HomeMy WebLinkAboutORD 5892CITY OF RENTON, WASHINGTON
ORDINANCE NO. 5892
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, REPEALING
SUBSECTION 5-25-10.CC OF THE RENTON MUNICIPAL CODE, ELIMINATING THE
BUSINESS AND OCCUPATION TAX EXEMPTION FOR CERTAIN COMMERCIAL
AIRLINE PARTS, AMENDING SECTION 5-25-12 OF THE RENTON MUNICIPAL CODE,
BY REVISING NEW BUSINESS TAX CREDIT REGULATIONS, AND PROVIDING FOR
SEVERABILITY AND ESTABLISHING AN EFFECTIVE DATE.
THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DO ORDAIN AS FOLLOWS:
SECTION I. Subsection 5-25-10.CC of the Renton Municipal Code is repealed. All other
provisions in section 5-25-10, Exemptions, remain in effect and unchanged.
SECTION II. Section 5-25-12 of the Renton Municipal Code is amended as follows:
5-25-12 NEW BUSINESS TAX CREDIT:
A. Purpose: The City believes that providing a temporary tax credit relating
to new businesses is a meaningful method of fostering such new businesses to
establish a solid financial foundation during its start-up process. Further, the City
finds that a credit related to the creation of fifty (50) or more new full-time
equivalent ("FTE") employees within the City will benefit other local businesses.
Therefore, considering situations particular and unique to the City, the City finds
that it is appropriate to differ from the business and occupation tax model
ordinance in providing for a new business tax credit as described in this section.
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ORDINANCE NO. 5892
B. There may be credited against the tax imposed by this chapter, the
amount up to one thousand dollars ($1,000) per FTE position in the City of Renton.
C. To take the credit authorized by this section, a taxpayer must be able to
document all of the following:
1. The taxpayer has not, for any period of time, engaged in business in
the City of Renton for a period of ten (10) or more years prior to application for
the tax credit;
2. The taxpayer employs fifty (50) or more full-time equivalent
ems positions in Renton. An FTE position is defined as each one thousand
nine hundred and twenty (1,920) worker hours per calendar year; and
3. The taxpayer may be required to submit its „„aFteFly FePGFtS tO the
State Depart.wept of -and- hn.dustFies payroll information and/or other
documentation& in support of such employee hours worked in the City.
4. The taxpayer must report, on each return filed, the taxpayer's total
number of full-time employment positions created and positions currently filled.
D. The tax credit can be taken for the first twelve (12) consecutive reporting
quarters or three (3) reporting years.
E. This credit is not considered a payment of taxes for purposes of seeking a
refund of overpayment of tax pursuant to the provisions contained in RMC
Chapter 5-26, Tax Administrative Code, or any other purpose. As such, unused
credit amounts will not be refunded, carried over from reporting period(s) to
reporting period(s), and will not accrue interest.
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ORDINANCE NO. 5892
F. The Administrator is authorized to promulgate rules implementing,
interpreting, and enforcing the provisions of this section.
SECTION III. If any section, subsection, sentence, clause, phrase or work of this
ordinance should be held to be invalid or unconstitutional by a court or competent jurisdiction,
such invalidity or unconstitutionality thereof shall not affect the constitutionality of any other
section, subsection, sentence, clause, phrase or word of this ordinance.
SECTION IV. This ordinance shall be in full force and effect thirty (30) days after
publication of a summary of this ordinance in the City's official newspaper. The summary shall
consist of this ordinance's title.
PASSED BY THE CITY COUNCIL this 5th day of November, 2018.
: /
Jason A. Seth, City Clerk
APPROVED BY THE MAYOR this 5th day of November, 2018.
Approved as to form:
Shane Moloney, City Attorney
Date of Publication: 11/9/2018 (Summary)
ORD:2031:10/3/18:scr
Denis Law, Mayor
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