Sonora Municipal Code § 5.10 Business Licenses

"Business" means professions, trades, occupations of all and every kind of calling, whether or not carried on for profit.

"City" means the City of Sonora, a municipal corporation of the state of California.

"Collector" means the city finance director, or other city officer/employee charged with the administration of this chapter.

"Person" means all domestic and foreign corporations, associations, syndicated, joint stock companies, corporations, partnerships of every kind, clubs, businesses, or common law trusts, societies and individuals transacting and carrying on any business in the city, other than as an employee.

"Sale" means the transfer in any manner or by any means whatsoever of title to property for a consideration; the serving, supplying, or furnishing for a consideration of any property; and a transaction whereby the possession of property is transferred and the seller retains the title as security for the payment of the results in a sale within the contemplation of law.

"Service" means any duties performed as an occupation.

"Sworn statement" means an affidavit sworn to before a person authorized to take oaths, or in California a declaration or certification made under penalty of perjury.

(Adopted by Ord. 654 on 8/20/1990)

This chapter is enacted solely to raise revenue for municipal purposes, and is not intended for regulation.

(Adopted by Ord. 654 on 8/20/1990)

Persons required to pay a license tax for transacting and carrying on any business under this chapter shall not be relieved from the payment of any license tax for the privilege of doing such business required under any other ordinance of the city, and shall remain subject to the regulatory provisions of other ordinances.

(Adopted by Ord. 654 on 8/20/1990)

None of the license taxes provided for by this chapter shall be so applied as to occasion an undue burden upon interstate commerce or be violative of the equal protection and due process clauses of the constitutions of the United States and of the state of California.

(Adopted by Ord. 654 on 8/20/1990)

A. Nothing in this chapter shall be deemed or construed to apply to any person transacting or carrying on any business exempt by virtue of the constitution or applicable statutes of the United States or the state of California from the payment of such taxes as are herein prescribed.

B. Members of an organization, organized for charitable, service, or religious purposes, engaged in fund raising activities for such organization, provided the proceeds from such activities do not inure to the benefit of such member of the organization shall be exempt from paying a license tax; however, they shall be required to obtain a non-profit business license from the collector. The collector may require proof of non-profit status.

C. The collector, after giving notice and a reasonable opportunity for hearing to a licensee, may revoke any non-profit license granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption as provided herein.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 700 on 11/21/1994)

A. There are imposed upon the businesses, trades, professions, callings and occupations specified in this chapter license taxes in the amounts hereinafter prescribed. It is unlawful for any person to transact and carry on any business, trade, profession, calling or occupation in the city without first having procured a license from the city to do so and paying the tax hereinafter prescribed or without complying with any and all applicable provisions of this chapter.

B. As a prerequisite to the issuance of any license herein, the applicant may be required to submit to the collector a copy of his/her sales tax permit or sellers permit (pursuant to the requirements of Revenue and Tax Code Section 6067) which clearly designates the city as his/her place of business.

C. For those person(s) who have a fixed place of business and do not physically occupy such fixed place, shall not be subject to a City of Sonora business license, however said person(s) shall be considered a non-primary business for the reporting of the benefit zone charge.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 661 on 1/7/1991)

A separate license must be obtained for each branch establishment, located in the city limits of Sonora, or location of the business transacted or carried on, within the city limits of Sonora.

(Adopted by Ord. 654 on 8/20/1990)

When a person by use of a sign, circulars, cards, telephone book, newspapers, advertisements, holds out or represents that he/she is in business in the city, or when any person holds a current license or permit issued by a governmental agency indicating that he/she is in business in the city, or when any person seeks to initiate or maintain a home business as described within Chapter 17.59 in any residential zone, or any such person fails to deny by a sworn statement given to the collector that he/she is not conducting a business in the city, after being requested to do so by the collector, then these facts shall be considered prima facie evidence that he/she is conducting a business in the city.

(Adopted by Ord. 654 on 8/20/1990)

Editor's note— Ord. 661, adopted Jan. 7, 1991, deleted former Section 5.10.090, which pertained to consignment sales and derived from Ord. 654, adopted Aug. 20, 1990.

(Adopted by Ord. 654 on 8/20/1990; Repealed by Ord. 661 on 1/7/1991)

Prior to filing with the collector for a new license, or for transferring a license, the applicant shall make proper application through the building and planning department for an occupancy permit. Such occupancy permit must be submitted to the collector prior to said license being issued or transferred. Cost of said occupancy permit shall be borne by the licensee and shall not be construed as part of the license tax.

(Adopted by Ord. 654 on 8/20/1990)

A. Every person(s) required to have a license under the provisions of this chapter shall make application as hereinafter prescribed for the same to the collector of the city, and upon the payment of the prescribed license tax, the collector shall issue to such person a license which shall contain the following information:

1. The name of the business;

2. The name of the person to whom the license is issued;

3. The business license number;

4. The place where such business is to be transacted and carried on;

5. The date of the expiration of such license; and

6. Such other information as may be necessary for the enforcement of the provisions of this chapter.

Every person whose business will be conducted in the homes of other people, within the city limits of Sonora, shall first obtain a "Letter of Acknowledgement" from the chief of police or his/her designee. The "Letter of Acknowledgement" shall be issued in the same manner as specified in Chapter 5.12 of the Sonora Municipal Code.

For a home business (as described in Chapter 17.59) an application may contain special conditions regarding the conduct of such business, as deemed necessary by the community development director to maintain the peaceful and harmonious character of the residential neighborhood. Such conditions may extend to a prohibition of walk-in customers, placement of limits on the size of the clientele, limitation of the hours of operation or an imposition of other reasonable sanctions required to preserve the integrity of the area.

Whenever the tax imposed under the provisions of this chapter is measured by the number of employees, vehicles, devices, machines, used by the licensee, the collector shall issue only one license; provided that he/she may issue for each tax period for which the license tax has been paid one identification sticker tag, plate, or symbol for each item included in the measure of the tax.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 700 on 11/21/1994)

A. Upon a person making application for the first license to be issued hereunder or for a newly established business, or for the transferring of ownership of a business, an application form will be submitted to the collector, setting forth the following information:

1. The exact nature or kind of business for which a license is required;

2. The place where such business is to be carried on, and if not to be carried on at any permanent place of business, the places of residence of the owners of the same business;

3. In the event that application is made for the issuance of a license to a person doing business under a fictitious name, the fictitious name will be handled by the county of Tuolumne, county clerk.

4. In the event that the application is made for the issuance of a license to a corporation or a partnership, the application shall set forth the names and places of residence of the officers or partners thereof;

5. The state board of equalization resale number and/or a state contractor's license number.

6. Any further information which the collector may require to enable him/her to issue the appropriate type of license.

B. First licenses shall be issued within six working days of the completed application being accepted by the collector. Such application shall not be considered complete until, if applicable, a current occupancy permit has been issued, and/or, a clearance from the police department has been issued.

C. Proration of charges for a business license will be as follows: If a person(s) starts a business during the first half of the calendar year (January 1 through June 30), said business will be charged for a full calendar year. If the person(s) starts a business during the second half of the calendar year (July 1 through December 31), said business will be charged for half a calendar year.

D. The only exception to paragraph C shall be those businesses which commence during the month of December. A business will not be required to obtain a current calendar year's license, if, they pay for the following year's license during December of the current year. If said business does not elect to pay for the following year, said business will pay for half a calendar year, covering the business license for the current year.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 659 on 11/19/1990; Amended by Ord. 673 on 12/16/1991)

A. In all cases, the applicant for the renewal of a license shall submit to the collector, on a form provided by the collector, the amount of the license tax to be paid by the applicant. The form shall include such information concerning the applicant's business as may be required by the collector to enable him/her to ascertain that the amount of the license tax to be paid by said applicant pursuant to the provisions of this chapter is correct. Such form shall be mailed to the license holder by December 1 of each year. The completed form and payment, as determined by completing said form, shall be due back to the collector by the following January 1, with said payment being delinquent if not received by January 31 of said year. (Example: Form mailed by December 1, 1990, is due back to collector by January 1, 1991, with payment being delinquent if not received by January 31, 1991.) POSTMARKS WILL NOT BE ACCEPTED.

B. No statements shall be conclusive as to the matters set forth herein nor shall the filing of the same preclude the city from collecting by appropriate action such sum as is actually due and payable hereunder.

(Adopted by Ord. 654 on 8/20/1990)

It is unlawful for the collector or any person having an administrative duty under the provisions of this chapter to make known in any manner whatever, the business affairs, operations, or information furnished or secured pursuant to the provisions of this chapter; provided that nothing in this section shall be construed to prevent:

A. The disclosure to, or the examination of records and equipment by, another city official, employee, or agent for collection of taxes for the sole purpose of administering or enforcing any provisions of this chapter, or collecting taxes imposed hereunder.

B. The disclosure of information to, or the examination of records by, federal or state officials.

C. The disclosure of information to a court of law in a proceeding brought to determine the existence or amount of any license tax liability of the particular taxpayer to the city.

D. The disclosure after the filing of a written request to that effect, to the taxpayer himself/herself, or to his/her successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, of information as to the items in the measure of any paid tax, any unpaid tax or amounts of tax required to be collected, interest and penalties; provided further, however, that the city attorney approves each such disclosure and that the collector may refuse to make any disclosure referred to in this paragraph when in his/her opinion the public interest would suffer thereby.

E. The disclosure of the names and addresses of persons to whom licenses have been issued, and the general type or nature of their business; last known address and telephone number.

F. The disclosure by way of public meeting or otherwise of such information as may be necessary to the city council in order to be fully advised as to the facts when a taxpayer files a claim for refund of license taxes, or submits an offer of compromise with regard to a claim asserted against him/her by the city for license taxes, or when acting upon any other matter.

G. The disclosure of general statistics regarding taxes collected or business done in the city.

(Adopted by Ord. 654 on 8/20/1990)

A. If any person fails to file any required statement within the time prescribed, or if after demand therefore made by the collector he/she fails to file a corrected statement, or if any person subject to the tax imposed by this chapter fails to apply for a license, the collector may determine the amount of license tax due from such person by means of such information as obtainable.

B. If the collector is not satisfied with the information supplied in applications filed, he/she may determine the amount of any license tax due by means of any information he/she may be able to obtain.

C. Penalties and interest may be charged for persons who do business in the city limits of Sonora but have not obtained a business license. Penalties shall be charged, per Section 5.10.220 of this chapter, if a person fraudulently avoids obtaining a business license. Interest shall be charged from the date the person began doing business in the City of Sonora until the date the business license is paid.

D. If such a determination is made, the collector shall give notice of the amount so assessed by certified letter. Such person may, within fifteen days after the mailing of such notice, make application in writing to the collector for a hearing on the amount of the license tax. If such application is made, the collector shall cause the matter to be set for hearing within fifteen days before the city council. The collector shall give at least ten days' notice to such person of the time and place of hearing in the manner prescribed above for serving notices of assessment. The council shall consider all evidence produced, and shall make findings thereon, which shall be final. Notice of such findings shall be served upon the applicant in the manner prescribed above for serving notices of assessment.

(Adopted by Ord. 654 on 8/20/1990)

Any person aggrieved by any decision of the collector with respect to the issuance or refusal to issue such license may appeal to the council by filing a notice of appeal with the city administrator. The council shall thereupon fix a time and place for hearing such appeal. The city administrator or designee shall give notice to such person of the time and place of hearing by sending notice by certified mail. The council shall have the authority to determine all questions raised on such appeal. No such determination shall conflict with any substantive provision of this text. The council shall make findings, thereon, which shall be final.

(Adopted by Ord. 654 on 8/20/1990)

A. In addition to all other power conferred upon him/her, the collector shall have the power, for good cause shown, to extend the time for filing any required application for a period of not exceeding thirty days, and in such case to waive any penalty that would otherwise have occurred, except that interest at the rate of simple twelve percent annual interest shall be added to any tax determined to be payable.

(Adopted by Ord. 654 on 8/20/1990)

No license issued pursuant to this chapter shall be transferable; except as provided in this section upon payment of the established fee.

A. A business license may be amended to authorize the transacting and carrying on of a business under said license at some other location to which the business is or is to be moved; however, a separate license must be obtained for each branch location as stated in Section 5.10.070.

B. A business license may be amended to reflect the change in a business name, as long as the parties owning said business do not change.

C. An administrative fee of twenty dollars shall be collected for the issuance of an amended license.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 673 on 12/16/1991; Amended by Ord. 700 on 11/21/1994)

A duplicate license may be issued by the collector to replace any license previously issued hereunder which has been lost or destroyed upon the licensee filing statement of such fact, and at the time of filing such statement, paying to the collector the established fee of twenty dollars for issuance of duplicate license.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 700 on 11/21/1994)

A. Any licensee transacting and carrying on business at a fixed place of business in the city shall keep the license posted in a conspicuous place upon the premises where such business is carried on.

B. Any licensee transacting and carrying on business but not operating at a fixed place of business in the city shall keep the license upon his/her person at all times while transacting and carrying on the business for which it is issued.

C. Whenever identifying sticker, tags, plates, or symbols have been issued for each vehicle, device, machine, or other piece of equipment included in the measure of a license tax, the person to whom such stickers, tags, plates, or symbols have been issued shall keep firmly affixed upon each vehicle, device, machine, or piece of equipment the identifying sticker, tag, plate, or symbol which has been issued therefore at such locations as are designated by the collector. Such sticker, tag, plate, or symbol shall not be removed from any vehicle, device, machine, or piece of equipment kept in use during the period for which the sticker, tag, place, or symbol is issued.

D. No person shall fail to affix as required herein any identifying sticker, tag, plate, or symbol to the vehicle, device, machine, or piece of equipment for which it has been issued at the location designated by the collector, or shall give away, sell, or transfer such identifying sticker, tag, plate, or symbol to another person, or to permit its use by another person.

(Adopted by Ord. 654 on 8/20/1990)

A. Unless otherwise specifically provided, all annual license taxes, under the provisions of this chapter, shall be due the first day of January of each year, and delinquent on the following January 31.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 700 on 11/21/1994)

A. For failure to pay a license tax when due, the collector shall add a penalty of twenty dollars per month for each month the license fee is late.

B. In addition to the penalties imposed, any license holder who fails to remit any tax imposed by this chapter shall pay interest at the rate of one percent per month, on the unpaid amount of the tax, exclusive of penalties, from the date on which the remittance first becomes delinquent until paid. For example, interest shall be assessed on February 1, if payment for an annual business license has not been received by January 31.

C. No license shall be issued, to any license holder who, at the time of applying therefore, is indebted to the city for any delinquent license taxes, unless such person, with the consent of the collector, enters into a written agreement with the city, through the collector, to pay such delinquent taxes plus twelve percent simple annual interest upon the unpaid balance, in monthly installments or more often, extending over a period of not to exceed three months.

D. In any agreement entered into, for the payment of delinquent taxes, such person shall acknowledge the obligation owed to the City and agree that, in the event of failure to make timely payment of any installment, the whole amount unpaid shall become immediately due and payable, and that their current license shall be revocable by the collector upon thirty days' notice. In the event legal action is brought by the city to enforce collection of any amount included in the agreement, such person shall pay all costs of suit incurred by the city or its assignee, including reasonable attorney fees. The execution of such an agreement shall not prevent the prior accrual of penalties on unpaid balances at the rate provided hereinabove, but no penalties shall accrue on the amount of taxes included in the agreement after the execution of the agreement, and the payment of the first installment and during such time as such person shall not be in breach of the agreement.

E. No license shall be issued to any licensee whose license has been suspended or revoked by the city until such suspension or revocation has been lifted.

F. The City shall not be required to give notice of delinquency prior to penalties and interest being put into effect.

G. A penalty of ten dollars shall be added to any balance owed for any checks returned to the city due to non-sufficient funds. Non-sufficient fund checks will not be redeposited.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 673 on 12/16/1991; Amended by Ord. 700 on 11/21/1994)

Any person who or which violates any of the provisions of this chapter is guilty of a misdemeanor, under Section 594 of the California Penal Code and shall, upon conviction thereof, be punished by a fine of not to exceed one thousand dollars, or by imprisonment in the county jail for a period not to exceed six months, or by both such fine and imprisonment.

(Adopted by Ord. 654 on 8/20/1990)

A. No refund of an overpayment of taxes imposed by this chapter shall be allowed in whole or in part unless a claim for a refund is filed with the collector within a period of one year from the last day of the calendar month following the period for which the overpayment was made, and all such claims for refund of the amount of overpayment must be filed with the collector on forms furnished by him/her and in the manner prescribed by him/her. Upon the filing of such a claim and when he/she determines that an overpayment has been made, the collector may refund the amount overpaid. Overpayments of less than twenty dollars shall not be refunded.

B. Business licenses are due in advance, no refunds will be made for any unexpired portion of a business license.

C. Any person(s) who pays a business license fee and requests a refund within five working days from the date of submittal of the business license fee shall receive a full refund. An administrative fee of twenty dollars will be collected to process the refund.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 700 on 11/21/1994)

A. Fixed Placed of Business. Every person engaged at a fixed place of business in the city in any trade, calling, occupation, vocation, or other means of livelihood, and not specifically licensed by other provisions of this chapter, shall pay a license tax as follows:

B. No Fixed Place of Business. Every person engaged in any trade, calling, occupation, vocation, or other means of livelihood, at other than a permanent place of business and not specifically licensed by other provisions of this chapter, shall be subject to the conditions set forth in Chapter 5.12.

C. The number of employees for the annual business license shall be determined by the number of employees on the payroll for the period ended September 30 of the preceding year for which the business license is due. If a business begins after September 30, the number of employees, for the initial full year, shall be determined by the collector and applicant.

D. Flat Amount. Every person commencing, transacting, and carrying on any business herein enumerated shall pay a license tax as follows:

E. Coin Machines-Outside Owner. Every person commencing, transacting and carrying on at other than a fixed place of business in the city the business of lending, renting, leasing, or otherwise distributing any coin-operated machine while retaining title thereto, shall pay an annual license tax of ten dollars for each machine.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 662 on 2/19/1991; Amended by Ord. 673 on 12/16/1991; Amended by Ord. 681 on 9/8/1992; Amended by Ord. 688 on 1/18/1994; Amended by Ord. 700 on 11/21/1994)

Fees, interest penalties and the business license tax shall be amended by resolution.

(Adopted by Ord. 654 on 8/20/1990; Amended by Ord. 673 on 12/16/1991; Amended by Ord. 681 on 9/8/1992)