Sonora Municipal Code § 3.40 Tuolumne County Traffic Authority Transactions and Use Tax

This chapter shall be known as the "Tuolumne County Traffic Authority Transactions and Use Tax Ordinance." Such traffic authority shall be referred to herein as "district".

(Ord. 624 § 1, 1986.)

"Operative date" means [pursuant to Public Utilities Code Section 150204] the first day of the first calendar quarter commencing more than one hundred twenty days after adoption of the ordinance codified in this chapter, the effective date of such adoption being as set forth in Section 15 of Ordinance 624.

(Ord. 624 § 2, 1986.)

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 impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Revenue and Taxation Code Section 7251) of Division 2 of the Revenue and Taxation Code and Public Utilities Code Section 150000, et. seq., which directs the city council to adopt the tax ordinance for voter approval exercising the taxing power granted to the Tuolumne County Traffic Authority in Public Utilities Code Sections 150201 and 150206, on behalf of said authority;

B. To adopt a retail transactions 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 1.6 of Division 2 of the Revenue and Taxation Code;

C. To adopt a retail transactions and use tax ordinance which imposes a 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 taxes;

D. To adopt a retail transactions and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions 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;

E. To improve, expand and construct those certain streets and highways shown on the city expenditure plan as adopted on July 21, 1986, in accordance with the provisions of Public Utilities Code Sections 150202 and 150205;

F. To permit the traffic authority to issue bonds payable solely from the proceeds of this tax;

G. To set a maximum term of fifteen years during which time this tax shall be imposed pursuant to the authority specified in Public Utilities Codes Sections 150201 and 150202.

(Ord. 624 § 3, 1986.)

Prior to the operative date of the ordinance codified in this chapter, this district shall contract with the state board of equalization to perform all functions incident to the administration and operation of this transactions and use tax chapter; provided, that if this district shall not have contracted with the state board of equalization prior to the operative date of the ordinance codified in this chapter, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

(Ord. 624 § 4, 1986.)

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in this district at the rate of one percent of the gross receipts of any retailer from the sale of all tangible personal property sold at a retail in this district on and after the operative date of the ordinance codified in this chapter.

(Ord. 624 § 5, 1986.)

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 state board of equalization.

(Ord. 624 § 6, 1986.)

An excise tax is hereby imposed on the storage, use or other consumption in this district of tangible personal property purchased from any retailer on and after the operative date for storage, use or other consumption in this district at the rate of one percent 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. 624 § 7, 1986.)

Except as otherwise provided in this chapter and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of the Revenue and Taxation Code are adopted and made a part of this chapter as though fully set forth herein.

(Ord. 624 § 8, 1986.)

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the state is named or referred to as the taxing agency, the name of this district shall be substituted therefor. The substitution, however, shall not be made when the word "state" is used as part of the title of the state controller, state treasurer, state board of control, state board of equalization, state treasury, or the constitution of the state; the substitution shall not be made when the result of that substitution would require action to be taken by or against this district or any agency, officer, or employee thereof rather than by or against the state board of equalization, in performing the functions incident to the administration or operation of this chapter; the substitution shall not be 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 sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain 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 sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provisions of that code; the substitution shall not be made in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code. The name of this district shall be substituted for the word "state" in the phrase "retailer engaged in business in this state" in Section 6203 and in the definition of that phrase in Section 6203. A retailer engaged in business in the district shall not be required to collect use tax from the purchaser of tangible personal property unless the retailer ships or delivers the property into the district or participates within the district in making the sale of the property, including, but not limited to soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the district or through any representative, agent, canvasser, solicitor, subsidiary or person in the district under authority of the retailer.

(Ord. 624 § 9, 1986.)

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

(Ord. 624 § 10, 1986.)

A. There shall be excluded from the measure the transactions tax and the use tax the amount of any sales tax or use tax imposed by the state or by any city, city and county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax gross receipts from:

1. Sales of tangible personal property to operators of waterborne vessels to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the carriage of persons or property in such vessels for commercial purposes;

2. Sales 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 aircraft as common carriers of persons or property under the authority of the laws of this state, the United States, or any foreign government;

3. Sales of property to be used outside the district which is shipped to a point outside the district, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the district shall be satisfied:

a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessel registered under Article 2 (commencing with Section 680) of Chapter 5 of Division 3 of the Harbors and Navigation Code by registration to an out-of-District address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his principal place of residence,

b. With respect to commercial vehicles by registration to a place of business out-of-district, and a declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address:

4. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of the ordinance codified in this chapter;

5. A lease of tangible personal property which is a continuing sale of such property for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior or the operative date of the ordinance codified in this chapter;

6. For the purposes of subsections 4 and 5, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There is exempted from the use tax imposed by this chapter the storage, use or other consumption in this district of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use taxes ordinance;

2. 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;

3. 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 certificate of public convenience and necessity issued pursuant to the laws of this state, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the state;

4. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of the ordinance codified in this chapter;

5. Or the possession of, or the exercise of any right or power over, tangible personal property under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of the ordinance codified in this chapter;

6. For the purposes of subsections 4 and 5, storage, use, or other consumption, or possession, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

(Ord. 624 § 11, 1986.)

All amendments, subsequent to the effective date of the ordinance codified in this chapter, to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 of Division 2 of the Revenue and Taxation Code shall automatically become a part of this chapter; provided, however, that no such amendment shall operate so as to affect the rate of tax imposed by this chapter.

(Ord. 624 § 12, 1986.)

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 district, or against any officer of the state or this district, to prevent or enjoin the collection under this chapter, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

(Ord. 624 § 13, 1986.)

If any provision of this chapter or the application thereof to any person or circumstance is held invalid, the remainder of the chapter and the application of such provision to other persons or circumstances shall not be affected thereby.

(Ord. 624 § 14, 1986.)