Chapter 5.16
BUSINESS LICENSE RATES
Sections:
5.16.010 How and when payable.
5.16.020 Business classifications and schedule.
5.16.030 Reclassification or business not classified.
5.16.040 Optional tax for certain businesses in classification “A.”
5.16.050 Flat rate tax—Classification.
5.16.060 Delivery by vehicle optional rate.
5.16.070 Other outside businesses.
5.16.080 Renewal license—Flat rate.
5.16.090 Renewal license—Gross receipts tax.
5.16.100 Receipt in lieu of renewal license.
5.16.010 How and when payable.
A. All annual license taxes, unless otherwise specifically provided, shall be due and payable in advance on the first day of July of each year, beginning in 1966, and shall be delinquent on the first day of October next following.
B. Semiannual license taxes, measured by gross receipts, shall be due and payable in advance on the first day of January and the first day of July of each year.
C. Quarterly license taxes, measured by gross receipts, shall be due and payable in advance on the first day of January, April, July and October of each year.
D. Monthly license taxes, measured by gross receipts, shall be due and payable in advance on the first day of each and every month.
E. Weekly flat rate license fees shall be due and payable in advance on Monday of each week.
F. Daily flat rate license fees shall be due and payable in advance each day.
G. License taxes for new operations shall be prorated for the balance of the license period from the first day of the month in which application is made, in connection with annual, semiannual, and quarterly license taxes. (Ord. 411 § 3, 1966; Ord. 410 § 2 (part), 1966: prior code § 2114)
5.16.020 Business classifications and schedule.
Every person who engages in business at a fixed place of business within the city shall pay a quarterly license tax based upon average monthly gross receipts at the following rates and in the following classifications:
A. Classification “A.” The following businesses and all similar businesses will be classified “A” and pay the corresponding rate:
Accountant
Advertising counsel
Apartment house
Appraiser
Architect
Assayer
Attorney
Bacteriologist
Barber and/or beauty shop
Barber school
Beauty and cosmetology school
Business director service or publisher
Chemist
Chiropodist
Chiropractor
Collection agency
Cosmetic sales
Court reporter
Credit bureau or reporting service
Dancing school
Decorator or illustrator
Dental technician
Designer
Doctor of dentistry
Doctor of medicine or surgery
Doctor of osteopathy
Doctor of veterinary (medicine)
Draftsman
Drugless practitioner
Engineer
Fruit and produce broker
Funeral director
Geologist
Hotel
Income tax expert
Insurance adjuster
Insurance agent or broker, no license required if only selling insurance
Interpreter
Lapidary
Motel
Mutual fund sales
Nursing home
Oculist
Optician
Optometrist
Party sales promoter
Photographic services
Physiotherapist
Private investigator
Public stenographer
Radiologist
Repair service (unless otherwise specified)
Retirement home
Sales promotion services
Sanitary company
Scrivener
Stock broker
Surveyor
Travel agency
X-ray technician
B. Classification “B.” The following businesses, and all similar businesses, will be classified “B” and pay the corresponding rate:
Abstract and title company
Amusement machine, coin or slug operated
Appliance store and/or appliance repair
Auto parts and accessories
Bakery
Bicycle sales and repair
Blacksmith shop
Boat dealer
Boat repair and/or storage
Broker/real estate
Children’s party service
Coin operated amusement device business
Department store
Drapery shop
Drug store
Duplicating and mimeographing service
Electrical repair
Electronic repair
Equipment rental
Florist
Furniture mover
Garage, storage
Gifts and novelties
Glass, retail and parts and/or repair
Hardware
Hobby shop
Jewelry
Job printer
Junk dealer
Lumber and building
Magazine vendor and/or newspaper
Men’s and women’s apparel
Men’s and women’s specialty
Money lending
Motorcycle dealer
Music studio and/or instruction
Newspaper publisher
Nursery and garden supplies
Office, store and school supplies
Paint, glass and/or wallpaper
Pharmacies
Photographic sales
Plumbing and/or heating
Radio and/or television store
Rubber stamp shop
Shoe store
Sporting goods
Stamp and/or coin shop
Stationery and books
Tire sales and/or recapping, retail
Toy store
Trailer, boat or motorcycle dealer
Upholsterer’s shop
Van and storage
Variety store
Vending machines (selling goods, wares, merchandise)
Weighing machines, coin operated
Welding shop Wrecking or salvaging
C. Classification “C.” The following businesses, and all other businesses not subject to any other provision of this title will be classified “C” and pay the corresponding rate:
Auto repair service
Billiards, pool hall
Bowling
Car wash
Children’s wear
Cocktail lounge
Combination grocery store
Confectionery
Creamery
Farm equipment dealers
Feed, fuel and ice dealers
Food or beverage caterer
Furniture stores
Laundry and dry cleaning, agents and plants
Laundromat and/or dry cleaning, coin operated
Liquor stores
Meat markets
Milk depots
New car dealers
Oil and/or gasoline distributors
Restaurants and/or food dispensing
Service stations
Soft drink stand
Specialty foods
Supermarkets
Tobacco and periodicals
Tractor dealer
Used car dealers
Warehouse
Water softening service
D. Classification “D.” The following businesses will be classified “D” and pay the corresponding rate:
Canner
Cold storage
Cotton gin or compress
Dairy
Frozen fruit processor
Fruit and vegetable packer
Ice manufacturer
Manufacturer, fabricator and/or assembly plant (other than retail)
Meat processor or packer
Warehouse serving business in class “D” only
Wholesaler
Winery
E. Tax rate shall be as contained in Schedule B of Ordinance 582, on file in the office of the city clerk. (Ord. 582 § 1, 1978; Ord. 545 § 1, 1975; Ord. 504 § 1, 1973: Ord. 410 § 2 (part), 1966: prior code § 2121)
5.16.030 Reclassification or business not classified.
A. In any case where a license or an applicant for a license believes that his business is not assigned to the proper classification under Section 5.16.020 because of circumstances peculiar to it, as distinguished from other businesses of the same kind, he may file with the director of finance a petition for reclassification. The tax shall be paid at the rate provided by this chapter pending the decision on such reclassification.
B. When a business is not specifically listed in one of the classifications set out in Sections 5.16.020, 5.16.050, 5.16.060 or 5.16.070, upon application for the first license therefor the director of finance shall assign the proper classification of such business.
C. The director of finance shall conduct an investigation following which he shall assign the applicant’s individual business to the classification shown to be proper on the basis of such investigation, and within ten days thereafter shall give such person notice of his decision, and shall file a copy of such decision with the city council.
D. The licensee or applicant may appeal such decision according to the procedure provided for appeals, by filing notice of appeal with the city clerk within six months from the service of notice of such decision upon him.
E. Where such petition is filed concurrently with application for a first license or a newly established business, the effective date of such reclassification shall be the date of the filing of the application for the license; in all other cases the effective date of such reclassification shall be the first day of the next license term following the filing of such petition for reclassification.
F. In the case of a petition for reclassification, if the business is reclassified, an adjustment shall be made in the case of a prepaid tax to reflect the new classification. (Ord. 410 § 2 (part), 1966: prior code § 2123)
5.16.040 Optional tax for certain businesses in classification “A.”
A. Any person who engages in a business subject to Section 5.16.020, classification “A,” may at his option pay the license tax provided in this section, in lieu of tax based on gross receipts.
B. In case of participation or employment in such business of any individual required to be licensed under the provisions of Divisions 11, 111 or IV of the Business and Professions Code of the state in order to so participate or perform his duties, the optional license tax mentioned in this section shall be as follows:
1. Each person engaged in such business shall pay a quarterly license tax of thirty-nine dollars; provided
2. In the case of a partnership, for each individual partner so licensed in excess of one there shall be paid in addition thirty-nine dollars per quarter;
3. For each employee required to be so licensed there shall be paid in addition thirty-nine dollars per quarter; provided that if such employee’s state license fee is less than the state license fee payable by his employer (in the case of a partnership, using the highest state license fee payable by any partner), the amount of additional license tax on account of the employee shall be reduced proportionately.
C. In the case of persons not mentioned in subparagraph (B), the quarterly license tax shall be twenty-five dollars.
D. The option provided in this section is available from time to time, but when made as to any quarter may not be changed as to such quarter.
E. This section shall not exempt any person from any other requirements of this chapter, excepting disclosure of his gross receipts in fixing his license tax for any quarter as to which he exercises such option. (Ord. 582 § 10, 1978; Ord. 411 § 5, 1966: prior code § 2124)
5.16.050 Flat rate tax—Classification.
The tax rate shall be as contained in Schedule C of Ordinance 582, on file in the office of the city clerk. (Ord. 582 § 2, 1978: Ord. 545 § 2, 1975: Ord. 504 § 2, 1973: Ord. 410 § 2 (part), 1966: prior code § 2131)
5.16.060 Delivery by vehicle optional rate.
Every person not having a fixed place of business within the city, who delivers goods, wares or merchandise of any kind by vehicle, or who provides any service by the use of vehicles in the city, shall pay a license tax of fifteen dollars and seventy-five cents per vehicle per quarter or forty-seven dollars per vehicle per year; provided that any such person may elect to pay a license tax under classification “B” of Section 5.16.020, measured by gross receipts from business done within the city. (Ord. 582 § 3, 1978; Ord. 545 § 3, 1975; Ord. 410 § 2 (part), 1966: prior code § 2132)
5.16.070 Other outside businesses.
Every person not having a fixed place of business within the city, who engages in business within the city and is not subject to the provisions of Sections 5.16.050 and 5.16.060 shall pay a license tax of thirty-nine dollars per quarter; provided that any such person may elect to pay a license tax under classification “B” of Section 5.16.020, measured by gross receipts from business done within the city. (Ord. 582 § 4, 1978; Ord. 545 § 5, 1975: Ord. 471 § 1, 1971: Ord. 410 § 2 (part), 1966: prior code § 2134)
5.16.080 Renewal license—Flat rate.
A. The application for renewal of a flat rate license shall contain a statement verified by the applicant upon a form provided by the director of finance setting forth such information as he may deem necessary to determine the amount of license tax to be paid by the applicant in connection with such renewal.
B. Application for renewal of flat rate licenses shall be made at the following times:
1. Annual, semiannual or quarterly licenses, at least thirty days before the beginning of the term;
2. Monthly licenses, at least seven days before the beginning of the term;
3. Weekly licenses, not later than twelve noon on Friday before the beginning of the term.
C. If application is not made within the time prescribed by this section, a penalty of twenty-five percent of the unpaid balance shall be payable with the license tax. (Ord. 582 § 5, 1978; Ord. 410 § 2 (part), 1966: prior code § 2163)
5.16.090 Renewal license—Gross receipts tax.
A. If the amount of the license tax to be paid by the applicant is measured by gross receipts, the applicant for the renewal of the license shall within thirty days after the expiration of each license term submit to the director of finance for his guidance in ascertaining the amount of license tax to be paid by the applicant, a statement verified by applicant on a form provided by the director of finance, showing the gross receipts during the preceding license term as may be required by the director of finance to enable him to ascertain the amount of license tax for the term which follows the filing of the application payable under the provisions of this title.
B. If such application is not made within the time prescribed by this section, a penalty of twenty-five percent of the unpaid balance shall be payable with the license tax. (Ord. 582 § 6, 1978; Ord. 410 § 2 (part), 1966: prior code § 2164)
5.16.100 Receipt in lieu of renewal license.
The director of finance is authorized, in his discretion, to provide a form of stamp or endorsement or nontransferable receipt, to show receipt of the license tax for any term for which the license may be renewed, and which shall be attached to the license so long as the same may remain valid. (Ord. 410 § 2 (part), 1966: prior code § 2165)