Chapter 3.30
GAMBLING TAX
Sections:
3.30.010 Definitions.
3.30.020 Imposed.
3.30.030 Exemptions.
3.30.040 Administration.
3.30.050 Charitable, nonprofit organization – Declaration of intent to conduct gambling activity.
3.30.060 Due date – Delinquency.
3.30.070 Financial records.
3.30.080 Unlawful acts.
3.30.090 Violation – Penalty.
3.30.010 Definitions.
For the purposes of this chapter, the terms used herein shall have the same meanings as defined in Chapter 9.46 RCW, as the same now exists or may hereafter be amended. [Ord. 41 § 7, 1995]
3.30.020 Imposed.
Pursuant to RCW 9.46.110, as the same now exists or may hereafter be amended, there is levied upon all persons, associations or organizations a tax on all gambling activities occurring within the city as permitted by state law at the following rates:
A. Bingo or raffles at a rate of five percent of the gross revenues received therefrom, less the amount paid for as prizes.
B. Amusement games at a rate of two percent of the sum of the gross revenues received therefrom, less the amount paid for as prizes, and which rate will generate an amount sufficient to pay the actual costs of enforcement of the provisions of this chapter and Chapter 9.46 RCW.
C. Punchboards or pull-tabs at a rate of five percent of gross receipts; provided, however, that taxation of punchboards or pull-tabs for bona fide charitable or nonprofit organizations shall be at a rate of 10 percent of gross receipts from operation of the games less the amount awarded as cash or merchandise prizes.
D. All social card game rooms licensed under the provisions of RCW 9.46.030(1) and (4) at a rate equal to 10 percent of the annual gross receipts exceeding $10,000. [Ord. 437 §§ 1, 2, 2006; Ord. 400 § 1, 2005; Ord. 375 § 2, 2005; Ord. 226 § 1, 2000; Ord. 133 § 1, 1997; Ord. 58 § 1, 1995; Ord. 41 § 1, 1995]
3.30.030 Exemptions.
No tax shall be imposed pursuant to this chapter on bingo or amusement games or social card game rooms when such gambling activities, or any combination thereof, are conducted by a bona fide charitable or nonprofit organization as defined in RCW 9.46.020, as the same now exists or may hereafter be amended, which organization has no paid operating or management personnel for the gambling activities and has gross income from bingo or amusement games, or any combination thereof, not exceeding $5,000 per year, less the amount paid for as prizes. No tax shall be imposed on the first $10,000 of net proceeds from raffles conducted by bona fide charitable organizations. [Ord. 58 § 2, 1995; Ord. 41 § 2, 1995]
3.30.040 Administration.
The administration and collection of the tax imposed by SMC 3.30.010 shall be by the city clerk and pursuant to the rules and regulations of the Washington State Gambling Commission. The city clerk is instructed and authorized to adopt appropriate reporting requirements, to ensure the effective administration of license holders exempt from the payment of the tax and to make such further rules and regulations for the purpose of carrying out the provisions of this chapter. [Ord. 41 § 3, 1995]
3.30.050 Charitable, nonprofit organization – Declaration of intent to conduct gambling activity.
For the purpose of identifying the persons, associations and organizations that shall be subject to the tax imposed by SMC 3.30.010, any bona fide charitable or nonprofit corporation intending to conduct or operate any bingo game, raffle or amusement game which requires licensing as provided in and authorized by Chapter 9.46 RCW, as the same now exists or may be hereafter amended, shall, prior to commencement of any such activity, file with the city clerk a sworn declaration of intent to conduct or operate such activity, together with a copy of the license issued in accordance with Chapter 9.46 RCW, as the same now exists or may be hereafter amended, as amended. Thereafter, for any period covered by such state license or any renewal thereof, any such licensed bona fide charitable or nonprofit corporation shall, on or before the fifteenth day of the month following the end of the quarterly period in which the tax accrued, file with the city clerk a sworn statement, on a form to be provided and prescribed by the city clerk, for the purpose of ascertaining the tax due for the preceding quarterly period. [Ord. 41 § 4, 1995]
3.30.060 Due date – Delinquency.
A. The tax imposed by SMC 3.30.020 shall be due and payable in quarterly installments, and remittance therefor shall accompany such return and be made on or before the thirtieth day of the month next succeeding the quarterly period in which the tax accrued.
B. For each payment due, if such payment is not made by the due date thereof, there shall be added a penalty as follows:
1. If paid on or before the thirtieth day of the second month next succeeding the quarterly period in which the tax accrued, 10 percent with a minimum penalty of $5.00;
2. If paid on or before the sixtieth day of the second month next succeeding the quarterly period in which the tax accrued, 15 percent with a minimum penalty of $10.00;
3. Failure to make payment by the sixtieth day of the second month succeeding the quarterly period in which the tax accrued shall result in a penalty of 20 percent with a minimum penalty of $15.00. [Ord. 541 § 1, 2009; Ord. 41 § 5, 1995]
3.30.070 Financial records.
It shall be the responsibility of all officers, directors and managers of any corporation conducting any gambling activities subject to taxation under this chapter to make available at all reasonable times such financial records as the city clerk may require to determine full compliance with this chapter. [Ord. 41 § 6, 1995]
3.30.080 Unlawful acts.
It is unlawful for any person liable for the tax imposed by this chapter to fail to pay the tax when due or for any person to make any false or fraudulent return or any false statement in connection with the return. [Ord. 41 § 8, 1995]
3.30.090 Violation – Penalty.
Any person violating any provision of this chapter shall be guilty of a misdemeanor and upon conviction thereof punished pursuant to state law or city ordinance. [Ord. 41 § 9, 1995]