The ordinance codified in this chapter is known as the "Uniform
Transient Occupancy Tax Ordinance" of the City.
(Ord. 556 § 3, 2019)
Except where the context otherwise requires, the definitions
given in this section govern the construction of this section:
means any structure or any portion of any structure which
is occupied or intended or designed for occupancy by transients for
dwelling, lodging, or sleeping purposes, and includes any hotel, inn,
tourist home or house, motel, studio hotel, bachelor hotel, lodging
house, rooming house, apartment house, dormitory, campsite, public
or private club, mobile home or house trailer at a fixed location
other than in a mobile home park, or other similar structure or portion
thereof.
means the use or possession, or the right to the use or possession
of any room or rooms or portion thereof in any hotel for dwelling,
lodging, or sleeping purposes.
means any person, whether operating for profit or not for
profit, which enables transients to purchase occupancy of space in
a hotel via the internet, or by similar electronic means.
means the person who is the proprietor of the hotel whether
in the capacity of owner, lessee, sublessee, mortgagee in possession,
licensee, or any other capacity. Where the operator performs functions
through a managing or booking agent of any type or character, other
than an employee (including, but not limited to, an online travel
company), the managing/booking agent is also deemed an operator for
the purposes of this chapter and has the same duties and liabilities
as his or her principal. Compliance with the provisions of this chapter
by either the principal or the managing or booking agent, however,
is considered to be compliance by both.
means the total consideration charged to the transient (including,
but not limited to, room rates, service charges, parking fees, purchase
price, advance registration, assessment, retail markup, commissions,
processing fees, cancellation charges, attrition fees, or online booking
fees), whether or not received, for the occupancy of space in a hotel
valued in money, whether to be received in money, goods, labor, or
otherwise, including all receipts, cash, credits, property, and services
of any kind or nature, without any deduction therefrom whatsoever.
means the City Treasurer.
means any person who exercises occupancy or is entitled to
occupancy by reason of concession, permit, right of access, license,
or other agreement for a period of 30 consecutive calendar days or
less, counting portions of calendar days as full days. Every such
person so occupying space in a hotel may be deemed by a rule, regulation,
determination or interpretation of the Tax Administrator to be a transient
during the first 30 days of any occupancy lasting longer than 30 days.
In determining whether a person is a transient, uninterrupted periods
of time extending both prior and subsequent to the effective date
of the ordinance codified in this chapter may be considered.
(Ord. 556 § 3, 2019)
A.
For
the privilege of occupancy in any hotel, each transient is subject
to and must pay a tax in the amount of 10% of the rent charged or
customarily charged by the operator for the rooms and/or facilities
occupied by the transient.
B.
The
tax constitutes a debt owed by the transient to the City, which debt
is extinguished only by payment to the operator or to the City. The
transient must pay the tax to the operator of the hotel at the time
the rent is paid. If the rent is paid in installments, a proportionate
share of the tax must be paid with each installment. The unpaid tax
is due upon the transient's ceasing occupancy. If for any reason
the tax due is not paid to the operator of the hotel, the Tax Administrator
may require that such tax be paid directly to the Tax Administrator.
(Ord. 556 § 3, 2019)
A.
Except
as may be otherwise provided by law, there is no exemption from the
imposition of this tax for Federal, State or local officers and employees
traveling on official business; provided, further, that this tax is
not imposed for any accommodations where the rental thereof is at
the rate of five dollars a day or less.
B.
No exemption
may be granted except upon a claim therefor made at the time rent
is collected and under penalty of perjury upon a form prescribed by
the Tax Administrator.
(Ord. 556 § 3, 2019)
A.
Each
operator must collect the tax imposed by this chapter to the same
extent and at the same time as the rent is collected from every transient.
The amount of tax must be separately stated from the amount of the
rent charged, and each transient must receive a receipt for payment
from the operator.
B.
No operator
of a hotel may advertise or state in any manner, whether directly
or indirectly, that the tax or any part thereof will be assumed or
absorbed by the operator, or that it will not be added to the rent
or that, if added, any part will be refunded except in the manner
provided in this section.
(Ord. 556 § 3, 2019)
A.
Within
30 days after commencing business, each operator of any hotel renting
occupancy to transients must register the hotel with the Tax Administrator
and obtain a transient occupancy registration certificate to be at
all times posted in a conspicuous place on the premises.
B.
The
certificate must, among other things, state the following:
1.
The
name of the operator;
2.
The
address of the hotel;
3.
The
date upon which the certificate was issued; and
4.
"This
Transient Occupancy Registration Certificate signifies that the person
named on the face hereof has fulfilled the requirements of the Uniform
Transient Occupancy Tax Ordinance by registering with the Tax Administrator
for the purpose of collecting from transients the Transient Occupancy
Tax and remitting said tax to the Tax Administrator. This certificate
does not authorize any person to conduct any unlawful business or
to conduct any lawful business in an unlawful manner, nor to operate
a hotel without strictly complying with all local applicable laws,
including, but not limited to, those requiring a permit from any board,
commission, department or office of this city. This certificate does
not constitute a permit."
(Ord. 556 § 3, 2019)
It is the duty of every operator liable for the collection and
payment to the City of any tax imposed by this chapter to keep and
preserve, for a period of three years, all records as may be necessary
to determine the amount of such tax required to be collected and paid
to the City, which records the Tax Administrator has the right to
inspect at all reasonable times.
(Ord. 556 § 3, 2019)
A.
Each
operator must, on or before the last day of the month following the
close of each calendar quarter, or at the close of any shorter reporting
period which may be established by the Tax Administrator, make a return
to the Tax Administrator, on forms provided by him or her, of the
total rents charged and received and the amount of tax collected for
transient occupancies. At the time the return is filed, the full amount
of the tax collected must be remitted to the Tax Administrator. The
Tax Administrator may establish shorter reporting periods for any
certificate holder if the Tax Administrator deems it necessary in
order to insure collection of the tax and may require further information
in the return. Returns and payments are due immediately upon cessation
of business for any reason. All taxes collected by operators pursuant
to this section must be held in trust for the account of the City
until payment thereof is made to the Tax Administrator.
B.
All
returns and payments submitted by each operator will be treated as
confidential by the City Treasurer and not be released by the City
Treasurer except upon order of a court of competent jurisdiction or
to an officer or agent of the United States, the State of California,
the County of San Diego, or the City, for official use only.
(Ord. 556 § 3, 2019)
A.
If any
operator fails or refuses to collect the tax and to make, within the
time provided in this chapter, any report and remittance of the tax
or any portion thereof required by this chapter, the Tax Administrator
will proceed in such a manner deemed best to obtain facts and information
on which to base an estimate of the tax due. As soon as the Tax Administrator
procures such facts and information that enable identification of
information on which to base the assessment of any tax imposed by
this chapter and payable by any operator who has failed or refused
to collect the same and to make such report and remittance, the Tax
Administrator must proceed to determine and assess against such operator
the tax, interest, and penalties provided for by this chapter.
B.
In case
such determination is made, the Tax Administrator must give a notice
of the amount so assessed by serving it personally or by depositing
it in the United States mail, postage prepaid, addressed to the operator
so assessed at the last known place of address. Such operator may
within 10 days after the service or mailing of such notice make application
in writing to the Tax Administrator for a hearing on the amount assessed.
If application by the operator for a hearing is not made within the
time prescribed, the tax, interest and penalties, if any, determined
by the Tax Administrator becomes final and conclusive and immediately
due and payable. If such application is made, the Tax Administrator
must give not less than five days' written notice in the manner
prescribed in this section to the operator to show cause at a time
and place fixed in the notice why the amount specified therein should
not be fixed for such tax, interest, and penalties.
C.
At such hearing, the operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing, the Tax Administrator will determine the proper tax to be remitted and thereafter give written notice to the person in the manner prescribed in this section of such determination and the amount of such tax, interest and penalties. The amount determined to be due is payable after 15 days unless an appeal is taken as provided in Section 3.16.100.
(Ord. 556 § 3, 2019)
Any operator aggrieved by any decision of the Tax Administrator with respect to the amount of such tax, interest and penalties, if any, may appeal to the Council by filing a notice of appeal with the City Clerk within 15 days of the serving or mailing of the determination of tax due. The Council will fix a time and place for hearing such appeal, and the City Clerk will give notice in writing to such operator at the last known place of address. The findings of the Council are final and conclusive and will be served upon the appellant in the manner prescribed in Section 3.16.090 for service of notice of hearing. Any amount found to be due is immediately due and payable upon the service of notice.
(Ord. 556 § 3, 2019)
A.
Whenever the amount of any tax, interest, or penalty has been overpaid or paid more than once or has been erroneously or illegally collected or received by the City under this chapter, it may be refunded as provided in subsections B and C of this section provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the Tax Administrator within three years of the date of payment. The claim must be on forms furnished by the Tax Administrator.
B.
An operator
may claim a refund or take as credit against taxes collected and remitted
the amount overpaid, paid more than once, or erroneously or illegally
collected or received when it is established in a manner prescribed
by the Tax Administrator that the person from whom the tax has been
collected was not a transient; provided, however, that neither a refund
nor a credit will be allowed unless the amount of the tax so collected
has either been refunded to the transient or credited to rent subsequently
payable by the transient to the operator.
C.
A transient may obtain a refund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the City by filing a claim in the manner provided in subsection A of this section, but only when the tax was paid by the transient directly to the Tax Administrator or when the transient, having paid the tax to the operator, establishes to the satisfaction of the Tax Administrator that the transient has been unable to obtain a refund from the operator who collected the tax.
D.
No refund
will be paid under the provisions of this section unless the claimant
establishes a right thereto by written records showing entitlement
thereto.
E.
An operator
who has remitted an amount in excess of the amount required to be
paid by this chapter may receive a credit to the extent of the excess.
If the excess is discovered as the result of an audit by the City,
no claim need be filed by the operator. Such credit, if approved by
the City Treasurer, will be applied to any deficiency found or any
further tax payments due.
(Ord. 556 § 3, 2019)
Any tax required to be paid by any transient under the provisions
of this chapter is deemed a debt owed by the transient to the City.
Any such tax collected by an operator which has not been paid to the
City is deemed a debt owed by the operator to the City. Any person
owing money to the City under the provisions of this chapter is liable
to an action brought in the name of the City for the recovery of such
amount.
(Ord. 556 § 3, 2019)
A.
Original
Delinquency. Any operator who fails to remit any tax imposed by this
chapter within the time required must pay a penalty of 10% of the
amount of the tax in addition to the amount of the tax.
B.
Continued
Delinquency. Any operator who fails to remit any delinquent remittance
on or before a period of 30 days following the date in which the remittance
first became delinquent must pay a second delinquency penalty of 10%
of the amount of the tax and the 10% penalty first imposed.
D.
Interest.
In addition to the penalties imposed, any operator who fails to remit
any tax imposed by this chapter must pay interest at the rate of one-half
of one percent per month or fraction thereof on the amount of the
tax, exclusive of penalties, from the date on which the remittance
first became delinquent until paid.
E.
Penalties
Merged with Tax. Every penalty imposed and such interest as accrues
under the provisions of this chapter becomes a part of the tax required
to be paid under this chapter.
F.
Audit Deficiency. If, upon audit by the City, an operator is found to be deficient in his or her return or his or her remittance or both, the City Treasurer must immediately notify the operator of the net deficiency and the original 10% delinquency penalty. If the operator fails or refuses to pay the deficient amount and applicable penalties within 14 days after the date of the City Treasurer's notice, the penalties prescribed in subsection B above apply, using the 15th day after the date of this City Treasurer's notice as the date when the continued delinquency penalty first applies.
(Ord. 556 § 3, 2019)
A.
In addition to any other penalty provided under this code, any operator or other person who fails or refuses to register as required in this chapter, or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Tax Administrator, or who renders a false or fraudulent return or claim, is guilty of a misdemeanor, and is punishable as set forth in Title 1 of this code.
B.
Any person required to make, render, sign, or verify any report or claim or who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount required by this chapter to be made is guilty of a misdemeanor and is punishable as set forth in subsection A of this section.
(Ord. 556 § 3, 2019)
All revenues collected by the City under this chapter must be
deposited in the general fund.
(Ord. 556 § 3, 2019)
The Tax Administrator may promulgate rules, regulations, determinations
and interpretations as may be necessary or appropriate for the purpose
of carrying out and enforcing the payment, collection and remittance
of the transient occupancy tax in accordance with this transient occupancy
tax ordinance.
(Ord. 556 § 3, 2019)
A.
Pay
First. No suit for the purpose of restraining the assessment or collection
of any transient occupancy tax may be maintained in any court by any
person, whether or not such person is the person against whom such
tax was assessed, unless such person has first paid the tax.
B.
Due Process. No suit or proceeding may be maintained in any court for the recovery of any transient occupancy tax alleged to have been erroneously or illegally assessed or collected, or of any penalty claimed to have been collected without authority, or of any sum alleged to have been excessive or in any manner wrongfully collected, until a claim for refund or credit has been duly filed pursuant to Section 3.16.110.
C.
Protest
or Duress. Such suit or proceeding may be maintained whether or not
such tax, penalty, or sum has been paid under protest or duress.
(Ord. 556 § 3, 2019)
