Loma Linda Municipal Code Ch. 5.08 Gross Receipt Taxes

Every person who engages in business at a fixed place of business within the city, except as shown in Chapter 5.12, shall pay a license tax based upon gross receipts in the classifications set forth in this chapter. The license tax to be paid under each classification shall be set by resolution of the city.

(Ord. 191 Art. 2 § 1, 1978)

Class A, up to two percent profit before taxes, shall consist of:

A. Retailers of:

Automobiles, new and used

Billiard rooms

Boats and boat supplies

Dairy products

Farm product warehousing and storage

Groceries and meats

Laundries and dry cleaners

Sports and recreation clubs;

B. Wholesalers of:

Beauty and barber supplies

Coffee, tea and spices

Dairy and poultry products

Fresh fruits and vegetables

General groceries

Grain

Meat and meat products

Tobacco and tobacco products

Laundry and dry cleaning supplies

Paper products;

C. Manufacturers of:

Grain mill products

Frozen fruit and vegetable products

Hosiery

Meat packing and products

Mining and minerals, exploration and excavation

Vegetable oils;

D. Services of:

Telephone companies

E. Any other business not set forth in this section operating on a net profit before taxes of up to two percent.

(Ord. 191 Art. 2 § 2, 1978)

Class B, 2.01 percent to 6.00 percent profit before taxes, shall consist of:

A. Retailers of:

Aircraft

Books and stationery

Clothing and shoes

Office supplies and equipment

Building materials

Hardware

Heating and plumbing equipment

Lumber

Cameras and photographic supplies

Department stores

General merchandise

Drugs

Farm equipment

Farm and garden supplies

Flowers and plants

Restaurants

Fuel oil

Floor coverings

Furniture

Liquor stores

Household appliances

Radios, TV's and record players

Jewelry

Gasoline service stations

Mobile homes

Motorcycles

Tires, batteries and accessories

Pets, birds, cats or dogs

Musical instruments and supplies

Rock, sand, gravel and cement

Sporting goods and bicycles

Vending machine operators (all types: music, food, amusement, etc.)

B. Wholesalers of:

Automobiles and other motor vehicles

Automotive equipment

Tires and tubes

Chemicals and allied products

Drugs and druggist supplies

Electrical supplies and apparatus

Electronic parts and equipment

Radios, refrigerators and electrical appliances

Flowers and florists' supplies

Fish and sea foods

Frozen foods

Floor covering

Furniture

General merchandise

Heating and air-conditioning equipment

Hardware and paints

Plumbing and heating equipment

Jewelry

Building materials

Lumber and mill work

Agricultural equipment

Commercial machines and equipment

Construction machinery and equipment

Professional equipment and supplies

Restaurant and hotel supplies, fixtures and equipment

Fuel oil

Petroleum products

Sporting goods and toys

Dry goods

Footwear;

C. Manufacturers of:

Advertising displays and devices

Canvas products

Clothing

Curtains and draperies

Furniture, household

Caskets and burial supplies

Industrial chemicals

Bread and bakery products

Fruits and vegetables, canned and dried

Dairy products

Feed for animals and poultry

Fixtures, store, office, bar and restaurant

Jewelry

Tanning and finishing of hides

Prefabricated wood buildings

Wood boxes and containers

Electronic components and accessories

Electric lighting fixtures

Ball and roller bearings

Electronic computing equipment

Machine shops, jobbing and repairing

Dies and tools

Industrial machinery

Iron and steel forging

Fabricated structural steel

Heating equipment

Paper products

Commercial printers

Plastic products

Concrete and cement

Broad woven fabrics

Dyeing and finishing

Yarn, cotton, silk and synthetic

Aircraft parts

Mobile homes, travel trailers and campers

Motor vehicles

Boat building and repairing;

D. Services of:

Auto rental and leasing

Auto storage and parking

Warehousing and storage

Transportation services

Linen supply

Trucking and storage

Theaters, moving pictures

Travel agencies

Feed lots, beef cattle

Bottlers, soft drinks

Horticultural services;

E. Any other business not set forth in this section operating on a net profit before taxes of 2.01 percent to 6.00 percent.

(Ord. 191 Art. 2 § 3, 1978)

Class C, 6.01 percent to 10.00 percent profit before taxes, shall consist of:

A. Retailers of:

Paint, glass and wallpaper

Luggage and gifts;

B. Manufacturers of:

Furs

Hats

Fertilizers

Paints, varnish and lacquer

Plastic materials

Soap and other detergents

Candy and confectionery supplies

Mattresses and bedsprings

Metal furniture

Footwear

Luggage and leather products

Sawmills and planing mills

Electrical appliances

Radios, TV's and phonographs

Heating and air-conditioning equipment

Construction equipment

Farm machinery and equipment

Laboratory, scientific and research instruments

Photographic equipment and supplies

Surgical, medical and dental instruments and supplies

Cutlery, hand tools and general hardware

Metal cans

Metal doors, frames, molding and trim

Screw machine products

Valves and pipe fittings

Book publishing and printing

Brick and structural clay tile

Concrete brick, block and other products

Glass and glassware

Games and toys

Sporting and athletic goods

Motor vehicle parts and accessories;

C. Services of:

Advertising agencies

Radio stations

Auto repair shops

Car washes

Direct mail advertising

Mobile home parks

Rentals (four units or more)

Equipment rental and leasing

Janitorial services

Management, consulting and public relations services

Motels, hotels and tourist courts

Photographic studios

Real estate holding companies

Refrigerated warehousing

Contractors possessing any state contractor's license

D. Any other business not set forth in this section operating on a net profit before taxes of 6.01 percent to 10.00 percent.

(Ord. 191 Art. 2 § 4, 1978; Ord. 201 § 2, 1978)

Class D, 10.01 percent and over profit before taxes, shall consist of:

A. Wholesaler of:

Confectionery;

B. Manufacturers of:

Drugs and medicines

Perfumes, cosmetics and other toiletries;

C. Services of:

Accountant, auditing and bookkeeping

Barbers and beauty shops

Bowling alleys

Christmas tree lot sales

Data processing service

Employment agencies

Funeral service and crematories

Outdoor advertising

Real-estate agents and brokers

Schools, trade, private instruction

TV stations

Water utility companies

Appraiser

Architect

Attorney at law

Assayer

Bacteriologist

Chemist or chemical laboratory

Massage parlor, public baths

Night clubs, bars

Hypnotist

Chiropractor

Civil engineer

Collection agency

Dental laboratory

Dentist

Electrical engineer

Engineer (state-licensed and not otherwise specifically included within any other classification)

Geologist

Golf course

Hydraulic or mining engineer

Insurance adjuster

Junk dealer

Mechanical engineer

Medical laboratory

Optician

Optometrist

Osteopath

Pawn broker

Physician

Podiatrist

Structural engineer

Stock and bond broker

Surgeon

Surveyor

Taxidermist

Veterinarian

D. Any other business not set forth in this section operating on a net profit before taxes of 10.01 percent or above.

(Ord. 191 Art. 2 § 5, 1978; Ord. 201 § 3, 1978)

A. Any person who maintains a fixed place of business in the city and whose gross receipts from the sale of goods is attributable to business activity both inside and outside the city, may apportion such gross receipts and deduct from one hundred percent of gross receipts the percentage deemed to be directly attributable to selling activities carried on outside the city. The licensee may deduct, to the extent appropriate, but in no case in an amount greater than, the following percentages of those sales performed at a place or location outside the city:

1. Up to thirty percent for the location where the sale is negotiated or solicited by the taxpayer, through the physical presence of himself, his or her employees or his or her agents;

2. Up to twenty percent for the sales office which serves as the base of operations for sales activities, or if there is no sales office which serves as a base of operations, the office from which the sales activities are directed or controlled;

3. Up to ten percent for the locations where orders or contracts are accepted or approved. Such acceptance or approval shall be deemed to take place at the location of the office specified in subdivision 2 of this subsection unless there is clear and conclusive evidence that a binding acceptance or approval occurs elsewhere;

4. Up to twenty percent for any facility, operated by the taxpayer, where the goods, wares or merchandise are stored immediately prior to shipment or delivery;

5. Up to five percent for the location which gives the order for, or arranges for, the shipment or delivery of articles sold;

6. Up to five percent for the place where billing procedures are performed;

7. Up to five percent for the place where the collecting of receipts is performed;

8. Up to five percent for the place to which merchandise is delivered by vehicles operated by the taxpayer.

B. Any person who believes that the percentage determined to be allowable as a deduction from gross receipts under this section is less than the facts justify may apply to the city 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 or her determination on the basis of evidence presented to him and such other evidence as he may have 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 provisions of this section 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 warranted.

D. Any variation from the percentages provided for under this ruling shall be approved in writing by the collector.

(Ord. 191 Art. 2 § 6, 1978)

A. In any case where a licensee or an applicant for a license believes that his or her individual business is not assigned to the proper classification under this chapter because of circumstances peculiar to it, as distinguished from other businesses of the same kind, may apply to the city 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 or she shall assign the applicant's individual business to the classification shown to be proper on the basis of such investigation. The reclassification shall not be retroactive, but shall apply at the time of the next regular ensuing calculation of the applicant's tax. No business shall be classified more than once in one year.

B. The collector 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 at Loma Linda, California, postage prepaid, addressed to the applicant at his or her last known address.

C. The applicant may within fifteen days after the serving of such notice make written request to the collector for a hearing on his or her 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 city 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 prescribed in this section for serving notice of the action taken on the application for reclassification. The council shall consider all evidence adduced, and its findings thereon shall be final. Written notice of such findings shall be served upon the applicant in the manner prescribed in this section for service of notice of the action taken on the application for reclassification.

(Ord. 191 Art. 2 § 7, 1978)