HomeMy WebLinkAbout116 - City Sales Tax State CollectionORDINANCE NO. 116
AN ORDINANCE OF TAE CITY OF COSTA HESA, 37,1OSING A CITY
SALES AND USE TAS': PFOVIDI'irr FOR THE PE- t ORKAVCE Br THE
STATE BOARD OF MUALIZAIION OF ALL PrXTIORS I21CIDW TO
THE A MINIST ATIOId, OPERATION AND C0=TIOX OF THE' SALES
AMID ME TAX ii10MY L' POSEDt SUSPL311DILIG THE I'ROVIKOW OF
ORDMANCE NO. 20 DUIUZ SUCH T'JDF, AS TRIS ORDINANCE IS
OPERATIVES APTD PROVIDING P:�,7ULTIFS FOR VIOLATIONS THFIRMF.
T -he City Colimcil of the City of Costa Mesa does ordain as followst
e,rT+1'rnr 'i.
ellryn'gT TTT'.
s?,^l_lbe kno;ra as the Unifom
Local Sales and use
Tax Drdi arcc of
the C t'r o-
Ponta 2&-sa.
SECTIMi 2. FxMPIS£. Th(, City Cove;;
tax imposed by any other city and -coz ty, counts* other than the county in which
this city is located, or city in this State, and avoid iraposi.ng a use tax on the
storage, use or other consumption of tar!gible pe-wnal property in this City when
the gross receipts from the sale of, or the use of, Lha't property has been subject
to a sales or use tax by any otha r city and county, county other than the county
im which this city is located, or city La this State, pursuant to a sales and use
tax ordiraneo enacted mner t'.Io pror-Isio�s oh Fart 1.5 of Division 2 of the said
Revenue and Tax-atior-t Corte.
SECTI.o'1 3. OPERATIVE DATIF. COQ TRICT WITH STATE. This ordinance shall
become operatives on Ap-ril 1, 19556, and. prt.or thereto thi R City shall contract with
the Stats Pop -rd of 3qu aliaation to perfoxY-i ail fuactio.w Licideszt to the adminis-
tration and operation of this silos and use talc orc.inance; provided, that if this
City shall not have contracted tvit:i ;41ie sass: Sta',,-- Board of Equalization, as above
eet forth, prior to April 1, 1956, this ordinance shall not be operative uni;il the
first day of the first calendar quartor follow -Ing the execution of such a contract
17 the City and by the State Board of Zqualiaation, pro -,Tided further that this
ordinance shall not becoma operative prior to t'ce operaUivo date of the tiiform
Ioeal Sales and Use Tax Ordinance of the County of Orange.
SFCTICIN 4. SALE'S TAX.
(a) (1) FO.• the privilege of sellirm tangibla personal property at
retail a tax is hereby imposed rpon all retailers in the city at the rate of one
poarent (1%) of the gross roceipts of the retailer .f`rom the sale of all tangible
personal property sold ec, rstail in the City of Costa Mesa on and after the opera-
tive date of this ordinance.
(2) For the purposos of this ordu nance, all retail sales shall be
presumed to have been coumm—hated at the }dace of business of the retailer unless
he tangible personal property- sold is delivered by the retail—Gr or his agent to
inn out-of-state desti:_atior_ or to a common eainier for del ive3y to an out-of-state
destination. Delivery charges shall be included in the groes receipts by which the
tax is masured, rmgardlecs of the pi_aco to -v.tiich delivery is ma,da, when such charges
are included in the nsast!re of the sa.'i cs or Use tar imposed by the State of Califor-
n1a. In the e-ent a ra tailer has nc .)ornanent place of business in the State of
California,
or has more than one place
of busialess, th;s place
or places at which re-
tail sales
are co-owmatod shall be as
deter- i 3d under rulas
and regulations pre-
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scribed and adopted by -Lie Board of Equalization.
(b) (1) Ercept as herei r -a fter pro rlded, and except insofar as they are
inconsistent with the pmvislona of Part 1.5 of Division 2 of the said Revwrae and
Taxation Code, all of the prc�-isions of Part I of P-ar•?sion 2 of said Code, as
amended and in force and effect on April 1, 1956, c-43pl3cable to sales taxes are
hereby adopted and made, a part, of this section as though fully set forth herein
(2) Wrerevar, and to the extent that, in Part I of Division 2 of
the said RetrPnue and Taxation Cole t7no "tate of California is named or referred to
as the taxing agency, the City o'. "ost.n 7_esa slall be supstitutod therefor. Nothing
in this subdivision call rbc c.,:s,„eO to require the substitution of the name of the
City of Costa Masa fox Vne v-ord ?"tate" .z': n thrt trord is used as part of the title
of the State Controller, Vie State Treasur^"^, trip Stats Board. of Control, the State
Board of Equalization, or the name of tube State Txeasurf, or of the Constitution of
the State of California; nor shall the r_a-ne of the Cit; be substituted for that of the
State in any section when the result of t%at substitution -would require action to
'oa taken by or against the City or ar.7 agency thereof, rather than by or against the
State Board of Equalization, in performing the functions incident to the administra-
tion or operation of this ordinance; and neither shall the substitution be deemed
to have been made in those sections, including, 'cut not necessarily limited to,
sections referring to the exterior ooundariss of the State of California, whore the
result of the substitntion would bo to provide an exemption from this tax with re-
spect to certain gross receipts Vnich would not otherwise be exempt from this tax
while those gross receipts renain sn'bJect to tax h�* the State under the provisions
of Part l of Division 2 of the said Revenue and Taxation Code; nor to impose this
tax with respect to certain gross receipts which would not be subject to tax by the
State under the said provisions or that Code; and, in addition, the name of the City
shall not be substituted .for that of the State in Sections 6701, 6702 (except in the
last sentence thereof), 6711, 67159 6737, 6797 and 6828 of the said Revenue and
Taxation Code as adopted.
a seller's permit bas been .ssued to a retailer under Section
6068 of the said Rovenue' and Taxat?.on Code, an additional 3e113•r's permit ehall not
be required by reason of this section.
is measured:
W There shall be excluded from the gress -receipts by which the -tax
(i) The amount of any sales or _ tse tax imposed by the State
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of California upon a retailer or consumer.
(ii) Receipts fro,: the sale of tangible personal property
upon which a sales or use tax has become due by reason of the
same transaction to any other city and county, county other
than the county in which this city is located, or city in this
State under a sc.les or use tax ordinance enacted by that city
and county, county other than the count; in which this city is
located, or city in this State in accordance with Part 1.5 of
Division 2 of t`le, said 71eirenne and Taration Code.
(iii) R9coipts from sates to operators of common carrier
and waterborne vessels of property to be used or consumed in
the operation of sucli corinon carriers or waterborne vessels prin-
cipally outside this City.
SECTION 5. USE TAX.
(a) An excise tax is hereby imposed on the storage, use or other con-
sumption in the City of Costa Mesa of tangible persontLl property purchased from any
retailer on or after the operative date of this ordinance, for storage, use or
other consumption in the city at the rate of one percent (1%) of the sales price of
the property. The selas 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.
(b) (1) %rcept as herainar"der provided, mad except insofar as they are
inconsistent with the provisior_s of Part 1.5 of Division 2 of the said Revmue and
Taxation Code, all of the provisions of Dart 1 of Division 2 of said Code, as amend-
ed and in force and effsct on April 1, 1956, applicable to use taxes are hereby
adopted and made a part of this section as though fu17,=,-- set forth herein.
(2) Wherever, and to the extent that, in Part 1 of Divis;on 2 of
Vie said Revenue and Taxation Code the State of California is'named or referred to
as the taxing agency, the City of Costa A sa shall be substituted therefor. Noth-
ing in this subdivision shall be deRmed to require the substitution of the :name of
the City of Costa Mesa for the 7-ror : '`hats" when that cord is used as part of the
title of the State Controller, the State '''reasurer, the State Board of Control, the
State Board of Equalization, or tine n,�ae of the State Treasury, or of the Constitution
of the State of California; nor ehall the name of the City be substituted for that
Of the State in any section when the result of that substitution would require action
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to be taken by or against the City u^ arrV agency thersof rather than by or against
the State Board of %naiization, in pe -,.-forming the functions L-acident to the adrain-
istration or operation of Vnis ordinance; and neither shall the substitution be
deemed to have been made in those sections, including but not nacessarily limited
to, sections referring to the etterior boundaries of the State of California,
where the result of the substitution would be to proride an exemption from this
tax with respect to certain storage use or ot:ier consirp Lion of tazxgible personal
property which 7-Tnu ld Sent otl:or-el so be e,:ernpt mora this tax iihile such storage, use
or other consuantinn ram -1 -ns EL?',)acct to t :- by the Nte ander the provisions of
Part 1 of Division 2 of the said zn` Ta -.-:,tion rods, or to impose this tax
Vith respect to cartain ztorc.;c' use or ct`: r constmption of tangible personal
property which would not be subject to t, 7 by the State under the said provisions
of that Code; and in addition, the nar±e of the City s'zall not be substituted for that
of the State in Sections 6701, 6702 (ey_cept in the last sentence thereof), 6711,
6715, 6737, 6797 and 6828 of the said 111evenue and Taxation Code as adopted.
(3) Th4i s shall be emempt fro d tho tax due under this section=
(i) T5? a%ount of &,W sales or use tax imposed by the State
of California upon a retailer or consumer.
(ii) The storage, use or other consumption of tangible personal
property, the grope receipts from the sale of or the cost of which
has been subject to sales or use tox under a sales or use tax
ordinance enacted to accordance with Part 1.5 of Division 2 of the
said Pavenue and Taxation rode by eny other city and county,county
other than t1he cottnty in which this city is located, or city in
this State.
(iii) The storage or use of tangible personal property in the
transportation or tmn ssion of persons, property or communica-
tions, or in the generation, transmission or distribution of
electricity or in the manufacture, transmission or distribution of
gas ir, intrastate, interstate or foreign commerce by public utili-
ties wbieh are regnlate l 'Ty the Public Utilities Commi.9sion of the
State of California,
(iv) The use or consumption of p:coperty purchased by opera-
tors of common carrier and waterbd ne vessels to be used or con-
sumed in the operation of such common car�e-s or waterborne
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vessels principaUT outside the City.
SECTION 6. AXERLMENTS. All amendments of the said Revenue and Taxa-
tion Code enacted subsequent to the ofaecti" date of this ordinance which relate
to the sales and uss tax and which are not inco-nsistent with Part 1.5 of Division 2
of the said Revenue and Taxation Code shall automatical3.y become a pare of this
ordiname.
SEC'T'ION 7. ENJODIM OOLLrWION FOR3IDDEN. No injunction or writ of
mandate or other loyal or eruitablc process small issue in wq suit, action or
proceeding; in any court against. VIG Stat') or this City, or against any officer of
the State or this City: '-o rril.*r:nt or enjoin the collection under this ordinance,
or Part 1.5 of Division 2 of t".e 2ovenue and Taxation Code, of any tax or ary
amount of tax reouirad to be collected.
SECTION 8. 3XIST17M S_{ SS k"I USE TAX 0RDINAMF. SUSPENDED. At
the time this ordinance goes into operation, the provisions of. Ordinance No. 20
shall be suspended and shall not ,gain_ be of aiV force or effect until and unless
for any reason the State Board of equalization cea'ses to perform the functions
incident to the administ2.tion and op9ration of the sales and use tax hereby imposed;
provided, howmver, that if 'dor ary reason it is deta mines that the City of Costa
Masa is without poxer to adopt this ordir_aaca, or that, the State Board of Equali-
zation is vithout power to perform the fuzncti oxo Laoiderft to the administration
vA-id operation of the taxes Imposed by this ordinance, the provisions of Ordinance
No. 20 shall not be deemed to ham been suspended, but shall be deemed to have
been in full force and effect at the rete of orn percent (1%) continuously from
and after April 1, 1956. Upon the ceasing of the Sta'� Board of �'�ualization to
perform the functions incident to the admiudstration and operation of the taxes im-
posed by this ordinance, the provisions of Ordinance No. 20 shall again be in full
force and effect at the rat-- of one percn.nt (1%). NoihiuIg in this ordinance shall
be construed as relieving any person of the 6aligation to pay to the City of Costa
Mesa azar sales or use tax accniod and oiezig by reason of the provisions of Ord3nannc4
No. 20 in force and effect prior to and i-sicluding March 31, 1956.
SECTION 9. PE1Vt:_ 1 S. Argy person viole ti;. -ie al -V of the provisions of
this ordinance shall be deemod guilty of a raisdemeanar, a;. -id upon conviction there-
of shall be punishable by a fine of not nacre than 15,00.00 or by imprisonmet.t for a
period of not more than six (6) months in the City Jail, or by both such fine and
imprisonment.
SECTION 10. SWERABILITf. If a -,v section, subsection, sentence,
clause, phrase or portion of this ordinance, imluding but not limited to arW
exemption, is for arW reason hold to be valid or unconstitutional by the decision
of arq court of competent Jurisdiction, such decision shall n..rt affect the valid-
ity of the remaining portions of this ordinance. The Council of the City of Costa
Mesa hereby declares that it Taoul have adopted this ord-finance and each section,
subsection, sentence, rla.usa, phrase or portion thereof, irrespective of the fact
that ony on¢ or more sccti.ons, subsect.5_ons, sentences, clauses, phrases or portions
be declared invalid or wnconstitutional.
Srr,TION 11. ^„ OTIVE WET -E. T'As ordin, =.ce shall t0ce affect and be
in force thirty (30) dsryrs from and eftnr its ,passage and prior to the expiration
of fifteen (15) clays from its passage shall lbe pub:" '-ed once in the Costa Mesa
Globe Herald, a newspaper of goneral c-innilation, printed and published bi-weekly
in the City of Costa Masa, tor -ether frith the names of the members of the City
Council voting for and against the same.
or o e y of os esa
ATT_'ESTs �r
^i- l.eeko a City 6f costa?59`a
T, 77A
r. 31dAnz, ':i ty Clerk .-nd ox -officio Clerk -Oi ty CovrAcil -of
Cit-.- of ^ossa lies-, do '-,er-by cea°'oily that a-'- ^xz �7.d ourne4—^iegular. meeting e3! the
ry1LlnCll Ji ';Z7F +i7ty O Costa ;iE3Sa, or theG9tY? CiQy 0,. ctlary, 197v�\teie
was cons .ciereti sec t -.on by 6^ction and then
,.sss-�d an' adopte_t as a iinole 'Uy V IC oi1.0,0-- nt;
AY7S: Counciltion 'iw-tin) pi rkley, S;,v. ;�, Nelson and Meyers
NOES: Councilmen - 'one
ABSENT: Covncilnon • 14"on
IAT Wirl'MS I*".r,'REOF I have hereunto set r• hand and affixed the
official seal of the City of Costa Mesa this let daffy of March, 1956.
Clerk of the City Council cf the City of
Costa Mesa -
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