Chapter 5.44
TELEPHONE BUSINESS TAX
Sections:
5.44.010 Definitions.
A. “Gross operating revenue” means the value proceeding or accruing from the performance of the particular public service or transportation business involved, including operations incidental thereto, but without any deduction on account of the cost of the commodity furnished or sold, the cost of material used, labor costs, interest, discount, delivery cost, taxes, or any other expense whatsoever, paid or accrued and without any deduction on account of losses.
B. “Telephone business” means the business of providing access to a local telephone network, local telephone network switching service, toll service, or a coin-telephone service, or providing telephonic, video, data, or similar communication or transmission for hire, via a local telephone network, toll line or channel, or similar communication or transmission system. It includes cooperative or farmer line telephone companies or associations operating an exchange. “Telephone business” does not include the providing of competitive telephone service, nor the providing of cable television service. [Ord. 552 § 2, 1983].
5.44.020 Imposed.
Upon any telephone business there is levied a tax equal to six percent of the total gross operating revenues, excluding revenues from intrastate toll, derived from the operation of such businesses within the city. Gross operating revenues for this purpose shall not include charges which are passed on to the subscribers by a telephone company pursuant to tariffs acquired by regulatory order to compensate for the cost to the company of the tax imposed by this chapter. [Ord. 2009-181 § 4, 2009].
Code reviser’s note: Ord. 2009-18 becomes effective on January 24, 2010, and is subject to referendum.