Fairfax Municipal Code Ch. 3.12 Telephone, Gas and Electricity Tax

For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

ELECTRICAL CORPORATION, GAS CORPORATION and TELEPHONE CORPORATION. The same meanings as defined in Cal. Public Utilities Code §§ 218, 222 and 234, respectively. ELECTRICAL CORPORATION shall be construed to include any municipality or governmental agency engaged in selling or supplying of electrical power to a service user.

MONTH. A calendar month.

PERSON. All domestic and foreign corporations, associations, syndicates, joint stock companies, partnerships of every kind, joint ventures, clubs, Massachusetts business or common law trusts, societies and individuals.

SERVICE SUPPLIER. A person required to collect and remit a tax imposed under the provisions of this chapter.

SERVICE USER. A person required to pay a tax imposed under the provisions of this chapter.

TAX ADMINISTRATOR. The Town Manager of the town.

TOWN. The Town of Fairfax.

(Prior Code, § 3.12.010) (Ord. 552, passed 8-25-1986)

Nothing in this chapter shall be construed as imposing a tax upon the town or any person when imposition of the tax upon that person would be in violation of the Constitution of the United States or the Constitution of the State of California. The Tax Administrator shall prepare a list of the persons exempt from the provisions of this chapter by virtue of this section and furnish a copy thereof to each service supplier.

(Prior Code, § 3.12.020) (Ord. 552, passed 8-25-1986)

(A) There is imposed a tax on the amounts paid for any intrastate telephone services by every person in the town other than a telephone corporation using the services. The tax imposed by this section shall not be greater than five percent of the charges made for the service and shall be paid by the person paying for the services.

(B) For the purpose of this section, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

CHARGES. Shall not include charges for services paid for by inserting coins in coin-operated telephones, except that where the coin-operated service is furnished for a guaranteed amount, the amounts paid under the guarantee, plus any fixed month or other periodic charge shall be included in the base for computing the amount of tax due; nor shall the term CHARGES include charges for any type of service equipment furnished by a service supplier subject to Public Utility regulation during any period in which the same or similar services or equipment are also available for sale or lease from persons other than a service supplier subject to Public Utility regulation; nor shall the words TELEPHONE COMMUNICATION SERVICES include land mobile services or maritime mobile services as defined in 47 C.F.R. § 2.1, as the section existed on January 1, 1970.

TELEPHONE COMMUNICATION SERVICES. The service which provides access to a telephone system and the privilege of telephonic quality communication with substantially all persons having telephone stations which are part of such telephone system. The telephone user tax is intended to, and does, apply to all charges billed to a telephone account having a situs in the town, irrespective of whether a particular communication service originates and/or terminates within the town.

(C) (1) The tax imposed by this section shall be collected from the service user by the person providing the intrastate telephone communication services, or the person receiving payment for the services.

(2) The amount of the tax collected in one month shall be remitted to the Tax Administrator on or before the last day of the following month; or at the option of the person required to collect and remit the tax, an estimated amount of tax collected, measured by the tax billed in the previous month, shall be remitted to the Tax Administrator on or before the last day of each month.

(D) Notwithstanding the provisions of division (A) above, the tax imposed under this section shall not be imposed upon any person for using intrastate telephone communication services to the extent that the amounts paid for the services are exempt from or not subject to the tax imposed under Cal. Revenue and Taxation Code Division 2, Part 20, or the tax imposed under I.R.C. § 4251.

(Prior Code, § 3.12.030) (Ord. 552, passed 8-25-1986)

(A) (1) There is imposed a tax upon every person in the town, other than an electrical corporation or a gas corporation, using electrical energy in the town.

(2) The tax imposed by this section shall be at the rate set by the Town Council at the time of adoption of the annual budget, not to exceed five percent of the charges made for the energy.

(B) For the purpose of this section, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

USING ELECTRICAL ENERGY. Shall not be construed to mean the use of the energy from a storage battery; provided however that, the term shall include the receiving of the energy for the purpose of using it in the charging of storage batteries.

USING ELECTRICAL ENERGY. Shall not be construed to mean the receiving of the energy by an electrical corporation or a governmental agency at a point within the city for resale.

(C) (1) The tax imposed in this section shall be collected from the service user by the person selling the electrical energy.

(2) The amount of tax collected in one month shall be remitted to the Tax Administrator on or before the last day of the following month.

(Prior Code, § 3.12.040) (Ord. 552, passed 8-25-1986)

(A) There is imposed a tax upon every person in the town, other than a gas corporation or an electrical corporation, using gas in the town which is delivered through mains or pipes. The tax imposed by this section shall be at the rate not to exceed five percent of the charges made for such gas, and shall be paid by the person paying for such gas.

(B) For the purpose of this section, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

CHARGES. Shall not include charges made for gas used in the generation of electrical energy by a public utility or a governmental agency.

USING GAS. Shall not be construed to mean the receiving of the gas by an electrical corporation or governmental agency at a point within the town for resale.

(C) The tax imposed in this section shall be collected from the service user by the person selling the gas. The amount collected in one month shall be remitted to the Tax Administrator on or before the last day of the following month.

(Prior Code, § 3.12.050) (Ord. 552, passed 8-25-1986)

(A) Notwithstanding the provisions of §§ 3.12.030, 3.12.040 and 3.12.050, the total tax to be paid by any user under these sections shall not exceed $360 annually on a fiscal year basis (July 1 through June 30). Persons so affected shall present evidence of such to the town and a refund shall be given by the town for the amount of tax paid in excess of $360.

(B) Notwithstanding the provisions of § 3.12.110, the requests for refunds shall be presented no later than 15 working days following the conclusion of the fiscal year; (fiscal year ends on the last day of June).

conclusion of the fiscal year; (fiscal year ends on the last day of June).

(C) Requests submitted later will be not be considered.

(D) Persons wishing to prepay the maximum tax will be exempted for that fiscal year.

(Prior Code, § 3.12.060) (Ord. 552, passed 8-25-1986; Am. Ord. 554, passed - -1986; Am. Ord. 614, passed 1-11-1993)

Any tax and/or penalty required to be paid by a service user under the provisions of this chapter shall be deemed a debt owed by the service user to the town. Any such tax collected from a service user which has not been remitted to the Tax Administrator shall be deemed a debt owed to the town by the person required to collect and remit. Any person owing money to the town under the provisions of this chapter shall be liable to an action brought in the name of the town for the recovery of the amount.

(Prior Code, § 3.12.070) (Ord. 552, passed 8-25-1986)

The duty to collect and remit the taxes imposed by this chapter shall be performed as follows:

(A) The tax shall be collected insofar as practicable at the same time as and along with the charges made in accordance with regular billing practice of the service supplier. Except in those cases where a service user pays the full amount of the charges, but does not pay any portion of a tax imposed by this chapter, if the amount paid by a service user is less than the full amount of the charge and tax which has accrued for the billing period, a proportionate share of both the charge and the tax shall be deemed to have been paid.

(B) (1) The duty to collect the tax from a service user shall commence with the beginning of the first regular billing period applicable to that person which starts on or after the operative date of this chapter.

(2) Where a person receives more than one billing, one or more being for different periods than another, the duty to collect shall arise separately for each billing period.

(Prior Code, § 3.12.080) (Ord. 552, passed 8-25-1986)

(A) The Tax Administrator shall have the power and duty and is directed to enforce each and all of the provisions of this chapter.

(B) The Tax Administrator shall have power to adopt rules and regulations not inconsistent with provisions of this chapter for the purpose of carrying out and enforcing the payment, collection and remittance of the taxes imposed in this chapter. A copy of the rules and regulations shall be on file in the Tax Administrator’s office.

(C) The Tax Administrator may make administrative agreements to vary the strict requirements of this chapter so that collection of any tax imposed herein may be made in conformance with the billing procedures of a particular service supplier, so long as such agreements result in collection of the tax in conformance with the general purpose and scope of this chapter. A copy of each agreement shall be on file in the Tax Administrator’s office.

(Prior Code, § 3.12.090) (Ord. 552, passed 8-25-1986)

(A) Whenever the Tax Administrator determines that a service user has deliberately withheld the amount of the tax owed by him or her from the amounts remitted to a person required to collect the tax for a period of four or more billing periods, or that a service user has refused to pay the amount of the tax to the person, or whenever the Tax Administrator deems it in the best interest of the town, he or she may relieve the person of the obligation to collect taxes due under this chapter from certain named service users for specific periods.

(B) The service supplier shall provide the town with a report of the amounts refused along with the names and addresses of the service users refusing to pay the tax.

(C) The Tax Administrator shall notify the service user that he or she has assumed responsibility to collect the taxes due for the stated periods and demand payment of the taxes. The notice shall be served on the service user by handing it to him or her personally or by deposit of the notice in the United States mail, postage prepaid thereon, addressed to the service user at the address to which billing was made by the person required to collect the tax; or, should the service user have changed his or her address, to his or her last known address. If a service user fails to pay the tax to the Tax Administrator within 15 days from the date of the service of the notice upon him or her, which shall be the date of mailing if service is not accomplished in person, a penalty of 25 percent of the amount of the tax set forth in the notice shall be imposed, but not less than $5. The penalty shall become part of the tax herein required to be paid.

(Prior Code, § 3.12.100) (Ord. 552, passed 8-25-1986)

(A) A service supplier who has collected any amount of tax illegally, erroneously or more than once may refund the amount to the service user and claim credit for the overpayment against the amount of the tax which is due upon any other monthly returns, providing, the credit is claimed in a return dated no later than three years from the date of overpayment.

(B) (1) Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once, or has been erroneously or illegally collected or received by the town under this chapter, it may be refunded to a service supplier or service user by the town, provided a claim, in writing, therefor, stating under penalty of perjury the specified grounds upon which the claim is founded, is filed with the Tax Administrator within three years of the date of payment. The claim shall be on forms furnished by the Tax Administrator.

(2) No refund shall be paid under the provisions of this section unless the claimant establishes his or her right thereto by written records, and, in the case of a service user, that the service user has been unable to obtain a refund or adjustment from the service supplier who collected the tax.

(C) Notwithstanding other provisions of this section, whenever a service supplier, pursuant to an order of the California Public Utilities Commission or a court of competent jurisdiction, makes a refund to service users of charges for past utility services, the taxes paid pursuant to this chapter on the amount of the refunded service charges may also be refunded to service users by the service supplier, and the service supplier can claim credit for the refunded taxes against the amount which is due upon any monthly returns. In the event this chapter is repealed, amounts of any refundable taxes will be borne by the town.

(Prior Code, § 3.12.110) (Ord. 552, passed 8-25-1986)

Nothing contained in this chapter is intended to conflict with applicable rules, regulations and tariffs of any service supplier subject to the jurisdiction of the California Public Utilities Commission. In the event of any conflict, the provisions of said rules, regulations and tariffs shall control.

(Prior Code, § 3.12.120) (Ord. 552, passed 8-25-1986)

It shall be the duty of every service supplier required to collect and remit to the town any tax imposed by this chapter to keep and preserve, for a period of three years, all records as may be necessary to determine the amount of the tax the service supplier may have been required to collect and remit to the town, which records the Tax Administrator shall have the right to inspect at all reasonable times.

(Prior Code, § 3.12.130) (Ord. 552, passed 8-25-1986)