2022-07-19 CC Agenda Packet - Additional Information - Exhibit B_City of Manhattan Beach BLT rate_FY2022-23ATTACHMENT 1
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ATTACHMENT 1
TABLE OF CONTENTS
Administrativeand Sales Office........................................................................................................................................................................................................3
CommercialProperty......................................................................................................................................................................................................................... 3
Contractors......................................................................................................................................................................................................................................... 3
HomeOccupation............................................................................................................................................................................................................................... 3
Hotels/Motels....................................................................................................................................................................................................................................... 4
Manufacturers.................................................................................................................................................................................................................................... 4
Out-of-Town........................................................................................................................................................................................................................................ 4
Professionals........................................................................................................................................................................................................................................ 4
PublicUtilities..................................................................................................................................................................................................................................... 5
Recreationand Entertainment.......................................................................................................................................................................................................... 5
Retail.................................................................................................................................................................................................................................................... 6
Rentalof Residential Property.......................................................................................................................................................................................................... 6
Researchand Development................................................................................................................................................................................................................ 7
Services................................................................................................................................................................................................................................................ 7
Subcontractors.................................................................................................................................................................................................................................... 8
Wholesale............................................................................................................................................................................................................................................. 8
SPECIAL BUSINESS CATEGORIES
HolidayActivities................................................................................................................................................................................................................................ 9
ItinerantVendors/Peddlers................................................................................................................................................................................................................ 9
SpecialEvents...................................................................................................................................................................................................................................10
Transportationof Persons/Goods....................................................................................................................................................................................................10
Penaltiesand Interest.......................................................................................................................................................................................................................11
Parkingand Business Improvement Area......................................................................................................................................................................................11
AdmissionsTax.................................................................................................................................................................................................................................11
AB1379 Fee.......................................................................................................................................................................................................................................12
ConsumerPrice Index Adjustments...............................................................................................................................................................................................12
ProvidingDocumentation to Support Gross Receipts...................................................................................................................................................................12
Exemptions........................................................................................................................................................................................................................................12
LatePenalties....................................................................................................................................................................................................................................12
ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Administrative and
1) Administrative
1) For administrative and sales offices or similar
$253.60 per annum plus
$265.24 per annum plus
Sales Office
and Sales Office
businesses
$35.20 per employee in excess
$36.81 per employee in excess
of 2 not to exceed $9,820.00
of 2 not to exceed $10,271.00
2) Branch Establishments
Commercial Property
Commercial Property
Every person who owns commercial real
Pay the greater of $253.60
Pay the greater of $265.24
property within the city and who rents or leases
per annum for the first
per annum for the first
such property or any portion thereof shall pay a
$74,034.00 of gross receipts
$77,439.00 of gross receipts
business license tax
and $2.28 per $1,000.00 in
and $2.38 per $1,000.00 in
excess thereof not to exceed
excess thereof not to exceed
$9,820.00 or $.380 per square
$10,271.00 or $.390 per
foot for building area in
square foot for building area
excess of 5,000 square feet
in excess of 5,000 square feet
less 1/3 sales tax credited to
less 1/3 sales tax credited to
the City of Manhattan Beach
the City of Manhattan Beach
not to exceed $202,865.00.
not to exceed $212,196.00.
Contractors
1) Contractors
General building trades (including general,
$411.04 per annum
$429.92 per annum
electrical, plumbing, etc. A or B, C10, C36,
2) Owner Builders
C44, C45, C53 as licensed by the State). Every
person engaged in the business or acting as a
contractor shall pay the tax
Home Occupation
Home Occupation
No license shall be issued under this subsection
$126.56 per annum for the
$132.36 per annum for the
until the applicant has applied for and received a
first $45,043.00 of gross
first $47,114.00 of gross
home occupation permit as required by Section
receipts and $2.28 per
receipts and $2.38 per
10.52.070
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
ATTACHMENT 1
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
MAJOR BUSINESS CATEGORY
CLASSIFICATION
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Hotels/Motels
Hotels/Motels
In addition to business license tax fees, a transient
$23.51 per annum per unit
$24.59 per annum per unit
occupancy tax shall be paid
Manufacturing
Manufacturing
Every person engaged in the business of
$253.60 per annum for the
$265.24 per annum for the
manufacturing or conducting any business
first $74,034.00 of gross
first $77,439.00 of gross
considered to be of manufacturing in nature
receipts and $2.28 per
receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
Out -of -Town
Out -of -Town
Any business in the city without a fixed location
$126.56 per annum for the
$132.36 per annum for the
first $45,043.00 of gross
first $47,114.00 of gross
receipts (Manhattan Beach
receipts (Manhattan Beach
only) and $2.28 per
only) and $2.38 per $1,000.00
$1,000.00 in excess thereof
in excess thereof not to
not to exceed $9,820.00.
exceed $10,271.00.
Professionals
Professional Services
All persons engaged in any business, profession
$253.60 per annum for the
$265.24 per annum for the
or occupation considered to be of a professional
first $74,034.00 of gross
first $77,439.00 of gross
nature unless expressly provided for elsewhere in
receipts and $2.28 per
receipts and $2.38 per
this section. Professional services shall include
$1,000.00 in excess thereof
$1,000.00 in excess thereof
but are not limited to accountant, architect,
not to exceed $9,820.00.
not to exceed $10,271.00.
attorney, chiropractor, consultant, dentist, doctor,
engineer, escrow services, financial institutions
(to determine parking fee), hospital, insurance
agent (exempt -waiver needed), insurance broker,
mortuary, psychologist, public relation, real
estate, veterinarian.
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ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Public Utilities
1) Public Utilities
1) Not subject to franchise fee.
1) Not subject to franchise fee
1) Not subject to franchise fee
shall pay $253.60 per annum
shall pay $265.24 per annum
for the first $74,034.00 of
for the first $77,439.00 of
gross receipts and $2.28 per
gross receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
Subject to franchise fee.
Subject to franchise fee —
Subject to franchise fee —
shall pay $253.60 per annum.
shall pay $265.24 per annum.
2) Refuse Collection
2) Purpose of refuse collection.
2) $340.52 per annum per
2) $356.16 per annum per
vehicle
vehicle
Recreation and
1) Arcades
1,2) Arcades indoors where photographs,
1) $883.31 per year plus
1) $923.92 per year plus
Entertainment
gramophones, talking machines, biographs,
$237.60 per machine. Initial
$248.52 per machine. Initial
projectoscopes, weighing machines, muscle
tax of $883.31 is an
tax of $923.92 is an
testers, lung testers, fortune telling machines,
application fee.
application fee.
palm reading machines, game machines or
machines or devices of like character
2) Billiard/Pool Room
2) $.243 per square foot per
2) $.254 per square foot per
year plus $190.31 per table
year plus $199.06 per table
and $43.73 per table for each
and $45.74 per table for each
table in excess of four.
table in excess of four.
3) Fortune Telling
3) Subject to special permit of City Council.
Initial application fee $102.00
3,4,5) $253.60 per annum for
3,4,5) $265.24 per annum for
the first $74,034.00 of gross
the first $77,439.00 of gross
4) Game Machines
4) For locations where game machines are an
receipts and $2.28 per
receipts and $2.38 per
accessory to the operation of the business.
$1,000.00 in excess thereof
$1,000.00 in excess thereof
5) Juke Boxes
Annual tax $161.00 (2 machines or less).
not to exceed $9,820.00.
not to exceed $10,271.00.
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ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Retail
1) Beer bars and cocktail
1) $.418 per square foot per
1) $.437 per square foot per
lounges
year
year
2) Lunch wagon and ice cream
2) County health permit required. Not to be
2) $339.92 per annum per
2) $355.52 per annum per
trucks
parked longer than 10 minutes per location as
vehicle
vehicle
per Section 14.36.130. Subject to approval of
Police Department.
3) Mail or phone order
3) $132.92 per year
3) $139.00 per year
4) Restaurants
4) $253.60 per annum for the
4) $265.24 per annum for the
first $74,034.00 of gross
first $77,439.00 of gross
receipts and $2.28 per
receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
$.418 per square foot for
$.437 per square foot for
cocktail/lounge area only
cocktail/lounge area only
5) Retail sales and service
6) Applicant shall furnish location of all
5,6) $253.60 per annum for
5,6) $265.24 per annum for
6) Vending machines
machines owned, operated or serviced within the
the first $74,034.00 of gross
the first $77,439.00 of gross
city. Applicant shall place his name and address
receipts and $2.28 per
receipts and $2.38 per
on each machine. An official city sticker shall be
$1,000.00 in excess thereof
$1,000.00 in excess thereof
affixed in a conspicuous place to each machine.
not to exceed $9,820.00.
not to exceed $10,271.00.
Rental of Residential
1) Condominiums
1) Business license required per city conditional
Property
use permit — no tax payment is required for
license.
2) Dwelling units
2) $23.51 per annum per unit.
2) $24.59 per annum per unit.
2) Three or more units per lot.
A credit of $23.51 allowed for
A credit of $24.59 allowed for
an owner -occupied unit.
an owner -occupied unit.
on
ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Research and
Research and Development
Every person, firm or corporation with five or
Pay the greater of $253.60 per
Pay the greater of $265.24 per
Development
more employees engaged in the business of
annum plus $35.20 per
annum plus $36.81 per
research and development for scientific purposes
employee not to exceed
employee not to exceed
$9,820.00 or $.596 per square
$10,271.00 or $.623 per
foot per year for building area
square foot per year for
in excess of 5,000 square feet
building area in excess of
less 1/3 sales tax credited to
5,000 square feet
the City of Manhattan Beach
less 1/3 sales tax credited to
(whichever is greater) not to
the City of Manhattan Beach
exceed $202,865.00.
(whichever is greater) not to
exceed $212,196.00.
Services
1) Bath and massage
1) Non-refundable application fee — $64.00.
1,4,6) $253.60 per annum for
1,4,6) $265.24 per annum for
Change of location fee—$17.00. A separate
the first $74,034.00 of gross
the first $77,439.00 of gross
application must be submitted by a business for
receipts and $2.28 per
receipts and $2.38 per
individual employees. Health clubs providing
$1,000.00 in excess thereof
$1,000.00 in excess thereof
bath and massage service are subject to Section
not to exceed $9,820.00.
not to exceed $10,271.00.
4.36.160, however, gross receipts generated by
2) Gardeners
bath or massage may be included with other
2) $159.64 per annum per
2) $166.96 per annum per
receipts.
vehicle
vehicle
3) Handbills
3) $189.28 per person per
3) $197.96 per person per
annum or $46.28 per day per
annum or $48.40 per day per
4) Private patrol
person.
person.
5) Various installations and
5) When not in connection with a fixed place of
5) $126.56 per annum for the
5) $132.36 per annum for the
services (out of town)
business within the city
first $45,043.00 of gross
first $47,114.00 of gross
receipts (Manhattan Beach
receipts (Manhattan Beach
6) Window cleaning
only) and $2.28 per $1,000.00
only) and $2.38 per $1,000.00
in excess thereof not to exceed
in excess thereof not to exceed
$9,820.00.
$10,271.00.
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ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Subcontractors
1) Subcontractors
Every person engaged in the business or acting
$205.36 per annum
$214.80 per annum
2) Minor construction
as a subcontractor (C2, C4, C6, C8, C9, C11,
C12, C15, C16, C17, C20, C21, C23, C26, C27,
C29, C32, C33, C34, C35, C38, C39,C42, C43,
C50, C51, C54, C55, C57, C60, C61, and other
classifications established by the State
Contractors Board)
Wholesale
Wholesale
Every person engaged in the business of selling
$253.60 per annum for the
$265.24 per annum for the
goods, wares or merchandise for the purpose of
first $74,034.00 of gross
first $77,439.00 of gross
resale
receipts and $2.28 per
receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
SPECIAL BUSINESS CATEGORIES
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Holiday Activities
1) Xmas Tree Lots
2) Pumpkin Patches
Per season per location. $113.00 refundable
cleanup fee payable at time of application.
$155.05
$162.18
Itinerant
1) Solicitors, Peddlers
1) Agents or solicitors selling or soliciting or
1) $681.88 per annum for a
1) $713.24 per annum for first
Vendors/Peddlers
taking orders for the sale or furnishing of any
5-man crew and $110.37 per
5 people and $115.44 per
2) Itinerant Vendors, Dealers
goods, wares, merchandise or service when not
person in excess or $110.37
person in excess thereof or
or Merchants
in connection with a fixed place of business
per day per person.
$115.44 per day per person.
licensed within the city
** Subject to special permit
** Subject to special permit
from the Police Dept. to be
from the Police Dept. to be
first obtained.**
first obtained.**
2) Vendors, dealers or merchants shall include
2) $40.86 per day or $437.12
2) $42.73 per day or $457.20
all persons who commence or conduct business
per year.
per year.
by haranguing persons within the city or who
**Subject to special permit
**Subject to special permit
use the various customary devices for attracting
from the Police Dept. to be
from the Police Dept. to be
crowds and therewith recommending their
first obtained.**
first obtained.**
goods, wares or merchandise and offering for
sale or exchange.
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ATTACHMENT 1
MAJOR BUSINESS
CLASSIFICATION
CATEGORY
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
GENERAL
INFORMATION
2021-2022
TAX RATES
2022-2023
TAX RATES
Special Events
1) Carnivals and amusements
1) For amusements, where an admission, fare,
1) $853.52 per day plus
1) $892.76 per day plus
fee or charge is charged or made, or a
$64.29 per day for each food
$67.24 per day for each food
collection or contribution received, such as
booth
booth
exhibitions, shows, games, rides, tent
performances, merry-go-rounds, carousels,
chute -the -chutes, shooting galleries, ferris
wheels, pig slides, ballgames, dart games, roller
coasters, grunt derbies, whip rides, scooter rides,
sideshows, illusions and other amusements or
concessions similar in character to those named
in this section; provided, however, that the
license fee for pony rides for small children shall
be $196.00 per year where not to exceed 12
ponies are used and $5.00 for each additional
pony; and provided further that no permit for
any amusement referred to in this section shall
be issued without a special permit from the
Council to be first obtained.
2) One/two day shows
2) Every person or promoter engaged in the
2) $57.44 per day plus $2.28
2) $60.08 per day plus $2.38
business of conducting one/two day shows and
per day per booth
per day per booth
every participant or booth.
Transportation of
1) Retail deliveries
1) For retail deliveries when not connected with
1) $126.56 per annum for the
1) $132.36 per annum for the
Persons/Goods
a fixed place of business within the city.
first $45,043.00 of gross
first $47,114.00 of gross
receipts and $2.28 per
receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
2) Taxicabs
2) Taxicabs or other passenger vehicles for hire.
2) Please see footnote *
2) Please see footnote *
3) Wholesale deliveries
3) For wholesale deliveries when not connected
3) $126.56 per annum for the
3) $132.36 per annum for the
with a fixed place of business within the city.
first $45,043.00 of gross
first $47,114.00 of gross
receipts and $2.28 per
receipts and $2.38 per
$1,000.00 in excess thereof
$1,000.00 in excess thereof
not to exceed $9,820.00.
not to exceed $10,271.00.
* Effective January 1, 2019, Assembly Bill 1069 (`°AB 1069") repealed the existing law that previously required every city to adopt an ordinance or resolution regulating taxicab transportation.
AB 1069 acts to modernize the regulation of taxicab transportation services in order for taxicabs to better compete with all for -hire modes of transportation.
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ATTACHMENT 1
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
SPECIAL BUSINESS CATEGORIES
Additional Information:
Penalties and Interest. Assessed on understated fees per Section No. 6.01.290. The penalty for any deficiency determined by audit
shall be 10% of the amount due plus interest of 1.5% for each month or part thereof beyond the due date of May 1st.
2a. Parking and Business Improvement Area. Pursuant to Ordinance No. 1375 - Area "A" the following additional levy of business
tax is established on all businesses except commercial rental or lease property conducting their activities in the Areas.
Area A - Downtown Area - 80% of the ordinary business license tax not to exceed $600.00
2b. Parking and Business Improvement Area. Pursuant to Ordinance No. 2071 - Area `B".
Area B - North End Area - 80% of the ordinary business license tax not to exceed $500.00
Admissions Tax. This shall be imposed upon each person attending a live sporting, theatrical or any amusement type of exhibition
taking place within a non-public enclosure, stadium or building. The operator of such event shall be responsible for the collection
and payment to the city of such tax along with an accountant as may be prescribed by the Director of Finance. The payment to the
city is due within 10 days after the event takes place.
Amount of Tax - shall be the greater of:
a) 8% of the admission price
b) $.35 per person
Exemptions - no tax shall be imposed upon:
a) Bona fide employees of the management
b) City officials on official business
c) Members of the press in the performance of their duties
d) Contractors in performance of their job
e) Concessionaires
f) Complimentary tickets
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ATTACHMENT 1
City of Manhattan Beach
BUSINESS LICENSE TAX RESOLUTION 2022-2023
(Provided for in MBMC Section 6.01.290)
SPECIAL BUSINESS CATEGORIES
4. AB 1379 (Thurmond, 2017). A fee in the amount of $4.00 shall be collected from all businesses upon issuance or renewal of
license to pay for development of more educational and training resources at state and local level to promote ADA compliance.
Monies collected split 90% to City, 10% to Division of State Architect. The City may use 5% of monies collected for administration
costs and the rest shall go to pay for hiring and training of more certified access specialists (CASp) for City building department.
Effective January 1, 2018, and until December 31, 2023.
5. Consumer Price Index Adjustments. Per Section No. 6.01.320, business license taxes provided for in above MBMC Section shall
be adjusted annually commencing March 1, 1979, in accordance with the increase or decrease in the cost of living. All adjustments
shall be based on the Bureau of Labor Statistics - Consumer Price Index for All Urban Consumers - All Items (1967 - 100) for the
preceding September. When the Bureau of Labor Statistics changes the base year for reporting changes in the CPI, the annual change
in CPI shall be based on the new base year.
6. Providing Documentation to Support Gross Receipts. All businesses paying a business license tax based on gross receipts are
required to include and return documentation to support reported gross receipts with the renewal application. Documentation must
be for the year on which the license tax is based and is subject to audit. The documentation can be, but is not limited to, the following:
Schedule C, income statement, profit and loss statement, financial statement, ledger sheet, declaration from taxpayer, notarized letter
or State Board of Equalization return. If, in the opinion of the licensing authority, an alternate form of documentation is sufficient,
then the alternate form can be supplied. If the tax return is incomplete or cannot be furnished with the business license tax renewal,
an estimate may be submitted and an adjustment will be made, if necessary, when the actual return has been completed and submitted
to the licensing authority.
7. Exemptions. Per Section No. 6.01.280G, the City Manager shall have the authority to exempt businesses from paying business
license tax and/or late penalties.
Late Penalties. Per Section No. 6.01.270, a penalty of ten percent (10%) of the amount of such license fee will be added for failure
to pay the amount of the license fee to said City on or before April 30, 2022 and an additional penalty of ten percent (10%) of the
amount of such license fee shall be added at the end of each month thereafter that the fee remains unpaid after April 30, 2022.
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