Ventura Municipal Code Art. 8 Tax Provisions

Each business in the city shall be classified into one of the following business classifications:

A. Administrative Headquarters. Any business operation where the principal business transacted consists of providing administrative or management-related services such as, but not limited to, record keeping, data processing, research, advertising, public relations, personnel administration, legal and corporate headquarters services, to other locations where the operations of the same business are conducted which lead more directly to the production of gross receipts.

B. Contractors. Any person who is licensed as a contractor by the state of California and who undertakes to or offers to undertake to or purports to have the capacity to undertake to or submits a bid to, or does themselves or by or through others, construct, alter, repair, add to, subtract from, improve, move, wreck or demolish any building, highway, road, railroad, excavation or other structure, project, development or improvement, or to do any part thereof, including the erection of scaffolding or other structures or works in connection therewith, is defined as a contractor. The term “contractor” includes subcontractor and specialty contractor.

C. Film television and movie production as defined in Section 4.155.420 that is not excluded from this chapter and not operating from a fixed place of business.

D. Itinerant Merchants, Swap Meet Operators, and Operators of Productions, Shows or Events With Booths or Exhibits.

1. Itinerant Merchants. Includes all persons, both principal and agent, who engage in a temporary or transient business in the city selling goods, wares, merchandise or service, and who, for the purpose of carrying on such business, hire, lease, or occupy any room, building, vacant lot or other facilities, or a portion thereof, including telephone solicitors for a concern other than nonprofit as defined by the collector. This definition shall not apply to commercial travelers, or selling agents, selling their goods to dealers by sample or for future delivery.

2. Swap Meet Operators and Operators of Productions. Includes shows or events with booths or exhibits as part of the operations, with a fixed place of business in the city or as a transient business.

E. Manufacturing. Any person conducting, managing or carrying on a business consisting mainly of manufacturing, packaging or processing any goods, wares, merchandise or produce, including publishing or publishing and printing or radio broadcasting or television broadcasting, or research and development, or music/film/television studio productions located in the city.

F. Miscellaneous. Any person engaged in a business not specifically classified by other provisions of this chapter and not otherwise exempt.

G. Professions. Any person, group, association, partnership, firm or corporation engaged in a profession or vocation licensed by the state of California, or related to a licensed profession or vocation, such as, but not limited to, physicians, dentists, attorneys, and certified public accountants.

H. Public Utilities. Any person engaged in the business of providing utility services to the general public or to private businesses, including such services as electrical, gas, sanitary and waste, recycling, cable television and telephone.

I. Recreation and Entertainment. Any person engaged in providing recreation, entertainment, or amusement opportunities. Examples of businesses within the recreation and entertainment classification include, but are not limited to, fitness centers, museums, theaters, dance halls, night clubs, golf courses, bowling, billiards, skill games and machines, machines dispensing prizes or toys, arcades, rides, shooting galleries, and fortune telling.

J. Rental of Nonresidential Property. Any person engaged in the business of renting or letting a building or structure to a tenant for purposes of conducting business such as commercial retail space, office buildings, warehouses or other nonresidential property use. Space occupied by an owner is exempt. Leasing agents and property managers are taxed under the business classification of services.

K. Rental of Residential Property. Any person engaged in the business of renting or letting four or more units, buildings or structures to tenants for purposes of dwelling, sleeping or lodging, such as apartments, duplexes, condominiums, single-family units or other residential property rental excluding hotels/motels.

L. Retailing. Any person conducting, managing or carrying on the business consisting mainly of selling at retail any goods, including newspapers, magazines, or periodicals. Restaurants and food services are included in this classification.

M. Services. Any person providing services, repairs or improvements to or on real and personal property; renting or leasing personal property to business or persons; leasing agents and property managers for real property; the operation of a hotel or motel; providing services such as, but not limited to, laundries, cleaning, repair, barber and beauty shops, photographic studios, telephone solicitors with a fixed place of business, day care, consultants, employment agency, graphic artist/design, advertising, yard care, travel agency, bookkeeping/secretarial and massage.

N. Solicitor, Peddler or Canvasser. Means any person who goes from place to place or from house to house taking or attempting to take orders for sale of goods, wares and merchandise, or personal property of any nature whatsoever for future delivery, or for services to be furnished or performed in the future, whether or not such individual has, carries or exposes for sale a sample, or whether the person is collecting advance payments on such sales or not.

O. Special Event. This business classification applies to recreation, entertainment, cultural, and educational events and exhibitions which are conducted from a place other than a fixed place of business and for limited periods of time. Included in such classification, but not limited to, are sporting events/competitions, circuses, carnivals, trade shows, and concerts.

P. Transportation of Person and Goods. Any person engaged in the transportation of goods and/or persons not otherwise specifically taxed under the provisions of this chapter not specifically exempt under federal or state laws. Examples of such activities include, but are not limited to, taxis, limousine services, private transit operators, delivery trucks and operators of parking lots located in the city who convey people to and from the airport. This classification does not include rental or leasing of motor vehicles to businesses or persons.

Q. Warehousing. Any business operation where the principal business activity involves the warehousing and storage of goods manufactured and/or produced outside of the city and stored prior to shipment and sale outside of the city. However, if goods are manufactured in the city, that activity shall be classified as “manufacturing.” If goods are sold in the city, that activity shall be classified as “retailing” or “wholesaling.”

R. Wholesaling. Any person conducting, managing or carrying on the business consisting mainly of selling at wholesale any goods. (Code 1971, § 2147)

The collector shall determine the business classification for each business in the city. Such determination shall be final and not subject to appeal. A business classification shall only be challenged by filing a written protest pursuant to Section 4.155.710. (Code 1971, § 2148)

The tax rates for the business license tax imposed by this chapter shall be as hereinafter set forth in this chapter. (Code 1971, § 2149; Ord. No. 2002-10, § 5, 6-24-02)

A. The businesses in tax rate group I shall be as follows:

1. Administrative headquarters;

2. Retailing;

3. Wholesaling.

B. Business license tax rates for businesses in tax rate group I shall be $45.00 plus $0.11 cents for each $1,000 from the first dollar of gross receipts up to and including $5,000,000 of gross receipts, plus $0.06 for each $1,000 of gross receipts in excess of $5,000,000, except that:

1. Where the business is classified as an “administrative headquarters,” the business shall pay a business license tax measured on the cost of operations at the tax rate group I level rather than on gross receipts; and

2. Where any new business in tax rate group I commences operations in the city between August and June of a tax year, the base tax of $45.00 shall be prorated on a monthly basis from the first month of business operations through June 30th for the first year of the business operations. (Code 1971, § 2150; Ord. No. 2002-10, § 6, 6-24-02)

A. The businesses in tax rate group II shall be as follows:

1. Contractors;

2. Manufacturers;

3. Miscellaneous;

4. Professions;

5. Public utilities;

6. Recreation and entertainment;

7. Rental – nonresidential property;

8. Rental – residential property;

9. Services;

10. Solicitors, peddlers or canvassers with a fixed place of business in the city or annual operations in the city; and

11. Transportation – persons and goods.

B. Business license tax rates for businesses in tax rate group II shall be $45.00 plus $0.34 for each $1,000 from the first dollar of gross receipts up to and including $5,000,000 of gross receipts, plus $0.17 for each $1,000 of gross receipts in excess of $5,000,000, except that:

1. Where the business is classified as “manufacturing” or “miscellaneous” and generates no gross receipts attributable to the city, the business shall pay a business license tax measured on the cost of operations at the tax rate for tax rate group II;

2. Where the business is classified as a “public utility” and pays the city a franchise fee based on gross receipts, the business shall pay a business license tax of $45.00 plus $0.05 per customer subscription/meter located in the city;

3. Where the business is classified as a “solicitor, peddler or canvasser,” has annual operations in the city without a fixed place of business in the city, but is unable to calculate gross receipts attributable to operations in the city, the business shall pay a business license tax of $500.00 per year;

4. Where the business is classified as “transportation of persons or goods” and is unable to calculate gross receipts attributable to operations within the city, the business shall pay a business license tax of $50.00 per year per vehicle or shuttle with less than five trips originating or terminating in the city on a average day during the tax year, or $100.00 per year per vehicle or shuttle with five or greater trips originating or terminating in the city on an average day during the tax year; and

5. Where a new business in tax rate group II commences operations in the city between August and June of a tax year, the base tax of $45.00 shall be prorated on a monthly basis from the first month of operations through June 30th for the first year of the business operations. (Code 1971, § 2151; Ord. No. 2002-10, § 7, 6-24-02)

A. The businesses in tax rate group III shall be as follows:

1. Itinerant merchants;

2. Swap meet operators;

3. Operators of productions, shows or events with booths or exhibits;

4. Solicitor, peddlers or canvassers without a fixed place or business in the city or annual operations in the city;

5. Special events; and

6. Film, TV and movie productions.

B. Business license tax rates for businesses in tax rate group III shall be as follows:

1. Businesses classified as “itinerant merchants, swap meet operators, or operators of productions, shows or events with booths or exhibits” shall pay a business license tax of $25.00 per day plus $1.00 per day per vendor, booth or exhibit, except swap meet operators with a fixed place of business in the city shall pay a business license tax of $400.00 per year plus $1.00 per vendor, booth or exhibit;

2. Businesses classified as “solicitors, peddlers or canvassers without a fixed place of business in the city or annual operations in the city” shall pay a business license tax of $25.00 per day or $200.00 per month;

3. Businesses classified as “special events or film, television or movie productions” shall pay a business license tax of $150.00 per day; and

4. Businesses classified as warehousing shall pay a business license tax of $0.005 per square foot of warehouse. (Code 1971, § 2152; Ord. No. 2002-10, § 8, 6-24-02)