Ordinance - 458n
ORDINANCE FO.458
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AN ORDINANCE OF THE CITY OF WEST COVINA 9 CALIFORNIA I II:POSING A
CITY SALES AND USE TA--',;; PROVIDING r OR THE PEP.FOR%ANCE BY THE STATE
BOARD OF EQUALIZATION OF ALL FUNCTIONS INCIDENT TO THE ADi:INISTRA—
TIONo OPERATION AND COLLECTION OF THE SALES AND USE, TALC HEREBY
IEPOSED; SUSPENTiING THE PROVISIONS OF ORDINANCES NOS.369 AND 422
DURING SUC4 TIaE AS THIS ORDINANCE IS OPERATIVE; AND PROVIDING
PENALTIES FOR VIOLATIONS THEREOF.
THE CITY COUNCIL OF THE CITY OF 1irEST COVINA DOS ORDAIN AS FOLLOWS:
SECTION 1, SNORT TITLE. This ordinance shall be known as
the Unl_'orrm' Toccal Sales and Use Tax C>rdinance of the City of West
Covina
SECTION 2. PURPOSE. The City Council of the City of West
Covina —hereby "3eclares that this ordinance is adopted to achieve
the following, among other, purposes, and directs that the provi-
sions 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 Calif-
ornia;
(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
one percent (1%) 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 Equaliza-
tion in administering and collecting the California State Sales
and Use Taxes;
(d) To adopt a sales and use tax ordinance which can be
administered in a manner that will, to the degree possible consis-
tent 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 keeping upon persons subject to taxation under the provisions
of this ordinance;
(e) To adopt a sales and use tax ordinance which can be
administered in a manner that will exclude the receipts of parti-
cular 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
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sale of, or the use of, that property has been subject to a sales
or use tax by any other city anJ county, county other than the
county in which this city is located, or city in this State, pur-
suant 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 operative on April 1, 1954 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 April 1, 1954 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 Los
Angeles.
SECTION 4. SALES TAX.
(a) (1) For the privilege of selling tangible personal prop-
erty at retail a tax is hereby imposed upon all retailers in the
city at the rate of one percent (1%) of the gross receipts of the
retailer from the sale of all tangible personal property sold at
retail in the City of West Covina 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 destina-
tion or to a common carrier for delivery to an out-of-state
destination. Delivery 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 pro-
visions of part 1 of -Division 2 of said Code, as amended and in
force and effect on April 1, 1956, applicable to sales taxes are
hereby adopted and made a part of this section as though fully
set forth herein.
(2) Wherever, and to theF.extent that, in Part 1 of Divi-
sion 2 of the said Pevenue and Taxation Code tV the State of
California is named or referred to as the taxing agency, the City
of West Covina shall be substituted therefor, Nothing in this
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subdivision shall be deemed to require the substitution of the
narYe of the City of pest Covina 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 Equali-
zation, 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 substitution would require action to be taken by or againt
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 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 boundaries of the State of California, where the result
of the substitution would be to provide an el:emption from this tax
with respect to certain gross receipts which would not otherwise be
exeript 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'addi-
tion, 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, 67379 6797 and 6828 of the said Revenue and Taxation
Code as adopted.
(3) If a seller's permit has been issued to a retailer
under Section 6068 of the said Revenue and Taxation Code, an
additional 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 neasuredr
M 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),21cceipts from sales to operators of, common
carrier and waterborne vessels of property to be
used or consurzed in the operation of such common
carriers or waterborne vessels principally outside
of this City.
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SECTION 5, USE, TAX.
(a) An excise tax is hereby imposed on the stogage, use or
other consumption in the City of -Nest Covina of tangible personal
property purchased from any retailer on or after the operative date
of this ordinance, for storage, use or other consumption in the
city at the rate of one percent (1%) 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 Tas,-ation Code, all of the provisions of
• Part 1 of Division 2 of said Code, as amended and in force and
effect on April 1, 1956, applicable to use ta�:es are hereby adopted
and made a part of this section as though fully set forth herein.
(2) 14herevor, and to the extent that, in Part 1 of
Division 2 of the said Revenue and Taxation Code the State of Calif-
ornia is named or referred to as the taping agency, the City of
West Covina shall be substituted therefor. Nothing in this subdi-
vision shall be deemed to require the substitution of the name of
the City of ;lest Covina for the word "State" when that word is used
as part of the title of the State Controller, the State Treasurer,
the State Boar" of Control, the State Doard of f3qualization, or the
name of the State Treasury, or of the Constitution of the State of
Califo:rn,ia; 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 Equali-
zation, in performing the f unctions 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 bounda-
ries of the State of California, where the result of the substi-
tution would be to provide an exemption fron this tax with respect
to certain storage, use or other consumption of tangible personal
property which would not otherwise be exempt fron, 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 said
Revenue and Taxation Code, or to iripose this ta« 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 narie of the
City shall not be substituted for that of the State in Sections
67019 6702 (except in the last sentence thereof), 6711, 67159 67379
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.
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(ii) The storage, use or other consumption
of tangible personal property, the gross receipts from
the sale of or the cost of which has been subject to
sales or use tax under a sales or use tax ordinance
enacted in accordance with Fart 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
property in the transportation or transmission of persons,
property or cor.,imunications, or in the generation, trans-
mission or distribution of electricity or in the manu-
facture, 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 pur-
chased by operat:ors of coa;uion carrier and waterborne
vessels to be used or consumed in the operation of such
coruion carriers or waterborne vessels principally
outside the City.
SECTION 6. AHM01.1NTS. All amendments of the said Revenue
and Taxation ode enacted subsequent 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 Elan ate or other legal or equitable 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 tal; required to b,e collected.
SECTION 8. MKISTING SALES AND USE TAB' ORDINANCES SUSPENDED.
At the tine this ordinance goes into operation, the provisions of
• Ordinances Nos.369 and 422 shall be suspended and shall not again
be of any force or effect 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 hereby
imposed; provided, however, that if for any reason it is determined
that the City of V1 Covina is without power to adopt this ordi-
nance, 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 ordinance, the provisions of Ordinances
Nos.369 and 422 shall not be deeded to have been suspended, but
shall be deemed to have been in full force and effect at the rate
of one percent (1%) continuously from and after April 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 ordinance, the provisions of Ordinances Nos.369
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and 422 shall again be in full force and effect at the rate of
one percent (1%). Nothing in this ordinance shall be construed as
relieving any person of the obligation to pay to the City of §Test
Covina any sales or use ta; accrued and owing by reason of the
provisions of Grdinances T4os.359 and 49Z in force and effect prior
to and including 1r,�arch 31, 1956.
SECTION 9. P.+IALTIES. Any person violating any of the pro-
visions o is ordinance shall be deemed guilty of a misdemeanor,
and upon conviction thereof shall be punishable by a fine of not
more than $500.00 or by imprison ien't for a period of not more than
six (6) months in the City Jail, or by both such fine and imprison-
ment.
SECTION 10. SEV^P.ABILITY. If any section, subsection,sentence,
clause, phrase or portion of this ordinance, including but not
limited to any exei;iption, is for any reason held to be invalid or
unconstitutional by the decision of any court of competent juris-
diction, such decision shall not affect the validity of the re-
maining portions of this ordinance. The Council of the City of
?Test Covina 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 11. EFFECTIVE, DATE. The City Clerk shall certify to
the passage—`o -t-His Ordinance and shall cause the same to be
published once in the West Covina Tribune, a newspaper of general
circulation, printed and published within this City, within fifteen
(15) days after the date of its passageN, and this Ordinance shall
become effective April 1, 1956.
A T T E S 2
-,
"ay, r o he y c �Tes Covina
City er
I HEREBY CERTIFY that the foregoing ,Crdinance was adopted at
a regular meeting of the City Council of the City of Nest Covina,,
held on.the 27th day of rebruary,1956, by the affirmative vote of at
least three Councilzmen, to wit:
AYES: Council�.en DAMES W. KAY BERT C. VAN HORN J. CAL SPERLINE JAY D. BROWN
NOES: JOE HURST, MAYOR
City Clerk of e City o -Uest Covina
ABSENT: I V : tr e,
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