Colton Municipal Code Ch. 5.02 Business Licenses and Taxes Generally

The provisions of this chapter are enacted solely to raise revenue for municipal purposes and are not intended for regulation.

(Ord. 1471 Art. 1, § 1, 1975)

For the purposes of this chapter, unless otherwise apparent from the context, certain words and phrases Used in this chapter are defined as follows:

A. "Business" means and includes professions, trades, occupations, and all and every kind of calling, whether or not carried on for profit.

B. "City" means the City of Colton, a municipal corporation of the State, in its present incorporated form or in any later reorganized, consolidated, enlarged, or reincorporated form.

C. "Collector" means the Director of Finance, or other City Officer charged by the City Manager with the administration of the provisions of this chapter.

D. "Gross Receipts" means and includes the total of amounts actually received or receivable from Sales and the total amounts actually received or receivable for the performance of any Act or service, or whatever nature it May be, for which a charge is made or credit allowed, whether or not such Act or service is done as a Part of, or in connection with the Sale of Materials, Goods, wares, or merchandise. Included in "Gross Receipts" Shall be all receipts, cash, credits, and Property of any kind or nature, without any deduction therefrom on account of the cost of the Property sold, the cost of Materials Used, labor or service costs, interest paid or payable, or losses or other expenses whatsoever. Excluded from "Gross Receipts" Shall be the Following:

1. Cash discounts allowed and taken on Sales;

2. Credit allowed Property accepted as Part of the purchase price and which Property May later be sold;

3. Any tax required by Law to be included in, or added to, the purchase price and collected from the consumer or purchaser;

4. Such Part of the Sale price of Property returned by purchasers upon rescission of the contract of Sale as is refunded, either in cash or by credit;

5. Amounts collected for others where the Business is acting as an agent or Trustee to the extent that such amounts are paid to the Persons for whom collected provided the agent or Trustee has furnished the Collector with the names and addresses of such other Persons and the amounts paid to them;

6. Receipts of refundable deposits, except that refundable deposits forfeited and taken into the income of the Business Shall not be excluded;

7. As to Property management, the Gross Receipts involving four or less residential units and a lessor of only one commercial Rental unit;

8. As to a retail Gasoline dealer, a portion of his receipts from the Sale of motor Vehicle fuels equal to the motor Vehicle fuel license taxes imposed by, and previously paid pursuant to, the provisions of Part 2 of Division 2 of the Revenue and Taxation Code of the State;

9. As to a retail Gasoline dealer, the special motor fuel taxes imposed by the provisions of Section 4041 of Title 26 of the United States Code if paid by the dealer or collected by him from the consumer or purchaser; and

10. Uncollectible chargeoffs.

E. "Person" means and includes all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, Businesses, common Law trusts, societies, and individuals transacting and carrying on any Business in the City other than as an Employee.

F. "Sale" means and includes the transfer, in any manner or by any means whatsoever, of title to Property for a consideration of any Property; and a transaction whereby the possession of Property is transferred and the seller retains the title as security for the payment of the price. Such definition Shall not be deemed to exclude any transaction which is or which, in effect, results in a Sale within the contemplation of Law.

G. "Sworn Statement" means an affidavit sworn to before a Person authorized to take Oaths, or a declaration or certification made under penalty of perjury.

(Ord. 1471 Art. 1 § 2, 1975).

It is unlawful for any Person to transact and carry on any Business, trade, profession, calling, or occupation in the City without first having procured a license to do so and without complying with any and all applicable provisions of this chapter. The provisions of this section Shall not be construed to require any Person to obtain a license prior to doing Business within the City if such requirement conflicts with applicable Laws of the United States or of the State. Persons not so required to obtain a license prior to doing Business within the City Shall nevertheless be liable for the payment of the taxes imposed by the provisions of this chapter.

(Ord. 1471 Art. 1 § 3, 1975)

Prior to, and as a condition of, receiving final Approval of a Business Occupancy Permit or Building Permit final inspection, it Shall be the duty of the general contractor or Owner-builder to fill out and return the form to be provided by the Community Development Department listing the names and addresses of all subcontractors or specialty contractors performing work or services related to the general contractor's or Owner-builder's Project. It Shall be the duty of the general contractor or Owner-builder at the time he or she makes any subcontract (Written or oral) for the performance of any work by a subcontractor or specialty contractor, and which is to be performed within the City, to see that such subcontractor or specialty contractor has obtained the required Business License from the City and he or she Shall not Permit any such subcontractor or specialty contractor to perform any of the work contemplated in any such subcontract (Written or oral) unless and until such required Business License has been first obtained. Final Approval of the general contractor's or Owner-builder's Business Occupancy Permit or Building Permit final inspection Shall not be given until all subcontractors or specialty contractors have obtained City Business Licenses.

(Ord. 0-26-03 § 1, 2003)

Upon making Application for the first license to be issued pursuant to the provisions of Sections 5.02.010 through 5.02.370 or for a newly established Business, the Applicant Shall furnish to the Collector, setting forth the Following information:

A. The exact nature or kind of Business for which a license is requested;

B. The place where such Business is to be carried on, and if the Business is not to be carried on at any permanent place of Business, the place of residence of the Owner of such Business;

C. In the event the Application is made for the issuance of a license to a Person doing Business under a fictitious name, the name and place of residence of the Person owning the Business;

D. In the event the Application is made for the issuance of a license to a corporation or a partnership, the names and places of residence of the officers or partners thereof;

E. In all cases where the amount of license tax to be paid is measured by Gross Receipts, such information as May be required and as May be necessary to determine the amount of the license tax to be paid by the Applicant;

F. A nonrefundable license Fee as adopted by City Council Resolution is due and payable to the Collector at the time of filing Application for the first license.

(Ord. 0-3-97 §§ 1, 2, 1997; Ord. 0-5-91 § 1, 1991; Ord. 1471 Art. 1 § 4, 1975)

(Ord. No. O-13-16, § 1, 8-2-2016)

Every Person required by the provisions of Sections 5.02.010 through 5.02.370 to have a license Shall make Application for such license to the Collector, as provided in Sections 5.02.010 through 5.02.370, and upon the payment of the prescribed license tax, the Collector Shall issue to such Person a license which Shall contain the Following information:

A. The name of the Person to whom the license is issued;

B. The Business Licensed;

C. The place where such Business is to be transacted and carried on;

D. The date of the expiration of such license; and

E. Such other information as May be necessary for the enforcement of the provisions of this chapter.

(Ord. 1471 Art. 1 § 5, 1975)

A. If the amount of the license tax to be paid by the Applicant is measured by Gross Receipts, he Shall pay a Fee of sixty-five dollars for the period to be covered by the license to be issued. Such Person Shall, within thirty Days after the expiration of the period for which such license was issued, furnish the Collector with a Sworn Statement, upon a form furnished by the Collector, showing the Gross Receipts during the period of such license, and the license tax for such period Shall be finally ascertained and paid in the manner provided in this chapter for the ascertaining and paying of renewal license taxes for other Businesses, after deducting from the payment the Fee paid at the time such first license was issued.

B. The 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 Collector the Sworn Statement and paid the license tax required by the provisions hereof.

(Ord. 0-26-03 § 2, 2003)

A. Determination of Tax. If the Collector is not satisfied with the information furnished by the Applicant, the Collector May by other means reasonably determine and fix the amount of license tax. Notice of the Collector's determination Shall be given to the Person being assessed either personally or by mail addressed to Applicant's last known address.

B. Right of Appeal. Any Person aggrieved by the Collector's determination or by any other Written Decision of the Collector or his refusal to issue a license, May Appeal the Collector's Decision in writing to the City Manager.

C. Time and Manner of Appeal. Appeals Shall be taken by filing a Written Notice of Appeal with the City Manager within twenty Days of the action being Appealed. The Notice Shall specify the name and address of the Person making the Appeal, the action being Appealed, the Representative of the City who performed the action, and the date of the action.

D. Hearing of Appeal.

1. The City Manager Shall fix a date of hearing of the Appeal not less than fifteen calendar Days nor more than sixty calendar Days after receipt of the Written Notice of Appeal. The City Manager Shall give Notice to the appellant of the date, time and location of the hearing.

2. Hearings Shall be conducted informally by the City Manager and the legal rules of evidence need not be followed. At the hearing, the City Manager Shall consider all evidence submitted and Shall make a determination on the issues specified in the Notice of Appeal. Hearings May be continued from time to time by mutual consent of the appellant and the City Manager. Written Notice of the City Manager's determination Shall be mailed to the appellant within ten calendar Days of the close of the hearing.

3. At the hearing, the appellant Shall be given the opportunity to testify and present evidence relevant to the action being Appealed. Failure of the appellant to appear at the hearing, unless the hearing is continued by mutual agreement of all parties, Shall constitute an abandonment of the Appeal. Such abandonment Shall constitute acceptance of the Collector's original determination or Decision.

E. Right to City Council Review. The appellant May seek City Council review of the City Manager's determination by filing an Appeal with the City Clerk within twenty calendar Days after the appellant receives a Copy of the Notice of the City Manager's determination.

(Ord. 0-26-03 § 3, 2003)

A separate license Shall be obtained for each branch Establishment or location of the Business transacted and carried on and for each separate type of Business at the same location, and such license Shall authorize the licensee to transact and carry on only the Business Licensed thereby at the location provided, however, warehouses and distributing plants Used in connection with, and Incidental to, a Business Licensed pursuant to the provisions of this chapter Shall not be deemed to be separate places of Business or branch Establishment; and provided, further, any Person conducting two or more types of Business at the same location and under the same management, or at different locations, but which Businesses Use a single or integrated set of books and records, may, at his option, pay only one tax calculated on all Gross Receipts of the Businesses under the schedule which applies to the classification of Business of such Person. That classification of Business generating the highest amount of Gross Receipts Shall be Used to determine the classification of the combined Businesses.

(Ord. 1471 Art. 1 § 8, 1975)

A duplicate license May be issued by the Collector to replace any license previously issued pursuant to the provisions of Sections 5.02.010 through 5.02.370 and which license has been lost or destroyed upon the licensee filing a statement of such fact and, at the time of filing such statement, paying to the Collector a duplicate license Fee in the amount of ten dollars.

(Ord. 0-5-91 § 2, 1991: Ord. 1471 Art. 1 § 9, 1975)

In all cases the Applicant for the renewal of the license required by the provisions of Sections 5.02.010 through 5.02.370 Shall submit to the Collector for his guidance in ascertaining the amount of the license tax to be paid by the Applicant, a Sworn Statement, upon a form to be provided by the Collector, setting forth such information concerning the Applicant's Business during the Preceding Year as May be required by the Collector to enable him to ascertain the amount of the license tax to be paid by such Applicant. A nonrefundable renewal Fee as adopted by City Council Resolution is due and payable to the Collector at the time of license renewal.

(Ord. 0-5-91 § 3, 1991; Ord. 1471 Art. 1 § 10, 1975)

(Ord. No. O-13-16, § 1, 8-2-2016)

No license issued pursuant to the provisions of Sections 5.02.010 through 5.02.370 Shall be transferable; provided, however, when a license is issued authorizing a Person to transact and carry on a Business at a particular place, such licensee may, upon Application therefor and paying a Fee in the amount of five dollars, have the license amended to authorize the transacting and carrying on of such Business under such license at some other location to which the Business is or is to be moved; and provided, further, a transfer, whether by Sale or otherwise, to another Person under such circumstances that the real or ultimate ownership after the transfer is substantially similar to the provisions of this section. For the purposes of this section, stockholders, bondholders, partnerships, or other Persons holding an interest in a corporation or other entity, defined in Section 5.02.020 to be a Person, Shall be regarded as having the rear or ultimate ownership of such corporation or other entity.

(Ord. 1471 Art. 1 § 11, 1975)

Any licensee transacting and carrying on a Business at a fixed placed of Business in the City Shall keep the license posted in a conspicuous place upon the Premises where such Business is conducted.

(Ord. 1471 Art. 1 § 12, 1975)

Any licensee transacting and carrying on a Business, but not operating at a fixed place of Business in the City, Shall keep the license upon his Person at all times while transacting and carrying on the Business for which such license is issued.

(Ord. 1471 Art. 1 § 13, 1975)

Whenever the tax imposed pursuant to the provisions of this chapter is measured by the number of Vehicles, devices, machines, or other pieces of equipment Used, or whenever the license tax is measured by the Gross Receipts from the operation of such items, the Collector Shall issue only one license; provided, however, he May issue for each period for which the license tax has been paid, one identification sticker, tag, plate, or symbol for each item included in the measure of the tax or Used in a Business where the tax is measured by the Gross Receipts from such items.

(Ord. 1471 Art. 1 § 14, 1975)

Whenever identifying stickers, tags, plates, or symbols have been issued for each Vehicle, device, machine, or other piece of equipment included in the measure of a license tax, the Person to whom such stickers, tags, plates or symbols have been issued Shall keep firmly affixed upon each Vehicle, device, machine, or piece of equipment the identifying sticker, tag, plat or symbol which has been issued therefor at such locations as are Designated by the Collector. Such device, machine, or piece of equipment kept in Use during the period for which the sticker, tag, plate or symbol is issued.

(Ord. 1471 Art. 1 § 15, 1975)

No Person Shall fail to affix, as required by the provisions of Section 5.02.150, any identifying sticker, tag, plate or symbol of the Vehicle, device, machine or piece of equipment for which it was issued at the location Designated by the Collector.

(Ord. 1471 Art. 1 § 16, 1975)

No Person Shall give away, sell, or transfer any identifying sticker, tag, plate, or symbol to another Person or Permit its Use by another Person.

(Ord. 1471 Art. 1 § 17, 1975)

In addition to all other powers conferred upon him, the Collector Shall have the power, for good cause shown, to extend the time for filing a required Sworn Statement or Application for a period not exceeding thirty Days and in such case to waive any penalty which would otherwise have accrued; provided, however, ten percent simple interest Shall be added to any tax determined to be payable.

(Ord. 1471 Art. 1 § 18, 1975)

No statement required by the provisions of Sections 5.02.010 through 5.02.370 Shall be conclusive as to the Matters set forth therein, nor Shall the filing of the same preclude the City from collecting by appropriate action such sum as is actually due and payable pursuant to the provisions of this chapter.

(Ord. 1471 Art. 1 § 19, 1975)

The statements required by the provisions of Sections 5.02.010 through 5.02.370 and each of the several items therein contained Shall be subject to inspection and verification by the Collector, his deputies, or authorized Employees of the City who are authorized to examine and inspect such books and records of any licensee or Applicant for a license as May be necessary, in the judgment of such Collector, deputies, or authorized Employees, to verify or ascertain the amount of license tax due; provided, however, such inspection and verification Shall be limited to those books and records necessary to establish Gross Receipts. A certificate executed by a certified public accountant licensed by the State Shall establish a rebuttable presumption that the Gross Receipts of such licensee are as stated in the statements required by the provisions of Sections 5.02.010 through 5.02.370.

All Persons subject to the provisions of this chapter Shall keep Complete Records of Business transactions, including Sales, receipts, and purchases, and Shall retain all such records for examination by the Collector. Such records Shall be maintained for a period of at least three Years. No Person required to keep records pursuant to the provisions of this section Shall unreasonably refuse to Permit authorized Representatives of the Collector to examine such records at reasonable times and places.

(Ord. 1471 Art. 1 § 20, 1975)

It is unlawful for the Collector or any Person having an administrative duty pursuant to the provisions of this chapter to make known in any manner whatever the Business affairs, operations, or information obtained by an investigation of the records and equipment of any Person required to obtain a license or pay a license tax, or any other Person visited or examined in the Discharge of an official duty, or the amount or source of income, profits, losses, expenditures, or any particular thereof, set forth in any statement or Application, or to Permit any statement or Application, or Copy of either, or any book containing any abstract or particulars thereof to be seen or examined by any Person; provided, however, the provisions of this section Shall not be construed to prevent:

A. The disclosure to, or the examination of records and equipment by, another City official, Employee, or agent for the collection of taxes or for the sole purpose of administering or enforcing any provision hereof or collecting taxes imposed by the provisions hereof;

B. The disclosure of information to, or the examination of records by, Federal or State Officials, or the tax officials of another City or County or City and County if a reciprocal arrangement exists, or to a grand jury or Court of Law upon subpoena;

C. The disclosure of information and results of the examination of records of particular taxpayers, or relating to particular taxpayers, to a Court of Law in a proceeding brought to determine the existence or amount of any license tax liability of the particular taxpayers to the City;

D. The disclosure, after the filing of a Written request to such effect, to the taxpayer himself or to his successors, receivers, Trustees, executors, Administrators, assignees, and guarantors, if directly interested, or information relating to the items included in the measure of any paid tax or any unpaid tax or amounts of tax required to be collected, including interest and penalties; provided, however, the City Attorney Shall approve each such disclosure;

E. The disclosure of the names and addresses of Persons to whom licenses have been issued and the general type or nature of their Business;

F. The disclosure by way of public meeting, or otherwise, of such information as May be necessary to the Council in order to Permit it to be fully advised of the facts when a taxpayer files a claim for refund of license taxes, or submits an offer of compromise with regard to a claim asserted against him by the City for license taxes, or when acting upon any other Matter; and

G. The disclosure of general statistics regarding taxes collected or Business done in the City.

(Ord. 1471 Art. 1 § 21, 1975)

When any Person, by the Use of Signs, circulars, cards, telephone directories, or newspapers, advertises, holds out, or represents that he is in Business in the City, or when any Person holds an active license or Permit issued by a governmental agency indicating that he is in Business in the City, and such Person fails to deny by a Sworn Statement given to the Collector that he is not conducting a Business in the City after being requested to do so by the Collector, such facts Shall be considered prima facie evidence that such Person is conducting a Business in the City.

(Ord. 1471 Art. 1 § 22, 1975)

There are imposed upon the Businesses, trades, professions, callings, and occupations set forth in this chapter, license taxes in the amounts set forth in this chapter. It is unlawful for any Person to transact and carry on any Business, trade, profession, calling, or occupation in the City without paying such taxes or without complying with any and all applicable provisions hereof. Persons not required to obtain a license prior to doing Business within the City, if such requirement conflicts with applicable Laws of the United States or of the State, Shall nevertheless be liable for the payment of the taxes imposed by the provisions of this chapter.

(Ord. 1471 Art. 1 § 23, 1975)

None of the license taxes provided for herein Shall be so applied as to occasion an undue burden upon interstate commerce or be violative of the equal protection and due process clauses of the Constitution of the United States and the State.

In the event a license tax is believed by a licensee, or Applicant for a license, to place an undue burden upon the interstate commerce or be violative of such constitutional clauses, he May apply to the Collector for an adjustment of the tax. Such Application May be made before, at, or within six Months after payment of the prescribed license tax. The Applicant Shall, by Sworn Statement and supporting testimony, show his method of Business, the gross volume or estimated gross volume of Business, and such other information as the Collector May deem necessary in order to determine the extent, if any, of such undue burden or Violation. The Collector Shall then conduct an investigation and, after having first obtained the Written Approval of the City Attorney, Shall fix as the license tax for the Applicant an amount which is reasonable and nondiscriminatory or, if the tax has already been paid, Shall order a refund of the amount over and above the license tax so fixed. In fixing the license tax to be charged, the Collector Shall have the power to base the license tax upon a percentage of Gross Receipts or any other measure which will assure that the license tax assessed Shall be Uniform with that assessed on the Businesses of like nature; provided, however, the amount assessed Shall not exceed the license tax provided herein. Should the Collector determine the Gross Receipts measure of license tax to be the proper basis, he May require the Applicant to submit, either at the time of the termination of the Applicant's Business in the City or at the end of each three Months' period, a Sworn Statement of the Gross Receipts, and the Applicant Shall pay the amount of license tax therefor; provided, however, no additional license tax during any one calendar Year Shall be required after the licensee Shall have paid an amount equal to the annual license tax as provided herein.

(Ord. 1471 Art. 1 § 24, 1975)

A. The provisions hereof Shall not be deemed or construed to apply to any Person transacting and carrying on any Business exempt by virtue of the Constitution or applicable Laws of the United States or of the State from the payment of the taxes provided for herein.

B. Any Person claiming an exemption pursuant to the provisions of this section Shall file a Sworn Statement with the Collector stating the facts upon which an exemption is claimed. In the absence of such statement substantiating the claim, such Person Shall be liable for the payment of the taxes imposed by the provisions hereof. The Collector, upon a proper showing contained in the Sworn Statement, Shall issue a license to such Person claiming such exemption without payment to the City of the license tax required by the provisions hereof.

C. The Collector, after giving Notice and a reasonable opportunity for a hearing to a licensee, May revoke any license granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption as provided in this section.

(Ord. 1471 Art. 1 § 25, 1975)

The provisions hereof Shall not be deemed or construed to require the payment of a tax to carry on any Business, occupation, or activity performed by a public Utility furnishing Gas and/or electric service or cable television, which public Utility pays the City a tax pursuant to a Franchise agreement with the City. If the Legislature of the State should enact legislation to grant general Law cities the power to levy a tax on Utility service consumers, this section May be amended at such time to include provisions for the levying of such tax.

(Ord. 1471 Art. 1 § 28, 1975)

Notwithstanding any other provision of this title, no Business Shall be required to pay a license tax in an amount totaling more than six thousand dollars in any one Year, not including any penalties.

(Ord. 0-10-98 §§ 1, 2, 1998)

* The cap specified in Section 5.02.285 Shall apply to taxes initially due as of January 1, 1999, based on the calendar Year 1998.

A. Annual License Taxes Renewals—Inside City Businesses. Unless otherwise specifically provided in this chapter, all annual license taxes imposed by the provisions of this chapter for businesses with a City of Colton situs address shall expire on December 31 of each year covering the period between January 1 and December 31 also known as the reporting period. If the reporting period does not include total annual earnings from January 1 through December 31 of the previous year, the renewal is deemed incomplete and under reporting annual earnings. Therefore, the renewal must include total annual earnings between January 1 through December 31 of the previous year. Under-reported renewals will be notified of an incomplete submission and required to report complete annual earnings for this reporting period, unless the business owner submits documentation that the business closed prior to the December 31 date or falls under a flat rate reporting period in Section 5.02.290.C. City license tax is due by March 1 for Inside City businesses. After March 1 submission shall be subject to penalties under Section 5.02.300.

B. Annual License Taxes Renewals - Outside City Businesses. All annual license taxes imposed by the provisions of this chapter for businesses with a situs address outside of the City of Colton shall expire on June 30 of each fiscal year covering the period between July 1 and June 30 also known as the reporting period. If the reporting period does not include total annual earnings from July 1 through June 30 of the previous fiscal year, the renewal is deemed incomplete and under reporting annual earnings. Therefore, the renewal must include total annual earnings between July 1 through June 30 of the previous year. Underreported renewals will be notified of an incomplete submission and required to report complete annual earnings for this reporting period, unless the business owner submits documentation that the business closed prior to the June 30 date or falls under a flat rate reporting period in Section 5.02.290.C. City license tax is due by September 1 for Outside City businesses. After September 1 submission shall be subject to penalties under Section 5.02.300.

C. Flat rate. Except as otherwise provided in this chapter, license taxes, other than annual taxes, imposed by the provisions hereof shall be due and payable as follows:

1. Annual flat rate license taxes for businesses with a City of Colton situs address, on January 1 of each year;

2. Annual flat rate license taxes for businesses with a situs address outside of the City of Colton, on July 1 of each year;

3. Semiannual flat rate license taxes, on January 1 and July 1 of each year;

4. Quarterly flat rate license taxes, on January 1, April 1 and October 1 of each year;

5. Daily flat rate license taxes, each day in advance; and

6. Other flat rate license taxes, in advance on the first date of business and thereafter on the first day of any applicable period.

(Ord. No. O-01-12, § 1, 2-7-2012; Ord. No. O-04-21, § 2, 7-6-2021)

For failure to pay a license tax when due, the collector shall add a penalty of ten percent of the license tax at eight a.m. on the first day delinquent. License taxes shall be considered delinquent as follows:

A. Annual license taxes for businesses with a situs address within the City of Colton shall be delinquent on March 1 of each year.

B. Annual license taxes for businesses with a situs address outside the City of Colton shall be delinquent on September 1 of each year.

C. Semiannual license taxes shall be delinquent on March 1 and September 1 of each year;

D. Quarterly license taxes shall be delinquent on March 1, June 1 and December 1 of each year;

E. Daily license taxes shall be delinquent at eight a.m. on the morning after the day for which the tax is due.

(Ord. 1471 Art. 1 § 30, 1975)

(Ord. No. O-01-12, § 2, 2-7-2012)

No license or sticker, tag, plate, or symbol Shall be issued, nor Shall one which has been suspended or revoked be reinstated or reissued, to any Person who, at the time of applying therefor, is indebted to the City for any delinquent license taxes unless such Person, with the consent of the Collector, enters into a Written agreement with the City, through the Collector, to pay such delinquent taxes, plus eight percent simple annual interest upon the unpaid balance, in Monthly installments, or more often, extending over a period of not to exceed one Year.

In any agreement so entered into, such a Person Shall acknowledge the obligation owed to the City and agree that, in the event of failure to make timely payment of any installment, the whole amount unpaid Shall become immediately due and payable and his current license Shall be revocable by the Collector upon thirty Days' Notice. In the event legal action is brought by the City to enforce collection of any amount included in the agreement, the prevailing Party Shall recover from the other Party all costs of suit incurred including reasonable Attorney's Fees. The execution of such an agreement Shall not prevent the prior accrual of penalties on unpaid balances at the rate provided herein; provided, however, no penalties Shall accrue on account of taxes included in the agreement after the execution of the agreement and the payment of the first installment and during such time as such Person Shall not be in breach of agreement.

(Ord. 1471 Art. 1 § 31, 1975)

No refunds of an overpayment of taxes imposed by the provisions hereof Shall be made in whole or in Part unless a claim for a refund is filed with the Collector within a period of three Years from the last Day of the calendar Month Following the period for which the overpayment was made, and all such claims for a refund Shall be on forms furnished by him and in the manner prescribed by him. Upon the filing of such claim and when he determines that an overpayment has been made, the Collector May refund the amount overpaid.

(Ord. 1471 Art. 1 § 32, 1975)

The amount of any license tax and penalty imposed by the provisions hereof Shall be deemed a debt to the City. An action for the amount of any delinquent license tax and penalties May be commenced in the name of the City in any Court of competent jurisdiction.

(Ord. 1471 Art. 1 § 33, 1975)

Persons required to pay a license tax for transacting and carrying on any Business pursuant to the provisions hereof Shall not be relieved from the payment of any license tax for the privilege of doing such Business required pursuant to any other Law of the City and Shall remain subject to the regulatory provisions of other Laws.

(Ord. 1471 Art. 1 § 34, 1975)

Neither the adoption of this chapter nor the superseding hereby of any portion of any other Law of the City Shall in any manner be construed to affect prosecutions for Violations of the provisions of any other Laws, which Violations were committed prior to January 1, 1975, nor be construed as a waiver of any license or any penal provision applicable to any such Violation, nor be construed to affect the validity of any bond or cash deposit required by the provisions of any Law to be posted, filed or deposited, and all rights and obligations thereunto appertaining Shall continue in full force and effect.

When a license for revenue purposes has been issued to any Person by the City and the tax has been paid for the Business for which such license has been issued pursuant to the provisions of any Law enacted prior to January 1, 1975, and the term of such license has not expired, the license tax prescribed for such Business by the provisions hereof Shall not be payable until the expiration of the term of such unexpired license.

(Ord. 1471 Art. 1 § 35, 1975)

A. Rules and Regulations. The Collector May make rules and regulations not inconsistent with the provisions hereof as May be desirable to aid in the enforcement hereof.

B. Duties of Collector and Chief of Police. It Shall be the duty of the Collector, and he is directed, to enforce each and all of the provisions hereof, and the Chief of Police Shall render such assistance in the enforcement thereof as May from time to time be required by the Collector or the Council.

C. Examination of Places of Business. The Collector, in the exercise of the duties imposed upon him and acting through his deputies or duly authorized assistants, May examine or cause to be examined all places of Business in the City to ascertain whether the provisions hereof have been complied with.

D. Right of Entry. The Collector and his Designated Representatives Shall have the power and authority to enter, free of charge, at any reasonable time, any place of Business required to be licensed by the provisions hereof and demand an exhibition of the license of such Business. Any Person having such license theretofore issued, in his possession or under his control, who wilfully fails to Exhibit the same upon demand is guilty of a misdemeanor and subject to the penalties provided for in Section 5.02.370. It Shall be the duty of the Collector and each of his assistants to cause a complaint to be filed against any and all Persons found to be violating any of such provisions.

(Ord. 1471 Art. 1 § 36, 1975)

Any Person violating any of the provisions of this chapter or knowingly or intentionally misrepresenting to any officer or Employee of the City any Material fact in procuring the license or Permit provided for herein is guilty of a misdemeanor.

(Ord. 1471 Art. 1 § 37, 1975)

No license issued or payment of Business tax under the provisions of this chapter Shall be construed as authorizing the conduct or continuance of any illegal Business or of a legal Business in an illegal manner. Notwithstanding any provisions in this Code to the contrary, any Business, operation or Use that cannot be conducted or carried out without being in Violation of State or Federal Law Shall be prohibited in all planning areas, Districts, or Zones within the City.

(Ord. 0-04-08 § 2 (part), 2008)

Every Person who engages in Business at a fixed place of Business within the City except as shown in Sections 5.02.480 through 5.02.730 Shall pay a license tax based upon Gross Receipts at the rates and in the classifications set forth in Sections 5.02.390 through 5.02.470.

(Ord. 0-26-03 § 5, 2003)

A. Classification A (up to two percent profit before taxes) includes:

1. Any Person conducting, managing or carrying on a Business consisting mainly of manufacturing, packing, Warehousing processing, carrying or selling at wholesale any Goods, wares, merchandise or produce; and

2. Any Person conducting, managing or carrying on a Business consisting mainly of selling at retail any Goods, wares or merchandise; and

3. Any Person engaged in a Business not otherwise specifically described by other provisions of this chapter operating on a net profit before taxes of up to two percent.

B. The license taxes for this classification are as follows:

(Ord. 0-26-03 § 6, 2003)

A. Classification B (two and one-hundredth percent to six percent profit before taxes) includes:

1. Every Business of providing, transporting, maintaining or performing labor or services for the benefit of another, including performing services in the capacity of an agent/broker;

2. Every Business of supplying some general demand for the benefit of another which does not produce a tangible commodity;

3. Every Business of transporting, maintaining, storing or repairing tangible commodities whether or not such a Business is conducted from a Premises, Vehicle or mobile location within or outside the City; and

4. Any other Business not otherwise specifically described by other provisions of this chapter operating on a net profit before taxes of two and one-hundredth percent to six percent. Service-oriented Businesses do not include Professional Services within the terms of this chapter.

B. The license taxes for this classification are as follows:

(Ord. 0-26-03 § 7, 2003)

A. Classification C (six and one-hundredth percent to ten percent profit before taxes) includes the Following:

1. Any Person, group, association, partnership, firm or corporation engaging in or carrying on any profession or vocation requiring satisfactory compliance with Written and/or oral examination standards adopted by a branch of the State or Federal government and/or requiring a period of specialized training such as, but not limited to, physicians, dentists, Attorneys, and accountants;

2. Any Person engaging in or carrying on the Business of maintaining and Renting or letting Buildings or Structures to Tenants for residential and nonresidential Property Uses;

3. Any Person or company, wherever located, which is licensed as a contractor by the State of California and who undertakes to or offers to or purports to have the capacity to undertake to or submits a bid to, or does himself or herself or by or through others, construct, alter, repair, add to, subtract from, improve, move, wreck or demolish any Building, Highway, road, Railroad, excavation or other Structure, Project, Development or Improvement, or to do any Part thereof, including the erection of scaffolding or other Structures or works in connection therewith. The term "contractor" includes general engineering contractor, general Building contractor, subcontractor, specialty contractor and other Building tradesmen.

B. The license taxes for this classification are as follows:

(Ord. 0-26-03 § 8, 2003)

A. A Person who owns, leases, occupies or otherwise maintains within the City a place or Premises upon which or from which he engages in the Business of selling Goods, wares, and merchandise, and whose Gross Receipts from such Sales are attributable to Business activities carried on within the City and activities carried on outside the City, May apportion such Gross Receipts and include in the measure of tax those Gross Receipts directly attributable to activities carried on within the City.

B. In making a calculation of Gross Receipts to be reported as the measure of tax, the Person May deduct from one hundred percent of Gross Receipts the percentage of Gross Receipts deemed to be directly attributable to selling activities carried on by such Person outside the City.

For the purposes of this calculation, the Person May deduct, to the extent appropriate, but in no case in an amount greater than, the Following percentages of those Sales, or particular categories of Sales, on which the corresponding elements of the selling process are performed at a place or location outside the City:

1. A Person May deduct one hundred percent of Gross Receipts deemed to be directly attributable to selling activities carried on by such Person outside the City if the Person has in place a similar Business License or Permit in the location outside the City and is accounting for those Gross Receipts at that location.

2. A Person May deduct up to twenty percent of Gross Receipts deemed to be attributable to selling activities carried on by such Person outside the City if the Person does not have in place a similar Business License or Permit in that location and is not accounting for those Gross Receipts at that location.

Any Person who believes that the percentage determined to be allowable as a deduction from Gross Receipts under the foregoing provisions of this ruling is less than the facts justify, May apply to the Collector for a modification of the percentage. Such Application Shall be made in writing to the Collector and Shall be accompanied by a statement of facts supporting the basis for such modification. The Collector Shall make his determination on the basis of evidence presented to him, and such other evidence as he May have, May request from the taxpayer, or May discover from other sources. The Collector Shall increase, reduce, or allow to stand, the percentage originally determined, depending on the facts.

C. Should the Collector be of the opinion that the percentage calculated to be allowable as a deduction from Gross Receipts under the foregoing provisions of this ruling is greater than the facts justify in any particular case, he Shall make such investigation as is necessary to ascertain the facts and revise the percentage, if required.

D. Any variation from the percentages provided for under this ruling Shall be Approved in writing by the Collector.

(Ord. 0-8-93 § 3, 1993; Ord. 1471 Art. 2 § 6, 1975)

A. In the event a licensee or an Applicant for a license believes that his individual Business is not assigned to the proper classification pursuant to the provisions of Sections 5.02.380 through 5.02.470 because of circumstances peculiar to such Business, as distinguished from other Businesses of the same kind, he May apply to the Collector for reclassification. Such Application Shall contain such information as the Collector May deem necessary and require in order to determine whether the Applicant's individual Business is properly classified. The Collector Shall then conduct an investigation Following which he Shall assign the Applicant's individual Business to the classification shown to be proper on the basis of such investigation. The proper classification Shall be the classification which, in the opinion of the Collector, most nearly fits the Applicant's individual Business. The reclassification Shall not be retroactive but Shall be at the time of the next regularly ensuing calculation of the Applicant's tax.

B. In Sections 5.02.380 through 5.02.470, references are made to certain percentages of profit before taxes. It is the intention of this chapter that every Business specifically named in a classification Shall pay the tax appropriate for such classification. The purpose of referring to profit before taxes is solely to assist the Collector in classifying a Business not precisely named in Sections 5.02.380 through 5.02.470. In determining which classification is appropriate for such an unnamed Business, the Collector Shall refer to Robert Morris Associates annual statement studies or some other acceptable comprehensive study. The purpose of such reference Shall be to determine what the general average net profit before taxes is of Businesses of the type in question.

C. It is not the intention of this chapter to tax Businesses based upon the actual net profit of the particular taxpayer involved. The classification of a Business Shall not be varied because a particular taxpayer for a particular period has, in fact, achieved a certain profit. The license tax for a Business is payable as stated herein without regard to whether the Business made a particular profit (or any profit at all) for the Year in question.

(Ord. 1471 Art. 2 § 7, 1975)

The Collectors Shall notify the Applicant of the action taken on the Application for reclassification. Such Notice Shall be given by serving it personally or by depositing it in the United States Post Office in Colton, California, postage prepaid, addressed to the Applicant at his last known address.

(Ord. 1471 Art. 2 § 8, 1975)

The Applicant for reclassification may, within fifteen Days after the mailing or serving of the Notice of reclassification, make Written request to the Collector for a hearing on the Application for reclassification. If such request is made within the time prescribed, the Collector Shall cause the Matter to be set for hearing before the Council within fifteen Days. The Collector Shall give the Applicant at least ten Days' Notice of the time and place of the hearing in the manner set forth in Section 5.02.450 for serving Notice of the action taken on the Application for reclassification. The Council Shall consider all evidence adduced, and the Council's findings thereon Shall be final. A Written Notice of such findings Shall be served upon the Applicant in the manner set forth in Section 5.02.450 for service of Notice of the action taken on the Application for reclassification.

(Ord. 1471 Art. 2 § 9, 1975)

No Business Shall be classified more than once in one Year.

(Ord. 1471 Art. 2 § 10, 1975)

Every Person transacting and carrying on the Businesses set forth in Sections 5.02.490 through 5.02.720 Shall pay a license tax set forth in those sections.

(Ord. 1471 Art. 3 § 1, 1975)

For the purposes of this section, an "amusement ride" means one or more merry-go-rounds, flying horses, ferris wheels or other similar amusement devices. Wherein amusement rides are held in conjunction with and on Premises owned or leased by commercial houses for Commercial Purposes, the tax Shall be the sum of fifteen dollars per Day per unit not to exceed seven Days. Wherein amusement rides are not conducted as a promotion for a commercial house, the tax Shall be the sum of twenty-five dollars per Day per unit or one hundred dollars per Year per unit.

(Ord. 0-26-03 § 10, 2003)

For every Person, firm or corporation conducting, managing or carrying on or engaged in the Business of selling at auction any Personal Property whatsoever, the tax Shall be five hundred dollars per calendar Year or fraction thereof, payable in advance; provided, however, the provisions of this section Shall not apply to any Person, firm or corporation having an established permanent place of Business for conducting a public auction and who, in addition thereto, provides space for private vendors, in which case the license Shall be based upon the annual Gross Receipts of the public auction plus the Fee of two dollars and fifty cents per Day for each private vendor to whom space is Rented. (Report and payment to be made on a Monthly basis.) The provisions of this section Shall not apply to any Person, firm or corporation having an established and permanent place of Business in the City and paying a license to the City therefor, who May auction any Goods, wares or merchandise for purposes of winding up the affairs of said Business or for the purpose of closing out any special line of Goods, wares or merchandise or other Personal Property that May then be in stock or in their possession at the commencement of the auction at said place of Business or place where said Property is regularly kept without making a regular practice of doing so or without adding to the stock to be auctioned after the commencement of the auction.

(Ord. 1614 § 1, 1982: Ord. 1586 § 1, 1980: Ord. 1471 Art. 3 § 3, 1975)

A. Every Person, firm or corporation conducting, managing, carrying on or engaging in the Business of a flea market Shall pay the annual Gross Receipts tax set out in classification D of Section 5.02.420 plus an added Fee of two dollars and fifty cents per Day for each private vendor to whom space is Rented. (Report and payment to be made on a Monthly basis.)

B. "Flea market" as Used in this chapter means any Business wherein space is Rented on a Day by Day basis to various dealers, sellers or vendors for selling, or offering for Sale, Goods, wares, merchandise or things or articles of value and where no admission Fee is charged to enter the area where the merchandise is being offered for Sale.

(Ord. 1614 § 2, 1982)

For every Person, firm or corporation conducting, managing or carrying on the Business of bail bondsman, the tax Shall be two hundred fifty dollars per Year.

(Ord. 0-26-03 § 11, 2003)

For the purpose of this section, "outdoor festival" means any music festival, dance festival, "rock" festival or similar musical activity, at which music is provided by paid or amateur Performers or by prerecorded means, which is held at any place other than in a permanent Building or permanent installation which has been constructed for the purpose of conducting such activities or similar activities, and to which members of the public are invited or admitted for a charge or free of cost.

For every Person, firm or corporation conducting, managing or carrying on the Business of outdoor festivals, the tax Shall be seven hundred fifty dollars per Year.

(Ord. 0-26-03 § 12, 2003)

For the purposes of this section, "carnival" means a group of two or more shows, entertainments, games, devices, mechanical rides, amusements, vaudeville or dramatic or minstrel performance, or games, tricks, devices or wheels, the result of the operation of which is dependent upon chance or skill, and as a result of the operation of which things or Representatives of value are given or paid. The charging of a single admission Fee to a carnival Shall not limit the provisions of this section. Carnivals Shall pay the sum of forty dollars per Day for each separate show, game, amusement, vaudeville or dramatic performance, game of chance or skill. Food and drink stands Shall be charged at twenty-five dollars per Day.

(Ord. 0-26-03 § 13, 2003)

A. For the purpose of this section, "circus" means an exhibition or entertainment at which feats of horsemanship, acrobatic feats, and trained or wild animals are exhibited or displayed, to which exhibition or entertainment an admission Fee is charged.

B. For any Person conducting, carrying on or managing a circus, or other similar exhibition, the taxes are as follows:

1. Where the seating capacity is five thousand or less, the sum of fifty dollars per Day; or

2. Where the seating capacity exceeds five thousand but not eight thousand, the sum of seventy-five dollars per Day; or

3. Where the seating capacity is eight thousand or more, the sum of one hundred dollars per Day.

4. For each circus Parade on the Public Streets, fifty dollars per Day; provided, that the Person conducting the circus has not paid a license for such circus.

C. For any Person conducting, carrying on or managing any sideshow, or after show or concert, to a circus, the sum of twenty-five dollars per Day Shall be paid for each show or after show or concert.

(Ord. 1471 Art. 3 § 7, 1975)

Contractors possessing a State contractors' license of any class Shall pay an annual license tax based upon Gross Receipts at the rates and classifications set forth in Sections 5.02.390 through 5.02.470.

(Ord. 0-26-03 § 14, 2003)

For every Person, firm or corporation conducting managing or carrying on the Business of operating or conducting a convalescent Hospital, rest home, Hospital or sanitarium, the tax Shall be as follows:

A. Up to and including twenty beds, one hundred fifty dollars per Year or fraction thereof; or

B. In excess of twenty beds, one hundred fifty dollars per Year plus five dollars per each bed above twenty beds per Year or fraction thereof.

(Ord. 0-26-03 § 15, 2003)

For every Person, firm or corporation conducting, managing or carrying on a Public Dance to which the public is admitted without charge, or at which the public is allowed to participate in the dancing without charge, the tax is fifty dollars per quarter. This license Fee is in addition to any other Business License or other license paid by said Person, firm or corporation to the City.

(Ord. 0-26-03 § 16, 2003)

For every Person, firm or corporation conducting, managing or carrying on a Public Dance for profit to which the public Must pay an admission charge, or at which the public is allowed to participate in the dancing for a specified price, the tax is fifty dollars per dance or one hundred dollars per Month in advance. This license Fee is in addition to any other Business License or other license paid by said Person, firm or corporation to the City.

(Ord. 0-26-03 § 17, 2003)

Every Person, firm or corporation making deliveries of merchandise to Business Establishments in the City and not having a fixed place of Business in the City Shall pay a Business License of seventy-five dollars per quarter.

(Ord. 0-26-03 § 18, 2003)

For every Person, firm or corporation conducting, managing or carrying on the Business of compiling and publishing City, Business or classified directories and publishing not to exceed five thousand of such directories per Year, the tax is one hundred fifty dollars per Year.

(Ord. 0-26-03 § 19, 2003)

A. Every Person, firm or corporation engaged in the Business of operating a Commercial Kennel as defined in subsection B. of this section Shall obtain a license from the License Department of the City and Shall pay an annual Fee as follows:

1. For a kennel having the Following number of dogs, the Fee Designated:

2. The Fee Shall be further increased ten dollars for each increment of ten or fractional Part of ten dogs over thirty dogs.

B. A "Commercial Kennel" means a place where five or more dogs are kept for the purpose of boarding, breeding, training or marketing.

C. All dogs owned by a Commercial Kennel Shall be subject to the provisions of this chapter upon attaining the age of six Months.

(Ord. 0-26-03 § 20, 2003)

Every Person not having a fixed place of Business within the City and conducting the Business of advertising by the distribution of handbills, circulars, or other Written or printed advertising Materials Shall pay an annual license tax in the amount of one hundred fifty dollars.

(Ord. 0-26-03 § 21, 2003)

For every Person, firm or corporation conducting, managing or carrying on the Business of Night watch service or engaged in the Business or occupation of private policeman or managing or carrying on a detective agency, the tax is seventy-five dollars per quarter.

(Ord. 0-26-03 § 22, 2003)

For every Person, firm or corporation engaged in the selling of real estate and not having a fixed place of Business in the City, an annual license tax of two hundred dollars Shall be paid.

(Ord. 0-26-03 § 23, 2003)

A. Every Person, firm or corporation operating a Refuse collection system Shall obtain and pay for a license as required by Chapter 6.16 of this Code. The Fee for such license Shall be two hundred dollars per Year, per Vehicle Used in the Business for such collection; provided, however, that no license as herein provided for the collection and disposal of Rubbish Shall be issued without prior Council Approval. All Applications for a license to operate such collection and disposal service received by the Director of Public Works Shall forthwith be referred to the City Council for such action.

B. Beginning January 1, 1992, the City reserves the right to select one or more Person(s), firm(s) or corporation(s) to operate an exclusive Refuse collection system within the jurisdiction of the City. Any successful private Refuse collection systems, as Approved by the City, Shall pay an annual license Permit Fee as specified in the Franchise agreement with the City. All Applications for new licenses to operate such collection and disposal service Shall be submitted to the Director of Public Works at such time that proposals are requested by the City.

(Ord. 0-20-91 § 6, 1991: Ord. 1471 Art. 3 § 18, 1975)

Every Person, firm or corporation conducting, managing or carrying on the Business of selling fruits or vegetables or other Goods, wares or merchandise from a Vehicle, car, stand or trailer, other than as a peddler, and having no fixed place of Business in the City, Shall pay a license tax of fifteen dollars per Day for each such Vehicle, car, stand or trailer, payable in advance.

(Ord. 0-26-03 § 25, 2003)

For every Person, firm or corporation conducting, managing or carrying on the Business of shoe shining or shoe polishing stand, the tax is one hundred dollars.

(Ord. 0-26-03 § 26, 2003)

For every Person, firm or corporation conducting, managing or carrying on the Business of redeeming any stamps, coupons, tickets, cards or other devices issued for or with the Sale of Goods, wares or merchandise, which stamps, coupons, tickets, cards or other devices so issued Shall entitle the purchaser receiving the same to procure from said Person, firm or corporation, any Goods, wares or merchandise free of charge, upon the production of one or any number of such stamps, coupons, tickets, cards or other devices, the tax is seventy-five dollars per quarter.

(Ord. 0-26-03 § 27, 2003)

A. For every Person, firm or corporation conducting, managing, carrying on or engaging in the Business of a Swap Meet, the tax is two hundred fifty dollars per quarter.

B. "Swap Meet", as Used in this chapter, means any Business wherein any Person, firm or corporation or agent thereof Rents spaces to various dealers or individuals for selling or offering for Sale, Goods, wares, merchandise, or things or articles of value, and wherein an admission Fee is charged to enter the area where the merchandise is being offered for Sale.

C. Receipts for the Space Rental Shall be Written in triplicate on numbered receipts, and Shall contain the name and address of the dealer or individual, and the make and license number of his automobile. One Copy of the receipt Shall be furnished to the dealer, one Copy filed with the Finance Department immediately after the Sale, and one Copy retained by the Swap Meet Operator for a period of five Years for audit purposes.

(Ord. 0-26-03 § 28, 2003)

Every Person, firm or corporation engaged in or conducting, managing or carrying on the Business or operating or maintaining a Trampoline Center for Use, Used or operated or played as a game, or for amusement, for the operation of which a charge is made, Shall pay to the City a license Fee of fifty dollars per quarter for each separate Trampoline Center.

(Ord. 0-26-03 § 29, 2003)

Every Person not having a fixed place of Business within the City who engages in Business within the City Shall pay a license tax at the rate set forth in Sections 5.02.380 through 5.02.470 for Persons engaged in the same type of Business, and having a fixed place of Business within the City, on Gross Receipts derived from within the City.

(Ord. 1471 Art. 3 § 25, 1975)

Any Person, firm or corporation violating any of the provisions of this chapter is guilty of a misdemeanor, and upon conviction thereof, Shall be punishable by a fine of not more than five hundred dollars or by imprisonment for a period not exceeding three Months, or by both such fine and imprisonment.

(Ord. 1471 Art. 3 § 26, 1975)