Source: https://www.codepublishing.com/WA/Burien/html/Burien03/Burien0306.html
Timestamp: 2019-08-22 18:19:57
Document Index: 27146306

Matched Legal Cases: ['§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4', '§ 2', '§ 4', '§ 4', '§ 2', '§ 4', '§ 4', '§ 4', '§ 4', '§ 4']

Chapter 3.06 ADMINISTRATIVE PROVISIONS FOR COLLECTION OF CITY OF BURIEN TAXES
ADMINISTRATIVE PROVISIONS FOR COLLECTION OF CITY OF BURIEN TAXES
3.06.010 Purpose.
3.06.015 Application of chapter stated.
3.06.020 Definitions.
3.06.021 Definitions – References to Chapter 82.32 RCW.
3.06.025 Registration/license requirements.
3.06.030 Registration/license certificates.
3.06.040 When due and payable – Reporting periods – Monthly, quarterly, and annual returns – Threshold provisions or relief from filing requirements – Computing time periods – Failure to file returns.
3.06.050 Payment methods – Mailing returns or remittances – Time extension – Deposits – Recording payments – Payment must accompany return – NSF checks.
3.06.060 Records to be preserved – Examination – Estoppel to question assessment.
3.06.070 Accounting methods.
3.06.080 Public work contracts – Payment of fee and tax before final payment for work.
3.06.090 Underpayment of tax, interest, or penalty – Interest.
3.06.095 Time in which assessment may be made.
3.06.100 Overpayment of tax, penalty, or interest – Credit or refund – Interest rate – Statute of limitations.
3.06.110 Late payment – Disregard of written instructions – Evasion – Penalties.
3.06.120 Cancellation of penalties.
3.06.130 Taxpayer quitting business – Liability of successor.
3.06.140 Administrative appeal.
3.06.150 Judicial review of administrative appeal decision.
3.06.160 Director to make rules.
3.06.170 Ancillary allocation authority of director.
3.06.180 Mailing of notices.
3.06.190 Tax declared additional.
3.06.200 Public disclosure – Confidentiality – Information sharing.
3.06.210 Tax constitutes debt.
3.06.220 Unlawful actions – Violation – Penalties.
3.06.230 Suspension or revocation of business license.
3.06.240 Closing agreement provisions.
3.06.250 Charge-off of uncollectible taxes.
3.06.260 Severability.
The purpose of this chapter is to provide uniform administrative provisions for taxes directly administered by the city. [Ord. 482 § 4, 2007]
The provisions of this chapter shall apply with respect to the taxes imposed under Chapters 3.11 and 3.12 BMC and under other titles, chapters, and sections in such manner and to such extent as indicated in each such title, chapter or section. [Ord. 482 § 4, 2007]
For purposes of this chapter, the definitions contained in Chapters 3.11 and 3.12 BMC shall apply equally to the provisions of this chapter unless the term is defined otherwise in this chapter. In addition, the following definitions will apply:
(a) A one-month period beginning the first day of each calendar month (monthly); or
(b) A three-month period beginning the first day of January, April, July or October of each year (quarterly); or
(c) A 12-month period beginning the first day of January of each year (annual).
“Tax year” or “taxable year” means the calendar year. [Ord. 482 § 4, 2007]
Where provisions of Chapter 82.32 RCW are incorporated in BMC 3.06.090, “department” as used in the RCW shall refer to the “director” as defined in the RCW and “warrant” as used in the RCW shall mean “citation or criminal complaint.” [Ord. 482 § 4, 2007]
Business license requirements are set forth in Chapter 5.05 BMC. [Ord. 482 § 4, 2007]
(1) Other than any annual license fee or registration fee assessed under this chapter, the tax imposed by this chapter shall be due and payable in quarterly installments. At the director’s discretion, businesses may be assigned to a monthly or annual reporting period depending on the tax amount owing or type of tax. Tax payments are due on or before the last day of the next month following the end of the assigned reporting period covered by the return.
(4) For purposes of the tax imposed by Chapter 3.11 BMC, any person whose value of products, gross proceeds of sales, or gross income of the business within the city subject to tax after all allowable deductions is equal to or less than $20,000 for those taxpayers filing annual returns or $5,000 for those filing quarterly returns shall file a return, declare no tax due on their return, and submit the return to the director. The gross receipts and deduction amounts shall be entered on the tax return even though no tax may be due.
(6) Except as otherwise specifically provided by any other provision of this chapter, in computing any period of days prescribed by this chapter the day of the act or event from which the designated period of time runs shall not be included. The last day of the period shall be included unless it is a Saturday, Sunday, or city or federal legal holiday, in which case the last day of such period shall be the next succeeding day which is neither a Saturday, Sunday, or city or federal legal holiday.
(7) If any taxpayer fails, neglects or refuses to make a return as and when required in this chapter, the director is authorized to determine the amount of the tax or fees payable by obtaining facts and information upon which to base the director’s estimate of the tax or fees due. Such assessment shall be deemed prima facie correct and shall be the amount of tax owed to the city by the taxpayer. The director shall notify the taxpayer by mail of the amount of tax so determined, together with any penalty, interest, and fees due; the total of such amounts shall thereupon become immediately due and payable. [Ord. 482 § 4, 2007]
(1) Taxes shall be paid to the director in United States currency by bank draft, certified check, cashier’s check, personal check, money order, cash, or by wire transfer or electronic payment if such wire transfer or electronic payment is authorized by the director. If payment so received is not paid by the bank on which it is drawn, the taxpayer by whom such payment is tendered shall remain liable for payment of the tax and for all legal penalties, the same as if such payment had not been tendered. Acceptance of any sum by the director shall not discharge the tax or fee due unless the amount paid is the full amount due.
(2) A return or remittance that is transmitted to the city by United States mail shall be deemed filed or received on the date shown by the cancellation mark stamped by the post office upon the envelope containing it. The director may allow electronic filing of returns or remittances from any taxpayer. A return or remittance which is transmitted to the city electronically shall be deemed filed or received according to procedures set forth by the director.
(6) Any payment made that is returned for lack of sufficient funds or for any other reason will not be considered received until payment by certified check, money order, or cash of the original amount due, plus a nonsufficient funds (NSF) charge of $20.00 is received by the director. Any license issued upon payment with a NSF check will be considered void, and shall be returned to the director. No license shall be reissued until payment (including the $20.00 NSF fee) is received.
(7) The director is authorized, but not required, to mail tax return forms to taxpayers, but failure of the taxpayer to receive any such forms shall not excuse the taxpayer from filing returns and making payment of the taxes or fees, when and as due under this chapter. [Ord. 482 § 4, 2007]
Every person liable for any fee or tax imposed by this chapter shall keep and preserve, for a period of five years after filing a tax return, such records as may be necessary to determine the amount of any fee or tax for which the person may be liable; which records shall include copies of all federal income tax and state tax returns and reports made by the person. All books, records, papers, invoices, vendor lists, inventories, stocks of merchandise, and other data, including federal income tax and state tax returns and reports, shall be open for examination at any time by the director or its duly authorized agent. Every person’s business premises shall be open for inspection or examination by the director or a duly authorized agent.
(2) Any person who fails or refuses a department request to provide or make available records, or to allow inspection or examination of the business premises, shall be forever barred from questioning, in any court action, the correctness of any assessment of taxes made by the city for any period for which such records have not been provided, made available or kept and preserved, or in respect of which inspection or examination of the business premises has been denied. The director is authorized to determine the amount of the tax or fees payable by obtaining facts and information upon which to base the estimate of the tax or fees due. Such fee or tax assessment shall be deemed prima facie correct and shall be the amount of tax owing the city by the taxpayer. The director shall notify the taxpayer by mail of the amount of tax so determined, together with any penalty, interest, and fees due; the total of such amounts shall thereupon become immediately due and payable. [Ord. 482 § 4, 2007]
(2) The taxes imposed and the returns required hereunder shall be upon a calendar year basis. [Ord. 482 § 4, 2007]
The director may, before issuing any final payment to any person performing any public work contract for the city, require such person to pay in full all license fees or taxes due under this title from such person on account of such contract or otherwise, and may require such taxpayer to file with the director a verified list of all subcontractors supplying labor and/or materials to the person in connection with said public work. [Ord. 482 § 4, 2007]
(2)(a) Interest imposed under this chapter shall be computed from the last day of the month following the end of the reporting period and will continue to accrue until payment is made. In case of an audit the interest shall be computed from the first day of the month following each calendar year or portion thereof included in the audit period.
(b) For the purposes of this section, the rate of interest to be charged to the taxpayer shall be an average of the federal short-term rate as defined in 26 U.S.C. Section 1274(d) plus two percentage points. The rate shall be computed by taking an arithmetical average to the nearest percentage point of the federal short-term rate, compounded annually. That average shall be calculated using the rates from four months: January, April, and July of the calendar year immediately preceding the new year, and October of the previous preceding year. The rate shall be adjusted on the first day of January of each year for use in computing interest for that calendar year.
(c) For tax periods after December 31, 2004, the director shall compute interest in accordance with RCW 82.32.050 as it now exists or as it may be amended.
(d) If subsection (2)(b) of this section is held to be invalid, then the provisions of RCW 82.32.050 existing at the effective date of the ordinance codified in this chapter shall apply. [Ord. 482 § 4, 2007]
(2) Against a person who has committed fraud or who misrepresented a material fact; or
(3) Against a person who has executed a written waiver of such limitations. [Ord. 482 § 4, 2007]
(1) If upon receipt of an application for a refund or during an audit or examination of the taxpayer’s records and tax returns, the director determines that the amount of tax, penalty, or interest paid is in excess of that properly due, the excess amount shall be credited to the taxpayer’s account or shall be refunded to the taxpayer. Except as provided in subsection (2) of this section, no refund or credit shall be made for taxes, penalties, or interest paid more than four years prior to the beginning of the calendar year in which the refund application is made or examination of records is completed.
(2) The execution of a written waiver shall extend the time for applying for or making a refund or credit of any taxes paid during, or attributable to, the years covered by the waiver if, prior to the expiration of the waiver period, an application for refund of such taxes is made by the taxpayer or the director discovers that a refund or credit is due.
(4) Any final judgment for which a recovery is granted by any court of competent jurisdiction for tax, penalties, interest, or costs paid by any person shall be paid in the same manner as provided in subsection (3) of this section upon the filing with the director a certified copy of the order or judgment of the court.
(5)(a) Interest on overpayments of taxes shall be the average federal short-term interest rate as outlined for assessments under BMC 3.06.090(2)(b) plus two percentage points.
(c) If BMC 3.06.090(2)(b) is held to be invalid, then the provisions of RCW 82.32.050 existing at the effective date of the ordinance codified in this chapter shall apply. [Ord. 482 § 4, 2007]
(4) If the director finds that a person has engaged in any business or performed any act upon which a tax is imposed under this title and that person has not obtained from the director a license as required by Chapter 5.05 BMC, the director shall impose a penalty in accordance with RCW 82.32.090(4), as it now exists or as it may be amended. No penalty shall be imposed under this subsection (4) if the person who has engaged in business without a license obtains a license prior to being notified by the director of the need to be licensed.
(9) For the purposes of this section, “return” means any document a person is required by the city of Burien to file to satisfy or establish a tax or fee obligation that is administered or collected by the city, and that has a statutorily defined due date.
(10) If incorporation into the city of Burien’s code of future changes to RCW 82.32.090 is deemed invalid, then the provisions of RCW 82.32.090 existing at the time the ordinance codified in this chapter is effective shall apply. [Ord. 482 § 4, 2007]
(1) The director may cancel any penalties imposed under BMC 3.06.110(1) if the taxpayer shows that its failure to timely file or pay the tax was due to reasonable cause and not willful neglect. Willful neglect is presumed unless the taxpayer shows that it exercised ordinary business care and prudence in making arrangements to file the return and pay the tax but was, nevertheless, due to circumstances beyond the taxpayer’s control, unable to file or pay by the due date. The director has no authority to cancel any other penalties or to cancel penalties for any other reason except as provided in subsection (3) of this section.
(2) A request for cancellation of penalties must be received by the director within 30 days after the date the department mails the notice that the penalties are due. The request must be in writing and contain competent proof of all pertinent facts supporting a reasonable cause determination. In all cases the burden of proving the facts rests upon the taxpayer.
(3) The director may cancel the penalties in BMC 3.06.110(1) one time if a person:
(a) Is not currently licensed and filing returns;
(4) The director shall not cancel any interest charged upon amounts due. [Ord. 482 § 4, 2007]
(2) Any person who becomes a successor shall become liable for the full amount of any tax owing. The successor shall withhold from the purchase price a sum sufficient to pay any tax due to the city from the taxpayer until such time as: (a) the taxpayer shall produce a receipt from the city showing payment in full of any tax due or a certificate that no tax is due; or (b) more than six months have passed since the successor notified the director of the acquisition and the director has not issued and notified the successor of an assessment.
(4) Notwithstanding the above, if a successor gives written notice to the director of the acquisition, and the department does not within six months of the date it received the notice issue an assessment against the taxpayer and mail a copy of that assessment to the successor, the successor shall not be liable for the tax. [Ord. 482 § 4, 2007]
Any person, except one who has failed to comply with BMC 3.06.060, aggrieved by the amount of the fee or tax determined by the director to be required under the provisions of this chapter, may appeal from such determination by filing a written notice of appeal with the city clerk within 30 days from the date written notice of such amount was mailed to the taxpayer. Payment of the amount assessed can be demanded before any appeal process, before any appeal to a court, or after the appeal process is completed. The appeal process shall be conducted in accord with Chapter 2.20 BMC. The decision of the hearing examiner shall indicate the correct amount of the tax or fee owing. The appellant may seek judicial review of the decision to the King County superior court. The city shall have the same right of review from a decision as does a taxpayer. [Ord. 482 § 4, 2007]
Any person, except one who has failed to comply with BMC 3.06.060, having paid any tax as required and feeling aggrieved by the amount of the tax assessed, and after first exhausting the right of administrative appeal set forth in this chapter, may seek judicial review in the King County superior court within 21 days of the entry of the decision of the hearing examiner. The taxpayer shall set forth the amount of the tax imposed upon the taxpayer that the taxpayer concedes to be the correct amount of tax and the reason why the tax imposed should be reduced or abated. The appealing party shall serve a copy of the application for writ upon the opposing party within the time herein specified and shall file the original thereof, with proof of service with the clerk of the superior court of Washington for King County. The trial in the superior court on appeal shall be de novo without the necessity of any pleadings other than the notice of appeal. The burden shall rest upon the taxpayer to prove that the tax paid by the taxpayer is incorrect, either in whole or in part, and to establish the correct amount of the tax. [Ord. 482 § 4, 2007]
The director shall have the power, from time to time, to adopt, publish and enforce rules and regulations not inconsistent with this chapter or with law for the purpose of carrying out the provisions of this chapter and it shall be unlawful to violate or fail to comply with any such rule or regulation. [Ord. 482 § 4, 2007]
(1) To conduct an audit or joint audit of a taxpayer by using an auditor employed by the city of Burien, another city, or a contract auditor; provided, that such contract auditor’s pay is not in any way based upon the amount of tax assessed.
(2) To allocate or apportion in a manner that fairly reflects the gross receipts earned from activities conducted within the respective cities the gross proceeds of sales, gross receipts, or gross income of the business, or taxes due from any person that is required to pay an eligible gross receipts tax to more than one Washington city.
(3) To apply the city’s tax prospectively where a taxpayer has no office or place of business within the city and has paid tax on all gross income to another Washington city where the taxpayer is located; provided, that the other city maintains an eligible gross receipts tax, and the income was not derived from contracts with the city. [Ord. 482 § 4, 2007]
Any notice required by this chapter to be mailed to any taxpayer or licensee shall be sent by ordinary mail, addressed to the address of the taxpayer or licensee as shown by the records of the director. Failure of the taxpayer or licensee to receive any such mailed notice shall not release the taxpayer or licensee from any tax, fee, interest, or any penalties thereon, nor shall such failure operate to extend any time limit set by the provisions of this chapter. It is the responsibility of the taxpayer to inform the director in writing about a change in the taxpayer’s address. [Ord. 482 § 4, 2007]
The license fee and tax herein levied shall be additional to any license fee or tax imposed or levied under any law or any other ordinance of the city of Burien except as herein otherwise expressly provided. [Ord. 482 § 4, 2007]
(ii) The nature, source, or amount of the taxpayer’s income, payments, receipts, deductions, exemption, credits, assets, liability, net worth, tax liability deficiencies, overassessments, or tax payments, whether taken from the taxpayer’s books and records or any other source;
(iv) Other data received by, recorded by, prepared by, or provided to the city with respect to the determination or the existence, or possible existence, of liability, or the amount thereof, of a person under BMC Title 3 for a tax, penalty, interest, fine, forfeiture, or other imposition, or offense. However, data, material, or documents that do not disclose information related to a specific or identifiable taxpayer do not constitute tax information under this section. Nothing in this chapter requires any person possessing data, material, or documents made confidential and privileged by this section to delete information from such data, material or documents so as to permit its disclosure.
(i) In respect of any tax imposed under BMC Title 3, if the taxpayer or its officer or other person liable under this title is a party in the proceeding; or
(b) Disclosing, subject to such requirements and conditions as the director prescribes by rules adopted pursuant to BMC 3.06.160, such return or tax information regarding a taxpayer to such taxpayer or to such person or persons as that taxpayer may designate in a request for, or consent to, such disclosure, or to any other person, at the taxpayer’s request, to the extent necessary to comply with a request for information or assistance made by the taxpayer to such other person. However, tax information not received from the taxpayer must not be so disclosed if the director determines that such disclosure would compromise any investigation or litigation by any federal, state, or local government agency in connection with the civil or criminal liability of the taxpayer or another person, or that such disclosure would identify a confidential informant, or that such disclosure is contrary to any agreement entered into by the department that provides for the reciprocal exchange of information with other government agencies which agreement requires confidentiality with respect to such information unless such information is required to be disclosed to the taxpayer by the order of any court;
(d) Disclosing such return or tax information, for official purposes only, to the city manager or city attorney, or to any city agency, or to any member of the city council or their authorized designees dealing with matters of taxation, revenue, trade, commerce, the control of industry or the professions;
(n) Disclosing to a person against whom the department has asserted liability as a successor under BMC 3.06.130 return or tax information pertaining to the specific business of the taxpayer to which the person has succeeded;
(o) Disclosing real estate excise tax affidavit forms filed under Chapter 3.20 BMC in the possession of the city, including real estate excise tax affidavit forms for transactions exempt or otherwise not subject to tax;
(p) Disclosing such return or tax information to the court or hearing examiner in respect to the city’s application for a subpoena, if there is probable cause to believe that the records in possession of a third party will aid the director in connection with his/her official duties under this title or a civil or criminal investigation.
(4) (a) The director may disclose return or taxpayer information to a person under investigation or during any court or administrative proceeding against a person under investigation as provided in this subsection (4). The disclosure must be in connection with the director’s official duties under this title, or a civil or criminal investigation. The disclosure may occur only when the person under investigation and the person in possession of data, materials, or documents are parties to the return or tax information to be disclosed. The director may disclose return or tax information such as invoices, contracts, bills, statements, resale or exemption certificates, or checks. However, the director may not disclose general ledgers, sales or cash receipt journals, check registers, accounts receivable/payable ledgers, general journals, financial statements, expert’s workpapers, income tax returns, state tax returns, tax return workpapers, or other similar data, materials, or documents.
(c) The person in possession of the data, materials, or documents to be disclosed by the director has 20 days from the receipt of the written request required under subsection (4)(b) of this section to petition the superior court of King County for injunctive relief. The court must limit or deny the request of the director, if the court determines that:
(ii) The production of the data, materials, or documents sought would be unduly burdensome or expensive, taking into account the needs of the director, the amount in controversy, limitations on the petitioner’s resources, and the importance of the issues at stake; or
(5) Service of a subpoena issued by the court or under Chapter 2.15 BMC does not constitute a disclosure of return or tax information under this section. Notwithstanding anything else to the contrary in this section, a person served with a subpoena issued by the court or under Chapter 2.15 BMC may disclose the existence or content of the subpoena to that person’s legal counsel.
(6) Any person acquiring knowledge of any return or tax information in the course of his or her employment with the city and any person acquiring knowledge of any return or tax information as provided under subsection (3)(d), (e), (f), (g), (h), (i), or (k) of this section, who discloses any such return or tax information to another person not entitled to knowledge of such return or tax information under the provisions of this section, is guilty of a misdemeanor. If the person guilty of such violation is an officer or employee of the city, such person must forfeit such office or employment and is incapable of holding any public office or employment in the city for a period of two years thereafter. [Ord. 576 § 2, 2012; Ord. 482 § 4, 2007]
Any license fee or tax due and unpaid under this chapter, and all interest and penalties thereon, shall constitute a debt to the city of Burien and may be collected in the same manner as any other debt in like amount, which remedy shall be in addition to all other existing remedies. [Ord. 482 § 4, 2007]
(d) To fail to appear or testify in response to a subpoena issued in accordance with state law;
(2) Violation of any of the provisions of this chapter is a gross misdemeanor.
(3) Any person, or officer of a corporation, convicted of continuing to engage in business after the revocation of a license shall be guilty of a gross misdemeanor. [Ord. 561 § 2 (Exh. A), 2012; Ord. 482 § 4, 2007]
The director, or designee, shall have the power and authority to suspend or revoke any license in accordance with BMC 5.05.140. [Ord. 482 § 4, 2007]
(2) In any suit, action or proceeding, such agreement, or any determination, assessment, collection, payment, abatement, refund, or credit made in accordance therewith, shall not be annulled, modified, set aside, or disregarded. [Ord. 482 § 4, 2007]
The director may charge off any tax, penalty, or interest that is owed by a taxpayer, if the director reasonably ascertains that the cost of collecting such amounts would be greater than the total amount that is owed or likely to be collected from the taxpayer. [Ord. 482 § 4, 2007]
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 not be affected. [Ord. 482 § 4, 2007]