Fresno Municipal Code Art. 10 Business Licenses—general Provisions

The term license as used in this chapter shall not be construed to mean a permit. The fees prescribed by this chapter constitute a tax for revenue purposes, and are not regulatory permit fees. The payment of a license tax required by the provisions of this chapter and its acceptance by the city, and the issuance of such license to any person, shall not entitle the holder thereof to carry on any business unless he has complied with all of the requirements of this chapter and all other applicable provisions of this Code, or to carry on any business in any building or on any premises designated in such license in the event that such building or premises are situated in a zone or locality in which the conduct of such business is in violation of this Code. (Orig. Ord. 4603).

Except as otherwise expressly provided in this chapter, no person, whether as principal or agent, clerk or employee either for himself or for any other person or for any body corporate, or as an officer of any corporation, or otherwise, shall commence or carry on any trade, calling, profession or occupation in the city, in this chapter specified, without first having procured a license so to do, and without complying with any and all regulations of such trade, calling, profession or occupation contained in this chapter.

(Orig. Ord. 4603; Am. Ord. 2008-13, § 1, eff. 3-14-08).

(a) Any person carrying on any trade, calling, profession or occupation without having a license to do so shall be liable for the amount of the license fee imposed by this chapter on such trade, calling, profession or occupation. The amount of such license fee, including any penalty or interest thereon, shall be a debt owed to the city.

(b) The City Attorney may file suit in the name of the city, in any court of competent jurisdiction, for any unpaid license fee imposed by this chapter, within three years from the delinquency date thereof.

(c) The conviction and punishment of any person for transacting any trade, calling, profession or occupation without a license shall not excuse or exempt such person from the payment of any license fee due and unpaid at the time of such violation of the provisions of this chapter. (Orig. Ord. 4603; Am. Ord. 80-72, § 1, eff. 6-6-80).

(a) Each applicant for a license shall properly fill in an application in such form as the Controller may prescribe.

(b) A license, in such form as the Controller may prescribe, shall be issued on payment of the fee prescribed in this chapter and shall be in full force and effect until:

(1) Licensee fails to make payments as required by this Code;

(2) Revoked by the Controller;

(3) Business changes address;

(4) Business is discontinued;

(5) Business ownership changes.

(c) A licensee with no permanent business address, such as a peddler, shall be issued a license each license period, with such license showing the expiration date.

(d) No license granted or issued under any provision of this chapter shall be in any manner transferred or assigned, or shall authorize any person, other than is thereon mentioned or named, to do business without the express consent of the Controller.

(e) In no case shall any mistake made by the Controller in stating the amount of the license fee prevent or prejudice the collection of what shall be actually due from anyone carrying on any trade, calling, profession or occupation subject to a license under this chapter.

(f) No license shall be issued to any holder of a delinquent license until both the license fee and penalty shall have been paid. (Orig. Ord. 4603; Am. Ord. 5308, 1958).

(a) All license fees shall be paid in advance at the office of the Controller. Where a licensee conducts several branches or places of business of the same class, a separate license shall be secured covering each branch of such business.

(b) The monthly license fees in this chapter provided shall be due and payable on the first day of each month, in advance, from all persons who have for the previous month been licensed to carry on the same trade, calling, profession or occupation, and from all persons who have not been licensed for the previous month for the same trade, calling, profession or occupation, the license fee shall be due and payable, and must be procured by such persons before commencing to carry on such trade, calling, profession or occupation.

(c) The quarterly license fees in this chapter provided shall be due and payable, in advance, on the first days of July, October, January and April of each year, and all such licenses shall expire with the last days of June, September, December and March of each year.

(d) The weekly license fees in this chapter provided shall be due and payable on Monday of each week in advance.

(e) The daily license fees in this chapter provided shall be due and payable each day in advance.

(f) The semi-annual license fees in this chapter provided shall be due and payable on the first day of July and the first day of January of each year.

(g) The annual license fees in this chapter provided shall be due and payable on the first day of July of each year.

(h) No greater or less amount of money shall be charged or received for any license than is provided in this chapter.

(i) The Controller, if he deems it necessary in order to ensure payment or facilitate collection of business license fees, may require returns and payment of such fees for other than the time periods specified in this chapter. (Orig. Ord. 4603; Am. Ord. 5308, 1958; Am. Ord. 80-72, § 2, eff. 6-6-80).

Every person having a license under the provisions of this chapter, and carrying on a trade, calling, profession or occupation at a fixed place of business, shall keep such license posted and exhibited while in force in some conspicuous place where such business is being conducted. Every person having such a license, and not having a fixed place of business, shall carry such license with him at all times while carrying on the trade, calling, profession or occupation for which the same was granted. Every person having a license under the provisions of this chapter shall produce and exhibit the same whenever requested to do so by any police officer, or by any person authorized to issue, or inspect licenses for the city, or to collect license fees for the city. (Orig. Ord. 4603).

License inspectors may enter free of charge, at any time, any place of business for which a license is required by this chapter and demand the exhibition of any such license by any person engaged or employed in the transaction of such business. License inspectors shall also have the power to collect and receive money in payment of license fees. (Orig. Ord. 4603).

(a) No license shall be issued except on the filing of the application herein provided for; and in the event it shall appear that incorrect information is contained in such application and that the license fee collected was not in the correct amount, the city shall be entitled to collect any unpaid balance of such license fee or if any licensee has overpaid, to refund the excess amount collected.

(b) (Repealed).

(c) No statements in the application shall be conclusive upon the city, or upon any officer thereof, as to the matters therein set forth, and the same shall not prejudice the right of the city to examine or audit the books or accounts of any person subject to license or to recover any amount that may be ascertained to be due, in case such statement should be found to be incorrect. If any person hereby required to make any such statement shall fail to do so, such person shall be required to pay the license fee at such rate as the Controller may, after investigation, fix as the proper rate to be paid by such person, and shall also be deemed guilty of a violation of this Code. (Orig. Ord. 4603; Am. Ord. 5308, 1958; Am. Ord. 6353, 1963).

It shall be unlawful for the Controller or any person having an administrative duty under the provisions of this article to make known in any manner whatever the business affairs, operations, or information obtained by an investigation of records and equipment of any person required to obtain a business tax certificate, or pay a business tax, or any other person visited or examined in the discharge of 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 that nothing in this subsection shall be construed to prevent:

(1) The disclosure to, or the examination of records and equipment by another city official, employee, or agent for collection of taxes for the sole purpose of administering or enforcing any provisions of this article; or collecting taxes imposed hereunder,

(2) 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;

(3) The disclosure of information and results of 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 business tax liability of the particular taxpayers to the city;

(4) The disclosure after the filing of a written request to that effect, to the taxpayer himself, or to his successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, of information as to the items included in the measure of any paid tax, any unpaid tax or amounts of tax required to be collected, interest, and penalties; further provided, however, that the City Attorney approves each such disclosure and that the Controller may refuse to make any disclosure referred to in this paragraph when in his opinion the public interest would suffer thereby;

(5) The disclosure of the names and addresses of persons to whom registration certificates have been issued, the names and addresses of officers of corporations and members of partnerships to whom registration certificates have been issued, and the general type or nature of their business;

(6) The disclosure to the Council by way of public meeting or otherwise of such information as may be necessary in order to permit it to be fully advised as to the facts when a taxpayer files a claim for refund of business taxes, or submits an offer of compromise with regard to a claim asserted against him by the city for business taxes, or when acting upon any other matter;

(7) The disclosure of general statistics regarding taxes collected or business done in the city. (Added Ord. 6353, 1963).

(a) When the license fee based on gross receipts is payable quarterly, the license fee for the final quarter during which a business is in operation shall be ascertained in the following manner:

(1) If the licensee submits written notification prior to payment of the license fee for the quarter in which business operation is terminated, stating the final date the business will be in operation, the final amount due shall be based on the fee schedule for the gross receipts of the previous quarter reduced by one-third (⅓) for each full month of the final quarter that the licensee will not operate the business.

(2) If the full fee has been paid for a quarter in which business operation is terminated, a refund will be made as follows if a written demand from the licensee, stating the date business operation was terminated, is made within three years from the date of receipt by the City of the money to be refunded. One-third (⅓) of the total fee paid for the quarter shall be refunded for each full month of the final quarter that the licensee did not operate the business.

(b) No provision of this section shall affect the application and collection of any penalty or penalties due because of late payment of license fees. (Orig. Ord. 4603; Am. Ord. 80-83, § 1, eff. 6-27-80; Am. Ord. 99-64, § 1, eff. 12-9-99).

(a) Penalties on Deficiency Determinations Made Because of Underpayment.

(1) The Controller shall add the penalty designated in the Master Fee Resolution, computed as a percentage of the amount of the additional assessment, to any additional assessment imposed as a result of a deficiency determination made because of underpayment if any part of the deficiency is due to negligent or intentional disregard of any provision of this chapter.

(2) The Controller shall add the penalty designated in the Master Fee Resolution, computed as a percentage of the amount of the additional assessment, to any additional assessment imposed as a result of a deficiency determination made because of underpayment if any part of the deficiency is due to fraud.

(b) Penalties on Deficiency Determinations Made Because of Failure to File.

(1) The Controller shall add the penalty designated in the Master Fee Resolution, computed as a percentage of the amount of the unpaid license fees, to a deficiency determination made because of failure to file a return if such failure to file is due to negligent disregard of any provision of this chapter.

(2) The Controller shall add the penalty designated in the Master Fee Resolution, computed as a percentage of the amount of the unpaid license fees, to a deficiency determination made because of failure to file a return if the person against whom the deficiency determination is made has previously held a business license in the City of Fresno, or if such failure is due to intentional disregard of any provision of this chapter.

(3) The Controller shall add the penalty designated in the Master Fee Resolution, computed as a percentage of the amount of the unpaid license fees, to a deficiency determination made because of failure to file a return if such failure is due to fraud.

(c) Penalties for Delinquent Payment of Business License Fees and Deficiency Determinations.

(1) The Controller shall, immediately after one calendar month from the date that license fees, including deficiency determinations, are payable, add to all license fees remaining unpaid the delinquency penalty designated in the Master Fee Resolution, computed as a percentage of the amount of such delinquent license fees, excluding penalties and interest.

(2) The Controller shall, immediately after two calendar months from the date that license fees, including deficiency determinations, are payable, add to all license fees still remaining unpaid the additional delinquency penalty designated in the Master Fee Resolution, computed as a percentage of the amount of such delinquent license fees, excluding penalties and interest.

(d) Interest on Deficiency Determinations. In addition to the penalty or penalties imposed, interest at the rate of three-quarters of one per cent per month, or fraction thereof, shall be paid on the amount of the license fees, exclusive of penalties, from the last day of the first month of the license period or periods for which a deficiency determination is imposed until the date of payment.

(e) Extensions of Time to Make Payment. Prior to the due date, the Controller may extend, for good cause, for a period not to exceed one calendar month, the time to make any return or payment of fees. No further extension shall be granted. Any person to whom an extension is granted who makes a return and pays the fees within the period of extension shall not pay any penalty on the amount of the fees, but shall pay, in addition to the fees, interest at the rate of three-quarters of one per cent per month, or fraction thereof, on the unpaid balance for the period of such extension to the time of return and payment.

(f) Holidays. In the event the last day of the calendar month falls on a Saturday, Sunday or legal holiday, license fees may be paid without penalty on the first succeeding business day. Thereafter, the penalty, penalties or interest provided in this section shall be added. (Orig. Ord. 4603; Am. Ord. 5308, 1958; Am. Ord. 80-72, § 3, eff. 6-6-80).

The Controller shall deposit daily with the City Treasurer all moneys collected by him for license fees paid, and shall, on or before the fifteenth day of each month, report the amount thereof to the Council. (Orig. Ord. 4603; Am. Ord. 5308, 1958; Am. Ord. 5311, 1958; Am. Ord. 80-115, §§ 20—22, eff. 8-8-80).

(a) If the Controller is not satisfied with the return or returns of business license fees, or the amount of the fees paid to the city by any person, he may compute and determine the amount required to be paid upon the basis of the facts contained in the return or returns or upon the basis of any information within his possession or that may come into his possession. One or more deficiency determinations may be made of the amount due for one or more than one period. The amount of each deficiency determination is immediately due and payable. Each determination shall become final and delinquent one calendar month after notice thereof as herein provided.

(b) In making a determination, the Controller shall offset overpayments previously made, if any, together with interest on the overpayments, against any underpayment for a subsequent period or periods, or against penalties and interest on the underpayments. The interest on underpayments and overpayments shall be computed in the manner set forth in Section 7-1011 and Section 7-1017.

(c) The Controller shall give written notice of a deficiency determination to each person against whom a determination is made. The notice may be served personally or by mail. In case of service by mail of any notice required by this chapter, the service is complete at the time of deposit in the United States Post Office.

(d) Except in the case of fraud, intent to evade this chapter or authorized rules and regulations, or failure to make a return, every deficiency determination shall be made and notice thereof mailed within three years after the last day of the month following the close of the license period for which the amount is determined or within three years after the return is filed, whichever period expires the later.

(e) If any person fails or refuses to make, within the time provided in this chapter, any return and payment of said fees or any portion thereof required by this chapter or makes a fraudulent return or otherwise wilfully attempts to evade this chapter, the Controller shall proceed in such manner as he may deem best to obtain facts and information on which to base his estimate of the fees due. As soon as the Controller procures facts and information upon which to base the assessment of any fee imposed by this chapter, he shall determine and assess against such person the fees, interest and penalties provided for by this chapter. When such a determination is made, the Controller shall give written notice of the amount so assessed. Such determination and notice shall be made and mailed within three years after discovery by the Controller of any fraud, intent to evade or failure to file return. The amount of each deficiency determination is immediately due and payable. Any determination shall become final and delinquent one calendar month after notice thereof as herein provided.

(f) If the Controller believes that the collection of any license fees will be jeopardized by delay, or if any determination will be jeopardized by delay, he shall thereupon make a determination of the fees due. The amount determined is immediately due and payable. If the amount specified in the determination is not paid within ten days after service of notice thereof upon the person against whom the determination is made, the amount becomes final and delinquent, and the delinquency penalty or penalties and the interest provided in Section 7-1011 shall attach to the amount of the fees, unless a petition for redetermination is filed within the ten days. (Orig. Ord. 4603; Am. Ord. 5247, 1958; Am. Ord. 80-72, § 4, eff. 6-6-80).

(a) Any person against whom a determination is made under Section 7-1013 or any person directly interested may petition for a redetermination within one calendar month after service of notice thereof; provided, however, that a petition for redetermination of a determination made under subsection (f) of Section 7-1013 shall be filed within ten days after service of notice thereof. If a petition for redetermination is not filed within the applicable period, the determination becomes final and delinquent at the expiration of the period.

(b) If a petition for redetermination is filed within the applicable period, the Controller shall reconsider the determination, and, if the person has so requested in his petition, shall grant the person an oral hearing and shall give him ten days' notice of the time and place of the hearing. The Controller may continue the hearing from time to time as may be necessary.

(c) The Controller may decrease or increase the amount of the determination before it becomes final but the amount may be increased only if a claim for the increase is asserted by the Controller at or before the hearing.

(d) The decision of the Controller upon a petition for redetermination becomes final and delinquent fifteen days after service upon the petitioner of notice thereof.

(e) No petition for redetermination shall be effective for any purpose unless at or before the filing thereof the amount found due in the original determination is paid, or a bond or other security satisfactory to the Controller is filed with him guaranteeing payment of any amount finally determined to be due. (Orig. Ord. 4603; Am. Ord. 80-72, § 5, eff. 6-6-80).

All sellers, consumers and holders of City of Fresno business licenses shall keep complete records of all business transactions, including sales, receipts, purchases and other expenditures, and shall retain all such records for examination by the Department of Finance of the City of Fresno. Such records shall be maintained for a period of at least three years. (Added Ord. 5081, 1957).

The Director may make such rules and regulations as are not inconsistent with the provisions of this article, as may be necessary or desirable to aid in the administration or enforcement of the provisions of this article. (Added Ord. 68-56, 1968).

(a) Whenever a business license fee has been paid to the city under a mistake of law or a mistake of fact as described in subsections (2) and (3) of Section 7-906, the fee shall be refunded when a demand for refund has been made on a form prescribed by the Controller. No refund shall be approved after three years from the date of receipt by the city of the money to be refunded.

(b) Interest shall be paid on the amount of any overpayment of license fees at the rate of three-quarters of one per cent per month, or fraction thereof, from the date of receipt by the city of the money to be refunded, but no refund or credit shall be made of any interest imposed upon the person making the overpayment with respect to the amount being refunded or credited. The interest shall be paid:

(1) In the case of a refund, to the last day of the calendar month following the date upon which the person making the overpayment, if he has not already filed a claim, is notified by the Controller that a claim may be filed or the date upon which the claim is approved by the Controller, whichever date is the earlier.

(2) In the case of a credit, to the same date as that to which interest is computed on the license fee or amount against which the credit is applied.

(c) If the Controller determines that any overpayment has been made intentionally or by reason of carelessness, he shall not allow any interest thereon. (Added Ord. 69-117, 1969; Am. Ord. 80-72, § 6, eff. 6-6-80).