Loading...
HomeMy WebLinkAbout3187 AN ORDINANCE relating to gambling, providing for, and levying-a tax upon the income derived from the conduct of certain activities; providing for necessary administrative procedures for the collection and enforcement of such a .tax; providing penalties for failure to timely pay the tax; and providing for the effective date of this ordinance. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BREMERTON: SECTION 1. Definitions. For the purposes of this ordinance, the words and terms used shall have the same meaning as each has under Chapter 218, Laws of 1973, ~Tirst Extraordinary Session and Chapter 9.46 RCW, each amended, and under the rules of the Washington State Gambling Commission, Chapter 230, WAC, unless otherwise specifically provided or the context in which they are used herein clearly indicates that they may be given some other meaning. SECTION 2. Persons ~.subject to tax - tax rates. There is hereby levied upon all persons, associations, and organizations conducting or operating within this j uridiction any of the activities listed below, a tax in the following amount to be paid to the City of Bremerton, Washington: (a) Bingo, in the amount of the gross receipts therefrom, less the amount of money paid in cash and paid for merchandise, actually awarded as prizes during the taxable period, multiplied by the rate of ten (10) per cent. (b) R_affles., in the amount of the gross receipts therefrom, less the amount of money paid in cash, and paid for merchandise, actually awarded as prizes during the taxable period, multipled by the rate of ten (10) per cent. (c) Am~se. men. t g..ames, in the amount of the gross recei~ts therefrom, less the amount of money paid in cash, and paid for merchandise, actually awarded as prizes during the taxable period, multiplied by the rate of ten (10) per cent. - 1 - (d) Fishin~ derbies, in the amount of the gross receipts therefrom, less the amount of money paid in cash and paid for merchandise, actually awarded for prizes during the taxable period, multiplied by the rate of ten (10) per cent. (e) Any punchboards or pull-tabs. Any organization qualifying as a bona fide, charitable or non-profit organiza- tion pursuant to the provisions of Chapter 9.46 and any person, association, or organization who desires to utilize punchboards or pull-tabs as a commercial stimulant pursuant to RCW Chapter 9.46 shall make such intention known to the Treasurer of the City of Bremerton and shall remit to the City of Bremerton and there is hereby levied an excise or tax computed at the rate of three (3) per cent based on the gross income received in the conduct of such activity computed by multiplying the number of chances played on said board or pull-tab times the price or value of each individual chance or play. (f) Card playing, in the amount of twenty (20) per cent of the gross receipts received as fees charged persons for the privilege of playing in card games. SECTION 3. Tax to be computed and paid qua~ter~.- exceptions. Each of the various taxes imposed by this ordinance shall be computed on the basis of activity during each calendar quarter year, shall be due and payable in quarterly installments, and remittance therefor, together with return forms, shall be made to the City of Bremerton, Washington, on or before the last day of the month next succeeding the quarterly period in which the tax accrued, that is, on January 31, April 30, July 31, and October 31 of each year: PROVIDED, That the follow- ing exceptions to this payment schedule shall be allowed, or required: (a) Except as provided in (b) below, whenever any person, association or organization taxable hereunder conducting or operating a taxable activity on.a regular basis discontinues - 2 - operation of that taxable activity for a period of more than three (3) consecutive weeks, or quits business, sells out, or otherwise disposes of its business or terminates the business, any tax due hereunder shall become due and payable, and such taxpayer shall, within ten days thereafter, make a return and pay the tax due. (b) Whenever it appears to the City Treasurer that the collection of taxes from any person, association or organization may be in jeopardy, the City Treasurer, after not less than thirty (30) days notice to the taxpayer, is authorized to require that taxpayer to remit taxes and returns at such shorter intervals than quarterly or annually, as the City Treasurer shall deem appropriate under the circumstances. SECTION 4. Administration and Collection of Tax. Administration and collection of the various taxes imposed by this ordinance shall be the responsibility of the City Treasurer. Remittance of the amount due shall be accompanied by a completed return f~m prescribed and provided by the City Treasurer. The taxpayer shall be required to swear and affirm that the information given in the return is true, accurate, and complete. The City Treasurer is authorized, but not required, to mail to taxpayers forms for returns. Failure of the taxpayer to receive such a form shall not excuse a taxpayer from making the return and timely paying all taxes due. The City Treasurer shall make forms available to the p~lic in reasonable numbers in the office of the City Treasurer during regular business hours. In addition to the return form, a copy of the taxpayer's quarterly report to the Washington State Gambling Commission required by WAC 230-08 for the period in which the tax accrued, shall accompany remittance of the tax amount due. SECTION 5. Method of Payment. - 3 - Taxes payable hereunder shall be remitted to the City Treasurer on or before the time required by bank draft, certified check, cashier's check, personal check, money order, or in cash. If payment is made by draft or check, the tax shall not be deemed paid until the draft or check is honored in the usual course of business, nor shall the acceptance of any sum by the City Treasurer by an acquittance or discharge of the tax unless the amount paid ~s the full amount due. The return, and copy of quarterly report to the Washington State Gambling Commission, shall be filed in the office of the City Treasurer after notation by that office upon the return of the amount actually received from the taxpayer. SECTION 6. Failure ~.0 Make Timely P~yment of Tax or Fee. If full payment of any tax or fee due under this ordinance is not received by the City Treasurer on or before the date due, there shall be added to the amount due a penalty fee as follows: (a) 1-10 days late - 5% of tax due (b) 11-20 days late - 10% of tax due (c) 21-31 days late - 15% of tax due (d) 32-60 days late - 20% of tax due but in no event shall the penalty amount be less than $25.00. In addition to this penalty, the City Treasurer may charge the taxpayer interest of 1% of all taxes and fees due for each 30 day period, or portion thereof, that said amounts are past due. Failure to make payment in full of all tax amounts, and penalties, within 60 days ~ollowing the day the tax amount initially became due shall be both a civil and a criminal violation of this section. - 4 - SECTION 7. Notice Of Intention To Engag~ !njAct~.~.ty To Be Filed. In order that the city may identify those persons who are subject to taxation under this ordinance, each person, association or organization shall file with the City Treasurer a sworn Declaration of Intent to conduct an activity taxable under this ordinance upon a form to be prescribed by the City Treasurer, together with a copy of the license issued therefor by the Washington State Gambling Commission. The filing shall be made not later than ten (10) days prior to conducting or operating the taxable activity. No fee shall be charged for such filing, which is not for the purpose of regulation of this activity but for the purposes of administration of this taxing ordinance only. Failure to timely file shall not excuse any person, association or organization from any tax liability. SECTION ~. Records Required. Each person, associa- tion, or organization engaging in an activity taxable under this ordinance shall maintain records respecting that activity which truly, completely and accurately disclose all information necessary to determine the taxpayer's tax liability hereunder during each base tax period., Such records shall be kept and maintained for a period of not less than three years. In addition, all information and items required by the Washington State Gambling Commission under WAC 230-08, and the United States Internal Revenue Service respecting taxation, shall be kept and maintained for the periods required by those agencies. All books, records, and other items required to be kept and maintained under this section shall be subject to, and immediately made available for, inspection and audit at any time, with or without notice, at the place where such records are kept; upon demand by the City Treasurer or his designees, for the purpose of enforcing the provisions of this taxing ordinance. Where a taxpayer does not keep all of the books, -- 5 records or items required to be kept or maintained under this section in this jurisdiction so that the City Treasurer may examine them conveniently, the taxpayer shall either: (a) Produce all of the required books, records, or items within this jurisdiction for such inspection within 7 days following a request of the local official that he do so; or (b) Bear the actual cost of inspection by the City Treasurer or his designee, at the location at which such books, records or items are located, provided that a taxpayer choosing to bear these costs shall pay in advance to the City Treasurer the estimated cost thereof, including but not limited to, round trip fare by the most rapid means, lodging, meals, and incidental expenses. The actual amount due, or to be refunded, for expenses shall be determined following said examination of the records. A taxpayer who fails, neglects or refuses to produce such books and records either within or without this jurisdiction, in addition to being subject to other civil and criminal penalties provided by this ordinance, shall be subject to a jeopardy fee or tax assessment by the City Treasurer. This penalty fee or jeopardy assessment shall be deemed prima facie correct and shall be the amount of fee or tax owing the City Treasurer by the taxpayer unless he can prove otherwise by competent evidence. The taxpayer shall be notified by mail by the City Treasurer of the amount of tax so determined by jeopardy assessment, together with any penalty and/or interest, and the total of such amounts shall thereupon become immediately due and payable. SECTION 9. Overpayment or Underpayment of Tax If, upon application by a taxpayer for a refund or for an audit of his records, or upon any examination of the returns or - 6 - records of any taxpayer, it is determined by the City Treasurer that within three years immediately preceding receipt by the City Treasurer of the application by the taxpayer for a refund, or an audit, or, in the absence of such an application, within the three years immediately preceding the commencement by the City Treasurer of such examination: (a) A tax or other fee has been paid in excess of that properly due, the total excess paid over all amounts due to the city within such period of three years shall be credited to the taxpayer's account or shall be credited to the taxpayer at the taxpayer's option. No refund or credit shall be allowed with respect to the City Treasurer more than three years before the date of such application or examination. (b) A tax or other fee has been paid which is less than that properly due, or no tax or other fee has been paid, the City Treasurer shall mail a statement to the taxpayer showing the balance due, including the tax amount or penalty assessments and fees, and it shall be a separate, additional violation of this ordinance, both civil and criminal, if the taxpayer fails to make payment in full within ten calendar days~of such mailing. SECTION 10. Failure To Make Return. If any taxpayer fails, neglects or refuses to make and file his return as and when required under this ordinance, the City Treasurer is authorized to determine the amount of tax payable, together with any penalty and/or interest assessed under the provisions of this ordinance, and by mail to notify such tax- payer of the amount so determined, which amount shall thereupon become the tax and penalty and/or interest and shall become immediately due and payable. - 7 - SECTION 11. Tax Additional To Others. The tax herein levied shall be additional to any license fee or tax imposed or levied under any law or any other ordinance of Bremerton, Washington, except as herein otherwise expressly provided. SECTION 12. Cit~ Treasurer To Make Rules. The City Treasurer shall have the power, and it shall be his duty, from time to time, to adopt, publish and enforce rules and regulations not inconsistent with this ordinance or with superior law, for the purpose of carrying out the provisions hereof, and it shall be unlawful to violate or fail to comply with any such rule or regulation. SECTION 13. Taxes, Penalties and Fees Constitute Debt To Municipality. Any tax due and unpaid under this ordinance and all penalties or fees shall constitute a debt to the city, a municipal corporation, and may be collected by court proceedings the same as any other debt in like amount which shall be in addition to all other existing remedies. SECTION 14. Limitation On Right To Recovery. The right of recovery by the city from the taxpayer for any tax provided hereunder shall be outlawed after the expiration of three calendar years from the date said tax became due. The right of recovery against the city because of overpayment of tax by any taxpayer shall be outlawed after the expiration of three calendar years from the date such payment was made. SECTION 15. Violation - Penalties. Any person violating or failing to comply with any of the provisions of this ordinance or any lawful rule or regulation adopted by the City Treasurer pursuant thereto, upon conviction thereof, shall be punished by a fine in any sum not to exceed .f~i-ve hundred dollars ($~U0.00), or by imprisonment in the city jail for a term not exceeding 90 days, or by both such fine -- 8 and imprisonment. Any taxpayer who engages in, or carries on, any gambling activity subject to a tax hereunder without having complied with the provisions of this ordinance shall be guilty of a violation of this ordinance for each day during which the gambling activity is carried on. SECTION 16. Severability. If any provision or section of this ordinance shall be held void or unconstitutional, all other parts, provisions and sections of this ordinance not expressly so held to be void or unconstitutional shall continue in full force and effect. SECTION 17. Effective date of tax. This ordinance shall provide for the gambling taxes mentioned herein, to be retroactive to January 1, 1975. APPROVED by the City Council on first reading this day of ~)~¢~~' , 1974. PASSED by the City Council of the City of Bremerton, signed by the Mayor and attested by the City'Clerk in authentication of such passage this /~T~ay of ~f-F~b¢~ , 1974. ~GLENN K. JARST D~ ~ayor-- ATTEST: ~~~~.,~ City Clerk - 9 -