Chapter 4.08
BUSINESS AND OCCUPATION TAX ON UTILITIES

Sections:

4.08.010    Purpose of chapter.

4.08.020    Occupation license required—Application—Term.

4.08.030    Utilities and services taxable.

4.08.035    Storm drainage and surface water collection.

4.08.040    Telephone business.

4.08.050    Transcriber system.

4.08.060    Electricity and electrical energy.

4.08.070    Water sales and service.

4.08.080    Sewer utilities.

4.08.090    Garbage collection, disposal service.

4.08.100    Effective date.

4.08.110    Tax computed, payable monthly—Transactions exempt.

4.08.120    Tax due date—Written return.

4.08.130    Taxpayer to keep records—City clerk’s right to inspect.

4.08.140    Delinquent payments—Penalty—City’s right to sue.

4.08.150    Payment in error or excess—Credit or refund.

4.08.160    Rules and regulations—City council to adopt.

4.08.170    Computation of gross income.

4.08.180    Tax paid by user, consumer—Garbage, sewer, water.

4.08.190    User’s failure to pay—Interest rate—City may sue.

4.08.200    Charges additional.

4.08.210    Violations—Penalties.

4.08.220    Severability.

4.08.010 Purpose of chapter.

The provisions of this chapter shall be deemed an exercise of the power of the city of Omak to license for revenue. (Ord. 339 § 1, 1956).

4.08.020 Occupation license required—Application—Term.

From thirty days after the passage of the ordinance codified herein or the first billing date of the utility, whichever is the later, no person, firm, or corporation shall engage in or carry on any business, occupation, act or privilege for which a tax is imposed by Sections 4.08.030-4.08.090, without first having obtained, and being the holder of a license so to do, to be known as an occupation license. Each such person, firm or corporation shall promptly apply to the city clerk for such license upon such forms as the clerk shall prepare and provide, giving such information as the clerk shall deem reasonably necessary to enable said clerk’s office to administer and enforce this chapter; and, upon acceptance of such application by the clerk, the clerk shall thereupon issue such license to the applicant. Such occupation license shall be personal and nontransferable and shall be valid as long as the licensee shall continue in such business and shall comply with this chapter. (Ord. 339 § 2, 1956).

4.08.030 Utilities and services taxable.

From thirty days after the passage of this chapter* or the first billing date of the utility, whichever is the later, there is hereby levied upon, and there shall be collected from every person, firm or corporation engaged in the carrying on of the businesses enumerated in Sections 4.08.040 through 4.08.090 for hire or for sale of a commodity or a service within or partly within the corporate limits of the city, the tax for the privilege of so doing business as hereinafter defined in Sections 4.08.040 through 4.08.090. (Ord. 484 (part), 1963: Ord. 339 § 3 (part), 1956).

*    Ordinance 339 was passed August 6, 1956. This section was later amended by Ordinance 379 passed August 18, 1958, and Ordinance 484 passed November 18, 1963.

4.08.035 Storm drainage and surface water collection.

There is levied a tax on the business of the operation of storm drainage and surface water collection and transmission for such utility within the city of Omak. Such tax is for the privilege of being allowed to carry on such business in the city and such tax shall be equal to ten percent of the total gross income from such business in the city of Omak; provided, however, that no tax shall be levied on connection charges to the utility system, nor on any charges in relation to connection to said storm drainage and surface water control system. (Ord. 957 § 1, 1985).

4.08.040 Telephone business.

Upon any telephone business there shall be levied a tax equal to six percent of the total gross operating revenue from the operation of such business within the city of Omak. Gross operating revenues for this purpose shall not include charges which are passed on to the subscribers by a telephone company pursuant to tariffs required by regulatory order to compensate for the cost to the company of the tax imposed by this section.

“Telephone business” means the business of providing access to a local telephone network, local telephone network switching service, toll service, cellular telephone services, coin telephone services, telephonic, video, data, or similar communication, or transmission for hire, via a local telephone network, toll line or channel, cable, microwave, or similar communication or transmission system. The term includes cooperative or farmer line telephone companies or associations operating exchanges. “Telephone business” does not include the providing of competitive telephone service, or providing of cable television service, or other providing of broadcast services by radio or television.

“Competitive telephone service” means the providing by any person of telecommunications equipment or apparatus, directory advertising and lease of telephone street directories, or service, other than toll service, related to that equipment or apparatus such as repair or maintenance service, if the equipment or apparatus is of a type which may be provided by persons not subject to regulation as telephone companies under Title 80 RCW, and for which a separate charge is made. (Ord. 1541 § 1, 2005: Ord. 1397 § 1, 1998; Ord. 1181 § 1, 1991; Ord. 1149 § 1, 1990; Ord. 1112 § 1, 1989; Ord. 1078 § 1, 1988; Ord. 1025 § 1, 1987: Ord. 1001 § 1, 1986: Ord. 965 § 1, 1985: Ord. 941 § 1, 1984: Ord. 911 § 1, 1983: Ord. 900 § 1, 1983: Ord. 895, 1983: Ord. 887 § 1, 1982; Ord. 861 § 1, 1981: Ord. 839 § 1, 1980: Ord. 746 § 1, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(a), 1956).

4.08.050 Transcriber system.

There is levied, on the business of operating and maintaining a coaxial cable transcriber system for television, radio and other audio-visual electrical signal distribution in the city, a tax for the privilege of doing such business, such tax to be equal to ten percent of the total gross income from such business in the city; provided, however, there shall not be included in the gross income on which computation is made any sums received by said persons for any installation or connection work. (Ord. 839 § 2, 1980: Ord. 746 § 2, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(b), 1956).

4.08.060 Electricity and electrical energy.

There is levied a tax on the sale, delivery or distribution of electricity and electrical energy and for the privilege of carrying on such business, such tax to be equal to five percent of the total gross sales of electricity from business and residence services in the city of Omak; provided, however, that there shall not be any tax levied for installation charges of electrical units. This tax will take effect June 1, 2001. (Ord. 1460 § 1, 2001: Ord. 1181 § 2, 1991: Ord. 1150 § 1, 1990: Ord. 1111, § 1, 1989: Ord. 1077 § 1, 1988: Ord. 1042 § 1, 1988: Ord. 1000 § 1, 1986: Ord. 887 § 2, 1982: Ord. 839 § 3, 1980: Ord. 746 § 3, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(c), 1956).

4.08.070 Water sales and service.

There is levied a tax on the business of selling water or for the service of water within the city limits. Such tax is for the privilege of being allowed to carry on said business and such tax shall be equal to ten percent of the total gross revenue for the sale of water; provided, however, that there shall be no tax levied on installation charges for water service or connection charges for water services. (Ord. 839 § 4, 1980: Ord. 746 § 4, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(d), 1956).

4.08.080 Sewer utilities.

There is levied a tax on the business of the operation and sale of services for sewer utilities within the city of Omak. Such tax is for the privilege of being allowed to carry on said business in the city of Omak and such tax shall be equal to ten percent of the total gross income from such business in the city of Omak; provided, however, that no tax shall be levied on connection charges or any charges in relation to connection to said sewer system. (Ord. 839 § 5, 1980: Ord. 746 § 5, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(e), 1956).

4.08.090 Garbage collection, disposal service.

There is levied a tax on the business of collecting garbage and garbage disposal service in the city of Omak. Such tax is for the privilege of carrying on said business in the city of Omak and such tax is to be equal to ten percent of the gross income from said business. (Ord. 839 § 6, 1980: Ord. 476 § 6, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(f), 1956).

4.08.100 Effective date.

The five percent tax as provided in Ordinance 746 and codified as Sections 4.08.040 through 4.08.090 of this code shall remain in full force and effect until the first day of January, 1981, and thereafter the ten percent tax shall be effective; provided, however, that Section 4.08.040 of this code providing for a ten percent tax shall remain in full force and effect until the thirty-first day of December, 1981, and thereafter the fourteen percent tax rate shall be effective. (Ord. 861 § 2, 1981: Ord. 839 § 7, 1980: Ord. 746 § 7, 1977: Ord. 484 (part), 1963: Ord. 339 § 3(g), 1956).

4.08.110 Tax computed, payable monthly—Transactions exempt.

In computing the tax as set forth above, the tax shall be computed and payable on a monthly basis from said gross revenue as defined above for such period of time; provided further, that amounts derived from transactions with interstate or foreign commerce or from business which the city is prohibited from taxing under the Constitutions of the United States or of the state of Washington, shall not be utilized in computing gross income. (Ord. 339 § 4, 1956).

4.08.120 Tax due date—Written return.

The tax imposed by this chapter shall be due and payable on the tenth day of each month, and the first payment made hereunder shall be made on the tenth day of November, 1956, for the period of time preceding that date on which this chapter is in effect. On or before said due date the taxpayers shall file with the city clerk a written return, upon such form and setting forth such information as the clerk shall reasonably require, together with the payment of the amount of the tax. (Ord. 339 § 5, 1956).

4.08.130 Taxpayer to keep records—City clerk’s right to inspect.

Each taxpayer who must pay a tax under this chapter shall keep records reflecting the amount of his gross operation revenues, and such records shall be open at all reasonable times to the city clerk, or the clerk’s duly authorized subordinates, for verification of said tax returns for the fixing of the tax of a taxpayer who shall fail to make such returns. (Ord. 339 § 6, 1956).

4.08.140 Delinquent payments—Penalty—City’s right to sue.

If any person, firm or corporation subject to this chapter shall fail to pay any tax required by this chapter within thirty days after the due date thereof, there shall be added to such tax a penalty of ten percent of the amount of such tax, and any tax due under this chapter and unpaid, and all penalties thereon shall constitute a debt to the city and may be collected by court proceedings, which remedy shall be in addition to all other remedies. (Ord. 339 § 7, 1956).

4.08.150 Payment in error or excess—Credit or refund.

Any money paid to the city through error or otherwise in excess of such tax as should have been paid shall, upon the request of the taxpayer, be credited against any taxes due or becoming due from said taxpayer hereunder; or, upon the taxpayer’s ceasing to do business in the city, shall be refunded to the taxpayer. (Ord. 339 § 8, 1956).

4.08.160 Rules and regulations—City council to adopt.

The city council is hereby authorized to adopt, publish and enforce from time to time such rules and regulations for the proper administration of this chapter as shall be necessary, and it shall be a violation of this chapter to violate or to fail to comply with any such rules or regulations lawfully promulgated hereunder. Said adoption by the city council shall be by motion regularly made and carried at a regular meeting of the city council. (Ord. 339 § 11; August 6, 1956).

4.08.170 Computation of gross income.

It is further ordered that in arriving at gross income the taxpayer shall not be compelled to consider any value accruing from the sale of real property or from the sale of notes, bonds, mortgages or other evidence of indebtedness or stocks or like commodities. (Ord. 339 § 12; August 6, 1956).

4.08.180 Tax paid by user, consumer—Garbage, sewer, water.

There shall be paid each month, by each user and consumer of the following utilities: garbage, sewer, and water, the assessment of the tax that has been levied against the utilities of the city in Sections 4.08.030 through 4.08.090. (Ord. 391 § 1; April 6, 1959).

4.08.190 User’s failure to pay—Interest rate—City may sue.

In the event that the users of said utilities do not pay said tax as provided for herein to the city at the time that the same becomes due, then said amount shall draw interest at the rate of ten percent per annum until paid and the city may sue to recover the same from those failing to make the payments as required herein. (Ord. 391 § 2; April 6, 1959).

4.08.200 Charges additional.

The charges made in Section 4.08.180 are in addition to all other charges now made for said utilities by the city. (Ord. 391 § 3; April 6, 1959).

4.08.210 Violations—Penalties.

Failure to perform any act required, or the performance of any act prohibited, by Sections 4.08.010 through 4.08.170 is designated as a civil infraction and shall not be classified as a criminal offense. Any person, firm, or corporation found to have committed such a civil infraction shall be subject to the penalties as set forth in Chapter 1.16. (Ord. 1665 § 1 (part), 2010: Ord. 339 § 9; August 6, 1956).

4.08.220 Severability.

The invalidity or unconstitutionality of any provision or section of this chapter shall not render any other provision or section of this chapter invalid or unconstitutional. (Ord. 339 § 10; August 6, 1956).