Belmont Municipal Code Art. VI Business License Tax

Footnotes:

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Editor's note— Ord. No. 2024-1181, §§ 4, 7, adopted Nov. 5, 2024, provide as follows:

Section 4. Application of Tax

(a) This ordinance supersedes the business license tax imposed by the Belmont City Code Chapter 12.

(b) Notwithstanding sections 23-203, 23-205, 23-208, and any other conflicting provisions of this ordinance, the following provisions apply for the 2025 tax year:

(1) All licensees operating in the city holding a valid business license that will expire in 2025 must submit an application for a business license renewal by March 1, 2025.

(2) The renewal application must include the information required by section 23-208 of this ordinance.

(3) Tax for the 2025 tax year is due March 1, 2025 and is delinquent April 1, 2025 if not paid.

(4) A licensee holding a business license that would expire in 2025 will receive a proportionate credit, as determined by the Tax Collector, to correct for overlapping license periods.

Section 7. Operative Date

The taxes imposed by this ordinance will begin being imposed on January 1, 2025.

This article may be referred to as the "City of Belmont Business License Tax Ordinance."

(Ord. No. 2024-1181, § 3, 11-5-24)

The definitions in this section apply to the words and phrases used in this article unless the context clearly indicates otherwise.

(a) Business means a profession, art, trade, vocation, rental, lease, enterprise, establishment, occupation, or calling, which is conducted for the purpose of earning in whole, or in part, a profit or livelihood, whether or not a profit or livelihood is actually earned, whether paid in money, goods, labor, or otherwise, and whether or not the business has a fixed place of business in the city.

(b) Business classification means the category of business subject to tax under this article. The business classifications are as follows.

(1) Category 1, which consists of the following business types:

Operating an establishment where meals, prepared food, or beverages are served to customers (restaurants). An establishment includes mobile and transient businesses that operate from a temporary location.

Selling goods, including pre-packaged food, to ultimate consumers, usually in small quantities (retail sales).

Any similar business.

(2) Category 2, which consists of the following business types:

Arborists, lawn services, gardening and landscaping services but not including landscape architects.

Arts, music, and dance instructors.

Automotive repair, car washing and detailing.

Child care and educational services.

Drycleaners.

Hairstylists, beauticians, cosmetologists, and aestheticians.

Home health providers.

Janitorial services.

Massage therapists.

Photographic, videographer, and printing services.

Gym, physical fitness, and sports trainers services.

Translation and interpretation services.

Any similar business.

(3) Category 3, which consists of the following business types:

Conducting, managing, or carrying on the business of contractor, subcontractor, or builder; or engaging in the construction or repair of any buildings; or regularly employing help for building construction, sewer construction, plumbing construction, or general construction; but not including architects or engineers.

Manufacturing, packing, or processing of any goods, wares, merchandise, or commodities at a fixed place of business within the city.

Selling goods in quantity, such as to retailers for resale (wholesales).

Scientific and technical services.

Legal advice and representation.

Medical, skilled nursing, and dental services.

Chiropractors and physical therapists.

Psychiatrists, psychologists, therapists, and marriage counselors.

Licensed financial planners and licensed investment counselors.

Accounting, bookkeeping, and payroll services.

Architects and landscape architects.

Engineers and land surveyors.

Specialized design services.

Computer services.

Consulting services.

Research and development services.

Advertising services.

Real estate agents and real estate brokers.

Mortgage and insurance brokers.

Veterinary services.

Administrative offices and business headquarters.

Property management.

Property rental.

Any similar business and any business that does not fit into another category.

(4) Category 4, which consists of cannabis businesses and includes all cannabis business activities regardless of whether a different category describes all or part of a cannabis business' activity.

(c) Business license means the document issued by the city acknowledging that a person has declared their business activity in the city and has paid the business license tax required by this article for the declared business activity.

(d) Cannabis related definitions.

(1) Cannabis or marijuana means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, or any other strain or varietal of the genus Cannabis that may exist or hereafter be discovered or developed that has psychoactive or medicinal properties, whether growing or not, including the seeds of such plants. "Cannabis" also means cannabis as defined by Business and Professions Code section 26001, subdivision (f), Health and Safety Code section 11018, and by other state law.

(2) Cannabis accessory is any device intended to aid in the use of cannabis or cannabis products which does not itself consist in all or part of cannabis or cannabis products as defined in Health and Safety Code section 11018.2 and by other state law.

(3) Cannabis business means the activity of any person or collective in the City relating to cannabis, including but not limited to cultivation (including nurseries), transportation, distribution, manufacture, compounding, conversion, processing, preparation, testing, storage, packaging, delivery, and sales (including both wholesale and retail sales) of cannabis, cannabis products, or any accessories for the use of cannabis or cannabis products, whether or not carried on for gain or profit, whether for medical or recreational use, and whether or not such business is licensed by the state. A cannabis business does not include any business the only relationship of which to cannabis or cannabis products is the production or sale of cannabis accessories.

(4) Cannabis product means any product containing cannabis or its derivatives, including, but not limited to, flowers, buds, oils, tinctures, concentrates, extractions, edibles, and products described in Health and Safety Code Section 11018.1.

(5) Delivery means the transfer for any form of compensation of cannabis or cannabis products to a customer or caregiver at a location that is not a dispensary.

(6) Dispensary means a place at which cannabis, cannabis products, or accessories for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale, including an establishment that engages in delivery.

(7) Distributor means a person engaged in procuring cannabis or cannabis products for sale to a dispensary or other point of retail sale. "Distribution" means engaging in that conduct and a "distribution facility" is any real estate, whether or not improved, used in such conduct.

(e) Fixed place of business means the premises occupied in the city for the purpose of conducting a business and regularly kept open for that purpose with a person in attendance for the purpose of attending to the business.

(f) (1)

Gross receipts means the total amount of compensation actually received or receivable from all sales and the total amount of compensation actually received or receivable for the performance of any act or service, of whatever nature it may be, for which a charge is made or credit allowed, whether or not such act or service is done as part of or in connection with the sale of materials, goods, wares, or merchandise. Included in "gross receipts" are all receipts, cash, credits, and property of any kind or nature, without any deduction for the cost of property sold, materials, labor, service, interest, losses, or other expenses whatsoever.

(2) If the gross receipts are less than the cost of maintaining the operations of the licensee, the licensee shall be deemed to produce gross receipts in an amount at least equal to the cost of maintaining such operations if the difference between the gross receipts and the cost of maintaining the operations of the licensee is the greater of either $300,000 or 20 percent of the gross receipts. Such cost of operations includes, but is not limited to, rent, depreciation, salaries, wages, fixed charges, loan payments, utilities, insurance premiums, and other expenses.

(A) Paragraph (f)(2) does not apply to a business that solely operates as a Category 1 or 2 business type.

(B) Paragraph (f)(2) does not apply to that portion of an integrated business that includes Category 1 or 2 types of business that the Tax Collected has determined under Section 23-203(c) can be reasonably allocated to Category 1 or 2.

(3) The following are excluded from "gross receipts":

(A) Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser.

(B) Receipts of refundable deposits, except that such deposits when forfeited and taken as income of the licensee are not excluded.

(C) Amounts collected for others where the licensee is acting as an agent or trustee to the extent that such amounts are paid to those for whom they are collected, provided the agent or trustee has furnished the Tax Collector with the names and addresses of the others and the amounts paid to them. The exclusion does not apply to any fees, percentages, or other payments retained by the agent or trustee.

(D) Transactions between a partnership and its partners when the partnership itself has obtained a business license and paid business license tax under this Article.

(g) Licensee means a person required to obtain a business license under this article.

(h) Person has the same meaning provided in section 1-2 of this Code.

(i) Previous tax year means the tax year for a licensee that immediately precedes the tax year for which a business license is being obtained. Upon request by a licensee, the Tax Collector may approve the use of a different "previous tax year" for a licensee in order to conform to a licensee's fiscal year or to otherwise simplify the calculation of the amount of business license tax owed by the licensee.

(j) Property rental means the business of leasing or renting residential or commercial property for short or long terms, including the business of operating a hotel, short term vacation rental, or apartment house; or the leasing or renting of any residential property, dwelling unit, or room for dwelling, sleeping, or lodging, including short term rentals; and a person engaged in the business of leasing or renting any commercial property.

(k) Tax Collector means the person designated by the City Manager to implement this article.

(l) Tax year means the year that begins each calendar year on January 1 and ends on December 31.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) It is unlawful for any person, either for themselves or for any other person, to conduct in the city of Belmont any business taxed under this article without a current and valid business license from the city and without paying the business license tax, if any, required by this article. Even if a business does not owe business license tax, it must obtain a valid business license.

(b) The requirement to obtain a business license is in addition to any other requirement to register a business under this code.

(c) A business license is evidence only of the fact that the business license tax was paid based on the business activity as reported to the city.

(d) Neither the payment of business license tax nor the possession of a business license authorizes the doing of any act which the person paying the business license tax or holding a business license would not otherwise be entitled to do.

(e) A business license is not permission to carry on a business at any place within the city where conducting such business is prohibited or fails to comply with the city's zoning, planning, building, and business regulations.

(f) A business license is not permission to conduct a business in such a manner as to create or maintain a nuisance.

(g) A business license is only valid for the person to whom it is issued and is not transferable.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) A licensee must pay a license tax for each tax year based on gross receipts derived from business activity in the city if those gross receipts are greater than $10,000. If those gross receipts are $10,000 or less, no tax is owed.

(b) When a license tax is owed under subsection (a), the amount is equal to the greater of the base amount as provided in subsection (c) or the amount calculated by applying the rates in the Rate Table (below) to the licensee's business category or categories. The rates in the Rate Table are expressed in dollars per thousand dollars of the licensee's total gross receipts derived from business conducted in the city for the previous tax year, except when a licensee did not operate in the city for the entirety of the previous tax year in which case the tax is measured by the licensee's gross receipts derived from business conducted in the city for the current tax year. The rate applied is the maximum rate unless lowered by appropriate Council action.

RATE TABLE

(c) The base amount of license tax on gross receipts derived from business activity in the city is $25. Beginning in calendar year 2030 or any time thereafter the City Council may by ordinance or resolution increase the base amount of the license tax by a percentage equal to up to three percent per calendar year after calendar year 2025. After an initial adjustment, the City Council may by ordinance or resolution increase the base amount of the license tax by a percentage equal to up to three percent per calendar year since the last adjustment.

(d) Neither the establishment of a tax on cannabis nor the payment of a tax imposed under this article authorizes cannabis business activity that is in whole or in part prohibited by any provision of this code, the zoning regulations of the city, or any other city ordinance. Nothing in this article authorizes or implies the lawfulness of any activity connected with the distribution or possession of cannabis unless otherwise authorized and allowed in strict and full conformance with this code. Nothing in this article may be applied or construed as authorizing commercial cannabis activity.

(e) If a licensee conducts a single integrated business with two or more parts, each of which could each fall within different business categories, the city may, at its discretion, tax each part under the applicable category, provided the business's gross receipts can be reasonably allocated between the parts. If the Tax Collector determines that the gross receipts cannot be reasonably allocated between the different parts of the business, then the entire business shall be taxed at the highest rate applicable to any of the business's parts.

(Ord. No. 2024-1181, § 3, 11-5-24)

Any business exempt by the laws of the United States or the laws of the State of California from the tax imposed by this article are not required to pay the tax imposed by Section 23-203 but is required to demonstrate the business is exempt and obtain a license.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) When a licensee first begins operating a business in the city, the tax imposed by this article is due 30 days after the first day of business operation in the city and is delinquent 60 days after the first day of business operation if not paid.

(b) After the first tax year of operation and for all subsequent tax years, the tax is due February 1 of the tax year and is delinquent if not paid by March 1 of the tax year.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) Except as provided in subsection (c), upon full payment of the tax imposed by this article, a business license will be issued for the tax year for which the tax has been paid.

(b) A business license is valid for one tax year and only for the tax year for which the business license tax has been paid.

(c) A business license may not be issued to conduct business from a fixed place of business within the city unless:

(1) The Zoning Administrator or other city official designated by the City Manager certifies that the business to be conducted at the premises is permitted by the City's zoning regulations; and,

(2) The local fire marshal or other official designated by the City Manager certifies that the premises where the business is to be conducted complies with state and local life safety standards.

(d) Issuance of the certifications in subsection (c) does not exempt the licensee or the premises from actual compliance with any law or regulation.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) When a licensee begins operating a business in the city, the licensee must provide the Tax Collector with the following information and any other information required by the Tax Collector:

(1) The name of the business and the address at which it will be operating.

(2) The date on which the business will begin operating.

(3) The nature of the business's activities sufficient for the Tax Collector to determine the business classification and category of the business.

(4) An estimate of the business's gross receipts for the first tax year.

(b) For the first tax year that a business operates in the city, it must initially pay tax measured by an estimate of the business's gross receipts for the first tax year.

(c) By February 1 of a business's second tax year operating in the city, the business must provide the Tax Collector with a statement of the business's actual gross receipts for the first tax year with supporting records.

(1) If the actual gross receipts for the first tax year are more than the estimated gross receipts on which the tax for the first tax year was calculated and paid, then an additional amount of tax based on the additional gross receipts will be assessed and due by March 1 of the second tax year.

(2) If the actual gross receipts for the first tax year are less than the estimated gross receipts on which the tax for the first tax year was calculated and paid, then the excess amount of tax will be refunded to the business or applied to the business's tax for the second tax year.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) After the first tax year of operating in the city and for all subsequent tax years, a business's business license renewal application is due February 1 of each tax year.

(b) The business license renewal application must provide the following information and any other information required by the Tax Collector:

(1) The name of the business and the address at which it will be operating.

(2) The nature of the business's activities sufficient for the Tax Collector to determine the business classification and category of the business.

(3) The business's gross receipts for the previous tax year unless a renewing business did not operate for the entirety of the previous tax year, in which case it must provide an estimate of the business's gross receipts for the current tax year, pay tax based on that estimate, and comply with subdivision (c) below.

(c) If a business pays tax based on an estimate of gross receipts for the tax year, by February 1 of the following tax year the business must provide the Tax Collector with a statement of the business's actual gross receipts with supporting records for the tax year for which an estimate was used to calculate tax.

(1) If the actual gross receipts for the tax year are more than the estimated gross receipts on which the tax was calculated and paid, then an additional amount of tax based on the additional gross receipts must be paid by March 1.

(2) If the actual gross receipts for the tax year are less than the estimated gross receipts on which the tax was calculated and paid, then the excess amount of tax will be refunded to the business or applied to the business's tax for the current tax year.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) When a tax becomes delinquent, a penalty of 25% of the amount of the delinquent tax will be added to the amount of tax due. If the tax remains unpaid 60 days after becoming delinquent, an additional penalty of 25% of the amount of the delinquent tax (excluding the initial penalty) will be added to the amount of tax due.

(b) On the first of each month that a tax is delinquent, interest in the amount of 1.5% of the delinquent amount, excluding penalties and interest, will be added to the amount of tax due.

(c) A licensee may apply to the Tax Collector for a reduction or waiver of any accrued penalties or interest, and the Tax Collector may reduce or waive any accrued penalties or interest upon a finding of good cause.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) If the Tax Collector determines that a licensee has incorrectly reported any information to the city or has not paid all or any of the tax, penalties, or interest that are due, the Tax Collector may, using any information available to the Tax Collector, issue an Initial Determination stating what the Tax Collector believes to be the correct information and, if new or additional tax, penalties, or interest are due, how much tax, penalties, or interest are due. The Initial Determination must be served on the licensee either personally or by U.S. mail to the most recent address for the licensee in the Tax Collector's records. Service is effective as provided in Section 1-12.

(b) A licensee affected by an Initial Determination may within 15 days of service of an Initial Determination contest the Initial Determination and request a hearing before the Tax Collector by filing with the Tax Collector a written request for a hearing. The further accrual of penalties and interest shall be tolled upon the filing of a request for a hearing. If a licensee does not contest an Initial Determination and request a hearing with the Tax Collector within 15 days of service of the Initial Determination, the Initial Determination is final and cannot be appealed.

(c) If a licensee timely contests an Initial Determination and requests a hearing, the Tax Collector must set a hearing within 30 days of the filing of the request for a hearing or as soon thereafter as reasonably practical. Notice of the hearing must be served on the licensee either personally or by U.S. mail to the most recent address for the licensee in the Tax Collector's records.

(d) At the hearing the licensee may present evidence and argument regarding the Initial Determination to show why the Initial Determination is incorrect and to show what the determination of the Tax Collector should be. Within 60 days after the close of the hearing or as soon thereafter as reasonably practical, the Tax Collector must serve a Final Determination, setting forth the Tax Collector's determination of the facts and issues that were the subject of the Initial Determination. The Final Determination must be served on the licensee either personally or by U.S. mail to the most recent address for the licensee in the Tax Collector's records. Unless an appeal of a Final Determination is filed under section 23-212, any penalties or interest tolled under subdivision (b) of this section will resume accruing 10 days after the service of the Final Determination.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) Any person affected by a decision of the Tax Collector ("the challenger"), except for a decision under section 23-210, may challenge that decision by filing a written objection to the decision with the Tax Collector. The objection must be filed within 15 days of the issuance of the decision being challenged. If the Tax Collector was required to provide notice of the decision, then the time to file an objection to the decision begins to run from the date of service of the notice of the decision. The Tax Collector must serve a written response to the objection within 30 days of the filing of the objection, which period can be extended by the Tax Collector for an additional 30 days. The Tax Collector's response to the objection must be served on the challenger either personally or by U.S. mail to the most recent address for the challenger in the Tax Collector's records.

(b) The challenger may request a hearing before the Tax Collector on the Tax Collector's response to the objection by filing a request for a hearing with the Tax Collector within 15 days of service of the response to the objection. If a timely request for a hearing on a response to the objection is filed with the Tax Collector, the Tax Collector must set a hearing within 30 days of the filing of the request for a hearing or as soon as reasonably practical thereafter. Notice of the hearing must be served on the challenger either personally or by U.S. mail to the most recent address for the challenger in the Tax Collector's records.

(c) At the hearing the challenger may present evidence and argument regarding the decision being challenged to show why the decision is incorrect and to show what it should be. Within 60 days after the close of the hearing, which the Tax Collector may extend for an additional 60 days, the Tax Collector must serve a Final Determination on the decision, setting forth the Tax Collector's determination of the decision that was challenged. The Final Determination must be served on the challenger either personally or by U.S. mail to the most recent address for the challenger in the Tax Collector's records. Service is effective upon deposit of the Final Determination in the U.S. mail.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) A Final Determination of the Tax Collector under section 23-210, subdivision (d), or section 23-210, subdivision (c), can be appealed to the City Manager by filing a written notice of appeal with the City Manager within 15 days of service of the notice of the Final Determination being appealed.

(b) Only a licensee who files a timely request for a hearing on an Initial Determination under section 23-211 and participates in the hearing or a challenger who files an objection to a decision and files a request for a hearing on the response to the objection under section 23-211 and participates in the hearing can file an appeal under this section.

(c) If a timely appeal is filed, the City Manager or the City Manager's designee, must set a hearing within 60 days of the filing of the appeal, which may be extended by the City Manager for an additional 60 days. Notice of the hearing must be served on the appellant either personally or by U.S. mail to the most recent address for the challenger in the Tax Collector's records. The tolling of the accrual of penalties or interest under section 23-210, subdivision (b), shall continue upon the timely filing of an appeal under this section.

(d) At the hearing the appellant and the Tax Collector may present evidence and argument regarding the decision being appealed to show why the decision is correct or incorrect and to show what it should be. Within 60 days after the close of the hearing, which the City Manager may extend for an additional 60 days, the City Manager must serve a written decision, setting forth the resolution of the appeal. The decision must be served on the appellant either personally or by U.S. mail to the most recent address for the appellant in the Tax Collector's records. Service is effective upon deposit of the decision in the U.S. mail. Any penalties and interest that were tolled under section 23-210, subdivision (b), shall resume accruing 10 days after the service of the decision.

(e) A decision of the City Manager, or the City Manager's designee, served under subdivision (d) of this section is subject to judicial review under sections 1094.5 and 1094.6 of the Code of Civil Procedure with a writ petition filed in the appropriate court within 90 days of the service of the written decision. Any tax, penalties, or interest determined by the decision to be owed to the city by the appellant must be paid to the city as a precondition to filing a writ petition challenging the decision, but a claim for a refund under section 23-214 does not have to be filed before filing a writ petition.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) No tax imposed by this article may be applied to a licensee so as to constitute an undue burden on interstate commerce or intercity commerce or be violative of the equal protection or due process clauses of the United States or California constitutions.

(b) A licensee who contends that the application of a tax imposed by this article on the licensee constitutes an undue burden on interstate commerce or intercity commerce or violates the equal protection or due process clauses of the United States or California constitutions may apply to the Tax Collector for an apportionment of the tax imposed on the licensee that would remove the constitutional violation. The licensee must file a written request with the Tax Collector that explains the factual and legal basis for the claimed constitutional violation and proposes a method of apportionment that would resolve the alleged constitutional violations. The request may be filed before the tax is due and must be filed no longer than 90 days after the tax is due.

(c) The Tax Collector, in consultation with City Attorney, must review the application and within 60 days of the filing of the application issue a decision on the application. The decision on the application must be served on the licensee either personally or by U.S. mail to the most recent address for the challenger in the Tax Collector's records. The decision can be challenged under section 23-211.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) A licensee who believes that any tax, penalty, or interest has been illegally, erroneously, or mistakenly paid to, collected by, or otherwise received by the city may file a claim for a refund of the amount of tax, penalty, or interest claimed to have been improperly received by the city.

(b) The claim must be filed with the Tax Collector and signed under penalty of perjury by the licensee. The claim must state:

(1) The legal and factual basis for the refund claim;

(2) The amount of tax, penalty, or interest allegedly improperly received by the city,

(3) The date or dates that the improper payments were made to the city, and

(4) The address of the claimant.

(c) The claim must be filed with the Tax Collector within one year of the date of the allegedly improper payment to the city.

(d) The Tax Collector must provide a written decision on the claim within 30 days of the filing of the claim by serving the decision on the claimant either personally or by U.S. mail to the address provided in the claim. Service is effective upon deposit of the response in the U.S. mail.

(e) A claimant may challenge the Tax Collector's decision on a refund claim under section 23-211.

(f) This section does not apply to:

(1) A claim for a refund arising out of a decision of the Tax Collector or City Manager under sections 23-210, 23-211, 23-212, or 23-213; or

(2) A claim that could have been asserted by the claimant, but was not, under sections 23-210, 23-211, 23-212, or 23-213.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) The Tax Collector may conduct an audit of any licensee to ensure proper compliance with the requirements of this article.

(b) To initiate an audit the Tax Collector must provide written notice to the licensee that is the subject of the audit of the initiation of the audit by serving the notice personally or by U.S. mail to the most recent address for the licensee in the Tax Collector's records. The notice must state the period of time subject to the audit.

(c) Notice of the initiation of an audit for a tax year for which an application for a business license under section 23-207 or section 23-208 was filed by the licensee must be served within three years of the last day of the tax year to which the application applied.

(d) Notice of the initiation of an audit for a tax year for which an application for a business license was not filed by the licensee under section 23-207 or section 23-208, but for which the licensee did otherwise register as a business under another chapter of this Code, must be served within five years of the last day of the tax year for which the application should have been filed.

(e) Notice of the initiation of an audit for a tax year for which an application for a business license was not filed by the licensee under section 23-207 or section 23-208, and for which the licensee did not register as a business under another chapter of this code, must be served within 10 years of the last day of the tax year for which the application should have been filed.

(f) Upon completion of an audit, the Tax Collector may make an Initial Determination under subdivision (a) of section 23-210 of any taxes, penalties, and interest determined to be owed and not paid for the audit period. If a licensee subject to audit is unable or unwilling to provide sufficient records to enable the Tax Collector to verify compliance with this article, the Tax Collector is authorized to make a reasonable estimate of the amount of tax due and the reasonable estimate shall be entitled to a rebuttable presumption of correctness.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) Licensees must maintain for six years records of gross receipts and other information necessary to calculate the tax. If the Tax Collector serves notice of the initiation of an audit, the information pertinent for the years subject to the audit must be maintained until the conclusion of the audit.

(b) The Tax Collector may with reasonable notice inspect the records of the licensee.

(c) The Tax Collector may request the City Council to issue an administrative subpoena for records of a licensee or other persons with relevant information.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) Personal information collected for purposes of issuing a business license by a city, as provided in Business and Professions Code Section 16000.1, is confidential and not available to the public for inspection and may not be disclosed except as required to administer the city's business license program or comply with a judicial warrant, subpoena, or court order.

(b) All documents submitted to the city by a licensee under this article and all documents of a licensee inspected by the Tax Collector in the conduct of an audit are presumed received in confidence and to include personal information as defined in Business and Professions Code Section 16000.1 and will not be subject to public inspection to the fullest extent allowed by law and must be maintained so that the contents of the documents will not become known except to persons charged with the administration of this article. Confidential documents may be shared with consultants retained by the city to aid in the administration of this article, provided the consultants agree to maintain the confidentiality of the documents.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) Any tax, penalty, and interest imposed on a licensee under this article is a debt owed by the licensee to the city, which may be recovered in an action filed by the city in a court of competent jurisdiction.

(b) An action under this section must be filed within three years of an Initial Determination becoming final under section 23-210(b), the issuance of a Final Determination under section 23-210(d) that is not timely appealed, the issuance of a Final Determination under section 23-211(c) that is not timely appealed, or the issuance of a decision under section 23-212(d) for which an action for judicial review is not timely filed.

(c) During the pendency of an action filed under this section, interest will continue to accrue under section 23-209(b) until the entry of judgment.

(d) The City Council may by resolution establish a collection fee to be imposed on any licensee against whom an action is filed under this section, which fee may be recovered in the action.

(Ord. No. 2024-1181, § 3, 11-5-24)

The Tax Collector, in consultation with the City Attorney, may adopt rules and regulations that are not inconsistent with the provisions of this article as may be necessary to aid in the application and enforcement of this article.

(Ord. No. 2024-1181, § 3, 11-5-24)

No error by the Tax Collector or any other officer, employee, or agent of the city in the application of this article shall prevent, prejudice, or estop the collection by or for the city of the full amount of tax owed by any person under this article.

(Ord. No. 2024-1181, § 3, 11-5-24)

(a) The tax adopted herein may be increased only by a vote of the people of the City of Belmont in accordance with California Constitution Article XIIIC, Section 2(b).

(b) Except as provided in subsection (a), the provisions in this article may amended by ordinance adopted by the city council.

(Ord. No. 2024-1181, § 3, 11-5-24)

By no later than April 1 of each year or such date as coincides with the completion of other reoccurring city audits, the City's independent auditors are to complete a report to verify that the taxes levied under this article in the preceding year have been properly applied, exempted, collected, and remitted in accordance with the law.

(Ord. No. 2024-1181, § 3, 11-5-24)