2008-04 Establishing a Sales & Use Tax ORDINANCE NO. 2008-04
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA,
ESTABLISHING A(BRADLEY-BURNS) SALES AND USE TAX TO BE ADMINISTERED BY
THE STATE BOARD OF EQUALIZATION (Corrected)
THE CITY COUNCIL OF THE CITY OF MENIFEE DOES ORDAIN AS FOLLOWS:
SECTION 1. SHORT TITLE. This ordinance shall be known as the "Uniform Local
Sales and Use Tax Ordinance."
SECTION 2. RATE. The rate of sales tax and use imposed by the ordinance shall be
1%.
2009. SECTION 3. OPERATIVE DATE. This ordinance shall be operative on January 1,
SECTION 4. PURPOSE. The City Council hereby declares that 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 incorporates provisions identical to
those of the Sales and Use Tax Law of the State of California insofar as those provisions are
not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(b) To adopt a sales and use tax ordinance which incorporates provisions identical to
those of the Sales and Use Tax Law of the State of California insofar as those provisions are
not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(c) To adopt a sales and use tax ordinance which imposes a tax and provides a
measure therefore that can be administered and collected by the State Board of Equalization in
a manner that adapts itself 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 sales and use tax ordinance which can be administered in a manner
that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the
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 the ordinance.
SECTION 5. CONTRACT WITH STATE. Upon the operative date 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 State Board of Equalization prior to the operative data, 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 rather than the first day of the first
calendar quarter following the adoption of this ordinance.
4815-5840-0515 1 1
SECTION 6. SALES TAX. For the privilege of selling tangible personal property at
retail a tax is herby imposed upon all retailers in the city at the rate started in Section 2 of the
gross receipts of the retailer from the sale of all tangible personal property sold at retail in this
city on and after the operative date.
SECTION 7. PLACE OF SALE. For the purposes of this ordinance, 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.
SECTION 8. USE TAX. An excise tax is hereby imposed on the storage, use or other
consumption in this city of tangible personal property purchased from any retailer on and after
the operative data for storage, use or other consumption in this city at the rate stated in Section
2 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.
SECTION 9. ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise
provided in this ordinance and except insofar as they are inconsistent with the provisions of Part
1.5 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division of
the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as
though fully set forth herein.
SECTION 10. LIMITATIONS ON PROVISIONS OF STATE LAW. In adopting the
provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the State of
California is named or referred to as the taxing agency, the name of the City of Menifee shall be
substituted therefore. The substitution, however, shall not be made when the word "State" is
used as part of the title of the State Controller, the State Treasurer, the State Board of Control,
the State Treasury, or the Constitution of the State of California; the substitution shall not be
made 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 Equalization, in performing
the functions incident to the administration or operation of this ordinance; the substitution shall
not be 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 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 (expect in the last sentence thereof),
5711, 6715, 6737, or 6826 of the Revenue and Taxation Code; and the substitution shall not be
made for the word "State" in the phrase "retailer engaged in business in this State" in Section
6203 or in the definition of that phrase in Section 6203.
4815-5840-0515.1 2
SECTION 11. PERMIT NOT REQUIRED. If a seller's permit has been issued to a
retailer under Section 6067 of the Revenue and Taxation Code, an additional seller's permit
shall not be-required by this ordinance.
SECTION 12. EXCLUSIONS AND EXEMPTIONS.
(a) The amount subject to tax shall not include any sales or use tax imposed by the
State of California upon a retailer or consumer.
(b) The storage, use, or other consumption of tangible personal property, the gross
receipts from the sale of which have been subject to tax under a sales and use tax ordinance
enacted in accordance with the Part 1.5 of Division 2 of the Revenue and Taxation Code by any
city and county, county or city in this State shall be exempt from the tax due under this
ordinance.
(c) There are exempted from the computation of the amount of the sales tax the
gross receipts from the sale of tangible property to operators of aircraft to be used or consumed
principally outside the city 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.
(d) In addition to the exemptions provided in Sections 6368 and 6386.1 of the
Revenue and Taxation Code in the storage, use, or other consumption of tangible personal
property 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 is exempted from the use tax.
SECTION 13. AMENDMENTS. All subsequent amendments of Part 1 of Division 2 of
the Revenue and Taxation Code which are not inconsistent with Part 1.5 of Division 2 of the
Revenue and Taxation Code shall automatically become part of this ordinance. This ordinance
also shall be deemed to adopt by reference the provisions of Section 7202 to 7203, Inclusive, of
the Revenue and Taxation Code, as now in effect or as later amended, which are required to be
included in this ordinance.
SECTION 14. ENJOINING COLLECTION FORBIDDEN. No injunction or writ of
mandate or other legal or equitable process shall issue in any suit or proceeding in any court
against 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 15. PENALTIES. Any person violating any of the provisions of this ordinance
shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a
fine of not more than $1,000.00 or by imprisonment for a period of not
more than six months, or by both such fine and imprisonment.
SECTION 16. SEVERABILITY.
If any provision of this ordinance or the application thereof to any person or
circumstances shall not be affected thereby.
4815-5840-0515.1 3
SECTION 17. EFFECTIVE DATE. This ordinance relates to taxes for the usual and
current expenses of the City and therefore shall take effect immediately but shall not be
operative until January 1, 2009, the date set out above.
SECTION 18. INTENTION TO SUPERSEDE COUNTY ORDINANCES. The provisions
of this ordinance are intended to and do supersede any provisions of the Ordinances of the
County of Riverside which cover the same matters as in this Ordinance and which are in effect
pursuant to Ordinance No. 2008-1 of the City.
SECTION 19. CORRECTION OF CITY ORDINANCE. The provisions of this ordinance
correct Section 3 and Section 17 at the request of the State Board of Equalization to clarify that
the operative date of this ordinance shall be January 1, 2009.
PASSED, APPROVED AND ADOPTED this 18th day of November, 2008, as follows:
Ayes: �� CJ? 'N� J `ma"r
Noes:
Absent:
Abstain:
Wallace W. Edgerton, Mayor
Attest:
Kathy Bennett, City Clerk
Approved as to form:
CJSW*�L Lqy&N —
Elizak#h Marlyn, City Attorney
4815-5840-0515.1 4
ORDINANCE NO. 2008-04
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA,
ESTABLISHING A(BRADLEY-BURNS) SALES AND USE TAX TO BE ADMINISTERED BY
THE STATE BOARD OF EQUALIZATION
THE CITY COUNCIL OF THE CITY OF MENIFEE DOES ORDAIN AS FOLLOWS:
SECTION 1. SHORT TITLE. This ordinance shall be known as the "Uniform Local
Sales and Use Tax Ordinance."
1
SECTION 2. RATE. The rate of sales tax and use imposed by the ordinance shall be
%.
SECTION 3. OPERATIVE DATE. This ordinance shall be operative on October 1,
2008.
SECTION 4. PURPOSE. The City Council hereby declares that 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 incorporates provisions identical to
those of the Sales and Use Tax Law of the State of California insofar as those provisions are
not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(b) To adopt a sales and use tax ordinance which incorporates provisions identical to
those of the Sales and Use Tax Law of the State of California insofar as those provisions are
not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the
Revenue and Taxation Code;
(c) To adopt a sales and use tax ordinance which imposes a tax and provides a
measure therefore that can be administered and collected by the State Board of Equalization in
a manner that adapts itself 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 sales and use tax ordinance which can be administered in a manner
that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the
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 the ordinance.
SECTION 5. CONTRACT WITH STATE. Upon the operative date 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 State Board of Equalization prior to the operative data, 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 rather than the first day of the first
calendar quarter following the adoption of this ordinance.
4815-5840-0515.1 1
SECTION 6. SALES TAX. For the privilege of selling tangible personal property at
retail a tax is herby imposed upon all retailers in the city at the rate started in Section 2 of the
gross receipts of the retailer from the sale of all tangible personal property sold at retail in this
city on and after the operative date.
SECTION 7. PLACE OF SALE. For the purposes of this ordinance, 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.
SECTION 8. USE TAX. An excise tax is hereby imposed on the storage, use or other
consumption in this city of tangible personal property purchased from any retailer on and after
the operative data for storage, use or other consumption in this city at the rate stated in Section
2 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.
SECTION 9. ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise
provided in this ordinance and except insofar as they are inconsistent with the provisions of Part
1.5 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division of
the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as
though fully set forth herein.
SECTION 10. LIMITATIONS ON PROVISIONS OF STATE LAW. In adopting the
provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the State of
California is named or referred to as the taxing agency, the name of the City of Menifee shall be
substituted therefore. The substitution, however, shall not be made when the word "State" is
used as part of the title of the State Controller, the State Treasurer, the State Board of Control,
the State Treasury, or the Constitution of the State of California; the substitution shall not be
made 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 Equalization, in performing
the functions incident to the administration or operation of this ordinance; the substitution shall
not be 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 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 (expect in the last sentence thereof),
5711, 6715, 6737, or 6826 of the Revenue and Taxation Code; and the substitution shall not be
made for the word "State" in the phrase"retailer engaged in business in this State" in Section
6203 or in the definition of that phrase in Section 6203.
4815-5840-0515.1 2
SECTION 11. PERMIT NOT REQUIRED. If a seller's permit has been issued to a
retailer under Section 6067 of the Revenue and Taxation Code, an additional seller's permit
shall not be required by this ordinance.
SECTION 12. EXCLUSIONS AND EXEMPTIONS.
(a) The amount subject to tax shall not include any sales or use tax imposed by the
State of California upon a retailer or consumer.
(b) The storage, use, or other consumption of tangible personal property, the gross
receipts from the sale of which have been subject to tax under a sales and use tax ordinance
enacted in accordance with the Part 1.5 of Division 2 of the Revenue and Taxation Code by any
city and county, county or city in this State shall be exempt from the tax due under this
ordinance.
(c) There are exempted from the computation of the amount of the sales tax the
gross receipts from the sale of tangible property to operators of aircraft to be used or consumed
principally outside the city 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.
(d) In addition to the exemptions provided in Sections 6368 and 6386.1 of the
Revenue and Taxation Code in the storage, use, or other consumption of tangible personal
property 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 is exempted from the use tax.
SECTION 13. AMENDMENTS. All subsequent amendments of Part 1 of Division 2 of
the Revenue and Taxation Code which are not inconsistent with Part 1.5 of Division 2 of the
Revenue and Taxation Code shall automatically become part of this ordinance. This ordinance
also shall be deemed to adopt by reference the provisions of Section 7202 to 7203, Inclusive, of
the Revenue and Taxation Code, as now in effect or as later amended, which are required to be
included in this ordinance.
SECTION 14. ENJOINING COLLECTION FORBIDDEN. No injunction or writ of
mandate or other legal or equitable process shall issue in any suit or proceeding in any court
against 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 15. PENALTIES. Any person violating any of the provisions of this ordinance
shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a
fine of not more than $1,000.00 or by imprisonment for a period of not
more than six months, or by both such fine and imprisonment.
SECTION 16. SEVERABILITY.
4815-5840-0515.1 3
J
If any provision of this ordinance or the application thereof to any person or
circumstances shall not be affected thereby.
SECTION 17. EFFECTIVE DATE. This ordinance relates to taxes for the usual and
current expenses of the City and shall take effect immediately.
SECTION 18. INTENTION TO SUPERSEDE COUNTY ORDINANCES. The provisions
of this ordinance are intended to and do supersede any provisions of the Ordinances of the
County of Riverside which cover the same matters as in this Ordinance and which are in effect
pursuant to Ordinance No. 2008-1 of the City.
PASSED, APPROVED AND ADOPTED this 1st day of October, 2008, as follows:
Ayes: C'4� MyA� 64�j
zK4�,
Noes:
Absent:t/Y��
Abstain:
Wallace W. Edgerton, Mayo
Attest:
6&V—rL—CT-
Kathy Bennett, City C;erk
Approved as to forme:
U Gi.t. Uy l t.
Elizabelh Marlyn, Interim City Attorney
4815-5840-0515.1 4