[Adopted 3-18-2008 by Ord. No. 6007[1]]
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]
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.
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.
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.
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:
The City of El Reno, Oklahoma.
Sale.
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.
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.
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.
