HomeMy WebLinkAboutO-25-09 Local Business Tax ReceiptORDINANCE NO.O-25-09
AN ORDINANCE OF THE CITY OF SEBASTIAN, FLORIDA,
AMENDING THE CODE OF ORDINANCES OF THE CITY OF
SEBASTIAN BY AMENDING CHAPTER 30 — BUSINESSES,
AMENDING THE TITLE OF ARTICLE H TO READ "LOCAL
BUSINESS TAX RECEIPTS"; AMENDING SECTION 30-30 TO
DESIGNATE ADMINISTRATIVE AUTHORITY TO THE
DIRECTOR OF THE BUILDING DEPARTMENT; AMENDING
SECTION 30-35 TO DESIGNATE ADMINISTRATIVE
AUTHORITY TO THE DIRECTOR OF THE BUILDING
DEPARTMENT; AMENDING SECTION 30-37 - LIST OF
EXEMPTIONS IN ORDER TO COMPLY WITH FS §205.055 AND
205.162 AS RELATED TO VETERANS, -AND QUALIFIED LOW
INCOME APPLICANTS, DISABLED PERSONS, WIDOWS WITH
MINOR DEPENDENTS AND PERSONS 65 YEARS OF AGE OR
OLDER; AMENDING SECTION 3040 TO DESIGNATE
ADMINISTRATIVE AUTHORITY TO THE DIRECTOR OF
BUILDING DEPARTMENT; PROVIDING FOR CODIFICATION;
PROVIDING FOR CONFLICTS; PROVIDING FOR
SEVERABILITY; PROVIDING FOR SCRIVENER'S ERRORS;
AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, Florida Statutes Chapter 205, as amended from time to time, entitled "Local
Business Taxes," sets forth the applicable regulations relating to the issuance of local business
taxes and fees; and
WHEREAS, Florida Statute §205.055 and &205.162 sets forth certain exemptions from
business taxes and fees under Florida law; and
WHEREAS, the City of Sebastian Code of Ordinances, Article II Licensing, Chapter 30.
Title of Article II -Licensing currently sets forth the exemptions and business tax receipts; and
WHEREAS, the City Council of the City of Sebastian hereby finds that it is in the public
interest to modify and update certain provisions of the code relating to business tax receipts; and
WHEREAS, the City Council finds the adoption of this Ordinance is in the public interest
by serving to promote and protect the public health, safety, and welfare and otherwise serves a
municipal purpose by: promoting benefits through exemptions to veterans and qualified low-
income applicants.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, AS FOLLOWS:
Section 1. Adoption of Recitals/Advertising. The above recitals are hereby adopted as true,
correct and found to be the legislative intent of the City Council of the City of Sebastian. Further, all
advertising and public notice requirements have been timely made.
Section 2. Textual Amendment. The City Code of Ordinances, City of Sebastian,
Florida, is hereby amended as follows:
AMENDMENT 1:
Chapter 30 BUSINESSES'
ARTICLE L IN GENERAL
ARTICLE II. LICEAMN62LOCAL BUSINESS TAX RECEIPT
Sec. 30-27. Defmitions.
The following words, terms and phrases, when used in this article, shall have the meanings
ascribed to them in this section, except where the context clearly indicates a different meaning:
Applicant means any person desiring to obtain a license under the provisions of this article.
Business means any activity, enterprise, profession or occupation performed or engaged in by
any person for gain, benefit, advantage or livelihood, and shall include all such activities or
enterprises whether performed in one or more establishments by one or more organizational units,
including departments of an establishment operated through leasing arrangements. For purposes
of this article, a business not -for -profit shall be included within the terms of this definition unless
otherwise exempted.
Chief executive officer means the city manager and/or his designee.
Classification means the business a person has been designated to fall within under the
schedule provided for in this article.
Contractor means any person:
(1) Accepting or offering to accept orders or contracts for doing any work on or in any
building or structure requiring the use of building materials;
(2) Accepting or offering to accept orders or contracts to do any paving or curbing on
sidewalks or streets, public or private property, requiring the use of appropriate materials
or any compositions;
(3) Accepting or offering to accept orders or contracts to excavate earth, rock or material for
foundations or any purpose;
(4) Accepting or offering to accept orders or contracts for building, remodeling, repairing,
wrecking, razing or demolishing any structure;
(5) Accepting or offering to accept orders or contracts for moving any building; or
(6) Accepting or offering to accept orders or contracts for the installation, maintenance or
repair of signs, air conditioning apparatus or equipment; whether such work is done or
offered to be done by day labor, general contractor or subcontractor. Every person
engaged in the business of accepting or offering to accept orders for contracts for doing
any work on or in a building or premises, involving erecting, installing, altering,
repairing, servicing or maintaining electrical lines, shall be deemed to be an electrical
contractor. Every person engaging in the business of plumber or steamfitter shall be
deemed to be a contractor. Every person engaged in the business of creating a building
for the purpose of selling or renting such building, and making no contract with a duly
licensed contractor for the erection of such building, whether or not such person
contracts with one or more duly licensed contractors for one or more portions but does
not contract with any one person for all the work of erecting any one of such buildings,
shall be deemed to be a contractor if he shall build more than any one house in any one
year.
Farmer means those described in F.S. § 205.064.
Local business tax means those charges established by the city council contained within the
schedule of this article, as such charges may be amended from time to time by ordinance, and
promulgated pursuant to the authority conferred upon the city by F.S. Ch. 205, or any successor
thereto, for the privilege of doing business in the city.
Professional shall be any person whose occupation requires special and advanced education
or skill, such as attorneys, physicians and dentists; and any person who offers services regulated
by state or federal government who is required to demonstrate some level of competency as a
condition to offering personal services. A person "offers services" for purposes herein if that
person provides service directly to the customer client of the business in which that person is
employed; if the person's labor is intended to directly benefit such customers or clients; or if that
person is a principle in the business.
Receipt means the document that is issued by the local governing authority which bear the
words "Local Business Tax Receipt" and evidences that the person in whose name the document
is issued has complied with the provisions of this article relating to the business tax.
Temporary means to operate a business for a period of five days or less.
Transitory means to be passing through or operating for a single purpose and not operating
on a temporary basis.
Sec. 30-28. Persons subject to local business tax.
A tax for the privilege of engaging in or managing any business within the city is hereby
levied on:
(1) Any person who maintains a permanent business location or branch office within the
city for the privilege of engaging in or managing any business within its jurisdiction;
(2) Any person who maintains a permanent business location or branch office within the
city for the privilege of engaging in or managing any profession or occupation within its
jurisdiction; and
(3) Any person who does not qualify under the provisions of subsections (1) and (2) of this
section and who transacts any business or engages in any occupation or profession in
interstate commerce where such tax is not prohibited in Section 8 of Article I of the
United States Constitution.
Sec. 30-29. Required.
No person shall engage in any activities for which a local business tax receipt is required by
this article, unless such person has a valid local business tax receipt issued by the city. No person
shall knowingly make a false statement in the local business tax receipt application as to conditions
or facts upon which the fee is based.
AMENDMENT 2:
Sec. 30-30. Disagreement as to classification; appeal.
If there is a disagreement between the applicant and the city on the question of proper
classification for any person or business taxed or to be taxed, the director of the building
department shall decide the proper classification with the right of the
applicant to appeal the decision to the city manager, whose decision upon the point shall be final.
Sec. 30-31. Term of local business tax receipt; when tax due; delinquencies.
(a) All local business tax receipts shall be sold by the city beginning July 1 of each year, are due
and payable on or before September 30 of each year, and expire on September 30 of the
succeeding year. If September 30 falls on a weekend or holiday, the tax is due and payable
on or before the first working day following September 30. Local business tax receipts that
are not renewed when due and payable are delinquent and subject to a delinquency penalty
of ten percent for the month of October, plus an additional five percent penalty for each
subsequent month of delinquency until paid. However, the total delinquency penalty may not
exceed 25 percent of the tax for the delinquent establishment.
(b) Any person who engages in or manages any business, occupation, or profession without first
obtaining a local business tax receipt, if required, is subject to a penalty of 25 percent of the
tax due, in addition to any other penalty provided by law or ordinance.
(c) Any person who engages in any business, occupation, or profession covered by this chapter,
who does not pay the required local business tax within 150 days after the initial notice of tax
due, and who does not obtain the required local business tax receipt is subject to civil actions
and penalties, including court costs, reasonable attorneys' fees, additional administrative costs
incurred as a result of collection efforts, and a penalty of up to $250.00.
(d) Any person who knowingly makes a false statement in the local business tax receipt
application as to conditions or facts upon which the tax is based is subject to civil actions and
penalties, including court costs, reasonable attorneys' fees, additional administrative costs
incurred as a result of collections efforts, and a penalty of up to $250.00.
(e) Any person who engages in or manages any business, occupation or profession covered in
this chapter after revocation of the local business tax receipt for such business, occupation, or
profession, is subject to civil actions and penalties, including court costs, reasonable attorneys`
fees, additional administrative costs incurred as a result of collection efforts, and a penalty of
up to $250.00.
Sec. 30-32. Separate local business tax receipt for each business; falling into more than one
classification.
A separate local business tax receipt shall be obtained for each place of business conducted,
operated, maintained or carried on by every person engaged in any business for which a local
business tax receipt is required by the ordinances of the city, even though such separate business
is conducted within or upon the same premises.
When any occupation, business or profession shall fall into more than one of the
classifications contained in the schedule set forth in section 30-51, such occupation, business or
profession shall comply with the requirements of each classification.
Sec. 30-33. Change of location; transfer of local business tax receipt to new owner; duplicate
local business tax receipts; fees.
Upon presentation of the original local business tax receipt, any tax receipt may be transferred
from one location in the city to another location within the city upon completion of an application
and payment of a transfer fee of ten percent of the annual tax, but not less than $3.00.
A local business tax receipt may be transferred to a new owner when there is a bona fide sale
of a business upon payment of a transfer fee of ten percent of the annual tax, but not less than
$3.00, and presentation of evidence of the sale and the original local business tax receipt.
Duplicate receipts shall be issued upon written request and upon payment of a duplicate fee
of ten percent of the annual license tax, but not less than $3.00.
Sec. 30-34. Half -year tax.
The tax for new licenses issued from April 1, through September 30, shall be one-half the
regular annual tax.
AMENDMENT3:
Sec. 30-35. Applications.
(a) All applicants for local business tax receipts shall submit their applications to the director of
gfe tb the buildine department not less than two weeks prior to the
commencement of the proposed activity or function.
(b) Any person applying for a local business tax receipt to practice any profession regulated by
the department of business and professional regulation, or any board or commission thereof,
must provide proof of an active state certificate, registration, or license, or issuance of the
same.
(c) Any person applying for a local business tax receipt or a transfer of an existing local business
tax receipt must present a copy of the applicant's current fictitious name registration issued,
by the state division of corporations or a written statement signed by the applicant setting
forth the reason that the applicant need not comply with the Fictitious Name Act.
(d) Any person applying for a local business tax receipt to operate a pharmacy must exhibit a
current permit issued by the board of pharmacy. A local business tax receipt is not required
in order to practice the profession of pharmacy.
(e) Any person applying for a local business tax receipt who will be operating a business subject
to state and/or federal regulations shall furnish proof of licenses and/or permits and/or letter(s)
of exemption to operate same.
Sec. 30-36. Evidence of engaging in business.
The advertisement of any business by sign, newspaper, magazine, telephone listing, or other
public notice shall be conclusive evidence of the engaging in and carrying on of the business in
the city so advertised and shall be required to obtain a local business tax receipt.
AMENDMENT 4:
Sec. 30-37. Exemptions.
(a) Any person entitled to exemption under the laws in accordance with Florida Statute
Chanter 205 relatine to Business Taxesef the State of❑i,._:a^ , as amended from time to
tinj tshall be exempt from payment of the local business tax to the city. If a tax exemption
provision applies, a local business tax receipt must still be applied for and approved.
(b) The payment of a local business tax shall not be required for the following:
(1) i'-A veteran of the United States Armed Forces who has been honorablv
discharged upon separation from service, or the spouse or un-remarried surviving
spouse of such a veteran. "^tern-^^ mist be at least ten n ent disabled to , alif., fe
MYti an r'^ e &&W.. a puuwt 1c mti:led to an OXeMptiOn
of 99
(2) The spouse of an active-dutv military servicemember who has relocated to the city
pursuant to a Dermanent change of station order.
(3) A person receiving assistance as defined in FS 409.2554.
(4) A Derson whose household income is below 130 percent of the federal Dovertv level
based on current vear's federal novertv guidelines.
(c) A Derson must complete and sign. under oenalty of neriurv. a Reauest for Fee Exemotion
Drovided by the Building Department and Drovide written documentation in su000rt of his
or her reauest for an exenintion under subsection (1-4).
(c4(d) If a person who is exempt under subsection (1-4) owns a majority interest in a
business with fewer than 100 emDlovees, the business is exempt. Such Derson must
complete and sign, under Denalty of Deriurv, a Reauest for Fee Exemotion provided by the
Building Department and provide written documentation in sun_ Dort of his or her reauest
for exemption for the business under this subsection.
(e) All disabled oersons ohvsically incapable of manual labor, widows with minor
dependents and persons 65 vears, of age or older. with no more than one emnlovee or helper,
and who use their own capital onlv not in excess of $1.000. The exemption orovided,bv
this section —shall be allowed onlv upon the certificate from a phvsician stating the nature
and extent of the disabilitv. In the case of a widow with minor dependents, or a person over
65 vears of age, proof of the right to exenintion shall be provided.
ff) Nothing in this article shall be construed to require any farmer to procure a local business
tax receipt to sell farm, aqua cultural, grove, horticultural, floricultural, tropical
piscultural or tropical fish farm products, or products manufactured therefrom, except
intoxicating liquors, wine or beer, within the city, if such products were grown or
produced by such farmer within the state.
(fg) No local business tax receipt shall be required of any charitable, religious, fraternal,
youth, civic, service or other such organization when the proceeds are used exclusively
for the organization.
(gh) Any person engaging in or managing a business, profession or occupation regulated by
the department of business and professional regulation who has a permanent business
location or branch office outside the city, who has paid a local business tax for the current
year to the county or municipality where such permanent business location or branch
offices maintained, and who performs work or services in the city on only a temporary
or transitory basis shall be exempt from the provisions of the article.
Sec. 30-38. Renewal notices; nonreceipt of notice no defense.
The director of growth management shall send out annual renewal notices to all holders of a
local business tax receipt no later than July 1. Failure to receive such notice will not be considered
a justifiable defense for nonpayment of any tax or late fee.
Sec. 30-39. Duty of officers, agents of corporation; individual liability.
It shall be the duty of all officers and agents of any corporation to ensure that such corporation
complies with the provisions of this article and all officers of any corporation required by this
article to pay the local business tax shall be personally subject to the penalties imposed by this
article where any corporation fails to pay the tax and obtain a tax receipt required by this article.
It shall be the responsibility of any real estate agency, brokerage house, or other firm of any
description to ensure that each agent, salesperson or broker affiliated with such firm complies with
timely payment of the individual tax as specified in this article. Failure to do so will subject the
firm to fines as may be imposed by this Code.
AMENDMENT5:
Sec. 3040. Duty of director of growth management the building department to keep records.
The director of grewth managementthe building department shall keep a complete record of
all local business tax receipts issued, showing the nature of the local business tax receipt, the date
of issuance, the date of expiration and to whom it was issued.
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
Section 4. Conflicts. All Ordinances or parts of Ordinances in conflict herewith are
hereby repealed to the extent of such conflict.
Section 5. Codification. The sections of the Ordinance shall be codified within part
of the City Land Development Code and may be renumbered or re -lettered to accomplish such,
and the word "ordinance" may be changed to "section," "division," or any other appropriate
word.
Section 6. Severability. In the event that a court of competent jurisdiction shall
determine that any part of this Ordinance is invalid, the remainder of the Ordinance shall not be
affected and it shall be presumed that the City Council of the City of Sebastian did not intend
to enact such invalid provision. It shall further be assumed that the Sebastian City Council
would have enacted the remainder of this Ordinance without said invalid provision, thereby
causing said remainder to remain in full force and effect.
Section 7. Scrivener's Errors. Sections of this Ordinance may be renumbered or re -
lettered and corrections of typographical errors which do not affect the intent may be authorized
by the City Manager, or the City Manager's designee, without need of public hearing, by filing a
corrected or re -codified copy of same with the City Clerk.
Section 8. Effective Date. This Ordinance shall become effective immediately upon
its adoption by the City Council.
The foregoing Ordinance was moved for adoption by Councilmember
Nunn . The motion was seconded by Councilmember .TnnP.q
and, upon being put to a vote, the vote was as follows:
Mayor Bob McPartlan
aye
Vice -Mayor Fred Jones
aye
Councilmember Kelly Dixon
aye
Councilmember Ed Dodd
aye
Councilmember Christopher Nunn
_,�ye
The Mayor thereupon declared this Ordinance duly passed and adopted this 28th day of May,
2025.
CITY OF SEBASTIAN, FLORIDA
BOB MCPARTLAN, MAYQR:~
- J
ATTEST:
ANETTE WILLIAMS, MMC
ITY CLERK
Approved as to form and legality for
reliance b the City of ebastian only:
ER COCKNOFT, ESQ., BCS
C ATTORNEY