[Adopted 3-18-2008 by Ord. No. 6007[1]]
[1]
Editor's Note: This ordinance also superseded former Art. IV, Use Tax, adopted 9-1-1972 as Ch. 31, Art. IV, of the 1972 Code, as amended.
There is hereby levied and there shall be paid by every person storing, using or otherwise consuming within the municipality tangible personal property purchased or brought into this municipality, an excise tax on the storage, use or other consuming within the municipality of such property at the rate equal to the prevailing total of all sales taxes levied by the municipality on the purchase price of such property. Such tax shall be paid by every person storing, using or otherwise consuming, within the municipality, tangible personal property purchased or brought into the municipality. The additional tax levied hereunder shall be paid at the time of importation or storage of the property within the municipality and shall be assessed to only property purchased outside Oklahoma, provided that the tax levied herein shall not be levied against tangible personal property intended solely for use outside the municipality but which is stored within the municipality pending shipment outside the municipality or which is temporarily retained in the municipality for the purpose of fabrication, repair, testing, alteration, maintenance or other service. Any person liable for payment of the tax authorized herein may deduct from such tax any local or municipal sales tax previously paid on such goods or services, provided that the amount deducted shall not exceed the amount that would have been due if the taxes imposed by the municipality had been levied on the sale of such goods or services.
The rate of excise tax levied pursuant to this article shall automatically adjust to match the prevailing sales tax rate levied by the municipality, such change in use tax rate to be effective on the date the change in the prevailing sales tax rate takes effect, and such change in use tax rate not requiring further approval of the governing body of the municipality.
The provisions of this article shall not apply:
A. 
In respect to the use of any article of tangible personal property brought into the municipality by a nonresident individual, visiting in this municipality, for his or her personal use or enjoyment, while within the municipality.
B. 
In respect to the use of tangible personal property purchased for resale before being used.
C. 
In respect to the use of any article of tangible personal property on which a tax, equal to or in excess of that levied by both the Oklahoma Tax Code and the City of El Reno Use Tax Ordinance, has been paid by the person using such tangible personal property in the municipality, whether such tax was levied under the laws of Oklahoma or some other state or municipality of the United States. If any article of tangible personal property has already been subjected to a tax by Oklahoma or any other state or municipality in respect to its sale or use, in an amount less than the tax imposed by both the Oklahoma Tax Code and the City of El Reno Use Tax Ordinance, the provisions of this article shall also apply to it by a rate measured by the difference only between the rate provided by both the Oklahoma Tax Code and the City of El Reno Use Tax Ordinance and the rate by which the previous tax upon the sale or use was computed, provided that no credit shall be given for taxes paid in another state or municipality if that state or municipality does not grant like credit for taxes paid in Oklahoma and the municipality.[1]
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
D. 
In respect to the use of machinery and equipment purchased and used by persons establishing new manufacturing or processing plants in the municipality, and machinery and equipment purchased and used by persons for the operation of manufacturing plants already established in the municipality, provided this exemption shall not apply unless such machinery and equipment is incorporated into, and is directly used in, the process of manufacturing property subject to taxation under the Sales Tax Code of the municipality. The term "manufacturing plants" shall mean those establishments primarily engaged in manufacturing or processing operations and generally recognized as such.
E. 
In respect to the use of tangible personal property now specifically exempted from taxation under the Sales Tax Code of the municipality.
F. 
In respect to the use of any article of tangible personal property brought into the municipality by an individual with intent to become a resident of this municipality where such personal property is for such individual's personal use or enjoyment.
G. 
In respect to the use of any article of tangible personal property used or to be used by commercial airlines or railroads.
H. 
In respect to livestock purchased outside Oklahoma and brought into this municipality for feeding or breeding purposes and which are later resold.
I. 
In respect to the use of rail transportation cars to haul coal to coal-fired plants located in this municipality which generate electric power.
The tax levied by this article is due and payable at the time and in the manner and form prescribed for payment of the State Use Code of the State of Oklahoma.
Such taxes, penalty, and interest due hereunder shall at all times constitute a prior, superior and paramount claim as against the claims of unsecured creditors and may be collected by suit as any other debt.
Every retailer or vendor maintaining places of business both within and without the State of Oklahoma and making sales of tangible personal property from a place of business outside this state for use in this municipality shall, at the time of making such sales, collect the use tax levied by this article from the purchaser and give to the purchaser a receipt therefor in the manner and form prescribed by the Tax Commission, if the Tax Commission shall, by regulation, require such receipt. Each retailer or vendor shall list with the Tax Commission the name and address of all its agents operating in this municipality and location of any and all distribution or sales houses or offices or other places of business in this City.
The Tax Commission may, in its discretion, upon application, authorize the collection of the tax herein levied by any retailer or vendor not maintaining a place of business within this state but who makes sales of tangible personal property for use in this municipality and by the out-of-state place of business of any retailer or vendor maintaining places of business both within and without Oklahoma and making sales of tangible personal property at such out-of-state place of business for use in this municipality. Such retailer or vendor may be issued by the Tax Commission, without charge, a permit to collect such taxes in such manner and subject to such regulations and agreements as it shall prescribe. When so authorized, it shall be the duty of such retailer or vendor to collect the tax upon all tangible personal property sold to his knowledge for use within this municipality. Such authority and permit may be canceled when at any time the Tax Commission considers that such tax can more effectively be collected from the person using such property in this municipality; provided, however, that in all instances where such sales are made or completed by delivery to the purchaser within this municipality by the retailer or vendor in such retailer's or vendor's vehicle, whether owned or leased (not by common carrier), such sales or transactions shall continue to be subject to applicable municipality sales tax at the point of delivery, and the tax shall be collected and reported under taxpayer's sales tax permit number accordingly.
Whenever any retailer or vendor not maintaining a place of business in this state, or both within and without this state, and authorized to collect the tax herein levied, fails to comply with any of the provisions of this article or the Oklahoma Tax Code or any order, rules or regulations of the Tax Commission, the Tax Commission may, upon notice and hearing as provided for in 68 O.S. § 1408, by order revoke the use tax permit, if any, issued to such retailer or vendor, and if any such retailer or vendor is a corporation authorized to do business in this state, the Tax Commission may, after notice and hearing above provided, cancel said corporation's license to do business in this state and shall issue a new license only when such corporation has complied with the obligations under this article, the Oklahoma Tax Code, or any order, rules or regulations of the Tax Commission.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
Returns and remittances of the tax herein levied and collected shall be made to the Tax Commission at the time and in the manner, form and amount as prescribed for returns and remittances required by the Oklahoma Tax Code, and remittances of tax collected hereunder shall be subject to the same discount as may be allowed by said code for the collection of state use taxes.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
Section 217 of Title 68 of the Oklahoma Statutes is hereby adopted and made a part of this article, and interest and penalties at the rates and in the amounts as therein specified are hereby levied and shall be applicable in cases of delinquency in reporting and paying the tax levied by this article, provided that the failure or refusal of any retailer or vendor to make and transmit the reports and remittances of tax in the time and manner required by this article shall cause such tax to be delinquent. In addition, if such delinquency continues for a period of five days, the retailer or vendor shall forfeit his claim to any discount allowed under this article.
The interest or penalty or any portion thereof accruing by reason of a retailer's or vendor's failure to pay the municipality tax herein levied may be waived or remitted in the same manner as provided for said waiver or remittance as applied in administration of the state use tax provided in 68 O.S. § 220, and to accomplish the purposes of this section, the applicable provisions of said 68 O.S. § 220 are hereby adopted by reference and made a part of this article.
Refund of erroneous payment of the municipality use tax herein levied may be made to any taxpayer making such erroneous payment in the same manner and procedure, and under the same limitations of time, as provided for administration of the State Use Tax as set forth in 68 O.S. § 227, and to accomplish the purpose of this section, the applicable provisions of said 68 O.S. § 227 are hereby adopted by reference and made a part of this article.
In addition to all civil penalties provided by this article, the willful failure or refusal of any taxpayer to make reports and remittances herein required, or the making of any false and fraudulent report for the purpose of avoiding or escaping payment of any tax or portion thereof rightfully due under this article, shall be an offense, and upon conviction thereof the offending taxpayer shall be punished by a fine of not more than $100 and costs. Each day of noncompliance with this article shall constitute a separate offense.
The confidential and privileged nature of the records and files concerning the administration of the municipality use tax is legislatively recognized and declared, and to protect the same the provisions of 68 O.S. § 205, of the State Tax Code, and each subsection thereof, are hereby adopted by reference and made fully effective and applicable to administration of the municipality use tax as is herein set forth in full.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
The provisions hereof shall be cumulative and in addition to any and all other taxing provisions of the municipality's ordinances.
The definitions of words, terms and phrases contained in the Oklahoma Tax Code, 68 O.S. § 1401, are hereby adopted by reference and made a part of this article. In addition thereto, the following words and terms shall be defined as follows:
CITY or MUNICIPALITY
The City of El Reno, Oklahoma.
TRANSACTION
Sale.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
The term "Tax Collector" as used herein means the department of the municipality government or the official agency of the state duly designated according to law, or contract authorized by law, to administer the collection of the tax herein levied.
For the purpose of this article, the classification of taxpayers hereunder shall be as prescribed by state law for purposes of the Oklahoma Tax Code.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
All valid and subsisting permits to do business issued by the Tax Commission pursuant to the Oklahoma Tax Code are for the purpose of this article hereby ratified, confirmed and adopted in lieu of any requirement for an additional municipality permit for the same purpose.
[1]
Editor's Note: Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I).
It is hereby declared to be the purpose of this article to provide revenues for the support of the functions of the municipal government of the City, and any and all revenues derived hereunder may be expended by the governing body of the City for any purpose for which funds may be lawfully expended as authorized.
This article shall be known and may be cited as the "City of El Reno Use Tax Ordinance" and shall be codified as No. 6007 of the Ordinances of the City.
This article shall become effective on and after March 18, 2008. This article shall supersede and replace in all respects any prior ordinance(s) of the City levying a use tax in the manner set forth in § 318-32 of this article.