall be sub-
ject to any or all penalties herein
provided.
(e) Penalties. Any person vio-
lating or failing to comply with
any of the provisions of this ordi-
nance or any lawful rule or reg-
ulation adopted by the Council
pursuant thereto, upon conviction
thereof, shall be punished by a
fine in any sum not to exceed One
Hundred Dollars ($100.00), or by
imprisonment in the City Jail for
a term not exceeding thirty (30)
days, or by both such fine and im-
prisonment.
(f) Any . taxpayer who engages
in, or carries on, any business sub-
ject to a tax hereunder without
having his "Business License" so
to do shall be guilty of a violation
of this ordinance for each day dur-
ing which the business is so en-
gaged in, or ..carried . on; and any
taxpayer who fails or refuses to
pay the license fee or tax, or any
part thereof, on or before the due
date, shall be deemed to be operat-
ing without having his license so
to do.
Section 21. APPEALS TO CITY
COUNCIL: Any taxpayer aggrieved
by the amount of the fee or tax
found by the Clerk to be required
under the provisions of this ordi-
nance, may appeal to the City
Council from such finding by fil-
ing a written notice of appeal with
the City Clerk within five days
from the time such taxpayer was
given notice of such amount. The
Clerk shall, as soon as practicable,
fix a time and place for the hear-
ing of such appeal, which time
shall be not more than 30 days after
the filing of the notice of appeal,
and he shall cause a notice of the
time and place thereof to be mailed
to the appellant. At such hearing
the taxpayer shall be entitled to be
heard and to introduce evidence in
his own behalf. The City Council
shall thereupon ascertain the cor-
rect amount of the fee or tax by
resolution and the City Clerk shall
immediately notify the appellant
thereof by mail, which amount, to-
gether with costs of the appeal, if
appellant is unsuccessful therein,
must be paid within three days
after such notice is given.
The Mayor, the President of the
City Council, or the Chairman of
any committee thereof before which
the. appeal is to be heard, may, by
subpoena, . require the attendance
thereat of any person, and may also
require him to produce any per-
tinent books and records. Any per-
son served with such subpoena shall
appear at the time and place there-
in stated and "produce the books
and records required, if any, and
shall testify truthfully under oath
administered by the Chairman in
charge of the hearing on appeal as
to any matter required of him per-
tinent to the appeal, and it shall additional to any liQense fee or tax
be unlawful for him to fail or . r_ e- imposed or levied under any law
fuse so to do. or any other ordinance of The City
except as herein otherwise express -
Section 22. INTERPRETATION:
RULES and REGULATIONS. In
the administration of this ordi-
nance and the interpretation of the
provisions thereof, the City Clerk
shall be guided by the rules and
regulations as adopted, published
and interpreted by the Excise Tax
Division of the Tax Commission of
the State of Washington under and
in respect to the State Business
and. Occupation Tax Law (Chap-
ter 180, Laws of 1935, as amend-
ed), insofar as the same are ap-
plicable to and. not inconsistent
with the provisions and require-
merits of this ordinance . or with
such rules and regulations as the
City Council may at any time
adopt hereunder.
The City Council may from time
to time adopt, publish and enforce
rules and regulations not incon-
sistent with .this ordinance or with
law for the purpose of carrying
out the provisions hereof or inter-
preting same, and it shall be un-
lawful to violate or fail to comply
with any such rule or regulation
adopted by the City Council.
Section 23. MAILING OF NO-
TICES: Any notice required by this
ordinance to be mailed to any tax-
payer shall be sent by ordinary
mail, addressed to the address of
the taxpayer as shown by the
records of the Clerk, or if no such
:.ddress is shown, to such address
as the Clerk is able to ascertain
by reasonable effort. Failure of the
taxpayer to receive such mailed
notice shall not release the tax-
payer from any tax or any penal-
ties thereon, nor shall such failure
operate to extend any time limit
set by the provisions of this ordi-
nance.
Section 24. LICENSE FEE ADDI-
TIONAL TO OTHERS: The license
fee and tax herein levied shall be
ly provided.
Section 25. APPLICATION TO
CITY'S BUSINESS ACTIVITIES.
Whenever The City through any
department or division shall en-
gage in any business activity which
if engaged in by any .person
would under this ordinance require
a Business License and the pay-
ment of a license fee or tax by
such person, the City department.
or division engaging in such busi-
ness activity shall as to such busi-
ness activity at the same time and
in the same manner "as persons are
required hereunder to make re-
turns and from the funds of such
department or division pay the li-
cense fees or taxes imposed here-
under.
Section 26. EFFECT OF PAR-
TIAL INVALIDITY. If any pro-
vision, section, paragraph, clause
or part of this ordinance shall be
held void or unconstitutional, the
remainder of this ordinance shall
not be affected thereby, but all
other provisions, sections, para-
graphs, clauses and parts of this
ordinance not expressly so held to
be void or unconstitutional shall
continue and remain in full force
and effect.
Section 27. This ordinance shall
take effect and be -in force from
and after its passage and approval,
if approved by the Mayor; other-
wise it shall take effect at the
time it shall become a law under
the provisions of law.
. PASSED by the City Council this
23rd day of December, 1952.
WILEY ' CROOK,
City Clerk.
APPROVED by the Mayor this
23rd day of December, 1952.
JOE R. BAXTER,
Mayor.
Approved as to form:
ARTHUR L. HAUGAN,
City Attorney.
Published Dec. 25, 1952.
77 Published in the Renton News Record, December 25. 1952