HomeMy WebLinkAbout23ORDINANCE NO.
AN ORDINANCE OF THE TOWN OF LOS ALTOS HILLS, IMPOSING A CITY
SALES AND USE TAX: PROVIDING FOR THE PERFORMANCE BY THE STATS
BOARD OF EQUALIZATION .OF ALL FUNCTIONS INCIDENT TO THE ADMIN-
ISTRATION, OPERATION AND COLLECTION OF THE SALES AND USE 91X
HEREBY IMPOSED: AND PROVIDING PENALTIES FOR VIOLATIONS THEREOF.
The City Council of the Town of Los Altos Hills does ordain
as follows:
Section 1. SHORT TITLE. This ordinance shall be known as the
Uniform Local Salsa an Use Tax Ordinance of the Town of Los Altos
Hills.
Section 2. PURPOSE. The City Council of the Town of Los Altos
Hills hereby declares this ordinance 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 the Revenue and Taxation Code of the State of California;
(b) To adopt a sales and use tax ordinance which incorpor-
ates provisions identical to those of the Sales and Use Tax Law of
the State of California insofar as those provisions are not incon-
sistent 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
ninety one hundredths of one percent (.0091,%) 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
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
California State Sales and Use Taxes;
(d) To adopt a sales and use tax ordinance which can be admin-
istered 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 city sales and
use taxes and at the same time minimize the burden of record keep-
ing upon persons subject to taxation under the provisions of this
ordinance;
(e) To adopt a sales and use tax ordinance which can be admin-
istered in a manner that will exclude the receipts of particular
sales from the measure of the sales tax imposed by this City which
have been included in the measure of the sales tax imposed by any
other city and county, county other than the county in which this
city is located, or city in this State, and avoid imposing a use
tax on the storage, use or other consumption of tangible personal
property in this City when the gross receipts from the sale of,
or the use of, that property has been subject to a sales or use
tax by any other city and county, county other than the county in
which this city is located, or city in this State, pursuant to a
sales and use tax ordinance enacted under the provisions of Part 1.5
of Division 2 of the said Revenue and Taxation Code.
Section 3. OPERATIVE DATE. CONTRACT WITH STATE. This ordinance
shall become opera ve on anuary 1, 1957, and prior thereto this
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 ordinance; provided, that if this City
shall not have contracted with the said State Board of Equalization
as above set forth, prior to January 1, 1957, this ordinance
shall not be operative until the first day of the first calendar
quarter following the execution of such a contract by the City
and by the State Board of Equalization, provided further that
this ordinance shall not become operative prior to the operative
date of the Uniform Local Sales and Use Tax Ordinance of the
County of Santa Clara.
Section 4. SALES TAX.
(a) (1) For the privilege of selling tangible personal proper-
ty at retail a tax is hereby imprsed upon all retailers in the city
at the rate of ninety one hundredths of one percent (.0091) of the
gross receipts of the retailer from the sale of all tangible personal
property sold at retail in the Town of Los Altos Hills on and after
the operative date of this ordinance.
(2) For the purposes of this ordinance, all retail sales shall
be presumed to have been 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. De-
livery charges shall be included in the gross receipts by which the
tax is measured, regardless of the place to which delivery is made,
when such charges are included in the measure of the sales or use
tax imposed by the State of California. In the event a retailer
has no permanent place of business in the State of California, or
has more than one place of business, the place or places at which
retail sales are consummated shall be as determined under rules and
regulations prescribed and adopted by the Board of Equalization.
(b) (1) Except as hereinafter provided, and except insofar
as they are inconsistent with the provisions of Part 1.5 of Division
2 of the said Revenue and Taxation Code, all of the provisions
of Part 1 of Division 2 of said Code, as amended and in force and
effect on 1956, applicable to sales taxes are
hereby adopte3-an�ma per of
this section as though fully set
forth herein.
(2) Wherever, and to the extent that, in Part 1 of Division
2 of the said Revenue and Taxation Code the State of California
is named or referred to as the taxing a gency, the Town of Los Altos
Hills shall be substituted therefor. Nothing in this subdivision
shall be deemed to require the substitution of the name of the Town
of Los Altos Hills 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
of California; nor shall the name of the City be substituted for
that of the State in any section when the result of that substi-
tution 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 adminis-
tration or operation of this ordinance; and neither shall the sub-
stitution be deemed to have been made in those sections, including,
but not necessarily limited to sections referring to the exterior
boundaries of the State of California, where the result of the sub-
stitution 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 said
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 new 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 the said Revenue and Taxation Code
as adopted.
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(3) If a sellerts permit has been issued to a retailer
under Section 6068 of the said Revenue and Taxation Code, an addi-
tional seller's permit shall not be required by reason of this
section.
(4) There shall be excluded from the gross receipts by
which the tax is measured:
(1) The amount of any sales or use tax imposed by
the State of California upon a retailer or consumer.
(ii) Receipts from the sale of tangible personal
property upon which a sales or use tax has become due by
reason of the same transaction to any other city and
county, county other than the county in which this city is
located, or city in this State under a sales or use tax
ordinance enacted by that city and county, county other
than the county in which this city is located, or city
in this State in accordance with Part 1.5 of Division 2
of the said Revenue and Taxation Code.
(iii) Receipts from sales to operators of common
carrier and waterborne vessels of property to be used or
consumed in the operation of such common carriers or water-
borne vessels principally outside of this City.
Section 5. USE TAX.
(a) An excise tax is hereby imposed on the storage, use or
other consumption of the Town of Los Altos Hills of tangible per-
sonal property purchased from any retailer on or after the opera-
tive date of this ordinance, for storage, use or other consumption
in the city at the rate of ninety one hundredths of one percent
(.0091) 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.
(b) (1) Except as hereinafter provided, and except insofar
as they are inconsistent with the provisions of Part 1.5 of Division
2 of the said Revenue and Taxation Code, all of the provisions
of Part 1 of Division 2 of said Code as amended and in force
and effect on October lst , 195&, applicable to use taxes
are hereby ado-pEFT-F-0 made a part of this section as though fully
set forth herein.
(2) Wherever, and to the extent that, in Part 1 of Division
2 of the said Revenue and Taxation Code the State of California
is named or referred to as the taxing agency, the Town of Los Altos
Hills shall be substituted therefor. Nothing in this subdivision
shall be deemed to require the substitution of the name of the
Town of Los Altos Hills 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
of California; nor shall the name of the City be substituted for
that of the State in any section when the result of that substitu-
tion would require action to be taken by or against the City or any
agency thereof rather than by or against the State Board of Equal-
ization, in performing the functions incident to the administration
or operation of this ordinance; 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 bound-
aries of the State of California, 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
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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 said
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 thereof), 6711, 6115, 6737,
6797 and 6828 of the said Revenue and Taxation Code as adopted.
(3) There shall be exempt from the tax due under this
section;
(i) The amount of any sales or use tax imposed
by the State of California upon a retailer or consumer.
(ii) The storage, use or other consumption of
tangible personal property, the gross receipba from the
sale of or the cost of which has been subject to sales
or use tax ordinance enacted in accordance with Part 1.5
of Division 2 of the said Revenue and Taxation Code by
any other city and county, county other than the county
in which this city is located, or city in this State.
(iii) The storage or use of tangible personal proper-
ty in the transportation or transmission of persons,
property or communications, or in the generation, trans-
mission or distribution of electricity or in the manufac-
ture, transmission or distribution of gas in intrastate,
interstate or foreign commerce by public utilities which
are regulated by the Public Utilities Commission of the
State of California.
(iv) The use or consumption of property purchased
by operators of common carrier and waterborne vessels
to be used or consumed in the operation of such common
carriers or waterborne vessels principally outside the
City.
Section 6. AMENDMENTS. All amendments of the said Revenue
and Taxation Code ena— ct�ubsequent to the effective date of this
ordinance which relate to the sales and use tax and which are not
inconsistent with Part 1.5 of Division 2 of the said Revenue and
Taxation Code shall automatically become a part of this ordinance.
Section 7. ENJOINING COLLECTION FORBIDDEN. No injunction
or writ of mandate or other legal or eq u e process shall issue
in any suit, action or proceeding in any court against the State
or this City, or against any officer of the State or this City,
to prevent or enjoin the collection under this ordinance, 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.
Section 8. PENALTIES. Any person violating any of the pro-
visions of this or nance shall be deemed guilty of a misdemeanor,
and upon conviction thereof shall be punishable by a fine of not
more than $500.00 or b6 imprisonment for a period of not more than
six (6) months in the jail facilities currently used by the Town
of Los Altos Hills, or by both such fine and imprisonment.
Section 9. SEVERABILITY. If any section, subsection,
sentence, clause, PIFE'seor portion of this ordinance, including
but not limited to any exemption is for any reason held to be
invalid or unconstitutional by the decision of any court of compe-
tent jurisdiction, such decision shall not affect the validity of
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the remaining portions of this ordinance. The Council of the
Town of Los Altos Hills hereby declares that it would have adopted
this ordinance and each section, subsection, sentence, clause,
phrase or portion thereof, irrespective of the fact that any one
or more sections, subsections, sentences, clauses, phrases or
portions be declared invalid or unconstitutional.
Section 10. EFFECTIVE DATE. This ordinance shall be posted
in three public places n e Town of Los Altos Hills and shall
become effective imo diately upon adoption being an ordinance
fixing a rate of tax.
ADOPT -M) at a regular meeting of the City Council of the Town
of Los Altos Hills on the 26th day of September, 1956, by the
following vote:
AYES: Councilmen Bledsoe, Dungan, Fowls, Rothwell and Mayor Treat
NOES: None
ABSENT: None
CI y CN i
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CERTIFIED,--
True C y�