Chapter 3.30
LEASEHOLD TAX
Sections:
3.30.010 Imposition of tax.
3.30.020 Rate of tax.
3.30.030 Administration and collection of tax.
3.30.040 Exemptions.
3.30.050 Inspection of records.
3.30.060 Authorization to contract with state.
3.30.070 Penalties.
3.30.080 Monetary penalty for late tax payments.
3.30.300 Severability.
3.30.010 Imposition of tax.
There is levied and shall be collected a leasehold tax on and after January 1, 1976, upon the act or privilege of occupying or using publicly owned real or personal property within the city of Edmonds through a “leasehold interest” as defined by Section 2, Chapter 61, Laws of 1975 – 1976, Second Extraordinary Session, Laws of the State of Washington (hereinafter called the “State Act”). The tax shall be paid, collected and remitted to the Department of Revenue of the state of Washington at the time and in the manner prescribed by Section 5 of the State Act. [Ord. 1833 § 2, 1976].
3.30.020 Rate of tax.
The rate of tax imposed by ECC 3.30.010 shall be four percent of the taxable rent as defined by Section 2 of the State Act; provided, however, that the following credits shall be allowed in determining the tax payable:
A. With respect to a leasehold interest arising out of any lease or agreement, the terms of which were binding on the lessee prior to July 1, 1970, where such lease or agreement has not been renegotiated as defined by Section 2 of the State Act since that date, and excluding from such credit any lease or agreement including options to renew which extends beyond January 1, 1985, as follows:
1. With respect to taxes due in the calendar year 1976, a credit equal to 80 percent of the tax produced by the above rate,
2. With respect to taxes due in the calendar year 1977, a credit equal to 60 percent of the tax produced by the above rate,
3. With respect to taxes due in the calendar year 1978, a credit equal to 40 percent of the tax produced by the above rate,
4. With respect to taxes due in the calendar year 1979, a credit equal to 20 percent of the tax produced by the above rate;
B. With respect to a product lease as defined by Section 2 of the State Act, a credit of 33 percent of the tax produced by the above rate. [Ord. 1833 § 3, 1976].
3.30.030 Administration and collection of tax.
The administration and collection of the tax imposed by this chapter shall be in accordance with the provision of the State Act. [Ord. 1833 § 4, 1976].
3.30.040 Exemptions.
Leasehold interests exempted by Section 13 of the State Act as it now exists or may hereafter be amended shall be exempt from the tax imposed pursuant to ECC 3.30.010. [Ord. 1833 § 5, 1976].
3.30.050 Inspection of records.
The city of Edmonds hereby consents to the inspection of such records as are necessary to qualify the city of Edmonds for inspection of records of the Department of Revenue pursuant to RCW 82.32.230. [Ord. 1833 § 6, 1976].
3.30.060 Authorization to contract with state.
The finance director is authorized to execute a contract with the Department of Revenue of the state of Washington for the administration and collection of the tax imposed by this chapter; provided, however, that the city attorney shall first approve the form and content of said contract. [Ord. 1833 § 7, 1976].
3.30.070 Penalties.
Failure to pay any tax due hereunder shall constitute a misdemeanor and a person or persons convicted of such a crime shall be subject to a fine of up to $250.00 for each separate offense. [Ord. 1833 § 8, 1976].
3.30.080 Monetary penalty for late tax payments.
All taxes not paid when due pursuant to the terms of this chapter and the State Act shall be subject to a penalty assessment in addition to the tax itself of an amount equal to 20 percent of the total tax delinquency. [Ord. 1833 § 9, 1976].
3.30.300 Severability.
If any provision of this chapter or its application to any person or circumstance is held invalid, the remainder of the chapter or the application of the provision to other persons or circumstances shall be deemed not to be affected. [Ord. 1833 § 10, 1976].