Note: Prior ordinance history: Ords. 642, 655, 697, 815, 831, 840, 869. Imposition and collection of business license tax—See California Government Code Section 37101.
For the purposes of this chapter, unless it is plainly evident from the context that the meaning is intended, certain terms used in this chapter are defined as follows:
"Business"
means professions, trades, occupations, gainful activities, and all and every kind of calling whether or not carried on for profit.
"City"
means the City of Mill Valley, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or re-incorporated form.
"Collector"
means the Finance Director or other City officer or employee charged with the administration of this chapter.
"Gross receipts"
means the total amount of the sale price of all sales and the total amount charged or received for the performance of any act or service of whatever nature it may be, for which a charge is made or credit allowed, whether or not such act or service is done as a part or in connection with the sale of materials, goods, wares, or merchandise. Gross receipts, as used in this chapter, shall mean the gross receipts of the year preceding the beginning of the annual license period. Included in gross receipts shall be all receipts, cash, credits, and property of any kind or nature, without any deduction therefrom on account of the cost of the property sold, the cost of the materials used, labor or service, costs, interest paid or payable, or losses or other expenses whatsoever. Excluded from gross receipts shall be the following:
1. 
Cash discounts allowed and taken on sales;
2. 
Credit allowed on property accepted as part of the purchase price and which property may later be sold;
3. 
Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser;
4. 
Such part of the sale price returned by purchasers upon recession of the contract of sale as is refunded either in cash or by credit;
5. 
Amounts collected for others where the business is acting as an agent or trustee, to the extent that such amounts are paid to those for whom collected and provided the agent or trustee has furnished the collector with the names and addresses of the others and the amounts paid to them;
6. 
That portion of the receipts of a general contractor which represents payments to subcontractors, provided that such subcontractors are licensed under this chapter and provided the general contractor furnishes the collector with the names and addresses of the subcontractors and the amounts paid each subcontractor;
7. 
That portion of gross receipts which has been the measure of a license tax paid to any other city for sales transacted outside the City.
"Peddler"
means any hawker, vendor, or other person who goes from house to house or from place to place or in or along the streets within the City selling and making immediate delivery or offering for sale and immediate delivery any goods, wares, merchandise or any thing of value in his or her possession to persons other than manufacturers, wholesalers, jobbers or retailers in such commodities.
"Person"
means all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, merchandise, business, or common-law trusts, societies and individuals transacting and carrying on any business in the City other than as an employee.
"Retail trade"
means every business conducted for the purpose of selling or offering to sell any goods, wares or merchandise, other than as a part of a "wholesale business" as defined in subsection J of this section.
"Solicitor"
means a person engaged in soliciting, canvassing, or taking orders from house to house or from place to place or by telephone or by any other means of communication for any goods, wares, merchandise, or any article to be delivered in the future or for services to be performed in the future or making, manufacturing, or repairing any article whatsoever for future delivery or for subscriptions to periodicals or tickets of admission to entertainment or memberships in any clubs.
"Sworn statement"
means an affidavit sworn to before a person authorized to take oaths or a declaration or certification made under penalty of perjury.
"Wholesale and manufacturing trade"
means every business conducted solely for the purpose of selling or manufacturing goods, wares or merchandise in wholesale lots for resale.
(Ord. 480 § 1, 1959; Ord. 560 § 1, 1963; Ord. 895 § 1, May 9, 1977)
Subject to the provisions of this chapter, there are imposed upon all businesses engaged in or carried on in the City, business license taxes in the amounts as provided in this chapter.
It is unlawful for any person to commence, transact, engage in, or carry on any business in the City without first having obtained a valid license and paid the license tax therefor, or without complying with any and all applicable provisions to this chapter. Compliance with such requirements shall not be construed to be a condition precedent to engaging in any business or corporation within the City where the imposition of such a condition precedent would be contrary to law.
When any person shall by use of signs, circulars, cards, telephone book, or newspapers, advertise, hold out, or represent that he or she is in business in the City, or when any person holds an active license or permit issued by a governmental agency indicating that he or she is in business in the City, and such person fails to deny by a sworn statement given to the collector that he or she is not conducting a business in the City, after being requested to do so by the collector, then these facts shall be considered prima facie evidence that he or she is conducting a business in the City.
(Ord. 480 § 2, 1959; Ord. 895 § 1, May 9, 1977)
The ordinance codified in this chapter is enacted solely to raise revenue for municipal purposes and is not intended to license or tax for regulation.
(Ord. 480 § 3, 1959; Ord. 895 § 1, May 9, 1977)
Persons required to pay a license tax for transacting or carrying on any business under this chapter shall not be relieved from the payment of any fees for the privilege of carrying on any similar or related activity required under any other ordinance of the City and shall remain subject to the regulatory provisions of other ordinances.
No person shall be entitled to a business license and the collector shall not issue a business license to any person commencing business unless and until said person shall have complied with all applicable City ordinances.
No license shall be issued covering any food or drink dispensing establishment, restaurant, pet hospital, pet shop, veterinarian, or kennel services until the applicant has obtained clearance from the Marin County Department of Public Health.
(Ord. 480 § 4, 1959; Ord. 895 § 1, May 9, 1977)
Neither the adoption of the ordinance codified in this chapter nor its superseding of any portion of any other ordinance of the City shall in any manner be construed to affect prosecution for violation of any other ordinance committed prior to June 8, 1977, nor be construed as a waiver of any license or any penal provision applicable to any such violation; nor be construed to affect the validity of any bond filed, or deposited, and all rights and obligations thereunto appertaining shall continue in full force and effect.
(Ord. 480 § 5, 1959; Ord. 895 § 1, May 9, 1977)
The amount of any license tax and penalty imposed by the provisions of this chapter shall be deemed a debt to the City. An action may be commenced in the name of the City in any court of competent jurisdiction, for the amount of any delinquent license tax and penalties.
(Ord. 480 § 6A, 1959; Ord. 895 § 1, May 9, 1977)
Every person required to have a license under the provisions of this chapter shall make application for the same to the collector providing such information and in such manner as may be required by the collector.
The collector may refer to any governmental agency any statement and all other information submitted by persons subject to the provisions of this chapter in connection with the conduct of a business regulated or supervised or otherwise the concern of any such agency, including agencies concerned with health regulations, zoning conformance, fire safety, police considerations, or any other safeguard of the public interest.
(Ord. 480 § 6D, 1959; Ord. 895 § 1, May 9, 1977)
In all cases where the amount of the license tax to be paid is measured by gross receipts, the applicant for license shall furnish to the collector a sworn statement setting forth such information as is required and as may be necessary to determine the amount of the license tax to be paid by the applicant.
Upon making application for the first license to be issued hereunder, or for a newly established business, a person shall estimate the gross receipts for the period to be covered by the license to be issued. Such estimate, if accepted by the collector as reasonable, shall be used in determining the amount of license tax to be paid by the applicant.
The applicant for the renewal of a license shall submit to the collector a sworn statement setting forth such information concerning the applicant's business during the preceding year as may be required by the collector to enable him or her to ascertain the amount of the license tax to be paid by the applicant.
(Ord. 480 § 6F, 1959; Ord. 895 § 1, May 9, 1977)
A separate license must be obtained for each branch establishment or location of the business transacted and carried on and for each separate type of business at the same location and each license shall authorize the licensee to transact and carry on only the business licensed thereby at the location or in the manner designated in such license; provided that warehouses and distributing plants used in connection with and incidental to a business licensed under the provisions of this chapter shall not be deemed to be separate places of business or branch establishments; and provided further that any person conducting two or more types of businesses at the same location and under the same management, or at different locations, but which businesses use a single set or integrated set of books and records may, at his or her option, pay only one tax calculated on all gross receipts of the businesses under the schedule that applies to the type of business of such person which requires the highest payment on such gross receipts, except that a license fee of three dollars for each additional branch, location, or type of business shall be paid upon issuance.
(Ord. 480 § 6H, 1959; Ord. 895 § 1, May 9, 1977)
The collector or any of his or her authorized representatives shall not make known in any manner whatever the business affairs, operations, or information obtained by an investigation of records and equipment of any person required to obtain a license or pay a license tax under the provisions of this chapter or to divulge the amount or source of income, profits, losses, expenditures, or any particular thereof set forth in any statement or application, or to permit any statement or application, or copy of either, or any other document relating thereto which contains specific information as to the amount or source of income or expenditures of any person obtaining a license to be seen or examined by any person; provided, that nothing in this section shall be construed to prevent the disclosure to or examination of records by another City agent for the sole purpose of administering or enforcing any of the provisions of this chapter or auditing of accounts of the collector, federal or state officials, or a grand jury or court of law upon subpoena or in a proceeding to determine the existence or amount of any license tax liability of the particular licensee to the City; nor shall the disclosure of the names and addresses of persons to whom licenses have been issued and the general type of their business be prohibited hereunder, together with general statistics regarding business taxes collected or business done in the City.
(Ord. 480 § 21, 1959; Ord. 895 § 1, May 9, 1977)
If any person subject to the tax imposed by this chapter fails to submit information required by the collector necessary to determine the license tax due and payable, or if the collector is not satisfied with the information supplied and statement filed, the collector may determine the amount of license tax due from such person by means of such information as he or she may be able to obtain.
If such determination is made, the collector shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States Post Office at Mill Valley, California, postage prepaid addressed to the person so assessed at his or her last known address.
(Ord. 480 § 23; Ord. 895 § 1, May 9, 1977)
Every person who engages in business at a fixed place of business within the City shall pay a license tax based upon gross receipts at the following rates and in the following classifications:
GROSS RECEIPTS
RANGE
Class A
Class B
Class C
$ 0—7,500
$15.00
$22.50
$30.00
7,501—15,000
30.00
45.00
60.00
15,001—25,000
45.00
67.50
90.00
25,001—50,000
60.00
90.00
120.00
50,001—100,000
100.00
150.00
200.00
100,001—250,000
150.00
250.00
300.00
250,001—500,000
300.00
375.00
450.00
500,001—750,000
450.00
562.50
675.00
750,001—1,000,000
600.00
750.00
900.00
1,000,001—2,000,000
800.00
1,000.00
1,200.00
2,000,001—3,000,000
1,000.00
1,250.00
1,500.00
3,000,001—4,000,000
1,200.00
1,500.00
1,800.00
4,000,001—5,000,000
1,400.00
1,750.00
2,100.00
5,000,001—10,000,000
2,000.00
2,500.00
3,000.00
10,000,001 and up
3,000.00
3,750.00
4,500.00
CLASSIFICATIONS
Class A
Automobile repair and services
Construction—General and special contractors and operative builders
Laundry, dry cleaning, and garment services
Manufacturing
Retail trade
Wholesale trade
Class B
Amusement and recreation services, including motion pictures
Architectural services
Beauty shops
Engineering services
Landscape and horticultural services
Operators, renters and lessors of commercial property
Services to buildings
All other persons engaged in business not specifically listed elsewhere in this chapter
Class C
Accounting, auditing and bookkeeping services
Barbers and hairstylists
Financial services
Insurance brokers and services
Legal services
Management and public relations services
Medical and health services
Real estate agents, brokers, managers and services
(Ord. 480 § 31; Ord. 895 § 1; Ord. 912 § 1; Ord. 927 § 1, August 21, 1978)
Every person not having a fixed place of business within the City and not being otherwise licensed or classified in this chapter, who delivers any service by the use of vehicles in the City, except general and special construction contractors, shall pay a license tax as follows:
Capacity
Rate per Vehicle
Not exceeding one-half ton
$22.50
Over one-half ton to 1 ton
37.50
Over 1 ton to 1-1/2 ton
75.00
Over 1-1/2 ton to 2 ton
112.50
Over 2 ton to 3 ton
150.00
Over 3 ton
225.00
Every person not having a fixed place of business within the City who engages in business within the City and is not subject to the provisions of this section shall pay a license tax at the same rate prescribed in this section for a fixed place of business within the City.
(Ord. 480 § 51; Ord. 895 § 1; Ord. 912 § 1; Ord. 927 § 1, August 21, 1978)
Every person transacting and carrying on the businesses enumerated in this section shall pay a license tax as follows:
Auctioneers. Auctioneers not having a fixed place of business in the City, $500.00 per year or, at the option of the licensee, $50.00 per day;
Carnivals, Fairs. Four hundred dollars for the first day and $300.00 for each additional day, for the first 10 or fewer concessions; plus $60.00 for the first day and $40.00 for each additional day for each concession in excess of 10. For the purpose of this section, "concession" shall be any amusement ride, booth, exhibit, stall, tent, trailer or stand which charges any fee for the ride, service or product offered;
Christmas Tree Lots. Every person engaged in the business of selling or offering for sale Christmas trees at retail shall pay a business license tax of $45.00 per year;
Circuses. Seven hundred fifty dollars for the first day and $562.50 per day for each additional day;
Commercial Filming. On City streets or other City property, as follows:
Persons Employed at Location
Rate per Day
1—3
$150.00
4—6
300.00
7—9
600.00
10 and over
900.00
Traffic-control costs or any additional costs as required by the Chief of Police shall be paid entirely by the applicant;
Klieg Lights. Three hundred dollars per year for each light or, at the option of the licensee, $30.00 per day;
Living Accommodations. Every person transacting or engaged in the operation of a hotel, motel, apartment, rooming house, autocourt, house for rent, or other living accommodations shall pay an annual fee of $15.00 per dwelling unit;
Peddlers or Solicitors. Five hundred dollars per year;
Taxicab. Sixty dollars per vehicle per year.
Vehicular Street Advertising. Six hundred dollars per year per vehicle or, at the option of the licensee, $60.00 per day.
Notwithstanding the foregoing, a maximum license fee of $200.00 per day shall be paid for any carnival, fair or circus which is conducted at a location approved by the City Council and is sponsored by any institution or organization conducted, managed or carried on wholly for the benefit of charitable purposes.
(Ord. 480 § 74; Ord. 560 § 10; Ord. 790 § 4; Ord. 895 § 1; Ord. 912 § 1; Ord. 927 § 1, August 21, 1978; Ord. 1011 § 1, July 5, 1983; Ord. 1261 § 6, November 4, 2013)
The license tax applicable to a business not expressly set forth in this chapter shall be that license fee applicable to the business expressly set forth in this chapter which is most nearly comparable in the opinion of the collector. The collector may, in addition, require compliance with any other provision of this code regulating the licensing of the particular business determined to be most nearly comparable.
(Ord. 480 § 83; Ord. 895 § 1, May 9, 1977)
Unless otherwise specifically provided, the following shall apply:
A. 
An annual license tax under the provisions of this chapter shall be due and payable in advance on the first day of July of each year.
B. 
A license tax covering a new operation commencing July 1st to September 30th shall pay the entire business tax; from October 1st to December 31st shall pay 75% of the license tax; from January 1st to March 31st shall pay 50% of the license tax; and from April 1st to June 30th shall pay 25% of the license tax.
C. 
A flat-rate license tax shall be payable in advance of the business activity.
D. 
The collector is not required to send a renewal, delinquency, or other notice or bill to any person subject to the provisions of this chapter; and failure to send such notice or bill shall not affect the validity of any license tax or penalty due under the provisions of this chapter.
(Ord. 480 § 85; Ord. 895 § 1, May 9, 1977)
A. 
For failure to pay an annual license tax when due, the collector shall add a penalty of 10% of said license tax on the first day of the month following the due date thereof and 10% on the first day of each month thereafter while the fee remains unpaid; provided that the amount of such penalty to be added shall in no event exceed 50% of the amount of the license tax due.
B. 
Any flat-rate license tax which has not been paid by 5:00 p.m. on the day due shall have added to the amount thereof a penalty of 25%.
C. 
If any person has failed to apply for and secure a valid license to operate a business, the business license tax due shall be that amount due and payable from the first date on which the person was engaged in business in the City together with applicable penalties.
D. 
Where an audit or inspection of the books or records of a business reveals that the amount of license tax paid for any license tax period is less than the amount which was actually due pursuant to this chapter, it shall be deemed for purposes of this section that, to the extent of such deficiency, there was a failure to pay a license tax when due. Penalties as provided in this section shall be assessed from the date when said deficiency was required to be paid pursuant to this chapter.
E. 
Should court action be required to collect any license tax or penalties, an additional penalty shall be charged equal to costs of suit, including attorneys' fees. The penalties shall be added to the license tax and the same shall become due and payable and collected along with the delinquent license tax.
F. 
Any person violating any of the provisions of this chapter or knowingly or intentionally misrepresenting to any officer or employee of the City any material fact in procuring a license provided for in this chapter shall be deemed guilty of a misdemeanor and, upon conviction thereof, shall be punishable by a fine of not more than $500.00 or by imprisonment in the county jail for a period of not more than six months, or by both such fine and imprisonment.
(Ord. 895 § 1, May 9, 1977)
Nothing in this chapter shall be deemed or construed to apply to any person transacting and carrying on any business exempt by virtue of the Constitution or applicable statutes of the United States or of the State of California.
Any person claiming an exemption pursuant to this chapter shall file a sworn statement with the collector stating the facts upon which exemption is claimed and shall furnish such information and verification as may be required. In the absence of such statement substantiating the claim, such person shall be liable for the payment of the license tax imposed by this chapter.
The collector, after giving notice and a reasonable opportunity for hearing to a licensee, may revoke any license granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption as provided in this chapter.
(Ord. 895 § 1, May 9, 1977)
No business license under this chapter shall be required of any nonprofit institution, corporation, organization, or association organized or conducted for nonprofit purposes only, when the receipts derived are to be wholly for the benefit of such organization and not in whole or part for the private gain of any person. This exemption shall not apply to promoters employed by such nonprofit institutions, corporations, organizations or associations.
(Ord. 895 § 1, May 9, 1977)
No business license shall be required of a person doing business and drawing social security benefits whose gross receipts do not exceed the maximum income allowed by Title 42, U. S. Code, Section 403(f)(3), as presently written or as amended is exempt from the payment of a business tax.
(Ord. 895 § 1, May 9, 1977)
No license pursuant to this chapter is transferable; provided that, where license is issued authorizing a person to carry on a business at a particular place, such license may, upon application therefor and paying a fee of three dollars, have the license amended to authorize the carrying on of such business at some other location to which the business is or is to be moved. Change of ownership must be recorded by filing of application and payment of a three-dollar fee.
Change in the name of the business must be recorded by filing of application and payment of a three-dollar fee.
(Ord. 895 § 1, May 9, 1977)
A duplicate license may be issued by the collector to replace any license previously issued under this chapter which has been lost or destroyed upon the licensee filing statement of such fact and, at the time of filing such statement, paying to the collector a fee of three dollars for such duplicate license.
(Ord. 895 § 1, May 9, 1977)
No license tax collected under the provisions of this chapter shall be refundable in any manner, except that if the licensee shall establish to the satisfaction of the collector that he or she has overpaid his or her license tax and, within a period of one year from the day on which the overpayment was made, files with the collector a claim for refund of such overpayment, the collector may refund the amount so overpaid.
(Ord. 895 § 1, May 9, 1977)
Any licensee transacting and carrying on a business at a fixed place of business in the City shall keep a license posted in a conspicuous place upon the premises where such business is carried on.
Any licensee transacting and carrying on business but not operating in a fixed place of business in the City shall keep the license upon his or her person at all times while on such business in the City.
(Ord. 895 § 1, May 9, 1977)
A. 
It shall be the duty of the collector to enforce each and all of the provisions of this chapter. The Chief of Police shall render such assistance in the enforcement hereof as may from time to time be required by the collector.
B. 
The collector and each and all of his or her assistants and any police officer shall have the power and authority to enter, free of charge, at any reasonable time, any place of business required to be licensed under this chapter, and demand an exhibition of its license certificate. Any person having such license certificate theretofore issued in his or her possession or under his or her control who willfully fails to exhibit the same on demand is guilty of a misdemeanor and subject to the penalties provided for by the provisions of this chapter. It shall be the duty of the collector and each of his or her assistants to cause a complaint to be filed against any and all persons found to be violating any of the provisions of this chapter.
C. 
All persons subject to the provisions of this chapter shall keep complete records of business transactions, including sales receipts, purchases and other expenditures, state and federal income tax returns, including schedules and records included in such returns. Such persons shall retain such records for examination by the collector and maintain them for a period of at least three years. No person required under this section to keep records shall refuse to allow authorized representatives of the collector to examine said records at reasonable times and places.
(Ord. 895 § 1, May 9, 1977; Ord. 1261 § 6, November 4, 2013)
Any person aggrieved by any decision of the collector with respect to the issuance or refusal to issue such license may appeal to the City Council by filing a notice of appeal with the City Clerk. The Council shall thereupon fix a time and place for hearing such appeal. If a hearing date is set, the City Clerk shall give notice to such person of the time and place of hearing by serving it personally or by depositing it in the United States Post Office at Mill Valley, California, postage prepaid, addressed to such person at his or her last known address. The Council shall have authority to determine all questions raised on such appeal. No such determination shall conflict with any substantive provision of this ordinance.
(Ord. 895 § 1, May 9, 1977)
The collector may take such rules and regulations not inconsistent with the provisions of this chapter as may be necessary or desirable to supplement or clarify such provisions or aid in their enforcement.
Such rules and regulations shall be known as "Business License Rules and Regulations," shall be placed in written form and numbered consecutively, and shall be approved by the City Attorney before becoming effective. A copy of each such "Business License Rules and Regulations" shall be filed with the City Manager and with the City Clerk.
(Ord. 895 § 1, May 9, 1977)
All remedies prescribed under this chapter shall be cumulative and the use of one or more remedies by the City shall not bar the use of any other remedy for the purpose of enforcing the provisions of this chapter.
(Ord. 895 § 1, May 9, 1977)
If any section, subsection, sentence, clause, phrase, or portion of this chapter is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this chapter. The City Council declares that it would have adopted the ordinance codified in this chapter and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, clauses, phrases or portions be declared invalid or unconstitutional.
(Ord. 895 § 1, May 9, 1977)