HomeMy WebLinkAbout3437 Ordinance ORDINANCE NO. 3437
AN ORDINANCE of the City of Pasco, Washington, repealing
Chapter 3.04 of the Pasco Municipal Code entitled "Admissions
Tax" and creating Chapter 3.02 entitled "Admissions Tax".
WHEREAS, The City Council of the City of Pasco, Washington, has
determined that certain amendments regarding admissions tax are necessary
for the improved enforcement and collection of admissions tax. These
amendments update the tax language, allow exemption from taxation when
applicable and ensure that the tax encompasses all relevant activities in the
City of Pasco; NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO
ORDAIN AS FOLLOWS:
Section 1. That Chapter 3.04 entitled "Admissions Tax" of the Pasco
Municipal Code is hereby repealed in its entirety.
Section 2. That Chapter 3.02 entitled "Admissions Tax" of the Pasco
Municipal Code is enacted to read as follows:
CHAPTER 3.02
ADMISSIONS TAX
Sections:
3.02.010 Definitions:
3.02.020 Tax Imposed - Rates.
3.02.030 Admission tax exemption.
3.02.040 Form of admission ticket.
3.02.050 Selling tickets above stated price.
3.02.060 Business license.
3.02.070 Temporary amusement - property owner liable.
3.02.080 Collection of tax.
3.02.090 Remittance of tax.
3.02.100 Books and records.
3.02.110 Termination of collector's business.
3.02.120 Procedure upon failure to file return.
3.02.130 Interest and penalty.
3.02.140 Rules and regulations.
3.02.150 Applications and returns confidential.
3.02.160 Failure to remit.
3.02.170 Violation - Penalty.
3.02.180 Administrative Appeal
3.02.190 Severability.
3.02.010 DEFINITIONS. (1) "Admission Charge," in addition to its
usual and ordinary meaning includes:
(a) A charge made for season tickets and subscriptions; and
(b) A cover charge, or a charge made for use of seats and tables
reserved or otherwise, and other similar accommodations; and
(c) A charge made for food and refreshment in any place where
free entertainment, recreation or amusement is provided; and
(d) A charge made for rental or use of facilities for purposes of
recreation or amusement for which general admission is normally
charged on an individual basis shall be considered as the admission
charge; and
(e) Automobile parking charges if the amount of the charge is
determined according to the number of passengers in an automobile; and
M Any sum of money referred to as "a donation" which must be
paid before entrance is allowed.
(2) "Bona Fide Charitable or Non-Profit Organization" means any
organization duly existing under the provisions of RCW Chapters 24.12, 24.20
or 24.28, or any agricultural fair organized under the provisions of RCW 36.37
or 15.76, or any non-profit corporation duly existing under the provisions of
RCW Chapter 24.03 for charitable, benevolent, educational, civic, patriotic,
political, social, fraternal, athletic or agricultural purposes, or any non-profit
organization or association, whether incorporated or otherwise, when found by
the Treasurer to be organized and operating or conducting an event or activity
for one or more of the above-listed purposes.
(3) "Person" means an individual, receiver, assignee, firm, partnership,
joint venture, corporation, company, joint stock company, limited liability
company, limited liability partnership, association, society, or a group of
individuals acting as a unit whether mutual, cooperative, fraternal, non-profit
or otherwise.
(4) "Place" includes, but is not restricted to theaters, dance halls,
amphitheaters, nightclubs, auditoriums, stadiums, athletic pavilions or fields,
swimming pools, aquatic parks, baseball or other athletic parks, ice arenas,
golf courses, or driving ranges, adult entertainment facilities as defined in PMC
5.27, circuses, side shows, amusement parks, merry-go-rounds, ferns wheels,
roller coasters, observation towers, arcades and similar attractions.
(5) "Treasurer" means the Treasurer of the City of Pasco or his
designee.
3.02.020 TAX IMPOSED - RATES. A tax in the amount of two and one half
(2.5%) percent of the admission charge shall be levied and imposed upon every
person (including children, without regard to age) who pays an admission
charge to any place, including a tax on persons who are admitted free of charge
or at reduced rates to any place for which other persons pay a charge or a
regular higher charge for the same or similar privileges or accommodations.
Whenever the charge to women, children or senior citizens for admission
to any place is less than the charge made to other persons, or when such
persons are admitted free, the lesser admission charge is not considered to be a
reduced rate under this chapter. The amount of tax payable by such persons
shall be determined by the amount of actual admission tax paid.
3.02.030 ADMISSION TAX EXEMPTION. (1) The admission tax listed in
section 3.02.020 is not imposed:
(a) When the admission charge, either for a single event or by
prorating a season ticket or subscription price, is ten cents or less; or
(b) Upon a person paying an admission charge to an activity of
an elementary or secondary school where the school or school district is
the sponsor; or
(c) Upon a person paying an admission charge to an activity of
an accredited public or private college, junior college, university, or the
recognized student body association thereof; or
(d) Upon admission charges paid by any government agency; or
(e) Where no admission charge or compensating payment is
collected from the persons attending the activity or event; or
(f) Upon a person paying an admission charge to an activity or
performance of a bona fide charitable or non-profit organization
furnishing evidence of their organization's status under one of the
applicable RCW chapters as listed in section 3.02.010 (2); provided:
(i) The City Treasurer's office receives a properly
completed license application, including proof of the organization's
status, for this exemption at least fifteen days prior to the event;
and
(ii) The bona fide charitable or non-profit organization
must be organized and operated exclusively for those purposes
detailed in the RCW chapters listed in section 3.02.010 (2); and
(iii) The bona fide charitable or non-profit organization
must be fiscally responsible for the event and receive the full
benefit and use of the proceeds from the event. If the bona fide
charitable or non-profit organization contracts with a non-exempt
person to conduct the event on its behalf, the exemption applies
only if the exempt organization receives payment of its expenses
and charges a net sum equal to at least twenty percent (20%) of
the anticipated gross of admission charges.
(2) This section is to be construed strictly against an exemption.
(3) The exemption to admission tax as provided in this section shall
not apply to an event in which a college, university or non-profit organization
lends its name to an endorsement for an ineligible person for the purpose of
invoking the tax exemption.
3.02.040 FORM OF ADMISSION TICKET. (1) A person may not sell or
offer for sale an admission ticket or card which does not have the name of the
place of the ticketed event and the total admission price, which shall include
the admissions tax, conspicuously and indelibly printed, stamped, or written
on that part of the ticket which is to be taken up by the management of the
place at the time of admission.
(2) All tickets sold must be consecutively numbered or reflect house
seat locations to allow the City Treasurer's office to verify the number of tickets
sold.
3.02.050 SELLING TICKETS ABOVE STATE PRICE. (1) No person may
sell an admission ticket or card at a price in excess of the price printed,
stamped, or written thereon.
(2) This section does not forbid a ticket agent, duly authorized to sell
tickets by the event presenter, from collecting a reasonable handling charge
from the purchaser, in addition to the disclosed ticket price, consistent with
general marketing practices in the Tri-Cities area. The handling charge is not
part of the admission charge for purposes of the City admissions tax.
3.02.060 BUSINESS LICENSE. Any person conducting or operating any
place for entrance to which an admission charge is made shall, on a form
prescribed by the City Treasurers office make application to and procure from
the City a business license, the fee for which license shall continue valid until
the thirty-first day of December of the year in which the same is issued. Such
licenses or duplicate original copies thereof to be issued by the City without
additional charge, shall be posted in a conspicuous place in each ticket or box
office where tickets or admissions are sold.
3.02.070 TEMPORARY AMUSEMENT - PROPERTY OWNER LIABLE. A
temporary business license is to be obtained for the purpose of operating or
conducting a temporary or transitory amusement, entertainment, concert,
dance or exhibition by persons who are not the owners, lessees or custodians
of the building lots or place where the amusement is to be conducted. The tax
imposed by this chapter shall be reported and remitted as provided in Section
3.02.090 by the owner, lessee or custodian, unless paid by the person
conducting such activities. The applicant for a temporary business license for
such purpose shall furnish with the application therefor, the name and address
of the individual responsible for the collection and payment of the admission
tax and the owner, lessee or custodian of the premises who shall be jointly and
severally liable to the City for the collection and remittance of such tax.
3.02.080 COLLECTION OF TAX. Every person receiving any payment for
admission is required to collect the amount of the admissions tax from the
person making the admission payment at the time the admission charge is
paid.
3.02.090 REMITTANCE OF TAX. (1) The tax collected under this
chapter shall be deemed held in trust until paid to the City Treasurer. Should
a person required to collect the admissions tax fail either to collect or remit the
tax, the City shall have a similar claim for the amount of the tax, plus interest
as provided in this chapter, against the proceeds of admissions charges
received by such person.
(2) Unless in a particular case, the Treasurer directs or authorizes a
different procedure, each person required to collect the admissions tax must
file a tax return accompanied by remittance of the tax due bi-monthly, by the
fifteenth day of the month next following the end of each bi-monthly reporting
period. The City Treasurer shall prescribe the form and content of such tax
returns. Whenever it reasonably appears the collection of taxes due is in
jeopardy, the Treasurer, after notice to the person collecting the tax, is
authorized to require reporting and payment of taxes due at any interval other
than bi-monthly as the Treasurer shall deem appropriate under the
circumstances. Bi-monthly reporting periods are as follows: January-
February; March-April; May-June; July-August; September-October; and
November-December. Corresponding admissions tax due dates are March
15'h, May 15t", July 15', September 15'', November 15'h and January 15t1i
(3) Not by way of limiting the Treasurer's discretion to regulate the
remittance of the tax under this chapter, the Treasurer is specifically
authorized to require verified annual tax returns and to require the immediate
remittance of the tax on admissions to a single event or series of events of a
temporary or transitory nature.
(4) Payment or remittance of the tax collected may be made by check,
unless payment or remittance is otherwise required by the Treasurer, but
payment by check shall not relieve the person collecting the tax from liability
for payment and remittance of the tax to the City unless the check is honored
and is the full and correct amount.
(5) The Treasurer may, after giving notice to the person collecting the
tax, require the placement of taxes collected in a trust account at an approved
local depository bank. The taxes collected shall be held in said trust account
until payment to the City is made. The Treasurer shall have such authority
when he deems a trust account is necessary to insure payment of the taxes
collected to the City.
3.02.100 BOOKS AND RECORDS. Every person required to collect the
admission tax is required to keep and make available at all reasonable times
for inspection and audit by the City Treasurer all books, records, and accounts
pertinent to the tax for a period of two years.
3.02.110 TERMINATION OF COLLECTOR'S BUSINESS. Whenever a
person required to collect the tax under this chapter quits or otherwise
disposes of the business, any tax collected shall become immediately payable
to the City Treasurer. If such tax is not remitted within ten days after a sale or
other disposal of the business, the purchaser or successor shall become liable
to the City for such tax.
3.02.120 PROCEDURE UPON FAILURE TO FILE RETURN. Should a
person fail to file a required admissions tax return, the Treasurer shall make a
determination of the amount of tax due from such person based on whatever
information is available and shall notify such person by mail of the amount of
tax so determined, along with any applicable interest and penalties, and direct
such person to remit the amount due within ten days.
3.02.130 INTEREST AND PENALTY. (1) Should a person fail to pay the
tax due in the time prescribed, said person shall become liable for interest on
the tax due at the rate of one percent (1 0/6) per month. Interest calculations
shall commence the day following the due date.
(2) Should a person fail to pay the tax due within thirty (30) days after
it is due, said person shall become liable for a penalty of ten percent (10%) of
the amount of the tax due, in addition to the interest provided for in subsection
(1) above, for each payment in default.
3.02.140 RULES AND REGULATIONS. The City Treasurer may adopt
and promulgate rules and regulations for administration and enforcement of
this chapter, subject to the approval of the City Council, and shall place on file
a copy of such rules and regulations for public examination in the City
Treasurer's Office.
3.02.150 APPLICATIONS AND RETURNS CONFIDENTIAL.
(1) The applications, returns and any information required of any
taxpayer, including any audits or investigations made by the City Treasurer or
his agent, shall not be disclosed for inspection or copying if such disclosure
would (i) be prohibited to such persons by law; or (ii) violate the taxpayer's right
to privacy or result in unfair competitive disadvantage to the taxpayer. This
section does not prohibit the City or its agents from:
(a) Giving such facts or information in evidence in any court
action involving the tax imposed hereunder or involving a violation of this
chapter; or
(b) Giving such facts and information to the person paying the
tax or his duly authorized agent; or
(c) Publishing statistics so classified as to prevent the
identification of particular returns and reports of items thereof, or
(d) Permitting its records to be audited and examined by the
proper state officer, his agents and employees.
(2) The City consents to the inspection of such records as necessary
by the State Department of Revenue.
3.02.160 FAILURE TO REMIT. Any person designated in the application
as the responsible person for the collection and remittance of admissions tax
as provided in PMC 3.02.060 and 3.02.070, shall be individually, jointly, and
severally liable for the amount of the tax due. Any tax due and unpaid under
this chapter, and all penalties thereon, constitute a debt to the City and may
be collected by court proceedings in the same manner as any other debt in like
amount, which remedy is in addition to all other existing remedies.
3.02.170 VIOLATION - PENALTY. It is unlawful for a person to fail to
comply with any requirement of this chapter or the rules and regulations
promulgated hereunder. Each violation is a separate offense and except as
otherwise provided is punishable as a civil infraction.
3.02.180 ADMINISTRATIVE APPEAL. Any taxpayer aggrieved by the
amount of tax, interest, or penalties determined by the Treasurer to be due
under the provisions of this Chapter, shall appeal such determination to the
City Manager or his designee. Taxpayers shall be required to remit the
amounts to be due under this Chapter prior to filing an appeal.
3.02.190 SEVERABILITY. Should any provision of this chapter or its
application to any person or circumstances be held invalid, the remainder of
the chapter or the application of the provision to other persons or
circumstances shall not be affected.
Section 3. This ordinance shall take effect and be in force from and after its
passage and five days following its publication as required by law.
PASSED by the City Council of the City of Pasco at a regular meeting
this 2°a day of October, 2000.
/ llue& - I
Michael L. Garrison, Mayor
ATTEST: APPROVED AS TO FORM:
Catherine D. Seaman, Deputy City Clerk Leland B. Kerr, City Attorney