ORDINANCE
NO. 2007-11
BUSINESS
LICENSE CODE OF THE
TOWN OF
FOR THE
YEAR 2007/08 AND EACH SUBSEQUENT YEAR
SCHEDULE OF
LICENSES AND FEES
BE IT ORDAINED
BY THE TOWN COUNCIL OF CEDAR BLUFF,
SECTION 1.
Levy of tax.
Page 01
SECTION 2. Definition
of terms.
Page 01
SECTION 3.
License term; minimum license.
Page 03
SECTION 4.
License shall be location specific.
Page 04
SECTION 5.
License transfer restrictions.
Page 04
SECTION 6.
Unlawful to do business without a license. Page 05
SECTION 7.
License must be posted.
Page 05
SECTION 8. Duty
to file report.
Page 05
SECTION 9.
Duty to permit records inspection.
Page 06
SECTION
10. Unlawful to obstruct municipal
designee. Page 06
SECTION
11. Privacy of information. Page
06
SECTION
12. Failure to file assessment. Page 07
SECTION
13. Lien for non-payment of license
tax. Page 07
SECTION
14. Criminal penalties. Page 07
SECTION
15. Civil penalties.
Page 07
SECTION
16. Penalties and interest. Page
08
SECTION
17. Prosecutions unaffected. Page 08
SECTION
18. Procedure for denial of new
applications. Page 08
SECTION
19. Procedure for revocation/suspension
of license Page 09
SECTION
20 Refunds on overpayments. Page 09
SECTION
21. Delivery License. Page 10
SECTION
22. License classification codes. Page 11
SECTION
23. License Fee Schedules. Page
14
SECTION
24. Exchange of information. Page 17
SECTION
25. License fees in Police
Jurisdiction. Page 18
SECTION
26. Effective date. Page 18
SECTION 27. Severability. Page 18
SECTION 28. Repealer.
Page 18
SECTION 1. Levy of Tax.
Pursuant to the Code of Alabama, the following is
hereby declared to be and is adopted as the business license code and schedule
of licenses for the municipality for the year beginning
SECTION 2. Definitions.
Unless the context clearly
requires otherwise, the following terms shall have the following meaning as set
forth below:
[1] BUSINESS. Any commercial or industrial activity or any
enterprise, trade, profession, occupation, or livelihood, including the lease
or rental of residential or nonresidential real estate, whether or not carried
on for gain or profit, and whether or not engaged in as a principal or as an
independent contractor, which is engaged in, or caused to be engaged in, within
a municipality.
[2] BUSINESS LICENSE. An annual license issued by the municipality
for the privilege of doing any kind of business, trade, profession, or any
other activity in the municipality, by whatever name called, which document is
required to be conspicuously posted or displayed except to the extent the
taxpayer’s business license tax or other financial information is listed
thereon.
[3] BUSINESS LICENSE
REMITTANCE FORM. Any business license return, renewal reminder notice, or
other writing on which the taxpayer calculates the business license tax
liability for all or part of the license year and remits the amount so
calculated with the form.
[4] DEPARTMENT or
DEPARTMENT OF REVENUE. The Alabama Department of Revenue, as created under
Section 40-2-1 et seq.
[5] DESIGNEE. An agent
or employee of the municipality authorized to administer or collect, or both
the municipality's business license taxes, which may include another taxing
jurisdiction, the Department of Revenue, or a "private auditing or collecting firm" as defined in
Section 40-2A-3 of the Code of Alabama.
[6] GROSS RECEIPTS.
The measure of any and all receipts of a business from whatever source derived,
to the maximum extent permitted by applicable laws and constitutional
provisions, to be used in calculating the amount due for a business license.
Provided, however, that:
(a) Gross receipts shall not
include any of the following taxes collected by the business on behalf of any
taxing jurisdiction or the federal government: All taxes which are imposed on
the ultimate consumer, collected by the taxpayer and remitted by or on behalf
of the taxpayer to the taxing authority, whether state, local or federal,
including utility gross receipts levied pursuant to Article 3, Chapter 21,
Title 40; license taxes levied pursuant to Article 2, Chapter 21, Title 40; or
reimbursements to professional employer organizations of federal, state or
local payroll taxes or unemployment insurance contributions; but no other
deductions or exclusions from gross receipts shall be allowed except as provided
in this article.
(b) A different basis for
calculating the business license may be used by the municipality with respect
to certain categories of taxpayers as prescribed in Section 11-51-90B.
(c) For a utility or other
entity described in Section 11-51-129, gross receipts shall be limited to the
gross receipts derived from the retail furnishing of utility services within
the municipality during the preceding year that are taxed under Article 3 of
Chapter 21 of Title 40, except that nothing herein shall affect any existing
contract or agreement between a municipality and a utility or other entity. The
gross receipts derived from the furnishing of utility services shall not be
subject to further business license taxation by the municipality.
(d) Gross receipts shall not
include dividends or other distributions received by a corporation, or proceeds
from borrowing, the sale of a capital asset, the repayment of the principal
portion of a loan, the issuance of stock or other equity investments, or
capital contributions, or the undistributed earnings of subsidiary entities.
[7] LICENSE FORM. Any
business license application form, renewal reminder notice, business license
remittance form, or business license return by whatever name called.
[8] LICENSE OFFICER or MUNICIPAL
LICENSE OFFICER. The municipal employee charged by the municipality with
the primary responsibility of administering the municipality's business license
tax ordinance and related matters thereto.
[9] LICENSE YEAR. The
calendar year.
[10] MUNICIPALITY.
Any town or city in this state that levies a business license tax from time to
time. The term shall also include the town’s or city’s police jurisdiction,
where the business license tax is levied in the police jurisdiction.
[11] PERSON. Any
individual, association, estate, trust, partnership, limited liability company,
corporation, or other entity of any kind, except for any nonprofit corporation
formed under the laws of Alabama which is operated to enable municipalities
that become members of such nonprofit corporation to finance or refinance
capital projects and related undertakings, on a cooperative basis, and whose
board of directors or other governing body consists primarily of elected
officials of the municipality.
[12] TAXING JURISDICTION.
Any municipality that levies a business license tax, whether or not a business
license tax is levied within its police jurisdiction, or the Department of
Revenue acting as agent on behalf of a municipality pursuant to Section
11-51-180 et seq., as the context requires.
[13] TAXPAYER. Any
person subject to or liable under this chapter for any business license tax;
any person required to file a return with respect to, or pay or remit the
business license tax levied under this chapter or to report any information or
value to the taxing jurisdiction; or any person required to obtain, or who
holds any interest in, any business license issued by the taxing jurisdiction;
or any person that may be affected by any act or refusal to act by the taxing
jurisdiction under this chapter, or to keep any required by this chapter
[14] U.S.C. The
applicable title and section of the United States Code, as amended from time to
time.
[15] OTHER TERMS.
Other capitalized or specialized terms used in this ordinance, and not defined
above, shall have the same meanings ascribed to them in Section 40-2A-3, of the Code of Alabama, unless the context
therein otherwise specifies.
SECTION 3. License term; minimums.
The license term and the
minimum amount for a business license are as follows:
(a)
Full Year. Every person who commences business before
the first day of July shall be subject to and shall pay the annual license for
such business in full. Unless otherwise specified in the enclosed schedules,
the minimum annual license shall be $ 100.00.
(b)
Half Year. Every person who commences
business on or after July 1st, shall be subject to and shall pay
one-half (1/2) the annual license for such business for that calendar year.
(c)
Issue Fee. For each license issued
there shall be an issue fee collected of ten dollars ($10.00); said fee shall
be collected in the same manner as the license tax and the Clerk shall be
entitled to a fee of $10.00 on each license issued..
(d)
Annual Renewal. Except as provided in
subsections (i) or (ii), the business license shall be renewed annually on or
before the 31st day of January each year.
( i ) If the due date for payment of any
business license falls on a weekend or a holiday recognized by the municipality
from time to time, the due date shall automatically be extended until the next
business day.
( ii ) Insurance company
annual license renewals shall be renewed in accordance with Section 11-51-122
of the Code of Alabama which states
that each year, each insurance company shall furnish the municipality a statement
in writing duly certified showing the full and true amount of gross premiums
received during the preceding year and shall accompany such statement with the
amount of license tax due according to the licensing schedule. Failure to
furnish such statement or to pay such sum shall subject the company and its
agents to those penalties as prescribed for doing business without a license as
provided for in the municipal code.
( iii ) On or before
December 31 of each year, a renewal reminder shall be mailed to each licensee
that purchased a business license during the current year. Said renewal notice
shall be mailed via regular
( iv ) Business license
renewal payments received by the municipality shall be applied to the current
renewal only when any and other debts the licensee owes to the municipality are
first paid in full. No business license shall be issued if the current renewal
payment does not meet said prior obligations and the current renewal. Failure
to pay such sums shall subject the licensee and its agents to those penalties
as prescribed for doing business without a license provided for in the
municipal code.
SECTION 4. License shall be
location specific.
(a) For each place at which any
business is carried on, a separate license shall be paid, and any person
desiring to engage in any business for which a license is required shall
designate the place at which business is carried on, and the license to be
issued shall designate such place, and such license shall authorize the
carrying on of such business only at the place designated.
(b) Every person dealing in two
or more of the articles, or engaging in two or more of the businesses,
vocations, occupations or professions scheduled herein, shall take out and pay
for a license for each line of business.
(c) A taxpayer subject to the
license authorized by this ordinance that is engaged in business in other municipalities
may account for its gross receipts so that the part of its gross receipts
attributable to its branch offices will not be subject to the business license
imposed by this ordinance. To establish a bona fide branch office, the taxpayer
must demonstrate proof of all following criteria:
( i ) The taxpayer must
demonstrate the continuing existence of an actual facility located outside the
police jurisdiction in which its principal business office is located, such as
a retail store, outlet, business office, showroom, or warehouse, to which
employees and/or independent contractors are assigned or located during regular
normal working hours.
( ii ) The taxpayer must
maintain books and records, which reasonably indicate a segregation or
allocation of the taxpayer's gross receipts to the particular facility of
facilities.
( iii ) The taxpayer must
provide proof that separate telephone listings, signs, and other indications of
its separate activity are in existence.
( iv ) Billing and/or
collection activities relating to the business conducted at the branch office
or offices are performed by an employee or other representative, of the
taxpayer who has such responsibility for the branch office.
( v ) All business claimed
by a branch office or offices must be conducted by and through said office or
offices.
( vi ) The taxpayer must
supply proof that all applicable business licenses with respect to the branch
office or offices have been issued.
(d) Nothing
herein shall be construed as exempting businesses from payment of a license on
the basis of a lack of physical location.
SECTION 5. Restriction on transfer of license.
No license shall be
transferred except with the consent of the council or other governing body of
the municipality or of the director of finance or other chief revenue officer
or his or her designee, and no license shall be transferred to reflect a
physical change of address of the taxpayer within the municipality
more than once during a license year and never from
one taxpayer to another. Provided that a
mere change in the name or ownership of a taxpayer that is a corporation,
partnership. Limited liability company or other form of legal entity now or hereafter
recognized by the laws of Alabama shall not constitute a transfer for purposes
of this chapter, unless (1) the change requires the taxpayer to obtain a new
federal employer identification number or Department of Revenue taxpayer
identification number or (2), in the discretion of the municipality, the
subject license is one for the sale of alcoholic beverages. Nothing in this
section shall prohibit a municipality from requiring a new business license
application and approval for an alcoholic beverage license.
SECTION 6. Unlawful to do business without a license.
It shall be unlawful for any
person, taxpayer, or agent of a person or taxpayer to engage in businesses or
vocations in the municipality for which a license is required without first
having procured a license. A violation of this division of the ordinance passed
hereunder fixing a license shall be punishable by a fine not to exceed the sum
of five hundred ($500) for each offense, and if a willful violation, by
imprisonment, not to exceed six months, or both, at the discretion of the court
trying the same. Each day shall constitute a separate offense.
SECTION 7. License must be posted.
Every license shall be
posted in a conspicuous place, where said business, trade or occupation is
carried on, and the holder of the license shall immediately show same to the
designee of the municipality upon being requested so to do.
SECTION 8. Duty to file report.
(a)
It shall be the duty of every person subject to such license tax to
render to the municipality on such forms as may be required, a sworn statement
showing the total business done, amount of sales, gross receipts and gross
sales, stock, value of furniture and other equipment, capital invested, number
of helpers or employees, amount of space occupied, or other factor described in
the schedule, one or several, as the case may require, for the ascertainment of
the classification of such person for license taxation purposes and the correct
amount of license tax to which he is subject.
(b)
If the municipality determines that the amount of business license tax
reported on or remitted with any business license remittance form is incorrect,
if no business license remittance form is filed within the time prescribed, or
if the information provided on the form is insufficient to allow the taxing
jurisdiction to determine the proper amount of business license tax due, the
municipality shall calculate the correct amount of the tax based on the most
accurate and complete information reasonably obtainable and enter a preliminary
assessment for the correct amount of business license tax, including any
applicable penalty and interest.
(c)
The municipality shall promptly mail a copy of any preliminary
assessment to the taxpayer's last known address by either first class
(d)
If the amount of business license tax remitted by the taxpayer is
undisputed by the
Municipality, or if the
taxpayer consents to the amount of any deficiency or preliminary assessment in
writing, the municipality shall enter a final assessment for the amount of the Tax due, plus any applicable penalty
and interest.
(e)
(1) If a taxpayer disagrees with a preliminary assessment as
entered by the taxing jurisdiction, the taxpayer shall file a petition for
review with the municipal license officer within 30 days from the date of entry
of the preliminary assessment setting out the specific objections to the
preliminary assessment. If a petition for review is timely filed, the license
officer of the municipality shall schedule a conference with the taxpayer for
the purpose of allowing the taxpayer or its representatives and the representatives
of the municipality to present their respective positions, discuss any
omissions or errors, and to attempt to agree upon any changes or modifications
to their respective positions.
(2) If
a petition for review is not timely filed, or is timely filed, and upon further
review the license officer determines that the preliminary assessment is due to
be upheld in whole or in part, the municipality may make the assessment final
in the amount of business license tax due as computed by the license officer, with
applicable interest and penalty computed to the date of entry of the final
assessment. The license officer shall,
whenever practicable, complete his or her review of the taxpayer’s petition for
review and applicable law within 90 days following the later of the date of
filing of the petition or the conference, if any.
(3) A
copy of the final assessment shall promptly be mailed to the taxpayer's last
known address (i) by either first class U.S. mail or certified U.S. mail with
return receipt requested in the case of assessments of business license tax of
five hundred dollars ($500.00) or less, or (ii) by certified U.S. mail with
return receipt requested in the case of assessments of business license tax of
more then five hundred ($500.00). In either case, at the option of the taxing
jurisdiction a copy of the final assessment may be delivered to the taxpayer by
personal delivery. The final assessment shall include a statement informing the
taxpayer of his or her right to appeal the final assessment to circuit court
within 30 days from the date of the entry of the final assessment.
SECTION 9. Duty to permit inspection and produce records.
Upon demand by the designee
of the municipality, it shall be the duty of all licensees to:
(a)
Permit the designee of the municipality to enter the business and to
inspect all portions of his place or places of business for the purposes of
enabling said municipal designee to gain such information as may be necessary
or convenient for determining the proper license classification, and
determining the correct amount of license tax;
(b)
To furnish information during reasonable business hours, at the
licensee's place of business, in the municipality or the police jurisdiction,
all books of account, invoices, papers, reports and memoranda containing
entries showing amount of purchases, sales receipts, inventory and other
information from which the correct license tax classification of such person
may be ascertained and the correct amount of license tax to which he is subject
may be determined, including exhibition of bank deposit books, bank statements,
copies of sales tax returns to the State of Alabama, copies of Alabama income
tax returns and federal income tax returns.
SECTION 10. Unlawful to obstruct.
It shall be unlawful for any
person, or for any agent, servant or employee of such person, to fail or refuse
to perform any duty imposed by this ordinance; nor shall any person, agent,
servant or employee of such person obstruct or interfere with the designee of
the municipality in carrying out the purposes of this ordinance.
SECTION 11. Privacy.
(a) It shall be unlawful for any
person connected with the administration of this ordinance to divulge any
information obtained by him/her in the course of inspection and examination of
the books, papers, reports and memoranda of the taxpayer made pursuant to the
provisions of this ordinance, except to the mayor, the municipal attorney or
others authorized by law to receive such information described herein.
(b) It shall be unlawful for any
person to print, publish, or divulge, without the written permission or
approval of the taxpayer, the license form of any taxpayer or any part of the
license form, or any information secured in arriving at the amount of tax or
value reported, for any purpose other than the proper administration of any
matter administered by the taxing jurisdiction, or upon order of any court, or
as otherwise allowed in this ordinance.
(c) Nothing herein shall
prohibit the disclosure of the fact that a taxpayer has or has not purchased a
business license. Statistical information pertaining to taxes may be disclosed
to the municipality council upon their written request through the Mayor's
office. It shall be unlawful for any person to violate the provisions of this
section.
SECTION 12. Failure to file assessment.
(a)
In any case where a person subject to paying a license tax as provided
herein fails to do so, the municipal designee shall be authorized to assess and
determine the amount of license taxes due using the best information available
either by return filed or by other means.
(b)
The taxpayer shall be notified by registered or certified mail, or by
personal service, of the amount of any such assessment, and of his right to
appear before the municipal governing body on a day named not less than twenty
(20) days from the date of notice and to show cause why such assessment shall
not be made final. Such appearance may be made by agent or attorney.
(c)
If no showing is made on or before the date fixed in such notice, or if
such showing is not sufficient in the judgment of the municipality, such
assessment shall be made final in the amount originally fixed, or in such other
amount as is determined by the municipality to be correct. If upon such hearing
the municipal designee finds a different amount due than that originally
assessed, he/she shall make the assessment final in the correct amount, and in
all cases shall notify the taxpayer of the assessment as finally fixed.
(d)
A notice by the
SECTION 13. Lien for non-payment of license tax.
On all property, both real
and personal, used in the business, the municipality shall have a lien for such
license, which lien shall attach as of the date when the license is due, as
allowed by Code of Alabama, Section
11-51-44 (1975).
SECTION 14. Criminal penalties.
Any person found guilty of
violating any of the provisions of this ordinance shall be fined in an amount
not less than fifty dollars ($50.00) and not more than five hundred dollars
($500.00), and may also be sentenced to imprisonment for a period of not
exceeding six (6) months, in the discretion of the court trying the case, and
violations on separate days shall each constitute a separate offense.
SECTION 15. Civil penalties.
In addition to the remedies
provided by Code of Alabama, Section
11-51-150 (1975) et seq., the continued or recurrent performance of any act or
acts within the corporate limits or within its police jurisdiction for which a
license may be revoked or suspended under this ordinance is hereby declared to
be detrimental to the health, safety, comfort and convenience of the public and
is a nuisance. The municipality, as an additional or alternative remedy, may
institute injunctive proceedings in a court of competent jurisdiction to abate
the same.
SECTION 16. Penalties and interest.
(a)
All licenses not paid within thirty (30) days from the date they fall
due shall be increased by fifteen (15) percent for the first thirty (30) days
they shall be delinquent, or fraction thereof, and shall be measured by an
additional fifteen (15) percent for a delinquency of sixty (60) or more days,
but this provision shall not be deemed to authorize the delay of thirty (30)
days in the payment of the license due, which may be enforced at once.
(b)
In the case of persons who began business on or after the first day of
the calendar year, the license for such “new business” shall be increased by
fifteen (15) percent for the first fifteen (15) days they shall be delinquent,
and shall be measured by an additional fifteen (15) percent for a delinquency
of forty-five (45) days or more.
(c)
All delinquent accounts (both license taxes and penalties) shall also
be charged simple interest at the rate of one (1) percent per month.
SECTION 17. Prosecutions unaffected.
The adoption of this
ordinance shall not in any manner affect any prosecution of any act illegally
done contrary to the provisions of any ordinance now or heretofore in
existence, and every such prosecution, whether begun before or after the
enactment of this article shall be governed by the law under which the offense
was committed; nor shall a prosecution, or the right to prosecute, for the
recovery of any penalty or the enforcement of any forfeiture be in any manner
affected by the adoption of this ordinance; nor shall any civil action or cause
of action existing prior to or at the time of
the adoption of this ordinance be affected in any manner by its
adoption.
SECTION 18. Procedure for denial of new applications.
(a)
The municipal designee shall have the authority to investigate all
applications and may refer any application to the municipal governing body for
a determination of whether such license should or should not be issued.
(b)
If the municipal governing body denies the issuance of any license
referred to it, the municipal clerk shall promptly notify the applicant of the
municipal governing body’s decision.
(c)
If said applicant desires to appear before the municipal governing body
to show cause why said license should be issued, he shall file a written notice
with the municipal clerk, said notice to be filed within two (2) weeks from the
date of mailing by the municipal clerk of the notice of the denial of such
license by the municipal governing body.
(d)
Upon receipt of said notice the municipal clerk shall promptly schedule
a hearing, to be held within fifteen (15) days from the date of receipt of such
notice, before the municipal governing body and shall give the notice of the
date, time and place of said hearing to the applicant.
(e)
The applicant shall be given the opportunity to appear personally, or
through his counsel, or both, and the municipal governing body shall proceed to
hear any evidence which may be presented both for and against the issuance of
said license.
(f)
If the municipal governing body determines from the evidence presented
that in order to either provide for the safety, preserve the health, promote
the prosperity, or improve the morals, order, comfort and convenience of the
inhabitants of the municipality said license should not be granted, it shall
enter an order to that effect; otherwise, said license shall be ordered issued
upon payment of any required license fees.
SECTION 19. Procedure for revocation or suspension of license.
(a)
Any lawful license issued to any person to conduct any business shall
be subject to revocation by the municipal governing body for the violation by
the licensee, his agent, servant, or employee of any provision of this
ordinance or of any ordinance of the municipality, or any statute of the State
of Alabama relating to the business for which such license is issued; and shall
also be subject to revocation by the municipal governing body if the licensee,
his agent, servant, or employee under color of such license violates or aids or
abets in violating or knowingly permits or suffers to be violated any penal
ordinance of the municipality or any
criminal law of the State of Alabama; and shall also be subject to revocation
by the municipal governing body if,
in connection with the issuance or renewal of any license, the licensee or his
agent filed or caused to be filed any application, affidavit, statement, certificate,
book, or any other data containing any false, deceptive or other misleading
information or omission of material fact.
(b)
The conditions hereinabove set forth as grounds for the revocation of a
license shall also constitute grounds for refusing to renew a license.
(c)
The municipal governing body shall set a time for hearing on the matter
of revoking or refusing to renew a license; and a notice of such hearing shall
be given to the licensee, or the applicant for renewal, as the case may be, at
least ten (10) days before the day set for said hearing. At the hearing the
municipal governing body shall hear all evidence offered by any party and all
evidence that may be presented bearing upon the question of revocation or the
refusal of renewal, as the case may be.
SECTION 20. Refunds
on Overpayments
(a)
Any taxpayer may file a petition for refund with the municipality for
any overpayment of business license tax erroneously paid to the municipality.
If a final assessment for the tax has been entered by the municipality, a
petition for refund of all or a portion of the tax may be filed only if the
final assessment has been paid in full prior to or simultaneously with the
filing of the petition for refund.
(b)
A petition for refund shall be filed with the municipality within two
years from the date of payment of the business license tax, which is the
subject of the petition.
(c)
The municipality shall either grant or deny a petition for refund
within six months from the date the petition is filed, unless the period is
extended by written agreement of the taxpayer and the municipality. The
taxpayer shall be notified of the municipality’s decision concerning the
petition for refund by first class
(d)
If the petition is granted or the municipality or a court otherwise
determines that a refund is due, the overpayment shall be promptly refunded to
the taxpayer by the municipality, together with interest to the extent provided
for in Section 11-51-92. If the municipality determines that a refund is due,
the amount of overpayment plus any interest due thereon may first be credited
by the municipality against any outstanding tax liabilities due and owing by
the taxpayer to the municipality, and the balance of any overpayment shall be
promptly refunded to the taxpayer. If any refund or part thereof is credited to
any other tax by the municipality, the taxpayer shall be provided with a
written detailed statement showing the amount of overpayment, the amount
credited for payment to other taxes, and the resulting amount of the refund.
(e)
A taxpayer may appeal from the denial in whole or in part of a petition
for refund by filing a notice of appeal with the clerk of the circuit court of
the county in which the municipality denying the petition for refund is
located. Said notice of appeal must be filed within two years from the date the
petition was denied. The circuit court shall hear the appeal according to its
own rules and procedures and shall determine the correct amount of refund due,
if any. If an appeal is not filed with the appropriate circuit court within two
years of the date the petition was denied, then the appeal shall be dismissed
for lack of jurisdiction.
SECTION 21. Delivery
License.
(a)
In lieu of any other type of license, a taxpayer may at its option
purchase for $ 100.00 plus the issuance fee, a delivery license for the
privilege of delivering its merchandise in the municipality if the taxpayer
meets all of the following criteria:
(1)
Other than deliveries, the taxpayer has no other physical presence
within the municipality or its police jurisdiction;
(2)
The taxpayer conducts no other business in the municipality other than
delivering merchandise and performing the requisite set-up and installation of
said merchandise;
(3)
Such delivery and set-up and installation is performed by the
taxpayer’s employees or agents, concerns the taxpayer’s own merchandise in that
municipality, and is done by means of delivery vehicles owned, leased, or
contracted by the taxpayer;
(4)
The gross receipts derived from the sale and any requisite set-up or
installation of all merchandise so delivered shall not exceed seventy-five
thousand dollars ($75,000) during the license year;
(5)
Any set-up or installation shall relate only to (i) that required by
the contract between the taxpayer and the customer or as may be required by
state or local law, and (ii) the merchandise so delivered;
(6)
If at any time during the current license year the taxpayer fails to
meet any of the above stated criteria, then within 10 days after any of said
criteria have been violated or exceeded, the taxpayer shall purchase all
appropriate business licenses from the municipality for the entire license year
and without regard to this section.
(b)
Mere delivery of the taxpayer’s merchandise by common carrier shall not
allow the municipality to assess a business license tax against the taxpayer,
but the gross receipts derived from any sale and delivery accomplished by means
of a common carrier shall be counted against the seventy-five thousand
($75,000) limitation described in the preceding section if the taxpayer also during
the same license year sells and delivers into the taxing jurisdiction using a
delivery vehicle other than a common carrier.
(c)
A common carrier, contract carrier, or similar delivery service making
deliveries on behalf of others shall not be entitled to purchase a delivery
license.
(d)
The delivery license shall be calculated in arrears, based on the
related gross receipts during the preceding license year.
(e)
The purchase of a delivery license shall not, in and of itself,
establish nexus between the taxpayer and the municipality for purposes of the
taxes levied by or under the authority of Title 40 of the Code of Alabama or
other provisions of law, nor does the purchase of a delivery license
conclusively determine that nexus does not exist between the taxpayer and the
municipality.
SECTION 22. License classifications.
|
Sch Num |
Sch Cde |
Description |
AMOUNT/SCHEDULE |
|
111998 |
00 |
Farming - agriculture, crop
production, nursery, fruit, growers |
F |
|
112990 |
00 |
Animals - dairy, cattle,
ranching, sheep, raising chickens, poultry |
F |
|
113110 |
00 |
Forestry - logging,
forestry, timber track operations, timber mgt |
D |
|
114119 |
00 |
Fishing & hunting -
hunting and trapping, finfish, shellfish, supplies |
D |
|
115114 |
00 |
Agriculture support -
cotton gins, farm mgt, post-harvest activities |
F |
|
211111 |
00 |
Oil and gas extraction -
natural gas liquid extraction, crude extraction |