Merced County Municipal Code Ch. 5.24 Sales and Use Tax

The ordinance codified in this chapter shall be known as the Merced County Uniform Local Sales and Use Tax Ordinance.

(Ord. 327, 1956)

The board of supervisors of the county of Merced declares that the ordinance codified in this chapter is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A. To adopt a sales and use tax ordinance which complies with the requirements and limitations contained in Part 1.5 of Division 2 of Revenue and Taxation Code of the state;

B. To adopt a sales and use tax ordinance which incorporates provisions identical to those of the Sales and Use Tax Law of the state insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the said Revenue and Taxation Code;

C. To adopt a sales and use tax ordinance which imposes a one and one-quarter percent tax and provides a measure therefor that can be administered and collected by the State Board of Equalization in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Board of Equalization in administering and collecting the California State sales and use tax;

D. To adopt a sales and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the said Revenue and Taxation Code, minimize the cost of collecting county sales and use taxes and at the same time minimize the burden of record keeping upon persons subject to taxation under the provisions of this chapter.

(Ord. 327, 1956; Ord. 648, 1972)

For the privilege of selling tangible personal property at retail, a tax is imposed up on all retailers in the county at the rate of one percent of the gross receipts of the retailer from the sale of all tangible personal property sold at retail in the county on and after July 1, 1956, to and including June 30, 1972, and at the rate of one and one-quarter percent thereafter.

(Ord. 327, 1956; Ord. 648, 1972; Ord. 652, 1972)

For the purposes of this chapter, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the state or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the Board of Equalization.

(Ord. 327, 1956; Ord. 438, 1961)

A. Except as provided in this chapter, and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code of the state, all of the provisions of Part 1 of Division 2 of said Code, as amended and in force and effect on July 1, 1956, applicable to sales taxes are adopted and made a part of this section as though fully set forth herein.

B. Wherever, and to the extent that in Part 1 of Division 2 of the Revenue and Taxation Code the state is named or referred to as the taxing agency, the county shall be substituted therefor. Nothing in this section shall require the substitution of the name of the county for the word "State" when that word is used as part of the title of the State Controller, State Treasurer, the State Board of Control, the State Board of Equalization, or the name of the State Treasury, or of the Constitution of the state; nor shall the name of the county be substituted for that of the state in any section when the result of that substitution would require action to be taken by or against the county or any agency thereof, rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this chapter, and neither shall the substitution be deemed to have been made in those sections, including but not necessarily limited to, sections referring to the exterior boundaries of the state, where the result of the substitution would be to provide an exemption from this tax with respect to certain gross receipts which would not otherwise be exempt from this tax while those gross receipts remain subject to tax by the state under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code; nor to impose this tax with respect to certain gross receipts which would not be subject to tax by the state under the said provisions of that Code; and, in addition, the name of the county shall not be substituted for that of the state in §§ 6701, 6702, except in the last sentence thereof, 6711, 6715, 6737, 6797, and 6828 of the Revenue and Taxation Code as adopted.

C. If a seller's permit has been issued to a retailer under § 6067 of the Revenue and Taxation Code, an additional seller's permit shall not be required by reason of this section.

(Ord. 327, 1956; Ord. 648, 1972; Ord. 797, 1976)

There shall be excluded from the gross receipts by which the tax is measured:

A. The amount of any sales or use tax imposed by the state upon a retailer or consumer;

B. Eighty percent of the gross receipts from the sale of tangible personal property to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such authority of the laws of this state, the United States, or any foreign government.

(Ord. 327, 1956; Ord. 705, 1973; Ord. 1135, 1983)

[1]

Section 5.24.060 (Ord. 1135) will be operative on the operative date of any act of the Legislature of the State of California; which amends or repeals and reenacts §§ 7202 and 7203 of the Revenue and Taxation Code as it read on 10/1/83).

An excise tax is imposed on the storage, use or other consumption in the county of tangible personal property purchased from any retailer on or after July 1, 1956 for storage, use or other consumption in the county at the rate of one percent of the sales price of the property to and including June 30, 1972, and at the rate of one and one-quarter percent thereafter. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

(Ord. 327, 1956; Ord. 648, 1972; Ord. 652, 1972)

A. Except as provided in this chapter, and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code of the state, all of the provisions of Part 1 of Division 2 of said Code, as amended and in force and effect on July 1, 1956, applicable to use taxes, are hereby adopted and made a part of this section as though fully set forth herein.

B. Wherever, and to the extent that, in Part 1 of Division 2 of the Revenue and Taxation Code the state is named or referred to as the taxing agency, the name of this county shall be substituted therefor. Nothing in this subdivision shall require the substitution of the name of this county for the word "State" when that word is used as part of the title of the State Controller, the State Treasurer, the State Board of Control, the State Board of Equalization, or the name of the State Treasury, or of the Constitution of the state; nor shall the name of the county be substituted for that of the state in any section when the result of that substitution would require action to be taken by or against the county or any agency thereof rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this chapter; and neither shall the substitution be deemed to have been made in those sections, including but not necessarily limited to, sections referring to the exterior boundaries of the state where the result of the substitution would be to provide an exemption from this tax with respect to certain storage, would not otherwise be exempt from this tax while such storage, use or other consumption remains subject to tax by the state under the provisions of Part 1 of Division 2 of the said Revenue and Taxation Code, or to impose this tax with respect to certain storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such storage, use or other consumption remains subject to tax by the state under the provisions of Part 1 of Division 2 of the said Revenue and Taxation Code, or to impose this tax with respect to certain storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the provisions of that Code; and in addition, the name of the county shall not be substituted for that of the state in §§ 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 and 6828 of the Revenue & Taxation Code as adopted, and the name of the county shall not be substituted for the word "State" in § 6203 nor in the definition of that phrase in § 6203.

(Ord. 327, 1956; Ord. 438, 1961; Ord. 797, 1976)

There shall be exempt from the tax due under this section:

A. The amount of any sales or use tax imposed by the State of California upon a retailer or consumer;

B. The storage, use, or other consumption of tangible personal property, the gross receipts from the sale of which have been subject to sales tax under a sales and use tax chapter enacted in accordance with Part 1.5 of Division 2 of the Revenue & Taxation Code by any city and county, county, or city in this state, shall be exempt from the tax due under this chapter.

C. In addition to the exemptions provided in §§ 6366 and 6366.1 of the Revenue & Taxation Code, the storage, use, or other consumption of tangible personal property purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of person or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this state, the United States, or any foreign government is exempt from eighty percent of the tax.

(Ord. 327, 1956; Ord. 705, 1973; Ord. 1135, 1983)

[1]

Section 5.24.090, as amended by Ord. 1135, will be operative on the operative date of any act of the Legislature of the State of California, which amends or repeals and reenacts §§ 7202 and 7203 of the Revenue & Taxation Code as it read on 10/1/83.

Any person subject to sales or use tax or required to collect a use tax or required to collect a use tax under this chapter shall be entitled to credit against the payment of taxes due under this chapter the amount of sales and use tax due any city in this county, provided that the city sales and use tax is levied under an ordinance including provisions substantially conforming to the provisions of subdivisions (1) to (8), inclusive of subsection (h) of Section 7202 of the Revenue and Taxation Code, and other applicable provisions of Part 1.5 of Division 2 of that Code.

(Ord. 327, 1956; Ord. 705, 1973; Ord. 1135, 1983)

[1]

Section 5.24.100, as amended by Ord. 1135, will be operative on the operative date of any act of the Legislature of the State of California, which amends or repeals and reenacts §§ 7202 and 7203 of the Revenue & Taxation Code as it read on 10/1/83.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action, or proceeding in any court against the state or this county or against any officer of the state or this county to prevent or enjoin the collection under this chapter or Part 1.5 of Division 2 of the Revenue and Taxation Code of any tax or any amount of tax required to be collected.

(Ord. 327, 1956)

All amendments of the Revenue and Taxation Code enacted subsequent to July 1, 1956, which relate to the sales and use tax and which are not inconsistent with Part 1.5 of Division 2 of the Revenue and Taxation Code shall automatically become a part of this chapter.

(Ord. 327, 1956)

The ordinances codified in this chapter shall become inoperative on the first day of the first calendar quarter which commences more than 60 days following the date upon which any cities within the county increase the rate of its sales and use tax above the rate to be effective as follows:

January 1, 1975

July 1, 1975

July 1, 2017

January 1, 2024

January 1, 2029

(Ord. 327, 1956; Ord. 328, 1956; Ord. 660, 1972; Ord. 733, 1974; Ord. 744, 1974; Ord. 1952 § 1, 2017; Ord. 1982 § 1, 2019)

Any person 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 $500 or by imprisonment for a period of not more than six months in the County Jail or by both such fine and imprisonment.

(Ord. 327, 1956)