Chapter 5.08
BUSINESS LICENSE TAX
Sections:
5.08.010 Purpose – Revenue license power.
5.08.020 Definitions.
5.08.030 Fees designated.
5.08.040 Nightclub fee.
5.08.050 Exemptions.
5.08.060 License – Required.
5.08.070 Payment of fees – License term or expiration.
5.08.080 Overpayment or underpayment of tax.
5.08.090 Failure to make application.
5.08.100 Authority of city.
5.08.110 Mailing of notices.
5.08.120 License fee additional to others.
5.08.130 Tax constitutes debt.
5.08.140 Posting of license.
5.08.150 Change of place of business.
5.08.160 Ownership change, license not transferable.
5.08.170 Fraudulent use of business license.
5.08.180 Revocation of business license.
5.08.190 Compliance with codes required.
5.08.200 Notice of noncompliance – Revocation – Final action.
5.08.210 Appeal to hearing examiner.
5.08.220 Violation – Penalty.
5.08.010 Purpose – Revenue license power.
The purpose of this chapter is to provide a means for obtaining public information and compiling statistical information on existing and new business in the city, to regulate and ensure the legal conduct of businesses, and to assist in the effective administration of health, fire, building, zoning and other codes of the city. The provisions of this chapter shall be deemed an exercise of the power of the city to license for revenue. (Ord. 1236 § 1, 2007).
5.08.020 Definitions.
In construing the provisions of this chapter, except when otherwise declared, or clearly from the context a different meaning is intended, the following definitions shall be applied:
A. “Business,” “occupation” or “pursuit” includes all home occupations, wholesalers, retailers, service providers, towing operators, peddlers, canvassers, solicitors, for-hire vehicles, limousine services, pawnbrokers, secondhand dealers and junk dealers having the objective of economic gain, benefit or advantage to the person, firm or corporation, or to another person or class, directly or indirectly, whether part-time or full-time. Each business location shall be deemed a separate business. For the purposes of this chapter, the owner of any apartment building or buildings containing an aggregate of 10 or more rental units located on a single lot or contiguous lots and the owner of any business or commercial building containing any rental units shall be considered to be engaged in a “business.”
B. “Employee” means any person employed at any business location within the city and in addition includes all persons who are self-employed.
C. “Engaging in business” means commencing, conducting or continuing in any business, or carrying on of any form of activity for gain, profit or advantage, whether direct or indirect, with an office, post office box, or place of business being located within the city limits; as well as liquidating a business when the liquidators hold themselves out to the public as conducting such business, except those businesses subject to the city’s utilities tax, Chapter 5.04 BLMC.
D. “Person” means any individual, firm, partnership, company, corporation, association, receiver, consignee, trustee in bankruptcy, trust, estate, joint venture, club, joint stock company, business trust, society or any group of individuals acting as a unit.
E. “Taxpayer” includes any person who engages in business or who is required to have a business license under this chapter, or who is liable for the collection of any license fee or tax under this chapter, or who performs any act for which license fee or tax is imposed by this chapter. (Ord. 1256 § 1, 2007; Ord. 1236 § 1, 2007).
5.08.030 Fees designated.
Businesses must notify the city once they are no longer in business. There will be a $25.00 penalty for late business registration renewal payments received after February 1st.
The fee for the license required by this chapter shall be $60.00 per year. The fee may be prorated as necessary to conform to BLMC 5.08.070. (Ord. 1236 § 1, 2007).
5.08.040 Nightclub fee.
For every establishment operating as a nightclub, as defined in BLMC 5.17.010, a fee for a supplemental business license shall be assessed pursuant to Chapter 5.17 BLMC in addition to the business license fee assessed under this chapter. (Ord. 1236 § 2, 2007; Ord. 735 § 2, 1997).
5.08.050 Exemptions.
The provisions of this chapter shall not apply to:
A. Fraternal benefit societies, as defined in RCW 48.36A.010, fraternal fire insurance associations, as prescribed in WAC 458-20-163, and beneficiary corporations or societies organized under and existing by virtue of RCW Title 24, if such beneficiary corporations or societies provide in their bylaws for the payment of death benefits. This exemption, however, is limited to gross income from premiums, fees, assessments, dues or other charges directly attributable to the insurance or death benefits provided by such persons. It is not intended that all the varied, regular business activities (e.g., sales of food, liquor, admissions, and amusement devices receipts) of these societies or organizations be exempted from the business and occupation tax. Only that portion of income which can be demonstrated as directly attributable to charges made for providing death benefits is exempt;
B. Any activities of a temporary nature, such as contests, circuses, shows, auctions or other business licensed under another ordinance of the city;
C. Any instrumentality of the United States, the state of Washington or political subdivision thereof;
D. Any religious society or association which operates any charitable hospital, clinic or institution devoted exclusively to the care or healing of human beings; provided, that no exemption is granted where the income thereof inures to the benefit of any physician, surgeon, stockholder or individual by reason of interest or ownership in or control of such hospital, clinic or other institution;
E. Any farmer or gardener who sells, delivers or peddles any fruit, vegetables, berries, butter, eggs, fish, milk, poultry, meats or any farm produce or edibles raised, caught, produced or manufactured by such person in any place in this state;
F. All persons engaged in parking vehicles with a lot capacity of not more than 15 cars;
G. Tax-exempt nonprofit organizations recognized by the state of Washington and the United States Government;
H. Nonprofit associations, clubs, or corporations maintained for the purpose of organized sports, charity, public school-related activities, or municipal-related activities, including police or fire department reserve organizations;
I. The sales of daily newspapers, whether subscriptions are taken or not, or the dissemination of news and information;
J. Vendors not otherwise engaged in business in the city who rent a booth or space, or are otherwise a participant, at a city-sanctioned or sponsored event such as Bonney Lake Days;
K. Minors doing business or operating a business concern where no other person is employed by the minor, such as babysitting, lawn mowing, etc. (Ord. 1236 § 1, 2007).
5.08.060 License – Required.
A. No person shall engage in any business activity in the city without first having obtained a valid license to do so. Application for a license is made by submitting a master application and city addendum form to the Master License Service of the State Department of Licensing. The application shall set forth the name of the applicant, place of business, the nature of the business, and such other information as may be required by the city or the Master License Service. The application shall include payment of the license fee prescribed by this chapter, and the Master License Service handling fee. Every license granted under this chapter shall be posted in a conspicuous place in the place of business of the licensee. Any license issued under and by virtue of the provisions of this chapter shall be personal and nontransferable. In case business is transacted at two or more separate places by one taxpayer, a separate license for each place of business shall be required. Each license shall be numbered and shall show the name and place of business.
B. If any person required by the terms and provisions of this chapter to pay a license fee for any period fails or refuses to do so, he or she shall not be granted a license for the current period until such delinquent license fee, together with penalties, has been paid in full. (Ord. 1236 § 1, 2007).
5.08.070 Payment of fees – License term or expiration.
A. Each city license issued shall have a term as determined by the State of Washington Department of Licensing in cooperation with the city. The city license term or expiration date will be coordinated with the terms or expiration date of all other licenses or permits required by the state for each business.
B. Each annual license fee herein provided for shall become due and payable on the date established by the Master License Service. The annual license fee amount may be prorated to accommodate setting an expiration date for a license that matches the expiration date established for the business by the Master License Service. (Ord. 1236 § 1, 2007).
5.08.080 Overpayment or underpayment of tax.
If the city, upon investigation or upon checking returns, finds that the fee or tax paid on any of them is more than the amount required of the taxpayer, the city shall return the amount overpaid by a warrant upon the general fund. If the city finds that the fee or tax paid is less than required, the city shall mail a statement to the taxpayer showing the balance due, who shall within three days pay the amount shown thereon. (Ord. 1236 § 1, 2007).
5.08.090 Failure to make application.
If any taxpayer fails, neglects or refuses to file his application and pay any tax as and when required in this chapter, the city 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 immediately due and payable. (Ord. 1236 § 1, 2007).
5.08.100 Authority of city.
The city shall have the power, and it shall be its duty, from time to time, to adopt, publish and enforce rules and regulations not inconsistent with this chapter or with the law for the purpose of carrying out the provisions of this chapter, and it is unlawful to violate or fail to comply with any such rules or regulations. (Ord. 1236 § 1, 2007).
5.08.110 Mailing of notices.
Any notice required by this chapter to be mailed to any taxpayer shall be sent by ordinary mail, addressed to the address of the taxpayer as shown in the records of the city or, if no such address is shown, to such address as the city is able to ascertain by reasonable effort. Failure of the taxpayer to receive any such mailed notice shall not release the taxpayer from any tax or any penalties thereon, nor shall such failure operate to extend any time limit set by the provisions of this chapter. (Ord. 1236 § 1, 2007).
5.08.120 License fee additional to others.
The license fee and tax levied in this chapter shall be additional to any license fee or tax imposed or levied under the law of any other ordinance of the city except as otherwise expressly provided in this chapter. (Ord. 1236 § 1, 2007).
5.08.130 Tax constitutes debt.
Any license fee or tax due and unpaid under this chapter, and all penalties thereon, shall constitute a debt to the city and may be collected by court proceedings in the same manner as any other debt in like amount, which remedy shall be in addition to all other existing remedies. (Ord. 1236 § 1, 2007).
5.08.140 Posting of license.
Each person required to obtain a business license under this chapter shall at all times post said business license in the place of business for which it is issued. (Ord. 1236 § 1, 2007).
5.08.150 Change of place of business.
When the place of business of a person required to obtain a business license under this chapter is changed, the person shall inform the Master License Service and the city clerk of the change. A change of place of business may require the filing of a new Master Application with the Master License Service. Upon approval by the city of the new place of business, a new license shall be issued for the person’s new place of business. (Ord. 1236 § 1, 2007).
5.08.160 Ownership change, license not transferable.
When a licensed business changes ownership, the license of the previous owner may not be transferred to the new owner. The new owner shall apply for a license for that place of business by filing a Master Application with the Master License Service, in coordination with the city official designated by the mayor to coordinate the Master License Service program. (Ord. 1236 § 1, 2007).
5.08.170 Fraudulent use of business license.
No person holding a city business license shall suffer or allow any other person for whom a separate license is required to operate under or display such person’s license and no person may maintain a business license obtained through a false or fraudulent application or return or any false statement or representation in or in connection with any such application or return for such business license. (Ord. 1236 § 1, 2007).
5.08.180 Revocation of business license.
The city may revoke the license issued to any person required to obtain a business license who is in default in any payment of any license fee or who shall fail to comply with any of the provisions of this chapter. Notice of such revocation shall be mailed to the person by the city, and on and after the date thereof any such person who continues to engage in business shall be deemed to be operating without a license and shall be subject to any or all penalties provided for in this chapter. (Ord. 1236 § 1, 2007).
5.08.190 Compliance with codes required.
Notwithstanding any contrary provision hereof, a business license issued under this chapter may not be issued to any person using or occupying any real property in violation of the provisions of the Bonney Lake Municipal Code, including zoning, building and fire regulations and all amendments thereto. (Ord. 1236 § 1, 2007).
5.08.200 Notice of noncompliance – Revocation – Final action.
A pending application for renewal under this chapter shall be deemed in compliance with this chapter unless the applicant is notified by the city in writing that said application may not be granted because of noncompliance with the provisions of this chapter. In the event such notice is given, the applicant shall have 90 days from the date of such notice to comply with any section violated under this chapter prior to final action upon said application for renewal unless an extension for compliance is granted by the mayor. (Ord. 1236 § 1, 2007).
5.08.210 Appeal to hearing examiner.
Any person found by the city to be noncompliant with this chapter may appeal to the hearing examiner from such finding of the city within 15 days from the time as such person was given written notice of the noncompliance. The city shall, as soon as practical, fix a time and place for hearing of such appeal, which time shall not be more than 30 days after filing a notice of appeal. The hearing examiner shall cause a notice of the time and place thereof to be mailed by certified mail, return receipt requested, to the person appealing the clerk’s proposed action. At such hearing, the person shall be entitled to be heard and to introduce evidence in his own behalf. The hearing examiner shall thereupon make a finding and notify the appellant thereof by mail. The city may, before the appeal is to be heard, by subpoena require the attendance at such hearing of any person and may require such person to produce any pertinent books and records. Any person served with such subpoena shall appear at the time and place therein stated and produce the books and records required, if any, and shall testify truthfully under oath administered by the hearing examiner as to any matter required of such person pertinent to the appeal and it shall be unlawful for such person to fail or refuse to do so. Hearing examiner action shall be final unless within 30 days thereof an appeal has been filed with Pierce County superior court by writ of certiorari. (Ord. 1236 § 1, 2007).
5.08.220 Violation – Penalty.
A. Any violation of the provisions of this chapter or any rule or regulation adopted by the city pursuant thereto shall be a Class 1 civil infraction pursuant to Chapter 7.80 RCW.
B. Any taxpayer who engaged in or carried on any business subject to a tax under this chapter without having his business license to do so shall be guilty of a violation of this chapter for such day during which the business is so engaged 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 operating without having his license to do so. (Ord. 1236 § 1, 2007).