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HomeMy WebLinkAbout067-21 (OrdAmendmentChapter155Taxation(BusinessLicenseProvisions-PaymentOfRealEstateTaxes)) ORDINANCE February 10, 2021 The Board of Supervisors of Frederick County, Virginia hereby ordains that Section 155-110 (Violations and penalties) of Article XVI (Business License Provisions) of Chapter 155 (Taxation) of the Code of Frederick County, Virginia be, and the same hereby is, amended by enacting an amended Section 155-110 (Violations and penalties) of Article XVI (Business License Provisions) of Chapter 155 (Taxation) of the Code of Frederick County, Virginia, as follows (addition shown in bold underline): CHAPTER 155 Taxation ARTICLE XVI Business License Provisions § 155-110 Violations and penalties. A. It shall be unlawful to engage in any business, employment or profession for which a license is required by any of the provisions of this article without first having obtained such license, which shall be punishable by a fine of not more than $2,500 or by a jail sentence of not more than 12 months, or by both such fine and jail sentence. B. No such license shall be issued until the applicant has produced satisfactory evidence that all delinquent business license, real estate, personal property, meals, transient occupancy, severance and admissions taxes owed by the applicant to the County have been paid which have been properly assessed against the applicant by the County. C. Anyone who engages in a business, employment or profession without obtaining a required license, or after being refused the same, shall not be relieved of the tax imposed by the provisions of this article. D. Whenever any person is required by any of the provisions of this article to file a return for tax purposes, it shall be unlawful for such person to willfully fail or refuse to file such return at the time or times required or to make a false statement in such return with intent to defraud, and any violation hereof shall be punishable as provided in § 58.1-3915.1, Code of Virginia. Enacted this 10th day of February, 2021. Charles S. DeHaven, Jr., Chairman Aye Shawn L. Graber Aye J. Douglas McCarthy Aye Robert W. Wells Aye Blaine P. Dunn Aye David D. Stegmaier Aye Judith McCann-Slaughter Aye A COPY ATTEST Kris C. Tier Frederick County Administrator Res. # 067-21 2 CODE& ORDINANCE COMMITTEE REPORT to the BOARD OF SUPERVISORS Tuesday,December 8,2020 3:00 P.M. 107 NORTH KENT STREET,WINCHESTER,VIRGINIA ATTENDEES: Committee Members Present: J. Douglas McCarthy,Chair;Blaine P.Dunn; Stephen Butler,and Derek Aston Committee Members Absent: James Drown Staff Present: Roderick B.Williams, County Attorney;Jay E.Tibbs,Deputy County Administrator; Kathryn Corbit, Chief Admin for the Business Division, Commissioner of the Revenue's Office. ITEMS FOR BOARD OF SUPERVISORS ACTION: 1. Proposed Revision to Frederick County Code, Chapter 155 Taxation,Article IX Assessment of Court Costs for Courthouse Security, §155-46 Fee Imposed; collection; use. Mr. Williams reviewed the proposed revision. The General Assembly during its 2020 Regular Session passed legislation increasing the courthouse security fee that localities may impose as part of the court costs in each criminal case in which a defendant is convicted of a violation of any statute or ordinance. The proposed ordinance would increase the current$10 fee to $20. The Clerk of the Circuit Court requested consideration of this fee increase. Upon a motion by Mr.Aston,seconded by Mr. Butler,the Code and Ordinance Committee forwarded the proposed ordinance amendment to the Board of Supervisors for public hearing with a recommendation of approval. The motion was unanimously approved. 2. Proposed revision to Frederick County Code, Chapter 155,Taxation,Article XVI Business License Provisions, §155-85 Proration of tax. Mr. Williams reviewed the proposed revision to Chapter 155,Taxation.The General Assembly during its 2020 Regular Session passed legislation permitting a local governing body to authorize the locality's treasurer to issue any refund up to $5,000 as a result of an erroneous tax assessment. The legislation increased the amount from$2,500 to $5,000. For any refund above$5,000, the governing body must approve the refund. The proposed amendment would confirm that the authority for such refunds extends to refunds of business license taxes. Upon a motion by Mr. Butler,seconded by Mr.Dunn,the Code and Ordinance Committee forwarded the proposed ordinance amendment to the Board of Supervisors for public hearing with a recommendation of approval. The motion was unanimously approved. 3. Proposed revision to Frederick County Code, Chapter 155,Taxation,Article XVI Business License Provisions, §155-110 Violations and penalties. Mr. Williams reviewed the proposed revision to Chapter 155,Taxation. The General Assembly during its 2012 Regular Session passed legislation permitting a locality to required that no business license shall be issued to an applicant therefor until that person has produced satisfactory evidence that all delinquent business license,real estate, personal property,meals,transient occupancy, severance,and admissions taxes owed by the business to the locality have been paid which have been properly assessed against the applicant by the locality. Upon a motion by Mr. Dunn, seconded by Mr. Butler,the Code and Ordinance Committee forwarded the proposed ordinance amendment to the Board of Supervisors for public hearing with a recommendation of approval. The motion was unanimously approved. There being no further business, the meeting was adjourned at 3:25 p.m. COUNTY OF FREDERICK Roderick B.Williams County Attorney 5401722-8383 Fax 5401667-0370 E-mail rwillia@fcva.us MEMORANDUM TO: Code&Ordinance Committee FROM: Roderick B_ Williams, County Attorney DATE: December 1,2020 RE: Ordinance to Require Payment of Real Estate Taxes prior to Issuance of Business License The General Assembly at its 2012 Session passed legislation permitting a locality to require that no business license shall be issued to an applicant therefor until that person has produced satisfactory evidence that all delinquent business license, real estate,personal property, meals,transient occupancy, severance and admissions taxes owed by the business to the locality have been paid which have been properly assessed against the applicant by the locality. See Va. Code § 58.1-3700 (2012 Acts of Assembly cc.304 and 318) (copy attached). The County Code does not presently impose this requirement. See County Code § 155-110. This legislation is similar to the legislation that permits a locality to withhold building permits and other land use approvals until all real estate taxes and other charges constituting a lien on the subject property have been paid. See Va. Code § 15.2-2286(3). In 2018,the Board amended the County Code to impose that requirement. See County Code §§ 52-5 and 143- 195(A.). The Treasurer has requested consideration of an amendment to the County Code to include the requirement of payment of delinquent real estate taxes before issuance of a business license to a person who is delinquent in the payment of real estate taxes (copy of request attached). A draft proposed revision to County Code Section 155-110,to add the term "real estate", is attached(the draft also adds the word"business"before"license"for clarity and conformance with the state code). This memorandum serves as a request for a recommendation from the Code&Ordinance Committee as to whether to forward this item to the Board of Supervisors for further consideration. Attachments cc: Kris C.Tierney, County Administrator Jay E.Tibbs,Deputy County Administrator 107 North Kent Street • Winchester, Virginia 22601 Code of Virginia Title 58.1.Taxation Chapter 37. License Taxes § 58.1-3700. License requirement; requiring evidence of payment of business license, business personal property, meals and admissions taxes Whenever a license is required by ordinance adopted pursuant to this chapter and whenever the local governing body shall impose a license fee or levy a license tax on any business, employment or profession, it shall be unlawful to engage in such business, employment or profession without first obtaining the required license. The governing body of any county, city or town may require that no business license under this chapter shall be issued until the applicant has produced satisfactory evidence that all delinquent business license, real estate, personal property, meals, transient occupancy, severance and admissions taxes owed by the business to the county, city or town have been paid which have been properly assessed against the applicant by the county, city or town. Any person who engages in a business without obtaining a required local license, or after being refused a license, shall not be relieved of the tax imposed by the ordinance. Code 1950, § 58-239; 1984, c. 675; 1991, c. 267; 1993, cc. 93, 934; 1996, cc. 715, 720;2012, cc. 304 , 318. The chapters of the acts of assembly referenced in the historical citation at the end of this section may not constitute a comprehensive list of such chapters and may exclude chapters whose provisions have expired. 1 10/30/2020 COUNTY of FREDERICK Office of Treasurer P.O.Box 225 P& NVinchester,Virginia 22604-0225 5401665-5607 FAX 5401662-5838 R.Wayne Corbett,MGDT www.fTedtax.com Depute,Treasurer Operations C.William Orndoff,Jr.,MOT Angela Fritts Whitacre,MGDT County Treasurer Deputy Treasurer DATE: May 22,2420 TO: Roderick Williams.Frederick County Attorney FROM: C.William Orn ff,�Jr�tM r r,Frederick County RE: Code and Ordinan The Frederick County Treasurer would like to have the Frederick County Code 155-110 amended to conform with the state code of VA 58.1-3700 B. The County states: B. No such license shall be issued until the applicant has produced satisfactory evidence that all delinquent license,personal property,meals,transient occupancy, severance and admissions taxes owed by the applicant to the County have been paid which have been properly assessed against the applicant by the County The state Code states: § 58.1-3700. License requirement; requiring evidence of payment of business license, business personal property, meals and admissions taxes. Whenever a license is required by ordinance adopted pursuant to this chapter and whenever the local governing body shall impose a license fee or levy a license tax on any business, employment or profession, it shall be unlawful to engage in such business, employment or profession without first obtaining the required license. The governing body of any county, city or town may require that no business license under this chapter shall be issued until the applicant has produced satisfactory evidence that all delinquent business license,real estate,personal 107 NORTH KENT STREET • WINCHESTER.VIRGINIA 22601 property,meals,transient occupancy, severance and admissions taxes owed by the business to the county, city or town have been paid which have been properly assessed against the applicant by the county, city or town. Any person who engages in a business without obtaining a required local license, or after being refused a license, shall not be relieved of the tax imposed by the ordinance. Code 1950, § 58-239; 1984, c. 675; 1991,c, 267; 1993, cc. 93, 934; 1996, cc. 715, 720; 2012, cc. 304, 318. The addition to the County Code would be the words real estate as highlighted above in the state code. This would allow the Treasurer to withhold a businesss license for the nonpayment of real estate in that entity's name