HomeMy WebLinkAboutHistorical Records - Miscellaneous (78) ORDINANCE NO.
AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA,
PROVIDING FOR THE LEVY AND COLLECTION OF TRANSACTION PRIVILEGE TAXES;
FIXING THE AMOUNT OF SAID TAXES; PROVI D r, 1 !P)1' H:: )' INISTRATION , COL-
LECTION AND PAYMENT OF SUCH TAXES; PRESCRIBING DEFINITIONS; PRESCRIBING
EXEMPTIONS THEREFROM; PRESCRIBING PENALTIES FOR THE VIOLATION THEREOF;
AND DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF ORO VALLEY, ARIZONA,
AS FOLLOWS:
SECTION 1. This Ordinance may be cited and shall be knownas the
Town Business Ordinance.
SECTION 2. A certain document, three (3) copies of which are on file
in the office of the Town Clerk, being marked as The Town Transaction
Privilege Tax Ordinance published by the Town of Oro Valley, 1974, is
hereby made a part of this ORDINANCE as if fully set out herein, and is
hereby adopted as the business ordinance of the Town of Oro Valley.
SECTION 3. Any taxpayer who shall have failed to pay such tax
within five days from the date upon which such payment shall have become
due shall be subject to and shall pay a penalty of ten percent of the
amount of such tax, together with interest on such tax at the rate of one-
half of one percent per month or fraction thereof until paid.
SECTION 4. Any person, firm or corporation whether as principal,
owner, agent, tenant, employee or otherwise, who violates any provision of
this Ordinance or violates or fails to comply with any order or regulation
made here under shall be guilty of a misdemeanor and upon conviction there-
of shall be punishable by a fine of not more than $300.00 or by im-
prisonment in the county jail of Pima County for a term not exceeding
3 months or by both such fine and imprisonment, and each day's continu-
ance of a violation shall be deemed a separate offense.
SECTION 5. WHEREAS, it is necessary for the preservation of the
peace, health and safety of the Town of Oro Valley that this ordinance
become immediately effective, an: emergencyr is hereby declared to ex-
ist, and this ordinance shall be effective immediately upon its
passage and adoption.
PASSED AND ADOPTED by the Town Counci the Town of Oro Valley
thisday of , 19`7 -.
MA vAr
ATTEST: =
/g /
Town Clerk
Sec. 1-3 Imposition of Tax--Tax Schedule
There is hereby levied and shall be collected by the tax collector,
for the purpose of raising revenue to be used in defraying the necessary
expenses of the Town, privilege taxes measured by the amounts or
volume of business transacted by persons on account of their business
activities, and in the amounts to be determined by the application
of rates against values, gross proceeds of sales or gross ,income, as
the case may be, in accordance with the following schedule:
- A. Percentage of Tax and Business Liable to Taxation. An amount equal
to two percent of the gross proceeds of sale or gross income from
the business- upon every person engaging in or continuing within
the Town i n- the following businesses :
1. Transporting for hire persons or property by any means of '
transportation, from a point within the Town to another
point within the Town or from a point within the Town to
another point within the State of Arizona; provided , that
the levy shall not apply to common or contract carriers paying
a tax under the provisions of Arizona Revised Statutes, Section
40641 .
2. Mining, quarrying, smelting or producing for sale, profit
or commercial use, any oil , natural gas, limestone, sand, gravel ,
copper, gold, silver or other mineral product, compound or
combination of mineral products , or felling , producing or preparing
timber or any produce of the forest for sale, profit or commercial
use. in c.omJUt i n., the a;:, the prize shin l by , cuaLod by the
actual freight paid by any person from the place of production
to the place of delivery when the freight is included in the
sale prices of the products.
3. Contracting within the Town; but payments paid by the contractor
for direct labor costs incurred for such contracting shall not be
subject to such tax. Amounts paid by the contractor for subcontracts
may be deducted from gross income providing that subcontractors and
amounts paid to each are listed and providing that the subcontractors
have valid privilege permits in the Town. Gross receipts from sale
of land by a contractor or developer are subject to taxation under
this section if the contractor or developer has constructed physical
improvements for such land before the sale is made; provided, that
a contractor constructing a building for his own use, or a
structure or parking lot to be rented by him, is not taxable for
hisown activity on such a project, providing he has paid all applicable
privilege taxes on materials he purchased for incorporation in the
project. contracting activity by subcontractors for such a project
shall be taxable.
_. 11
n• Leasin'T d'." r '.Tntinr'; for a cow,4,1?rati on any tan 4111 e pari ona n'-r---
perty; sales of t n .1 e p rs ai T,- ?c '-y to ti's so leaserl or
rnn a,_! stc^1 _ h (lee"t-.L to ✓2. Y ? aia s es•
10. Leaainor rent in; for a consiaratinn the use or occu-r,ncy oF any
hotel, lo-'`1.'1'` or tocc n;7 sp ca' to the transient or per son in
actual T'►ossascion ror any 7eer:le loss than thirty
.ate ��Li � L---J ✓S
prow•�e , that this si:'_isecti o;Z shall not :17-07 to a pr2r7nnent e-– --
Clence ani' a :12'1.iction of r`rt_, ;.?arrant -111m7eci for Y.00
rental- th t' it'' 1 Stat-2s
azenci';.
B. Basis for Taxation Under Certain Conditions.
1. In determining value as applied to sales from one to another
person, or other circumstances where the relation between the
buyer and seller is such that the gross proceeds from the sale
are not indicative of the true value of the subject matter of the
sale, the council may prescribe uniform and equitable rules for
determining the value upon which the tax herein levied shall be
based, corresponding as nearly as possible to the gross proceeds
from the sale of similar products of like quality or character of
other taxpayers where no common interest exists between the buyer and
seller, but otherwise under similar circumstances and conditions.
2. For theose ur of computing n the tax by this article, "conditional
p P P 9
or time sales" shall be treated as credit sales and tax shall
be based only upon the amounts received under such security
agreements , but if the seller transfers his interest in such
agreements to a third person, he shall pay an amount based upon
the full sale price of the commodity`, unless a record is kept
payments
^r ice.- �-� N 1 �n N madc
;J;. ... contract
.�+�-.�.7 n�- ��+ r(� 1'1'�?''?t'1 n 1^ T'(,.?'T^ the Q
of carmen �,he• aaf.c made on the �s _.c� i :uch ��. z
tax collector may at all times ascertain from the recorus of the
seller the amount paid thereon by the purchaser. If at any time the
tax collector cannot ascertain the amount paid thereon, the tax
shall be computed to include any amounts not shown to be paid
by the records of the seller to the satisfaction of the tax collector.
3. When any person is engaged in an occupation or business to which
Section 1-3 is applicable , such person's books shall be kept so
as to show separately the gross proceeds of sale of tangible personal
property and the gross income from sales of nontaxable service, and
if not so kept, the tax shall be based upon the total of such
person 's gross proceeds of sales of tangible personal property and
gross income from service.
This subsection shall not apply to any sales of tangible personal prr p rty
which are not the same as or similar to tangible personal property sold
through distributors , jobbers , wholesalers , retailers or other persons
than those substantially and principally engaging or continuing i n the
actual manufactur'ng , processing, fabricating, modifying or assembling
thereof.
1. Sales of tangible personal property to manufacturers , modifiers or
assemblers where such property directly enters into and becomes an -
ingredient or component part of any manufactured, fabricated or
processed article, substance or commodity for sale in the regular course
of business .
J. Services provided in connection with retail sales if invoices to the
customer, sales tickets , cash register tapes and all other business
records show separate charges for such services . This, exemption shall
apply only where such service is not customarily included in the
retail sale itself and where such service is not an essential element
in the retail sale itself. No deduction shall be allowed for fabrication
labor of retail items sold.
K. Sales of tangible personal property in which all of the following occur
without the town . limits of the Town of Oro Valley.
1 . The placement of the order; and
2. The stock from which delivery was made; and
3. The transference of title and possession .
For the purposes of this exemption, any person engaging or continuing in
the business to which this exemption is applicable shall maintain and
keep accounting records or books indicating separately the gross proceeds
of sale or gross income of tangible personal property which occur without
the town limits , and if not so maintained the tax to be imposed will
be, upon the total of such person's gross proceeds of sale or gross
inr n1e.
L. The sale of drugs on the prescription of a member of the medical , dental
or veterinary profession who is licensed by law to administer such drugs .
M. Tangible personal property purchased in Arizona by any hospital organized
and operated exclusively for charitable purposes , and in which no part
of the net earnings inures to the benefit of any private shareholder or
individual , or by any hospital operated by the state or any political
subdivision of the state.
N. The sale of stocks or bonds.
O. Sales of machinery or equipment to be used directly in manufacturing ,
processing , fabricating, job printing, refining or metallurgical operations ,
including leaching, milling, precipitating, smelting and refining.
P. Sales of machinery or equipment to be used directly in the process of
extracting ore or minerals from the earth for commercial purposes ,
including equipment required to prepare the materials for extraction
and for the handling, loading or transportation of such extracted material
to the surface.
Sec. 1-7, Violation;
A. Advertisement Regdrding Taxes. It is unlawful for any person
engaged in any of the businesses classified in Section 1-3
to advertise or hold out to the public in any manner, directly
or indirectly, that �
. the tax herein imposed is not considered as
an element in the price to the consumer.
D. Permit Required. It is unlawful for any erson engagingin a
p
business subject to the town transactionri vi l e
p getaxtofail
to obtain a permit before beginning or continuing such business .
C. Tax Collection from Customers. Anyperson who
collects added payments
from customers stated or indicated to be for the purpose of meeting
p p
privilege tax obligations of such person , shall be required to use
such money only for such purpose. It is unlawful for any
to fail to privilege person
pay y tax due to the _ Town of Oro Valley
within a period of thirty days after the date such tax is due
if evidence is provided that such person has at anytime collected
cted
such added payments from customers.
D. Failure to Make Return. It is unlawful for anyperson or
n for
any officer or agent of any company or corporation to fail or
refuse to make the returns and to pay tax provided to be made
by the provisions of this article, or to make orermit to be
made anyp
false or fraudulent return or false statement in any
bythis
return required arti cl e; or for any reason to aid or abet
another in any attempt to evade the payment of the tax, or any
part thereof, imposed by this article; or for anyperson
or officer
or agent of a company to fail or refuse to permit the examination
of any book, paper, account, record or other data bythe
tax collector
as required by this article; or to violate any of the otherro i
of this article. p vis ons
Section 1 "?naItl es
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