Petaluma Municipal Code Ch. 4.16 Sales and Use TAX1

1 Editor’s Note: For statutory provisions regarding the Uniform Local Sales and Use Tax Act, see Rev. and Tax

Code § 7200 et seq. For statutory provisions authorizing cities to impose sales and use taxes, see gov. Code

§ 37101.

This chapter shall be known as the "Uniform Local Sales and Use Tax Law" of the city. (Ord. 444 NCS §1; prior code

§23.5.)

The city council declares that-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 sales and use tax regulations which comply with the requirements and limitations contained in Part

1.5 of Division 2 of the Revenue and Taxation Code of the state;

B. To adopt sales and use tax regulations which incorporate 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 State Revenue and Taxation Code;

C. To adopt sales and use tax regulations which impose a 0.875 percent tax from July 1, 1956 to and including

June 30, 1969; to impose a 0.900 percent tax on or after July 1, 1968 to and including June 30, 1969; to impose a

0.925 percent tax on or after July 1, 1969 to and including June 30, 1970; to impose a 0.950 percent tax on or after

July 1, 1970 to and including September 30, 1984; and to impose a 0.975 percent tax on or after October 1, 1984

and each every year thereafter and provide a measure therefor that can be administered and collected by the

State Board of Equalization in a manner that adapts itself as fully as practical 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 state sales and use taxes;

D. To adopt sales and use tax regulations 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 State Revenue and Taxation Code, minimize

the cost of collecting city 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. 1587 NCS §1, 1984; Ord. 891 NCS §1; Ord. 444 NCS §2; prior code §23.6.)

This chapter shall become operative on July 1, 1956, and prior thereto the city shall contract with the State Board

of Equalization to perform all functions incident to the administration and operation of this sales and use tax;

provided, that if the city has not contracted with the State Board of Equalization, as provided in Section 4.16.020,

prior to July 1, 1956, the ordinance codiLed in this chapter shall not be operative until the Lrst day of the Lrst

calendar quarter following the execution of such a contract by the city and by the state board of equalization;

provided further, that this the ordinance codiLed in this chapter shall not become operative prior to the operative

date of the uniform local sales and use tax ordinance of the county. (Ord. 444 NCS §3; prior code §23.7.)

For the privilege of selling tangible personal property at retail, a tax is imposed upon all retailers in the city at the

rate of 0.875 percent from July 1, 1956 to and including June 30, 1968; to impose a 0.900 percent tax on or after

July 1, 1968 to and including June 30, 1969; to impose a 0.925 percent tax on or after July 1, 1969 to and including

June 30, 1970; to impose a 0.950 percent tax on or after July 1, 1970 to and including September 30, 1984; and to

impose a 0.975 percent tax on or after October 1, 1984 and each and every year thereafter of the gross receipts of

the retailer from the sale of all tangible personal property sold at retail in the city. (Ord. 1587 NCS §2, 1984; Ord.

891 NCS §2; Ord. 619 NCS §§2-4; Ord. 444 NCS §4; prior code §23.8(a)(1).)

For the purpose 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. 891 NCS §2; Ord. 619 NCS §§2-4;

Ord. 444 NCS §4; prior code §23.8(a)(2).)

tax.

Except as hereinafter provided, and except insofar as they are inconsistent with the provisions of Part 1.5 of

Division 2 of the State Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of such code, as

amended and in force and ePect on July 1, 1956, applicable to sales taxes, are adopted and made a part of this

section as though fully set forth in this section. (Ord. 891 NCS §2; Ord. 619 NCS §§2-4; Ord. 444 NCS §4; prior code

§23.8(b)(1).)

Whenever, 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 city shall be substituated therefor. Nothing in this subsection shall be deemed

to require the substitution of the name of the city 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 city 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 city 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 such 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

provisions of the Revenue and Taxation Code, and, in addition, the name of the city shall not be substituted for

that of the state in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 and 6828 of

such code as adopted. (Ord. 891 NCS §2; Ord. 619 NCS §§2-4; Ord. 444 NCS §4; prior code §23.8(b)(2).)

If a seller’s permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an

additional seller’s permit shall not be required by reason of this chapter. (Ord. 1111 NCS §2, 1973; Ord. 891 NCS

§2; Ord. 619 NCS §§2-4; Ord. 444 NCS §4; prior code §23.8(b)(3).)

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 of California upon a retailer or consumer,

B. The gross receipts from the sale of tangible personal property to operators of aircraft to be used or

consumed principally outside the city in which the sale is made and directly and exclusively in the use of such

aircraft as common carriers of persons or property under the authority of the laws of this state, the United States

or any foreign government.

(Ord. 1569 NCS §1, 1983; Ord. 891 NCS §2; Ord. 619 NCS §§2-4; Ord. 444 NCS §4; prior code §23.8(b)(4).)

This section shall be operative on the operative date of any act of the Legislature of the state of California which

amends or repeals and reenacts Section 7202 of the Revenue and Taxation Code to provide an exemption from

city sales and use taxes for operators of waterborne vessels in the same, or substantially the same language as

that existing in subdivisions (i)(7) and (i)(8) of Section 7202 of the Revenue and Taxation Code as those subdivisions

read on October 1, 1983.

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 of California upon a retailer or consumer,

B. The gross receipts from the sale of tangible personal property to operators of waterborne vessels to be used

or consumed principally outside the city in which the sale is made and directly and exclusively in the carriage of

persons or property in such vessels for commercial purposes; -

C. The gross receipts from the sale of tangible personal property to operators of aircraft to be used or

consumed principally outside the city in which the sale is made and directly and exclusively in the use of such

aircraft as common carriers of persons or property under the authority of the laws of this state, the United States

or any foreign government.

(Ord. 1569 NCS §2, 1983; Ord. 1111 NCS §3, 1973.)

An excise tax is imposed on the storage, use or other consumption in the city of tangible personal property

purchased from any retailer at the rate of 0.875 percent tax from July 1, 1956 to and including June 30, 1968; to

impose a 0.900 percent tax on or after July 1, 1968 to and including June 30, 1969; to impose a 0.925 percent at on

or after July 1, 1969 to and including June 30, 1970; to impose a 0.950 percent tax on or after July 1, 1970 to and

including September 30, 1984; and to impose a 0.975 percent tax on or after October 1, 1984, and each and every

year thereafter of the sales price of the property. 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. 1587 NCS §3, 1984;

Ord. 891 NCS §3; Ord. 619 NCS §§5, 6; Ord. 444 NCS §5; prior code §23.9(a).)

Except as hereinafter provided, and except insofar as they are inconsistent with the provisions of Part 1.5 of

Division 2 of the

Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of such code, as amended and in force and

ePect on July 1, 1956, applicable to use taxes are adopted and made a part of this section as though fully set forth

in this section. (Ord. 891 NCS §3; Ord. 619 NCS §§5, 6; Ord. 444 NCS §5; prior code §23.9(b)(1).)

Whenever, 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 city shall be substituted therefor. Nothing in this subsection shall

be deemed to require the substitution of the name of this city for the word "state" when that word is used as part

of the title of the State Controller, the State Treasurer, the Sate 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 city 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 city 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 referred 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, 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 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 city shall not be substituted for that of the

state in Sections 6701, 6702 (except in the last sentence hereof), 6711, 6715, 6737, 6797 and 6828 of the Revenue

and Taxation Code, as adopted, and the name of the city shall not be substituted for the word "state" in the phrase

"retailer engaged in business in this state" in Section 6203 nor in the deLnition of that phrase in Section 6203.

(Ord. 891 NCS §3; Ord. 619 NCS §§5, 6; Ord. 444 NCS §5; prior code §23.9(b)(2).)

There shall be exempt from the tax due under Section 4.16.100:

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 has been subject to sales tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of

Division 2 of the Revenue and Taxation Code by any city and county, county, or city in this state;

C. In addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and 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 persons or

property for hire or compensation under a certiLcate of public convenience and necessity issued pursuant to the

laws of this state, the United States or any foreign government.

(Ord. 1569 NCS §3, 1983; Ord. 891 NCS §3; Ord. 619 NCS §§5, 6; Ord. 444 NCS §8; prior code §23.9(b)(3).)

This section shall be operative on the operative date of any act of the Legislature of the state of California which

amends or repeals and reenacts Section 7202 of the Revenue and Taxation Code to provide an exemption from

the city sales and use taxes for operators of waterborne vessels in the same, or substantially the same, language

as that existing in subdivision (i)(7) and (i)(8) of Section 7202 of the Revenue and Taxation Code as those

subdivisions read on October 1, 1983.

There shall be exempt from the tax due under Section 4.16.100:

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

B. The storage, use or other consumption of tangible personal property, the gross receipts from the sale of

which has been subject to sales tax under a sales and use ordinance enacted in accordance with Part 1.5 of

Division 2 of the Revenue and Taxation Code by any city and county, county or city in this state;

C. The storage, use or other consumption of tangible personal property purchased by operators of waterborne

vessels and used or consumed by such operators directly and exclusively in the carriage of persons or property in

such vessels for commercial purposes;

D. In addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and 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 persons or

property for hire or compensation under a certiLcate of public convenience and necessity issued pursuant to the

laws of this state, the United States or any foreign government.

(Ord. 1569 NCS §4, 1983; Ord. 1111 NCS §4, 1973.)

All amendments of the Revenue and Taxation Code enacted after the ePective date of the ordinance codiLed in

this chapter which relate to the sales and use tax and which are not inconsistent with Part 1.5 of Division 2 of the

Sate Revenue and Taxation Code shall automatically become a part of this chapter. (Ord. 444 NCS §6; prior code

§23.10.)

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 the city, or against any oNcer of the state or the city, to prevent to enjoin the

collection under this chapter, Part 1.5 of Division 2 of the State Revenue and Taxation Code, of any tax or any

amount of tax required to be collected. (Ord. 444 NCS §7; prior code §23.11.)

of existing rights and liabilities.

At the time this chapter goes into operation, the provisions of Ordinance Nos. 442, N.C.S., and 433, N.C.S. (existing

city sales and use tax ordinances), shall be suspended and shall not again be of any force or ePect until and unless

for any reason the State Board of Equalization ceases to perform the functions incident to the administration and operation of the sales and use tax imposed; provided, however, that if for any reason it is determined that the city

is without power to adopt this chapter or that the State Board of Equalization is without power to perform the

functions incident to the administration and operation of the taxes imposed by this chapter, the provisions of

Ordinance Nos. 442, N.C.S., and 443, N.C.S. (existing city sales and use tax ordinances), shall not be deemed to

have been suspended, but shall be deemed to have been in full force and ePect at the rate of one percent

continuously from and after July 1, 1956. Upon the ceasing of the State Board of Equalization to perform the

functions incident to the administration and operation of the taxes imposed by this chapter, the provisions of

Ordinance Nos. 442, N.C.S., and 443, N.C.S. (existing city sales and use tax ordinances), shall again be in full force

and ePect at the rate of one percent. Nothing in this chapter shall be construed as relieving any person of the

obligation to pay to the city any sales or use tax accrued and owing by reason of the provisions of Ordinance Nos.

616 C.S., 619 C.S., 622 C.S., 625 C.S., 117 N.C.S. and 217 N.C.S., and all amendments thereto in force and ePect

prior to and including June 30, 1956. (Ord. 444 NCS §8; prior code §23.12.)