HomeMy WebLinkAbout9 - Ordinances ORDINANCE NO. 9
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO
CUCAMONGA, CALIFORNIA, IMPOSING A SALES AND USE TAX TO
BE ADMINISTERED BY THE STATE BOARD OF EQUALIZATION AND
PROVIDING PENALTIES FOR VIOLATIONS AND PROVIDING FOR ITS
ADOPTION AS AN URGENCY ORDINANCE.
The City Council of the City of Rancho Cucamonga, California, does
ordain as follows:
SECTION 1: Short Title
This Ordinance shall be known as the Uniform Local Sales and Use
Tax Ordinance.
SECTION 2: Rate.
The rate of sales tax and use tax imposed by this ordinance shall be
1%.
SECTION 3: Operative Date.
This Ordinance shall be operative on January l, 1978.
SECTION 4: Purpose.
The City Council hereby declares that this ordinance is adopted to
achieve the following, among other, purposes, and directs that the provisions
hereof be interpreted in order to accomplish those purposes:
(a) To adopt a sales and use tax ordinance which complies with the
requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(b) To adopt a sales and use tax ordinance which incorporates
provisions identical to those of the Sales and Use Tax Law of the State of
California insofar as those provisions are not inconsistent with the
requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(c) To adopt a sales and use tax ordinance which imposes a tax
and provides a measure therefor that can be administered and collected by
the State Board of Equalization in a manner that adapts itself as fully
as practicable to, and requires the least possible deviation from the existing
statutory and administrative procedures followed by the State Board of
Equalization in administering and collecting the California State Sales
and Use Taxes;
(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 provisions
of Part 1.5 of Division 2 of the Revenue and Taxation Code minimize the
cost of collecting city sales and use taxes and at the same time minimize
the burden of record keeping upon persons subject to taxation under the
provisions of this ordinance.
SECTION 5. Contract with State.
Prior to the operative date this city shall contract with the State
Board of Equalization to perform 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 State Board of Equalization prior
to the operative date, it shall nevertheless so contract and in such a case
the operative date shall be the first day of the first calendar quarter
following the execution of such a contract rather than the first day of the
first calendar quarter following the adoption of this ordinance.
SECTION 6: Sales Tax.
For the privilege of selling tangible personal property at retail
a tax is hereby imposed upon all retailers in the city at the rate stated
Ordinance No. 9
Page 2
in Section 2 of the gross receipts of the retailer from the sale of all tangible
personal property sold at retail in this city on and after the operative date.
SECTION 7: Place of Sale.
For the purposes of this ordinance, all retail sales are consummated at
the place of business of the retailer unless the tangible personal property sold
is delivered by the retailer or his agent to an out-of-State destination or to
a common carrier for delivery to an out-of-State destination. The gross receipts
from such sales shall include delivery charges, when such charges are subject
to the State sales and use tax, regardless of the place to which delivery is
made. In the event a retailer has no permanent place of business in the State
or has more than one place of business, the place or places at which the retail
sales are consummated shall be determined under rules and regulations to be
prescribed and adopted by the State Board of Equalization.
SECTION 8: Use Tax.
An excise tax is hereby imposed on the storage, use or other consumption
in this city of tangible personal property purchased from any retailer on and
after the operative date for storage, use or other consumption in this city at
the rate stated in Section 2 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.
SECTION 9: Adoption of Provisions of State Law.
Except as otherwise provided in this ordinance and except insofar as
they are inconsistent with the provisions of Part 1.5 of Division 2 of the
Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of the
Revenue and Taxation Code are hereby adopted and made a part of this ordinance as
though fully set forth herein.
SECTION 10: Limitations on Adoption of State Law.
In adopting the provisions of Part 1 of Division 2 of the Revenue and
Taxation Code, wherever the State of California is named or referred to as the
taxing agency, the name of this City shall be substituted therefor. The substitution,
however, shall not be made when the word "State" is used as part of the title
of the State Controller, the State Treasurer, the State Board of Control, the
State Board of Equalization, the State Treasury, or the Constitution of the State
of California; the substitution shall not be made 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 Equalization, in performing the
functions incident to the administration or operation of this ordinance; the
substitution shall not be made in those sections, including, 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 sales, storage, use or other consumption of tangible
personal property which would not otherwise be exempt from this tax while such
sales, storage, use or other consumption remain subject to tax by the State
under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code,
or to impose this tax with respect to certain sales, storage, use or other
consumption of tangible personal property which would not be subject to tax by the
State under the said provisions of that Code: the substitution shall not be made
in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737,
6797 or 6828 of the Revenue and Taxation Code; and the substitution shall not be
made for the word "State" in the phrase "retailer engaged in business in this
State" in Section 6203 or in the definition of that phrase in Section 6203.
SECTION 11: Permit Not Required.
If a seller's permit has been issued to a retailer under Section 6067
of the Revenue and Taxation Code, an additional Seller's permit shall not be
required by this ordinance.
Ordinance No. 9
Page 3
SECTION 12: Exclusions and Exemptions.
(a) The amo,~nt subject to tax shall not include any sales or
use tax imposed by the State of California upon a retailer or consumer,
(b) The storage, use, or other consumption of tangible personal
property, the gross receipts from the sale of which have been subject to
tax under a sales and use tax ordinance enacted in accordance with Part 1.5
of Division 2 of the Revenue and Taxation Code by any city and county,
county, or city in this State shall be exempt from the tax due under this
ordinance.
(c) There are exempted from the computation of the amount of the
sales tax the gross receipts from the sale of tangible personal property
to operators of waterborne vessels to be used or consumed principally
outside the city in which the sale is made and directly and exclusively in
the carriage of persons or property in such vessels for commercial purposes.
(d) The storage, use, or other consumption of tangible personal
property purchased by operators of waterborne vessels and used or consumed by
such operators directly and exclusively in the carriage of persons or
property of such vessels for commercial purposes is exempted from the use tax.
(e) There are exempted from the computation of the amount of the sales
tax the gross receipts from the sale of tangible personal property to
operators of aircraft to be used or consumed principally outside the city in
which the sale is made and directly and exclusively in the use of such aircraft
as come. on carriers of persons or property under the authority of the laws of
this state, the United States, or any foreign government.
(f) In addition to the exemptions provided in Sections 6366 and 6366.1
of the Revenue and Taxation Code the storage, use, or other consumption of
tangible personal property purchased by operators of aircraft and used
or consumed by such operators directly and exclusively in the use of such
aircraft as common carriers of persons or property for hire or compensation
under a certificate of public convenience and necessity issued pursuant to the
laws of this state, the United States, or any foreign government is exempted
from the use tax.
SECTION 13: Amendments.
Ail subsequent amendments of the Revenue and Taxation Code which
relate to the sales and use tax and which are not inconsistent with Part 1.5
of Division 2 of the Revenue and Taxation Code shall automatically become
a part of this ordinance.
SECTION 14: Enjoining Collection 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
or enjoin the collection under this ordinance, or Part 1.5 of Division 2 of
the Revenue and Taxation Code, of any tax or any amount of tax required to
be collected.
SECTION 15: Penalties.
Any person violating any of the provisions of this ordinance shall
be deemed guilty of a misdemeanor, and upon conviction thereof shall be
punishable by a fine of not more that $500.00 or by imprisonment for a
period of not more than six months, or by both such fine and imprisonment.
SECTION 16: Severability.
If any provision of this ordinance or the application thereof to
any person or circumstance is held invalid, the remainder of the ordinance
and the application of such provision to other persons or circumstances
shall not be affected thereby.
Ordinance No. 9
Page 4
SECTION 17. Effective Date.
This ordinance relates to taxes for the usual and current expenses of the
City and shall take effect immediately.
SECTION 18. Urgency.
The City of Rancho Cucamonga was incorporated on November 30, 1977. It
is necessary that the City ir~nediately receive all revenues to which it is entitled
in order to provide for the needs of its residents at the earliest possible date.
The City Council therefore determines and declares that the public peace, health,
safety and general welfare of the City require that this ordinance be adopted
as an urgency ordinance to take effect immediately.
PASSED, APPROVED, and ADOPTED this 7th day of December, 1977.
AYES: Mikels, Palombo, Schlosser, West, Frost
NOES: None
ABSENT: None
'1 R r
' ancho Cucamonga
ATTEST:
H.K. Hunter
City Clerk