[Adopted 1-8-1997 [1]; amended in its entirety 1-9-2013]
[1]
Editor's Note: This ordinance also repealed
former Art. XIV, General Business License Provisions, adopted 2-28-1990
(Ch. 9, Art. XVIII, of the 1984 Frederick County Code), as amended;
former Art. XV, Classified Business and Occupational License Provisions,
adopted 2-28-1990 (Ch. 9, Art. XVIII-A, of the 1984 Frederick County
Code), as amended; and former Art. XVI, Special License Provisions,
adopted 2-28-1990 (Ch. 9, Art. XVIII-B, of the 1984 Frederick County
Code), as amended.
Except as may be otherwise provided by the laws
of the Commonwealth of Virginia, and notwithstanding any other current
ordinances or resolutions enacted by Frederick County, whether or
not compiled in the Code of this jurisdiction, to the extent of any
conflict, the provisions of this article shall be applicable to the
levy, assessment and collection of licenses required and taxes imposed
on businesses, trades, professions and callings and upon the persons,
firms and corporations engaged therein within this County.
For the purposes of this article, unless otherwise
required by the context, the following terms shall have the meanings
indicated:
One or more chains of includable corporations
connected through stock ownership with a common parent corporation
which is an includable corporation if:
Stock possessing at least 80% of the voting
power of all classes of stock and at least 80% of each class of the
nonvoting stock of each of the includable corporations, except the
common parent corporation, is owned directly by one or more of the
other includable corporations; and
The common parent corporation directly owns
stock possessing at least 80% of the voting power of all classes of
stock and at least 80% of each class of the nonvoting stock of at
least one of the other includable corporations. As used in this subdivision,
the term "stock" does not include nonvoting stock which is limited
and preferred as to dividends. The term "includable corporation" means
any corporation within the affiliated group irrespective of the state
or country of its incorporation; and the term "receipts" includes
gross receipts and gross income.
Two or more corporations if five or fewer persons
who are individuals, estates or trusts own stock possessing:
At least 80% of the total combined voting power
of all classes of stock entitled to vote or at least 80% of the total
value of shares of all classes of the stock of each corporation; and
More than 50% of the total combined voting power
of all classes of stock entitled to vote or more than 50% of the total
value of shares of all classes of stock of each corporation, taking
into account the stock ownership of each such person only to the extent
such stock ownership is identical with respect to each such corporation.
When one or more of the includable corporations, including the common
parent corporation, is a nonstock corporation, the term "stock" as
used in this subdivision shall refer to the nonstock corporation membership
or membership voting rights, as is appropriate to the context.
A determination as to the proper rate of tax, the measure
to which the tax rate is applied and ultimately the amount of tax,
including additional or omitted tax, that is due. An assessment shall
include a written assessment made pursuant to notice by the assessing
official or a self-assessment made by a taxpayer upon the filing of
a return or otherwise not pursuant to notice. Assessments shall be
deemed made by an assessing official when a written notice of assessment
is delivered to the taxpayer by the assessing official or an employee
of the assessing official or mailed to the taxpayer at his last known
address. Self-assessments shall be deemed made when a return is filed
or, if no return is required, when the tax is paid. A return filed
or tax paid before the last day prescribed by ordinance for the filing
or payment thereof shall be deemed to be filed or paid on the last
day specified for the filing of a return or the payment of tax, as
the case may be.
The Commissioner of the Revenue of Frederick County.
The calendar year preceding the license year except for contractors
subject to the provisions of § 58.1-3715, Code of Virginia.
An agent of a buyer or a seller who buys or sells stocks,
bonds, commodities or services, usually on a commission basis.
A course of dealing which requires the time, attention and
labor of the person so engaged for the purpose of earning a livelihood
or profit. It implies a continuous and regular course of dealing,
rather than an irregular or isolated transaction. A person may be
engaged in more than one business. The following acts shall create
a rebuttable presumption that a person is engaged in a business: advertising
or otherwise holding oneself out to the public as being engaged in
a particular business; or filing tax returns, schedules and documents
that are required only of persons engaged in a trade or business.
Staples such as wool, cotton, etc., which are traded on a
commodity exchange and on which there is trading in futures.
Has the meaning prescribed in § 58.1-3714B, of
the Code of Virginia, as amended, whether such work is done or offered
to be done by day labor, general contract or subcontract. "Contractor"
means any persons, firm or corporation:
Accepting or offering to accept orders or contracts
for doing any work on or in any building or structure requiring the
use of paint, stone, brick, mortar, wood, cement, structural iron
or steel, sheet iron, galvanized iron, metallic piping, tin, lead
or other metal or any other building material;
Accepting or offering to accept contracts to
do any paving, curbing or other work on sidewalks, streets, alleys
or highways or public or private property, using asphalt, brick, stone,
cement, concrete, wood or any composition;
Accepting or offering to accept an order for
or contract to excavate earth, rock or other material for foundation
or any other purpose or for cutting, trimming or maintaining rights-of-way;
Accepting or offering to accept an order or
contract to construct any sewer of stone, brick, terra cotta or other
material;
Accepting or offering to accept orders or contracts
for doing any work on or in any building or premises involving the
erecting, installing, altering, repairing, servicing or maintaining
of electric wiring, devices or appliances permanently connected to
such wiring or the erecting, repairing or maintaining of lines for
the transmission or distribution of electric light and power;
Accepting or offering to accept an order or
contract to remodel, repair, wreck or demolish a building;
Accepting or offering to accept an order or
contract to bore or dig a well;
Accepting or offering to accept an order or
contract to install, maintain or repair air-conditioning apparatus
or equipment; or
Engaging in the business of plumbing and steam
fitting.
Any person engaged in the business of buying and selling
securities for his own account, but does not include a bank, or any
person insofar as he buys or sells securities for his own account,
either individually or in some fiduciary capacity, but not as part
of a regular business.
An office or a location at which occurs a regular and continuous
course of dealing for 30 consecutive days or more. A definite place
of business for a person engaged in business may include a location
leased or otherwise obtained from another person on a temporary or
seasonal basis; and real property leased to another. A person's residence
shall be deemed to be a definite place of business if there is no
definite place of business maintained elsewhere and the person is
not licensable as a peddler or itinerant merchant.
Any person who engages in the trade or business of selling
or soliciting the sale of consumer products primarily in private residences
and maintains no public location for the conduct of such business.
Direct sellers receive remuneration for such activities, with substantially
all of such remuneration being directly related to sales or other
sales oriented services rather than to the number of hours worked.
Direct sellers perform such activities pursuant to a written contract
between such person and the person for whom the activities are performed,
and such contract provides that such person will not be treated as
an employee with respect to such activities for federal tax purposes.
The buying, selling, handling, managing, investing and providing
of advice regarding money, credit, securities and other investments,
and shall include the service for compensation by a credit agency,
an investment company, a broker or dealer in securities and commodities
or a security or commodity exchange, unless such service is otherwise
provided for in this article.
The whole, entire, total receipts attributable to the licensed
privilege, without deduction, except as may be limited by the provisions
of Chapter 37 of Title 58.1 of the Code of Virginia.
Includes each person or company who shall engage in or transact
any temporary or transient business in Frederick County and who, for
the purpose of carrying on such business, occupies any location for
a period of less than one year.
The calendar year for which a license is issued for the privilege
of engaging in business. Itinerant merchants by their nature and as
defined in § 58.1-3717B, Code of Virginia, are licensed
for less than one year.
Rendering for compensation any repair, personal, business
or other services not specifically classified as financial, real estate
or professional service under this article or rendered in any other
business or occupation not specifically classified in this article
unless exempted from local license tax by Title 58.1 of the Code of
Virginia.
Services performed by architects, attorneys at law, certified
public accountants, dentists, engineers, land surveyors, surgeons,
veterinarians and practitioners of the healing arts (the arts and
sciences dealing with the prevention, diagnosis, treatment and cure
or alleviation of human physical or mental ailments, conditions, diseases,
pain or infirmities) and such occupations, and no others, as the Virginia
Department of Taxation may list in the BPOL guidelines promulgated
pursuant to § 58.1-3701, Code of Virginia. The Department
shall identify and list each occupation or vocation in which a professed
knowledge of some department of science or learning, gained by a prolonged
course of specialized instruction and study is used by its practical
application to the affairs of others, either advising, guiding or
teaching them, and in serving their interests or welfare in the practice
of an art or science founded on it. The word "profession" implies
attainments in professional knowledge as distinguished from mere skill
and the application of knowledge to uses for others rather than for
personal profit.
All goods, wares and merchandise received for sale at each
definite place of business of a wholesale merchant. The term shall
also include the cost of manufacture of all goods, wares and merchandise
manufactured by any wholesaler or wholesale merchant and sold or offered
for sale. Such merchant may elect to report the gross receipts from
the sale of manufactured goods, wares and merchandise if it cannot
determine or chooses not to disclose the cost of manufacture.
Rendering a service for compensation as lessor, buyer, seller,
agent or broker and providing a real estate service, unless the service
is otherwise specifically provided for in this article, and such services
include, but are not limited to, the following:
Any person or merchant who sells goods, wares and merchandise
for use or consumption by the purchaser or for any purpose other than
resale by the purchaser, but does not include sales at wholesale to
institutional, commercial and industrial users.
Has the same meaning as in the Securities Act (§ 13.1-501
et seq.) of the Code of Virginia or in similar laws of the United
States regulating the sale of securities. Those engaged in rendering
financial services include, but without limitation, the following:
Buying installment receivables.
Chattel mortgage financing.
Consumer financing.
Credit card services.
Credit unions.
Factors.
Financing accounts receivable.
Industrial loan companies.
Installment financing.
Inventory financing.
Loan or mortgage brokers.
Loan or mortgage companies.
Safety deposit box companies.
Security and commodity brokers and services.
Stockbrokers.
Working capital financing.
Things purchased by a customer which do not have physical
characteristics, or which are not goods, wares or merchandise.
Any person or merchant who sells wares and merchandise for
resale by the purchaser, including sales when the goods, wares and
merchandise will be incorporated into goods and services for sale,
and also includes sales to institutional, commercial, government and
industrial users which because of the quantity, price or other terms
indicate that they are consistent with sales at wholesale.
It is the purpose and policy of the Board of
Supervisors, in enacting this article imposing a license tax for the
privilege of conducting business and engaging in certain professions,
trades and occupations in Frederick County, to equalize as far as
practicable the burden of such license taxation among those hereby
liable thereto by adopting for general law (or to any restrictions
or exceptions as may be imposed specifically hereafter) a system of
license taxes measured by the gross receipts of the business, profession,
trade or occupation on which the tax is levied.
Every license issued under the provisions of
this article shall be a personal privilege to transact, carry on or
conduct the business or profession, trade or occupation which is the
subject of the license and shall not be exercised except by the person
licensed.
Each and all of the taxes hereinafter imposed
are imposed upon the privilege of doing business or engaging in a
profession or occupation in Frederick County, including all phases
of the business, profession, trade or occupation conducted in this
County.
A.
Nonresidents. Businesses, professions, trades or occupations
for which a gross receipts license tax or set fee is levied which
are carried on or conducted only in part within the County limits
by a person having a regularly established place of business therein
shall subject such person to these provisions, conditions and rates.
In such cases where only part of the business, profession, trade or
occupation is so conducted or carried on within the County, the tax
liability shall be measured by only that portion of the business,
profession, trade, occupation or employment conducted or carried on
within the Frederick County limits.
B.
Residents. Businesses, professions, trades or occupations
for which a gross receipts license tax or fee is levied, each of which
has a regularly established place of business in the County, shall
be taxed on all gross receipts derived from the business, profession,
trade or occupation in this licensing basis. In cases where the business,
profession, trade or occupation involves the performance of activities
outside the County and such person pays a licensing tax to a foreign
taxing jurisdiction based on gross receipts derived from activities
within said foreign jurisdiction, such person shall be permitted to
deduct such gross receipts taxed by the foreign taxing jurisdiction
in arriving at his licensing basis. In this connection, the term "foreign
taxing jurisdiction" shall be construed as limited to local political
subdivisions outside the taxing jurisdiction of this County.
C.
In determining the situs for license taxes under this
article and §§ 58.1-3707 and 58.1-3708, Code of Virginia,
as amended from time to time,[1] are hereby incorporated into this article by reference
as though fully set out herein for the purpose of such determination.
[1]
Editor's Note: Section 58.1-3707, Code of
Virginia, was repealed by Acts 1996, cc. 715 and 720, effective January
1, 1997.
A.
Every person engaging in Frederick County in any business
trade, profession, occupation or calling (collectively hereinafter
"a business") as defined in this article, unless otherwise exempted
by law, shall apply for a license for each such business if such person
maintains a definite place of business in this County, such person
does not maintain a definite office anywhere but does maintain an
abode in this County, which abode for the purposes of this article
shall be deemed a definite place of business, or there is no definite
place of business but such person operates amusement machines, is
engaged as a peddler or itinerant merchant, carnival or circus as
specified in § 58.1-3717, 58.1-3718 or 58.1-3728, respectively,
Code of Virginia, or is a contractor subject to § 58.1-3715,
Code of Virginia, or is a public service corporation subject to § 58.1-3731,
Code of Virginia. A separate license shall be required for each definite
place of business. A person engaged in two or more businesses or professions
carried on at the same place of business may elect to obtain one license
for all such businesses and professions if all of the following criteria
are satisfied:
(1)
Each business or profession is licensable at the location
and has satisfied any requirements imposed by state law or other provisions
of the ordinances of Frederick County;
(2)
All of the businesses or professions are subject to
the same tax rate, or, if subject to different tax rates, the licensee
agrees to be taxed on all businesses and professions at the highest
rate; and
(3)
The taxpayer agrees to supply such information as
the Assessor may require concerning the nature of the several businesses
and their gross receipts.
(4)
Such actual license, once issued by the Assessor, shall be displayed
by the taxpayer in a place where visible by the public and shall be
replaced by each renewal license as received.
B.
For all classified licenses computed on a gross receipts
basis, gross receipts under $4,000 will not require a business license
in Frederick County. Any person who exceeds gross receipts of under
$4,000 must meet all license application requirements within 30 days
of reaching the threshold of $4,000.
For every year beginning January 1 of each year
and ending on December 31 following, there are hereby levied and there
shall be collected the annual taxes set forth under this article,
except as otherwise provided under this article, on each person conducting
or engaged in any business, trade or occupation in Frederick County.
Each person subject to a license tax shall apply
for a license prior to beginning business, if he was not subject to
licensing in Frederick County on or before January 1 of the license
year, or no later than March 1 of the current license year if he had
been issued a license for the preceding license year. The application
shall be on forms prescribed by the assessing official.
A.
Every person liable to pay a license tax under the provisions of
this article shall make application therefor, in writing, to the Commissioner
of the Revenue of Frederick County. The Commissioner of the Revenue
shall furnish license application forms, which forms shall be properly
and fully executed by the applicant and shall contain such information
as may be required by the Commissioner of the Revenue in order to
properly assess the tax liability.
B.
The application shall contain at least the following information:
(1)
The name.
(2)
The trade name.
(3)
The nature of the business.
(4)
The business address.
(5)
The mailing address of the applicant.
(6)
The business telephone number and any e-mail address.
(7)
The certification/registration number issued by the State Corporation
Commission, if the business is not conducted by an individual but
by an entity.
(8)
If an entity, the federal identification number of the business;
if an individual, the social security number.
(9)
The date the business began.
(10)
Whether the business is an individual or an entity (corporation,
limited liability company, partnership, etc.) and, if an entity, the
entity's registered agent.
(11)
Estimated and/or actual gross receipts or purchases, as applicable.
(12)
Signature of the owner. If the business is owned by an association,
partnership, limited liability company, or corporation, the application
shall be signed by a member, partner, executive officer, or other
person specifically authorized in writing by the association, partnership,
limited liability company, or corporation to sign.
(13)
The date of the application.
(14)
Proof of zoning approval, if applicable.
(15)
Proof of state licensure, if applicable.
(16)
Proof of public safety requirement satisfaction and/or satisfactory
registration with the Sheriff's department, if applicable.
(17)
Proof of workers' compensation insurance, if applicable.
C.
Any such person, including the individual signing on behalf of the
business, who willfully subscribes any such return or application
which is not true and correct as to every material matter shall be
guilty of a Class 1 misdemeanor.
D.
If any person shall continue to provide a business service or shall
continue a business, profession, trade or occupation after the expiration
date of a license previously issued therefor without obtaining a new
license, such person shall, if such failure to obtain a new license
shall be continued for one month, be subject to the penalty provided
for under this article.
The Commissioner of the Revenue shall not issue a license for conducting any business, profession, trade or occupation at a location where the conduct of such business, profession, trade or occupation is prohibited by the Code of the State of Virginia, by Chapter 165, Zoning, of the Code of the County of Frederick, Virginia, or by any other chapter in the Frederick County Code. Proof of compliance with the Code of Frederick County is the responsibility of the license applicant.
A.
The license tax or fee shall be paid with the application
in the case of any license not based on gross receipts. If the tax
is measured by the gross receipts of the business, the tax shall be
paid on or before April 1 in full unless the total tax exceeds $1,000.
Taxes over $1,000 for any calendar year may be paid in quarterly installments
upon application to the Treasurer of Frederick County for acceptance.
The first of such installments will be due on April 1 for businesses
filed on or before March 1. Businesses beginning after January 1 with
licenses due after March 1 must pay their first installment with the
application. Installment number two shall be due June 30, installment
number three shall be due September 30 and installment number four
shall be due by December 30 of the year of the license. In the event
that a business with a total tax exceeding $1,000, that begins after
January 1 with licenses due after March 1, starts after the due date
of either installment two, three or four, then all installments that
would be due on the date the business starts shall be due with the
application.
B.
The Commissioner of the Revenue may grant an extension
of time, not to exceed 90 days, in which to file an application for
a license, for reasonable cause. The extension shall be conditioned
upon the timely payment of a reasonable estimate of the appropriate
tax based on an estimate of the gross receipts from the best information
available, subject to adjustment to the correct amount of tax at the
end of the extension together with interest from the due date until
the date paid on any underpayment. If the estimate submitted with
the extension is found to be unreasonable under the circumstances,
a penalty of 10% of the portion of unpaid tax at the due date will
be assessed.
C.
A penalty of 10% of the tax shall be imposed upon
the failure to file an application or the failure to pay the tax by
the appropriate due date. Only the late filing penalty shall be imposed
by the assessing official if both the application and payment are
late by the initial due date. However, both penalties shall be assessed
if the assessing official determines that the taxpayer has a history
of noncompliance.
D.
In the case of an assessment of additional tax made
by the assessing official, if the application and, if applicable,
the return were made in good faith and the understatement of the tax
was not due to any fraud, reckless or intentional disregard of the
law by the taxpayer, there shall be no late payment penalty assessed
with the additional tax. If any assessment of tax by the assessing
official is not paid within 30 days, the Treasurer shall impose a
ten-percent late payment penalty. The penalties shall not be imposed
or, if imposed, shall be abated by the official who assessed them
if the failure to file or pay was not the fault of the taxpayer. In
order to demonstrate lack of fault, the taxpayer must show that he
acted responsibly and that the failure was due to events beyond his
control.
E.
"Acted responsibly" means that the taxpayer exercised
the level of reasonable care that a prudent person would exercise
under the circumstances in determining the filing obligations for
the business and the taxpayer undertook significant steps to avoid
or mitigate the failure, such as requesting appropriate extensions
(where applicable), attempting to prevent a foreseeable impediment,
acting to remove an impediment once it occurred and promptly rectifying
a failure once the impediment was removed or the failure discovered.
F.
Events beyond the taxpayer's control include but are
not limited to the unavailability of records due to fire or other
casualty; the unavoidable absence (e.g., due to death or serious illness)
of the person with the sole responsibility for tax compliance; or
the taxpayer's reasonable reliance in good faith upon erroneous written
information from the assessing official, who was aware of the relevant
facts relating to the taxpayer's business when he provided the erroneous
information.
G.
Interest shall be charged on the late payment of the
tax from the due date until the date paid without regard to fault
or other reason for the late payment. Whenever an assessment of additional
or omitted tax by the assessing official is found to be erroneous,
all interest and penalty charged and collected on the amount of the
assessment found to be erroneous shall be refunded together with interest
on the refund from the date of payment or the due date, whichever
is later. Interest shall be paid on the refund of any tax paid under
this article from the date of payment or due date, whichever is later,
whether attributable to an amended return or other reason. Interest
on any refund shall be paid at the same rate as charged by the State
of Virginia for the period in question.
H.
No interest shall accrue on an adjustment of estimated
tax liability to actual liability at the conclusion of a base year.
No interest shall be paid on a refund or charged on a late payment,
in event of such adjustment, provided that the refund or the late
payment is made not more than 30 days from the date of the payment
that created the refund or the due date of the tax, whichever is later.
A.
General rule. Whenever the tax imposed by this article
is measured by gross receipts, the gross receipts included in the
taxable measure shall be only those gross receipts attributed to the
exercise of a licensable privilege at a definite place of business
within Frederick County. In the case of activities conducted outside
of a definite place of business, such as during a visit to a customer
location, the gross receipts shall be attributed to the definite place
of business from which such activities are initiated, directed or
controlled. The situs of gross receipts for different classifications
of business shall be attributed to one or more definite places of
business or offices as follows:
(1)
The gross receipts of a contractor shall be attributed
to the definite place of business at which his services are performed
in this County, or if his services are not performed at any definite
place of business, then the definite place of business from which
his services are directed or controlled in this County, unless the
contractor is subject to the provisions of § 58.1-3715,
Code of Virginia.
(2)
The gross receipts of a retailer or wholesaler shall
be attributed to the definite place of business at which sales solicitation
activities occur, or if sales solicitation activities do not occur
at any definite place of business, then the definite place of business
from which sales solicitation activities are directed or controlled;
however, a wholesaler or distribution house subject to a license tax
measured by purchases shall determine the situs of its purchases by
the definite place of business at which or from which deliveries of
the purchased goods, wares and merchandise are made to customers.
Any wholesaler who is subject to license tax in two or more localities
and who is subject to multiple taxation because the localities use
different measures, may apply to the Department of Taxation for a
determination as to the proper measure of purchases and gross receipts
subject to license tax in each locality.
(3)
The gross receipts of a business renting tangible
personal property shall be attributed to the definite place of business
from which the tangible personal property is rented, or if the property
is not rented from any definite place of business, then the definite
place of business at which the rental of such property is managed.
(4)
The gross receipts from the performance of services
shall be attributed to the definite place of business at which the
services are performed, or if not performed at any definite place
of business, then the definite place of business from which the services
are directed or controlled.
B.
Apportionment. If the licensee has more than one definite
place of business and it is impractical or impossible to determine
to which definite place of business gross receipts should be attributed
under the general rule (and the affected jurisdictions are unable
to reach an apportionment agreement), except as to circumstances set
forth in § 58.1-3709, Code of Virginia, the gross receipts
of the business shall be apportioned between the definite places of
business on the basis of payroll. Gross receipts shall not be apportioned
to a definite place of business unless some activities under the applicable
general rule occurred at or were controlled from such definite place
of business. Gross receipts attributable to a definite place of business
in another jurisdiction shall not be attributed to this jurisdiction
solely because the other jurisdiction does not impose a tax on the
gross receipts attributable to the definite place of business in such
other jurisdiction.
C.
Agreements. The Assessor may enter into agreements
with any other political subdivision of Virginia concerning the manner
in which gross receipts shall be apportioned among definite places
of business. However, the sum of the gross receipts apportioned by
the agreement shall not exceed the total gross receipts attributable
to all of the definite places of business affected by the agreement.
Upon being notified by a taxpayer that its method of attributing gross
receipts is fundamentally inconsistent with the method of one or more
political subdivisions in which the taxpayer is licensed to engage
in business and that the difference has or is likely to result in
taxes on more than 100% of its gross receipts from all locations in
the affected jurisdictions, the Assessor shall make a good faith effort
to reach an apportionment agreement with the other political subdivisions
involved.
A.
Where, before the expiration of the time prescribed
for the assessment of any license tax imposed pursuant to this article,
both the assessing official and the taxpayer have consented, in writing,
to its assessment after such time, the tax may be assessed at any
time prior to the expiration of the period agreed upon. The period
so agreed upon may be extended by subsequent agreements in writing
made before the expiration of the period previously agreed upon.
B.
Notwithstanding § 58.1-3903, Code of Virginia,
the assessing official shall assess the local license tax omitted
because of fraud or failure to apply for a license for the current
license year up to six years for assessments made.
C.
The period for collecting any local license tax shall
not expire prior to the period specified in § 58.1-3940,
Code of Virginia, two years after the date of assessment if the period
for assessment has been extended pursuant to this subdivision, two
years after the final determination of an appeal for which collection
has been stayed pursuant to following subsections under this article
or two years after the final decision in a court application pursuant
to § 58.1-3984, Code of Virginia, or similar law for which
collection has been stayed, whichever is later.
[Amended 1-25-2017]
A.
AMOUNT IN DISPUTE
APPEALABLE EVENT
(1)
(2)
FRIVOLOUS
JEOPARDIZED BY DELAY
Definitions. For purposes of this section:
When used with respect to taxes due or assessed, the amount
specifically identified in the administrative appeal or application
for judicial review as disputed by the party filing such appeal or
application.
An increase in the assessment of a local license tax payable
by a taxpayer, the denial of a refund, or the assessment of a local
license tax where none previously was assessed, arising out of the
Commissioner of the Revenue's i) examination of records, financial
statements, books of account, or other information for the purpose
of determining the correctness of an assessment; ii) determination
regarding the rate or classification applicable to the licensable
business; iii) assessment of a local license tax when no return has
been filed by the taxpayer; or iv) denial of an application for correction
of erroneous assessment attendant to the filing of an amended application
for license.
An appealable event shall include a taxpayer's appeal of the
classification applicable to a business, including whether the business
properly falls within a business license subclassification established
by the locality, regardless of whether the taxpayer's appeal is in
conjunction with an assessment, examination, audit, or any other action
taken by the locality.
A finding, based on specific facts, that the party asserting
the appeal is unlikely to prevail upon the merits because the appeal
is i) not well grounded in fact; ii) not warranted by existing law
or a good faith argument for the extension, modification, or reversal
of existing law; iii) interposed for an improper purpose, such as
to harass, to cause unnecessary delay in the payment of tax or a refund,
or to create needless cost from the litigation; or iv) otherwise frivolous.
A finding, based upon specific facts, that a taxpayer designs
to i) depart quickly from the locality; ii) remove his property therefrom;
iii) conceal himself or his property therein; or iv) do any other
act tending to prejudice, or to render wholly or partially ineffectual,
proceedings to collect the tax for the period in question.
B.
Filing and contents of administrative appeal.
(1)
Any person assessed with a local license tax as a result of an appealable
event as defined in this section may file an administrative appeal
of the assessment within one year from the last day of the tax year
for which such assessment is made or within one year from the date
of the appealable event, whichever is later, with the Commissioner
of the Revenue. The appeal must be filed in good faith and sufficiently
identify the taxpayer, the tax periods covered by the challenged assessments,
the amount in dispute, the remedy sought, each alleged error in the
assessment, the grounds upon which the taxpayer relies, and any other
facts relevant to the taxpayer's contention. The Commissioner of the
Revenue may hold a conference with the taxpayer if requested by the
taxpayer or require submission of additional information and documents,
an audit or further audit, or other evidence deemed necessary for
a proper and equitable determination of the appeal. The assessment
placed at issue in the appeal shall be deemed prima facie correct.
The Commissioner of the Revenue shall undertake a full review of the
taxpayer's claims and issue a written determination to the taxpayer
setting forth the facts and arguments in support of his decision.
(2)
The taxpayer may at any time also file an administrative appeal of
the classification applicable to the taxpayer's business, including
whether the business properly falls within a business license subclassification
established by the locality. However, the appeal of the classification
of the business shall not apply to any license year for which the
Tax Commissioner has previously issued a final determination relating
to any license fee or license tax imposed upon the taxpayer's business
for the year. In addition, any appeal of the classification of a business
shall in no way affect or change any limitations period prescribed
by law for appealing an assessment.
C.
Notice of right of appeal and procedures. Every assessment made by
the Commissioner of the Revenue pursuant to an appealable event shall
include or be accompanied by a written explanation of the taxpayer's
right to file an administrative appeal and the specific procedures
to be followed in the jurisdiction, the name and address to which
the appeal should be directed, an explanation of the required content
of the appeal, and the deadline for filing the appeal.
D.
Suspension of collection activity during appeal. Provided a timely and complete administrative appeal is filed, collection activity with respect to the amount in dispute relating to any assessment by the Commissioner of the Revenue shall be suspended until a final determination is issued by the Commissioner of the Revenue, unless the Treasurer i) determines that collection would be jeopardized by delay as defined in this section; ii) is advised by the Commissioner of the Revenue that the taxpayer has not responded to a request for relevant information after a reasonable time; or iii) is advised by the Commissioner of the Revenue that the appeal is frivolous as defined in this section. Interest shall accrue in accordance with the provisions of Subdivision 2e of Subsection A of § 58.1-3703.1 of the Code of Virginia (1950, as amended), but no further penalty shall be imposed while collection action is suspended.
E.
Procedure in event of nondecision. Any taxpayer whose administrative appeal to the Commissioner of the Revenue pursuant to the provisions of this section has been pending for more than one year without the issuance of a final determination may, upon not less than 30 days' written notice to the Commissioner of the Revenue, elect to treat the appeal as denied and appeal the assessment or classification of the taxpayer's business to the Tax Commissioner in accordance with the provisions of Subdivision 6 of Subsection A of § 58.1-3703.1 of the Code of Virginia (1950, as amended). The Tax Commissioner shall not consider an appeal filed pursuant to the provisions of this subsection if he finds that the absence of a final determination on the part of the Commissioner of the Revenue was caused by the willful failure or refusal of the taxpayer to provide information requested and reasonably needed by the Commissioner to make his determination.
F.
Rulings.
(1)
Any taxpayer or authorized representative of a taxpayer may request
a written ruling regarding the application of a local license tax
to a specific situation from the Commissioner of the Revenue. Any
person requesting such a ruling must provide all facts relevant to
the situation placed at issue and may present a rationale for the
basis of an interpretation of the law most favorable to the taxpayer.
In addition, the taxpayer or authorized representative may request
a written ruling with regard to the classification applicable to the
taxpayer's business, including whether the business properly falls
within a business license subclassification established by the locality.
(2)
Any misrepresentation or change in the applicable law or the factual
situation as presented in the ruling request shall invalidate any
such ruling issued. A written ruling may be revoked or amended prospectively
if i) there is a change in the law, a court decision, or the guidelines
issued by the Department of Taxation upon which the ruling was based
or ii) the Assessor notifies the taxpayer of a change in the policy
or interpretation upon which the ruling was based. However, any person
who acts on a written ruling which later becomes invalid shall be
deemed to have acted in good faith during the period in which such
ruling was in effect.
Every person who is assessable with a license
tax shall keep sufficient records to enable the Assessor to verify
the correctness of the tax paid for the license years assessable and
to enable the Assessor to ascertain what is the correct amount of
tax that was assessable for each of those years. All such records,
books of accounts and other information shall be open to inspection
and examination by the Assessor in order to allow the Assessor to
establish whether a particular receipt is directly attributable to
the taxable privilege exercised within this jurisdiction. The Assessor
shall provide the taxpayer with the option to conduct the audit in
the taxpayer's local business office, if the records are maintained
there. In the event that the records are maintained outside this jurisdiction,
copies of the appropriate books and records shall be sent to the Assessor's
office upon demand.
The calculation of gross receipts, gross expenditures
or gross purchases for license tax purposes shall be either a cash
or accrual basis, provided that the basis used must coincide with
the system of accounts used by the taxpayer and the method employed
by the taxpayer for federal and state income tax purposes. The preceding
year's gross receipts, gross expenditures or gross purchases may be
either the fiscal year used by the business or the calendar year,
provided that the year employed must also coincide with the year used
for federal and state income tax purposes.
A.
General rule. Gross receipts for license tax purposes
shall not include any amount not derived from the exercise of the
licensed privilege to engage in a business or profession in the ordinary
course of business or profession.
B.
The following items shall be excluded from gross receipts:
(1)
Amounts received and paid to the United States, the
commonwealth or any County, city or town for the Virginia retail sales
or use tax or for any local sales tax or any local excise tax on cigarettes
or any federal or state excise taxes on motor fuels.
(2)
Any amount representing the liquidation of a debt
or conversion of another asset to the extent that the amount is attributable
to a transaction previously taxed (e.g., the factoring of accounts
receivable created by sales which have been included in taxable receipts
even though the creation of such debt and factoring are a regular
part of its business).
(3)
Any amount representing returns and allowances granted
by the business to its customer.
(4)
Receipts which are the proceeds of a loan transaction
in which the licensee is the obligor.
(5)
Receipts representing the return of principal of a
loan transaction in which the licensee is the creditor or the return
of principal or basis upon the sale of a capital asset.
(6)
Rebates and discounts taken or received on account
of purchases by the licensee. A rebate or other incentive offered
to induce the recipient to purchase certain goods or services from
a person other than the offeror and which the recipient assigns to
the licensee in consideration of the sale of goods and services shall
not be considered a rebate or discount to the licensee, but shall
be included in the licensee's gross receipts together with any handling
or other fees related to the incentive.
(7)
Withdrawals from inventory for purposes other than
sale or distribution and for which no consideration is received and
the occasional sale or exchange of assets other than inventory, whether
or not a gain or loss is recognized for federal income tax purposes.
(8)
Investment income not directly related to the privilege
exercised by a licensable business not classified as rendering financial
services. This exclusion shall apply to interest on bank accounts
of the business and to interest, dividends and other income derived
from the investment of its own funds in securities and other types
of investments unrelated to the licensed privilege. This exclusion
shall not apply to interest, late fees and similar income attributable
to an installment sale or other transaction that occurred in the regular
course of business.
C.
The following shall be deducted from gross receipts
or gross purchases that would otherwise be taxable:
(1)
Any amount paid for computer hardware and software
that are sold to a United States federal or state government entity,
provided that such property was purchased within two years of the
sale to said entity by the original purchaser who shall have been
contractually obligated at the time of purchase to resell such property
to a state or federal government entity. This deduction shall not
occur until the time of resale and shall apply to only the original
cost of the property and not to its resale price, and the deduction
shall not apply to any of the tangible personal property which was
the subject of the original resale contract if it is not resold to
a state or federal government entity in accordance with the original
contract obligation.
(2)
Any receipts attributable to business conducted in
another state or foreign country in which the taxpayer is liable for
an income or other tax based upon income.
A.
A separate revenue license shall be obtained by each
member of a firm or company of persons practicing any profession or
calling which is regulated by the laws of the Commonwealth of Virginia
for the practicing of which profession or calling a license is required
by Title 54.1 of the Code of Virginia of 1950, as amended.
B.
For persons practicing a profession requiring a separate
revenue license for each member of a firm or company of persons practicing
any profession or calling which is regulated by the laws of this state,
such license is measured by gross receipts. The gross receipts of
an associate of a professional association shall consist of his salary
and such part of the gross receipts of the association remaining after
the payment of salaries to all the associates, as bears the same ratio
of all such remaining gross receipts of his ownership in the association
bears to the ownership therein of all the associates.
A.
In the event that a person, firm, or corporation ceases
to engage in a business, trade, profession, occupation, or calling
within the County during a year for which the person, firm, or corporation
has already paid a license tax, or, to the extent that the Commissioner
of the Revenue determines that a person, firm, or corporation has
incorrectly paid license tax in an amount greater than determined
to be actually due, the taxpayer shall be entitled upon application
to a refund for that portion of a license tax already paid that corresponds
to the excess payment by the person, firm, or corporation, or, in
the instance of a person, firm, or corporation that ceases to engage
in a business, trade, profession, occupation, or calling within the
County, prorated on a monthly basis so as to ensure that the licensed
privilege is taxed only for that fraction of the year during which
it is exercised within the County. Frederick County may elect to remit
any refunds in the ensuing fiscal year and may offset against such
refund any amount of past due taxes owed by the same taxpayer. In
no event shall the County be required to refund any part of a minimum
flat tax or the flat portion of the fee which is not based upon the
gross receipts of the taxpayer.
[Amended 2-10-2021]
B.
Licenses issued on a basis other than gross receipts
or gross purchases, that is, those assessed a flat license fee, shall
not be prorated for any period less than one calendar year, except
as provided by the Code of Virginia 1950, as amended, and except as
otherwise provided in this article.
A.
No Frederick County license shall be transferred from
any person, firm or corporation to another person, firm or corporation.
B.
No Frederick County license shall be transferred from
one location or stand to another location or stand except for the
continuation of the same business for which the license was originally
used unless specified otherwise in this chapter.
C.
Upon application, any license that meets the conditions of Subsection B may be transferred for the unexpired term thereof. Upon presentment to the Commissioner of the Revenue of such license, such official shall transfer the license. The assignee shall have the same privileges and be subject to the same regulations and penalties as an original licensee, unless herein otherwise expressly provided. Estimated licenses may not be transferred.
When any person, firm or corporation shall,
by use of signs, circulars, cards or use of any newspapers circulated
in and around Frederick County, advertise any business, it shall be
considered prima facie evidence of their liability under the ordinances
of Frederick County and they shall be required to take out a license
for such business.
If the Commissioner of the Revenue ascertains
that any person has not been assessed with a license tax levied under
the terms of this article for any license tax year during the past
six years or for the current license tax year and that the absence
of such assessment was due to failure to apply for a license or the
fraudulent intent to evade taxes on the part of such person, it shall
be the duty of the Commissioner of the Revenue to assess such person
with the proper license tax for the year or years omitted, adding
thereto the penalty set forth in this article.
No refunds may be made to any person, partnership
or corporation of license tax paid except in case of error or for
due cause as determined and authorized by the Commissioner of the
Revenue. The minimum license tax shall not be refunded under any circumstances.
If a merchant desires to discontinue business
at the close of the year for which he is licensed and desires additional
time in which to dispose of his stock then on hand at the close of
the license year, he may, by filing, before December 31 of that year,
a sworn affidavit with the Commissioner of the Revenue that he is
going out of business, obtain a prorated license not to exceed 60
days, in increments of one month, but in no case shall the fee be
less than $30.
As to all questions in regard to the duty and
conduct of officers of the County in collecting and enforcing the
taxes herein imposed and in regard to questions of construction and
for definition of terms used in this article and the rules and regulations
applicable to putting the same in operation, reference is hereby made
to the Code of Virginia, Title 58.1; for the assessment, levy and
collection of taxes for the current year or so much thereof as is
applicable to this article and for the conduct and guidance of the
officers of the County and other parties affected by this article
and for fixing their powers, rights, duties and obligations, the provisions
of said Code of Virginia, so far as applicable, are hereby adopted
without being specifically herein quoted.
All businesses with a gross income of less than $4,000 per year are exempt from business license taxation under this article and under Chapter 155 of the Code of Virginia.
A.
In the enforcement of the provisions of this article,
the Commissioner of the Revenue of the County of Frederick, in addition
to the powers herein specifically granted, shall have all the same
enforcement authority with respect to County licenses that state law
confers upon the Commissioner of the Revenue generally. As one of
the means of ascertaining the amount of any license tax due under
the provisions of this article or of ascertaining any other pertinent
information, the Commissioner of the Revenue may propound interrogatories
to each applicant and may use such other evidence he may procure.
Such interrogatories shall be answered under oath, and it shall be
a misdemeanor for a person liable for a license tax to refuse to answer
any such interrogatories.
B.
The Commissioner of the Revenue or his duly qualified
Deputy or Deputies shall have the power to summon any person by registered
or certified letter or otherwise to appear before him at his office,
at a time to be specified in such summons, and to answer, under oath,
questions touching a taxpayer's license tax liability. Failure to
answer such summons without good cause or failing or refusing to answer,
under oath, questions touching their tax liability shall be a Class
1 misdemeanor.
Nothing contained in this article shall be construed
to repeal any tax imposed by ordinance for any subject not herein
this article mentioned.
The amount of tax imposed on all classified
licenses computed on a gross receipts basis shall be in no event less
than $30 unless otherwise provided in this article. Higher minimums
may apply as provided in this article.
A.
Unless otherwise provided in this section or in this
article, every person or business subject to licensure under this
article shall be assessed and required to pay annually a fee for the
issuance of such license as follows:
B.
Instead of the license fee specified in Subsection A above, and except as may be otherwise provided in this section or in §§ 58.1-3712, 58.1-3712.1 and 58.1-3713, Code of Virginia, every such person or business subject to licensure under this article with annual gross receipts of $100,000 or more shall be assessed and required to pay annually a license tax on all the gross receipts of such persons includable as provided in this article at a rate set forth below for the class of enterprise listed:
(1)
For contractors and persons constructing for their
own account for sale, $0.16 per $100 of gross receipts.
(2)
For retailers and retail sellers, and including operators
of coin-operated machines or devices, which includes direct sellers
as defined in the Code of Virginia and including persons engaged in
the short-term rental business as defined in § 58.1-3510.4
of the Code of Virginia, $0.20 per $100 of gross receipts.
(3)
For financial, real estate and professional services,
$0.58 per $100 of gross receipts.
(4)
For repair, personal and business services and all
other businesses and occupations not specifically listed or exempted
in this article or otherwise by law, $0.36 per $100 of gross receipts.
(5)
For wholesalers and wholesale merchants, $0.05 per
$100 of purchases. (See § 58.1-3716, Code of Virginia, for
limitations.)
C.
Instead of the license fees specified in Subsections A and B above and except as provided in Subsection C(9)(f), every other such person or business subject to licensure under this article shall be assessed and required to pay a license tax as set forth below for the class of enterprise listed:
(1)
For carnivals, circuses and speedways, $500 for each
performance held in this jurisdiction. (See § 58.1-3728,
Code of Virginia, for limitations.)
(2)
For fortune tellers, clairvoyants and practitioners
of palmistry, $1,000 per year, and is nonproratable and nontransferable.
(3)
For massage parlors, $200 per year, and must meet
the requirements of Chapter 112 of the Frederick County Code, and
is nonproratable and nontransferable.
(4)
For itinerant merchants or peddlers, $500 per year. (See limitation § 58.1-3717, Code of Virginia.) This license is nonproratable and nontransferable. For limitations for dealers in fireworks or explosives, see Subsection C(4)(a) below. Detailed explanation of itinerant and distressed vendors is found later in this article.
(a)
Each person dealing in the sale of fireworks
or explosives and who sets up a temporary location must first comply
with the Fire Marshal and the Zoning Administrator's office and because
of the nature of the merchandise shall be issued an itinerant merchants
license for a period of not more than 30 days, nonproratable.
(b)
No persons shall be exempt from the payment
of the license tax imposed by this section by reason of associating
temporarily with any local merchant, dealer or trader or by reason
of conducting such business in the name of any local merchant, dealer,
trader or auctioneer.
(5)
For photographers, $30 per year, if without regularly
established places of business in this state, as limited under § 58.1-3727,
Code of Virginia.
(6)
For permanent coliseums, arenas or auditoriums having
a maximum capacity in excess of 10,000 persons, open to the public,
$1,000 per year.
(7)
For savings and loan associations and credit unions,
$50 per year only if the main office is located within this County.
(8)
For direct sellers as defined in § 58.1-3719.1,
Code of Virginia, with total annual sales in excess of $4,000, $0.20
per $100 of total annual retail sales or $0.05 per $100 of total annual
wholesale sales, whichever is applicable.
(9)
For sale of alcoholic beverages:
(a)
Every person who shall engage in the business
of manufacturing, bottling, wholesaling or retailing alcoholic beverages
shall obtain a license therefor and shall pay therefor the license
tax hereinafter provided.
[1]
Distiller's license. For each distiller's license,
the license tax shall be $500 per annum, provided that no license
shall be required of any distiller manufacturing not more than 5,000
gallons of alcohol or spirits, or both, during such license year.
[2]
Winery license. For every winery license, the
license tax shall be $50 per annum, provided that no license shall
be required of any winery manufacturing not more than 5,000 gallons
of wine during such license year.
[Amended 2-12-2014]
[3]
Brewery license. For each brewery license, the
license tax shall be $500 per annum.
[4]
Bottler's license. For each bottler's license,
the license tax shall be $150 per annum.
[5]
Wholesale beer and wine license. For each wholesale
beer license, the license tax shall be $75 per annum. For each wholesale
wine license, the license tax shall be $50 per annum.
[Amended 2-12-2014]
[6]
Retail on-premises wine and beer license. For
each retail on-premises wine and beer license, the license tax shall
be $20 per annum.
[7]
Retail off-premises wine and beer license. For
each retail off-premises wine and beer license, the license tax shall
be $20 per annum.
(b)
For each mixed beverage license for restaurants,
including restaurants located on premises of and operated by hotels
and motels, the license tax shall be:
[1]
One hundred dollars per annum for each restaurant
with a seating capacity at tables for 50 to 100 persons.
[2]
One hundred fifty dollars per annum for each
restaurant with a seating capacity at tables for more than 100 but
not more than 150 persons.
[3]
Two hundred dollars per annum for each restaurant
with a seating capacity at tables for more than 150 persons.
[4]
Two hundred dollars per annum for each private,
nonprofit club operating a restaurant on the premises of such club.
(c)
The aforesaid license shall be as respectively
defined by the Act of the General Assembly, known as the "Alcoholic
Beverage Control Act," and the terms "alcoholic beverages," "alcohol,"
"spirits" and "wine," wherever used in this article, shall reflect
the meanings respectively ascribed to them by such Act.
(d)
No license shall be issued under this section
to any person unless such person shall hold or secure simultaneously
therewith the proper state license required by the Alcoholic Beverage
Control Act, which state license shall be exhibited to the Commissioner
of the Revenue, and all dining rooms, restaurants, lunchrooms and
clubrooms wherein the beverages herein defined are sold for consumption
on the premises shall at all times be open to inspection by the State
Police and the police or Sheriff's authorities of this County; provided,
further, that all storerooms or other buildings from which deliveries
are made, either at wholesale or retail, whether they are bottlers,
wholesalers or retailers, shall at all times be open to inspection
by State Police and police or Sheriff's authorities of the County.
Any violation of the terms of this provision shall be sufficient grounds
for the revocation of the license issued in accordance with this section.
(e)
No alcoholic beverage license shall be prorated
or transferable.
(f)
This tax shall be in addition to applicable
license taxes based on gross receipts or gross purchases. In imposing
retail merchant license taxes measured by gross receipts, the term
"gross receipts" shall be construed to include receipts from the sale
of alcoholic beverage by persons licensed under this section. In computing
gross receipts, alcoholic beverages shall be included in the base
for measuring such license taxes the same as if the alcoholic beverages
were nonalcoholic. No alcoholic beverage license levied under this
section shall be construed as exempting any license fr om any merchant
license tax, and such merchant license tax shall be in addition to
the alcoholic beverage taxes levied under this section.
On all operators of coin-operated amusement
machines, there is hereby levied an annual license tax of $100 for
the operation of 10 or more amusement machines in Frederick County.
For the operation of fewer than 10 coin-operated amusement machines,
there shall be levied a license tax of $10 per machine. Such license
shall not be prorated or transferable.
A.
The term "amusement operator" shall not include a
person owning fewer than three such machines and operating such machines
on property owned or leased by such person.
B.
"Amusement machine" shall mean any coin-operated machine
not listed in § 58.1-3721, Code of Virginia 1950, as amended.
C.
The term "amusement operator" means any person selling,
leasing, renting or otherwise furnishing or providing a coin-operated
amusement machine in this County.
D.
The amusement operator license is hereby levied on
all nonresident amusement machine operators regardless of the number
of machines they have placed in this County.
E.
In addition, there is hereby levied a license of $0.20
per $100 of gross receipts on the operator's share of receipts actually
received by such operator from coin-operated machines in this County.
[Amended 4-24-2013]
A.
"Carnival"
shall mean an aggregation of shows, amusements, concessions, eating
places and riding devices operated together on one lot or street or
not on contiguous lots or street, whether the same are owned and actually
operated by a separate person or not. Carnivals, for the privilege
of doing business in Frederick County, shall pay a license tax of
$500 per day or part thereof, which shall not be prorated or transferable.
B.
Circuses,
menageries, trained animal shows, and shows of a like nature shall
pay for the privilege of showing in the County a license tax of $100
per day or part thereof.
C.
Persons conducting events pursuant to § 155-100F of this Code shall pay for the privilege of conducting such events in the County a license tax of $100 per event.
D.
A nonprofit
organization is not required to obtain a license under this section,
nor is any person or organization participating in an event, not to
exceed 10 consecutive days in length, conducted by a nonprofit organization,
when the purpose of such event is in furtherance of the nonprofit
nature of such organization, required to obtain a license under this
section.
Every person engaged in work as a fortuneteller,
clairvoyant, phrenologist, spirit medium, astrologer, hypnotist or
palmist, for which compensation is received, shall pay for the privilege
an annual license tax of $1,000. This license shall not be transferred
or prorated.
A.
Each person who shall engage in or transact any temporary
or transient business in this County for the sale of goods, wares
and merchandise and who, for the purpose of carrying on such business,
shall hire, lease, use or occupy any building or structure, motor
vehicle, tent, car or public room or any part thereof, including rooms
in hotels, lodging houses or houses of private entertainment, or in
any street, alley or other public place for a period of less than
a year for the exhibition or sale of such goods, wares or merchandise
shall pay for such privilege a license tax of $500 per year, which
license shall not be prorated or transferable.
B.
Each person who or which has not been licensed for
at least one year to sell or to offer for sale goods, wares or merchandise
before the adoption of this section and who shall hereafter apply
for a license to sell or offer for sale goods, wares or merchandise
within the County shall file with such application a statement from
the owner of the building, structure, etc., to be used by such applicant,
indicating consent to use the premises for such sales, or no license
shall be issued unless and until such statement is attached to the
application.
[Amended 4-24-2013]
C.
On each transient vendor for the sale of bankrupt,
assignee, trustee, fire-wreck stock or salvage stock, a license tax
shall be paid of $500 per year, which license shall not be prorated
or transferable.
D.
No persons shall be exempt from the payment of the
license tax imposed by this section by reason of associating temporarily
with any local merchant, dealer or trader or by reason of conducting
such business in the name of any local merchant, dealer, trader or
auctioneer.
E.
No license tax shall be required under this section for any itinerant merchant participating in an event, not to exceed 10 consecutive days in length, conducted by a nonprofit organization, when the purpose of such event is in furtherance of the nonprofit nature of such organization, and the sale of any goods, wares or merchandise is merely ancillary to such event and not the primary purpose therefor, and any such itinerant merchant shall have registered with and been approved by such nonprofit organization. The provisions of this Subsection E do not create any exemption from the provisions of this Code regarding the meals tax or from the provisions of the Code of Virginia regarding the sales and use tax.
[Amended 4-24-2013]
F.
Notwithstanding Subsections A through D of this section, each person who shall engage in or transact any business in this County for the sale of goods, wares and merchandise at a festival, as that term is defined in § 86-2 of this Code, or at any other prearranged event at a single location, whether indoors or outdoors, of more than 100 individuals, shall pay for such privilege a license tax of $30 per festival or event, which license shall not be prorated or transferable, and any such person shall have registered with and been approved by the person conducting the festival or event. No license shall be required under this subsection for i) vendors at flea markets under § 155-112 of this Code, who are to be licensed under that section, or ii) vendors who have otherwise obtained or are otherwise required to obtain a license pursuant to § 155-73 of this Code or pursuant to the laws or ordinances of any incorporated town located in Frederick County. The provisions of this Subsection F do not create any exemption from the provisions of this Code regarding the meals tax or from the provisions of the Code of Virginia regarding the sales and use tax.
[Added 4-24-2013; amended 2-12-2014]
G.
"Conducting"
shall, for purposes of this section, mean organizing, sponsoring,
promoting, hosting, or otherwise being responsible for a festival
or event under this section.
[Added 4-24-2013]
A.
Junk dealers, as defined in § 59.1-116.1, Code
of Virginia, shall be licensed based on their gross receipts and shall
pay the same license tax or fees as retailers as set forth in this
chapter if they have an established place of business in Frederick
County. No business license shall be issued to any itinerant junk
dealer.
B.
Pawnbrokers are included under separate listing of
this article and are not classified as junk dealers.
Pawnbrokers, as defined in § 54.1-4000, Code of Virginia,
shall be licensed on their gross receipts and must pay the same license
tax or fees as retailers as set forth in this chapter if they have
an established place of business in Frederick County. No business
license shall be issued to any itinerant pawnbroker.
A.
Any person who shall carry from place to place any
goods, wares or merchandise and offer to sell or barter the same or
actually sell or barter the same shall be deemed to be a peddler and
shall obtain a license therefor. Any person licensed as a peddler
may sell any personal property a merchant may sell, or he may exchange
the same for other articles.
B.
All persons who do not keep a regular place of business
(whether it is a house or vacant lot or elsewhere) open at all times
in regular business hours and at the same place and who shall offer
for sale goods, wares and merchandise shall be deemed peddlers under
this section. All persons who keep a regular place of business, open
all times in regular business hours and at the same place, who shall
elsewhere than at the regular place of business, personally or through
their agents, offer for sale or sell and, at the time of such offering
for sale, deliver goods, wares and merchandise shall also be deemed
peddlers as above, but this section shall not apply to those who sell
or offer for sale, in person or by their employees, ice, meat, milk,
butter, eggs, poultry, oysters, game, vegetables, fish, fruits or
other family supplies of a perishable nature grown or produced by
them and not purchased by them for sale. A dairyman who uses upon
the streets of this County one or more vehicles may sell and deliver
from his vehicle milk, butter, cream and eggs in said County without
procuring a peddler's license.
C.
Activities which would otherwise be subject to the
tax pursuant to this provision are exempt from any license tax, provided
that they are conducted on an occasional-sales basis and are carried
on by religious, benevolent, charitable, fraternal or school organization
that is chartered or meets on a regular basis within this County for
religious, benevolent, charitable, fraternal or school purposes insuring
no profit to any individual.
D.
For the privilege of peddling or bartering in the
County, a license tax or fee shall apply as provided for retail sales
within and under this article.
E.
Nothing in this section shall be construed to require
of any farmer a peddler's license for the privilege of selling or
peddling farm products, wood or charcoal grown or produced by him,
nor shall this section apply to peddlers of farm products who do not
offer their produce for sale or sell on the markets of this County
or the streets designated for market purposes.
F.
The tax imposed hereby shall not be prorated or transferable.
A.
The license tax for the privilege to any person, firm
or corporation engaged in the business of providing telephone, telegraph,
water, heat, light or power service in Frederick County shall be 1/2
of 1% of the preceding year's gross receipts.
B.
In the case of telephone companies, charges for long
distance telephone calls shall not be included in gross receipts for
purposes of license taxation.
Every person engaged in the business of adjusting
claims shall pay a license tax of $100 per annum, nonprorated and
nontransferable.
The specific license tax for conducting an auction
sale which is not otherwise licensed under this article shall be $100
per year with no limit on the number of sales. This does not apply
to individuals selling their own personal property but does apply
when sale items are purchased for resale or are consigned to the sale.
Each person using the public streets for the
sale, delivery or distribution of oils, gasoline or other oil products
from vehicles shall be taxed $100 for each vehicle, except when the
distributor pays a merchant's license tax to the County of Frederick.
The Commissioner of the Revenue shall issue a business license identifying
the individual vehicle tag number. Said business license shall remain
within the vehicle.
On each person bottling and/or distributing
milk for retail, there is hereby imposed a specific license tax of
$100.
Upon all banks located within the County of
Frederick, Virginia, there is hereby imposed a tax of 80% per annum
of the state rate of each $100 of the net capital of such bank, in
accordance with § 58.1-1208 et seq., Code of Virginia 1950,
as amended.
A.
It shall be unlawful to engage in any business, employment
or profession for which a license is required by any of the provisions
of this article without first having obtained such license, which
shall be punishable by a fine of not more than $2,500 or by a jail
sentence of not more than 12 months, or by both such fine and jail
sentence.
B.
No such license shall be issued until the applicant
has produced satisfactory evidence that all delinquent business license,
real estate, personal property, meals, transient occupancy, severance
and admissions taxes owed by the applicant to the County have been
paid which have been properly assessed against the applicant by the
County.
[Amended 2-10-2021]
C.
Anyone who engages in a business, employment or profession
without obtaining a required license, or after being refused the same,
shall not be relieved of the tax imposed by the provisions of this
article.
D.
Whenever any person is required by any of the provisions
of this article to file a return for tax purposes, it shall be unlawful
for such person to willfully fail or refuse to file such return at
the time or times required or to make a false statement in such return
with intent to defraud, and any violation hereof shall be punishable
as provided in § 58.1-3916.1, Code of Virginia.
Precious metal dealers, as defined in § 54.1-4100,
Code of Virginia, shall be licensed based on their gross receipts
and shall pay the same license tax or fees as retailers as set forth
in this chapter. No business license shall be issued to any itinerant
precious metals dealer. The business of a precious metals dealer shall
be conducted only from the fixed and permanent location in Frederick
County specified in the business license application. If the dealer
seeks to conduct business from one or more different County locations,
the dealer shall file a separate application for and obtain a separate
business license to conduct business from each such location.
On each person operating a flea market, there is hereby imposed
a specific license tax of $500 per year. Each individual vendor at
a flea market must pay the same license tax or fees as a retailer
as set forth in this chapter, if the vendor is otherwise subject to
licensure as a retailer under this chapter. If the operator of the
flea market engages in the sale of merchandise at the flea market,
he must also pay the same license tax or fees as a retailer as set
forth in this chapter, to the extent that such tax or fees would exceed
$500.
[Added 2-12-2014]
The Commissioner, in performing the duties of such office, shall
have authority to require any person doing business in the County
to furnish, as to each subcontractor to whom any part of a contract
is sublet, a list of, among other things, the names and addresses
of each subcontractor and the amount of each subcontract performed
in the County.
