Larkspur Municipal Code Ch. 5.46 Property Development Tax

Sections: 5.46.010 Definitions. 5.46.020 Imposition of Tax. 5.46.030 Disposition of Funds.

5.46.040 Due Date. 5.46.050 Exceptions. 5.46.060 Tax Liability and Enforcement. 5.46.070 Payment Required for Commencing Construction. 5.46.080 Payment Required for Occupancy.

For the purpose of this chapter, the words defined in this section shall have the meanings assigned to them unless from the context it appears that a different meaning is intended.

“Commercial unit” means any space in a building or structure designed or intended to be occupied or used for business or commercial purposes, including sleeping rooms in hotels and motels without kitchens or kitchen facilities.

“Residential unit” means a single-family dwelling, a dwelling unit in a duplex, apartment house or dwelling group, and any other place designed for human occupancy which contains a kitchen. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

A. Tax Imposed. An excise tax is hereby imposed upon the construction and occupancy of each residential or commercial unit in the City.

B. Rates. The rates of the excise tax hereby imposed shall be a fee established by resolution. (Ord. 1030 § 2(4), 2018; Ord. 853 § 2 (part), 1993; Ord. 498 § 2, 1974; Ord. 428 § 2 (part), 1972)

All of the sum collected pursuant to this chapter shall be deposited in the capital outlay fund, and shall be used solely for capital expenditures as needed. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

The amount of the tax due hereunder shall be paid at the time an original building permit is issued for the construction of residential, commercial or industrial units or building. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

There is exempted from the tax imposed by this chapter the following:

A. The construction and occupancy of a residential, commercial or industrial unit which is a replacement for a unit being removed from the same lot or parcel of land. The exception shall equal but not exceed the tax which would be payable hereunder if the unit being replaced were being newly constructed;

B. The construction and occupancy of any building or unit by any bank, including national banking associations;

C. The construction and occupancy of any building by an “insurer,” as that term is defined in Article XIII, Sections 14-4/5, of the California Constitution;

D. The construction and use of any building, by a nonprofit corporation exclusively for religious, educational, scientific, hospital or charitable purposes, if such would be exempt under Revenue and Taxation Code Section 214;

E. The construction and occupancy of any building by the United States or any department or agency thereof, or by the State of California or any department, agency or political subdivision thereof. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

The taxes imposed by this chapter are due from the person by or on behalf of whom a residential or commercial unit or building is constructed, whether such person is the owner or a lessee of the land upon which the construction is to occur. The City shall collect the tax and any penalty and interest due hereunder. The full amount due under this chapter shall constitute a debt to the City of Larkspur. An action for the collection thereof may be commenced in the name of the City in any court having jurisdiction of the cause. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

No person shall begin the construction of any residential or commercial unit or building in the City without first having paid the tax and any penalty and interest due the City under this chapter. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)

No occupancy permit shall be issued for, and no person shall occupy or offer for occupancy, any residential or commercial unit or building in the City unless the tax and any penalty and interest imposed upon the construction and occupancy thereof by this chapter have been paid. (Ord. 1030 § 2(4), 2018; Ord. 428 § 2 (part), 1972)