Earlier editions: 2026-07
Title 3 — Finance›Chapter 1 — BUSINESS LICENSES AND BUSINESS LICENSE TAXES
Artesia Municipal Code Art. 3 Application Procedures
Artesia Municipal Code · 2026-10 edition · updated 2026-10-04 · Artesia
Cite as: Artesia Municipal Code Article 3 · Text as of 2026-10-04
§ 3-1.301. Application.¶
Except as otherwise provided in Section 3-1.302, every person desiring to conduct, manage, or carry on any business, profession, trade, commercial enterprise or occupation in the City shall file with the Tax Collector a form provided by the City, sworn to or made under penalty of perjury, setting forth the following information, as may be applicable:
(a) The applicant's name, home address and telephone number, social security number, and California driver's license number. If the applicant is a corporation, the name shall be exactly as set forth in its articles of incorporation. Additionally, a corporate applicant shall set forth the names and addresses of all directors, any stockholder owning 10% or more of the shares of the corporation, and the name and address of an officer who is duly authorized to accept service of legal process. If the applicant is a partnership, the names and addresses of each general partner shall be stated. If one or more of the partners is a corporation, the provisions of this subsection pertaining to a corporate applicant shall apply to that partner.
(b) The exact nature or type of business for which a license is requested, including each separate and distinct type of business conducted or to be conducted under the same ownership on the premises.
(c) The address of the intended business. No post office box, mailbox, or message service shall be set forth as the true address of the business for purposes of this chapter. A post office box, mailbox, or message service may be used as the mailing address of the business for business purposes only. If the business is not to be carried on at any permanent location, the application shall include the residence addresses of the owners of the business.
(d) The estimated average number of employees the applicant expects to employ during the period for which the license is to be issued.
(e) Every applicant that is an employer, and which applies for any business license issued pursuant to the authority conferred by Section 37101 of the Government Code, or Section 7284 of the Revenue and Taxation Code, shall complete and sign a declaration, in a form provided by the Tax Collector, which declaration complies with the requirements of Section 3700 of the Labor Code.
(f) Every applicant who is a contractor shall submit evidence that he or she is licensed by the Contractors' State License Board. Such evidence shall be verified with the Contractors' State License Board by the Tax Collector.
(g) Any additional information which the Tax Collector deems necessary and appropriate.
(Ord. 543, § 3)
§ 3-1.302. Exemptions.¶
(a) List of Exemptions. Unless otherwise specified herein, no license tax shall be required of:
(1) The Federal Government or the State of California, or any political subdivisions, agencies or instrumentalities thereof.
(2) Any person engaging in any business exempt from the payment of a business license tax by virtue of the Constitution or laws of the State of California, or the Constitution or laws of the United States.
(3) Any organization, whether or not incorporated, that is organized and operated exclusively for religious, charitable, fraternal, educational, cultural, civic, or other exempt purposes or functions as specified in Article I of Chapter 4 of the California Revenue and Taxation Code (Section 23701 et seq.), and which has been determined by the Franchise Tax Board to be exempt from taxation, or which has established its exemption under Section 501(c)(3) of the Internal Revenue Code; provided, however, that any such organization shall be required to pay the applicable license tax for any "unrelated trade or business" of such organization, the income of which is subject to taxation under Section 23731 of the California Revenue and Taxation Code or Section 512 of the Internal Revenue Code.
(4) A minor under the age of 18 years engaged in activities requiring a license under this chapter where such minor engages in those activities for no more than 20 hours in any week.
(b) Filing of Claims of Exemption. Any person claiming an exemption pursuant to the provisions of this section shall file a verified statement with the Tax Collector stating the facts upon which such exemption is claimed.
(c) Approval of Exemptions. The Tax Collector, upon a proper showing contained in the verified statement, shall issue a license to such person claiming an exemption pursuant to the provisions of this section without payment to the City of the license tax required by this chapter.
(d) Revocation of Exemptions. The Tax Collector, after giving notice and a reasonable opportunity for a hearing to the licensee, may revoke any license granted pursuant to the provisions of this section upon information that the licensee is not entitled to an exemption as provided for in this section.
(Ord. 543, § 3)
§ 3-1.303. Applications by Newly-Established Businesses.¶
In addition to the information required by Section 3-1.301 of this article, upon the filing of an application for a business license for a newly-established business where the amount of the license tax to be paid is measured by gross receipts, the applicant shall furnish to the Tax Collector, for his or her guidance in ascertaining the amount of the license tax to be paid by the applicant, a written statement, upon a form provided by the Tax Collector, setting forth such information as may be necessary to determine the amount of the license tax to be paid by the applicant. The applicant shall estimate the gross receipts for the period to be covered by the license on this written form. If accepted by the Tax Collector as reasonable, the applicant's estimate shall be used in determining the amount of the license tax; provided, however, the amount of the license tax so determined shall be tentative only, and such person, within 30 days after the expiration of the period for which such license was issued, shall furnish the Tax Collector with a statement prepared under penalty of perjury, on a form provided by the Tax Collector, the applicable tax during the period of such license. The license tax shall be finally ascertained and paid after deducting from the payment found to be due the amount paid at the time the license was first issued. Any excess payment shall be refunded to the applicant. The Tax Collector shall not issue to any such person another license for the same or any other business until such person shall have furnished to the Tax Collector the written statement and paid the license tax as required by the provisions of this section.
(Ord. 543, § 3)
§ 3-1.304. First-Time Application Investigation and Inspection Fee.¶
(a) Investigation and Inspections. The Tax Collector shall, from time to time, designate the investigations and inspections required for particular businesses when those businesses have submitted a first-time application for a business license, as generally indicated by the following guides:
(1) The Planning Department shall be required to review all applications, other than renewal applications, for compliance with the zoning, subdivision and like provisions of this Code.
(2) The Building and Safety Department shall review applications involving a change of occupancy of any portion of a building, and in such other circumstances as may involve questions of compliance with City building, electrical, plumbing and other construction codes.
(3) The Fire Department shall review applications which involve businesses or premises which may constitute substantial fire risks, or any risks of serious danger to human life or property.
(4) The Sheriff's Department shall review applications for businesses which affect public morals, involve substantial danger or fraud or deception, pose unusual police problems, may involve the handling or receiving of stolen goods to a higher degree than usual, tend to affect traffic control, involve public assembly, include police type functions, are of a kind which tend to attract or involve undesirable persons, or otherwise substantially affect public safety.
(5) The Health Department shall be required to review applications for business involving the preparation, storage or sale of food or drink, except in sealed containers.
(6) Other departments, agencies or officers shall review applications when the proposed business poses special problems dealt with by such department, agency or officer.
(b) Exceptions to Investigations and Inspections. The Tax Collector may grant exceptions from the requirements of an inspection and investigation, when, in his or her opinion, its literal application is not required to accomplish the objectives of such requirements and this section.
(c) Investigation and Inspection Fees. A one time investigation and inspection fee shall be paid by the applicant upon application for the first year of a business license. The fee shall be as calculated based on the number of departments the Tax Collector determines is required for the application. The fee for each department's review shall be as follows:
(1) Planning Department: $25.
(2) Building and Safety Department: $25.
(3) Fire Department: $25.
(4) Sheriff's Department (routine check): $25.
(5) Other inspections and investigations by City personnel at $25 per hour.
(6) Outside personnel: actual cost billed to City.
(7) "Like for like" review (no change in use from one owner to another): $25.
(8) Outside personnel: actual cost billed to City.
(d) Exemption from Investigation and Inspection Fee. The investigation and inspection fee provided in Subsection (a) of this section shall not apply to any business, trade or profession that is estimated to have less than $150,000 in gross annual receipts in the first 12 months of its operation.
(Ord. 12-790, § 3)
§ 3-1.305. Licenses for Each Business Activity.¶
(a) Except as otherwise provided in this chapter, a separate license shall be obtained and a separate tax paid for each type of business activity and for each branch establishment. Each license shall authorize the licensee named therein to commence and conduct only the business activity described in such license and only at the location designated therein. Notwithstanding these requirements, warehouses and distributing plants used in connection with and incidental to a business licensed under this chapter shall not be deemed separate places of business or branch establishments. In addition, automobile sales lots operated by one owner, where no separate books are maintained for separate locations, shall not be deemed separate places of business or branch establishments.
(b) Any person who operates a separately-owned department or concession in a department store or similar retail establishment shall pay a license tax in accordance with the provisions of this chapter for the department or concession so operated. Two or more persons shall not jointly apply for or be issued one business license to cover two or more businesses which are separately owned.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.306. Business Licenses—Issuance to Persons Operating Under Fictitious Names.¶
A business license may be issued to a person operating under a fictitious business name who has complied with all of the applicable provisions of the California Business and Professions Code. Otherwise, all licenses shall be issued in the true name of the person applying for a license, as it appears on the application for a license.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.307. Real Party in Interest.¶
The Tax Collector or other appropriate officer or body may examine under oath any applicant to determine who is the real party in interest in the business for which a license is sought. If the Tax Collector is satisfied that the application is not in the interest of the person in whose name the application is made, he or she may deny the license. If the Tax Collector finds that the application is in the interest of one whose license has been revoked or who has been refused a license, he or she may treat the application as though made by the real party in interest, and the limitation on future applications of Section 3-1.312 shall apply.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.308. Unlawful Business.¶
No business license issued under the provisions of this chapter shall be construed as authorizing any business activity which is prohibited under the laws of the United States, the Federal or State Constitutions, this Code or any applicable law, ordinance, rule or regulation. Any such business license shall be void.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.309. License Not Transferable.¶
No license issued pursuant to this chapter may be transferred; provided, however, that where a license is issued, authorizing a person to conduct business at a specified location, the licensee may, upon application and payment of a fee in an amount established by this article, have the previously issued license amended so as to authorize the conduct of such business at a different location, except as may otherwise be provided in this chapter.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.310. Change of Address.¶
A licensee who changes his or her place of business or who locates a business previously operated without a fixed place of business may, upon application therefor and paying a fee of $10 or such other amount as is hereafter fixed by resolution of the Council, have the license amended to reflect the new address.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.311. Permit Prerequisite.¶
The Tax Collector shall not issue any license for any business, profession, trade, commercial enterprise or occupation for which a business permit is required pursuant to Chapter 2 of this Title until such permit is obtained. The Tax Collector shall not issue or renew a license if any such permit has been revoked or has expired and has not been reinstated or renewed. Any license issued under this chapter for any business, profession, trade, commercial enterprise or occupation for which a business permit is required by Chapter 2 of this Title, or for which a conditional use permit is required by Title 9 of this Code, shall be void upon the revocation or expiration of any such business permit or conditional use permit.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.312. Application for Renewal of Business License.¶
(a) In all cases, an applicant for the renewal of a license shall submit to the Tax Collector a statement sworn to or made under penalty of perjury setting forth such information concerning the applicant's business during the preceding year as may be required to enable the Tax Collector to ascertain the amount of license tax to be paid by the taxpayer pursuant to the provisions of this chapter.
(b) Every applicant which is an employer, and which applies for the renewal of any business license issued pursuant to this chapter shall complete and sign a declaration, in a form provided by the Tax Collector, which declaration complies with the requirements of Section 3700 of the Labor Code.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.313. Extensions to Filing Deadlines.¶
The Tax Collector shall have the power, for good cause shown, to extend the time for filing any application or statement required by the provisions of this chapter for a period not exceeding 30 days and, in such cases, to waive any penalty which would otherwise have accrued.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.314. Auditing and Verification.¶
(a) No statement required by the provisions of this chapter shall be conclusive as to the matters set forth therein, nor shall the filing of any such statement preclude the City from collecting by appropriate action such sums as are actually due and payable pursuant to the provisions of this chapter.
(b) All statements required by the provisions of this chapter, shall be subject to audit and verification by the Tax Collector, or deputies or authorized agents, who are hereby authorized to examine, audit, and inspect such books and records of any licensee or applicant for a license as may be necessary in their judgment to verify or ascertain the amount of license tax due. All licensees, applicants for licenses, and persons engaged in business in the City are hereby required to permit an examination of such books and records for purposes of ensuring compliance with the provisions of this chapter.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.315. License Records Confidential.¶
Except for the information specified in Section 3-1.314, a business license application and the contents thereof shall be subject to public inspection and copying pursuant to the provisions of the California Public Records Act (Government Code Section 6250 et seq.).
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.316. Confidential Information.¶
Information regarding gross receipts furnished or obtained pursuant to the provisions of this chapter shall be confidential, shall not be subject to public inspection, and shall be maintained in such a manner that it is not disclosed to anyone who is not charged with the administration of this chapter. Nothing in this section shall be construed to prevent:
(a) The disclosure to, or examination of such information by, a City official, employee, or agent responsible for the collection of license taxes, for the sole purpose of administering or enforcing the provisions of this chapter;
(b) The disclosure of such information to a grand jury or court of law, upon subpoena;
(c) The disclosure of such information to a court of law in a proceeding brought to determine the existence or amount of any license tax liability of the particular person or licensee hereunder;
(d) The disclosure, after the filing by or on behalf of the licensee of a written request to that effect, to the licensee, or to the licensee's successors, receivers, trustees, executors, administrators, assignees and guarantors, if directly interested, of information regarding the computation of any paid or unpaid license tax, or amounts of license tax and any penalties required to be collected; provided, however, that the City Attorney shall approve each such disclosure and the Tax Collector may refuse to make any disclosure referred to in this subsection when, in the opinion of the Tax Collector, the public interest in disclosure is outweighed by the public interest served by not making the information public;
(e) The disclosure to the City Council, by way of public meeting or otherwise, of such information as may be necessary to enable the City Council to be fully advised as to the facts when a licensee files a claim for refund of license taxes, or submits an offer of compromise with regard to a claim asserted by the City for license taxes, or when acting upon any other matter in the course of City business.
(Ord. 543, § 3; Ord. 12-790, § 4)
§ 3-1.317. Grounds for Denial.¶
The Tax Collector shall not approve an application for a business license or an application for the renewal thereof if substantial evidence exists regarding, and based on that substantial evidence, the Tax Collector makes any of the following findings:
(a) The building, structure, premises, or the equipment used to conduct the business activity fails to comply with all applicable health, zoning, fire, building and safety laws and regulations;
(b) The applicant has knowingly or should have known that they made any false, misleading or fraudulent statement of material fact in the application for the business license, in the application for renewal of the business license or in any report or statement required to be filed with the Tax Collector;
(c) The business is prohibited by any Federal, State or local law or regulation, or prohibited in the particular location or zone by any law or regulation;
(d) The applicant is found to have committed a crime involving moral turpitude which is substantially related to the business activity for which the license is being sought;
(e) The applicant is in violation of a provision of the Artesia Municipal Code or owes taxes, fees, costs, or penalties pursuant to this chapter or any other provision of the Artesia Municipal Code;
(f) The application is for renewal or for a new license for the period immediately following a period during which the applicant was licensed for the same business or activity and any ground for revocation as set forth in Section 3-1.505 exists.
(Ord. 543, § 3; Ord. 12-790, § 4; Ord. 25-976, 1/12/2026)
§ 3-1.318. Effect of Business License Denial.¶
(a) Limitation on New Applications. If an applicant's business license application for a particular business activity has been denied, the Director shall not process a new application by that applicant for that business activity for a 12 month period after the denial unless the Director determines that the reason for the denial has been cured and no longer exists.
(b) Appealability. The denial of an application by the Director may be appealed to the City Council pursuant to Section 3-1.507 of this chapter.
(Ord. 543, § 3; Ord. 12-790, § 4)
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