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19890411 1989-14ORDINANCE NO. 1989- ]4 AN ORDINANCE TO AMEND SECTION 12-24 (a), (b) AND (f), ARTICLE II, CHAPTER 12 OF THE CODE OF THE CITY OF FAIRFAX, VIRGINIA PERTAINING TO THE RATE FOR LICENSE TAXES FOR RETAIL SALES. BE IT ORDAINED by the City Council of the City of Fairfax, Virginia that Section 12-24 (a), (b) and (f), Article II, Chapter 12 of the Code of the City of Fairfax, Virginia is hereby amended in its entirety as follows: Sec. 12-24. Retail sales. (a) Every person engaged in retail sales, including operators of coin-operated machines or devices as defined below, shall pay for the privilege an annual license tax the greater of thirty dollars ($30.00) or twenty cents ($0.20) per one hundred dollars ($100.00) of gross receipts based upon the gross receipts from such retail sales in the next preceding calender year. However, such tax shall be exactly thirty dollars ($30.00) for peddlers and itinerant merchants, as defined in (b) below, ~e~me~-~m-~-bel~w. In addition, no tax shall be imposed upon a direct seller, as defined in (b) below, unless the total sales of such seller exceed four thousand dollars ($4,000.00) per year. (b) For the purposes of this section, the following words and phrases shall have the meanings respectively ascribed to them by ~his subsection: ~t$~erant merchant. Any person who engages in, does or transacts any temporary or transient business in the state, either in one locality or in traveling from place to place in the sale of goods, wares and merchandise, and who for the purpose of carrying on such business hires, leases, uses or occupies any building or structure, motor vehicle, tent, car, boat or public room or any part thereof, including rooms in hotels, lodging houses or houses of private entertainment, or in any street, alley or public place in any city or town, or in 1989-14 -2 any public road in any county, for a period of less than one year, for the exhibition of or sale of such goods, wares or merchandise. Operator of coin-operated machine or device. Any person selling, leasing, renting or otherwise furnishing or providing a coin-operated machine or device operated on a coin-in-the- slot principle within the city; provided, however, the term #operator of coin-operated machines or devices" shall not include a person owning less than three coin machines and operating such machines on property owned or leased by such person. Peddler. Any person who carries from place to place any goods, wares or merchandise and offers to sell or actually sells and delivers at the same time. Such person does not keep a regular place of business with regular business hours. Any person who keeps a regular place of business, with regard business hours at the same place, who other than at that regular place of business, personally or through agents offers for sale or sells and, at the time of such offering for sale, delivers goods, wares and merchandise is a peddler. Retail merchant. Any person who makes retail sales. Retail sale. The sale of goods, wares and merchandise for any purpose other than resale but not including sales at wholesale to institutional, commercial and industrial users. Direct seller. Any person who engages in the trade or business of sellinq or solicitinq the sale of consumer products primarily in private residences and maintains no public location for the conduct of such business and receives remuneration for such activities, with substantially all of such remuneration beinq directly related to sales or other sales-oriented services, rather than to the number of hours worked, and performs such activities pursuant to a written contract between such person and the person for whom the activities are performed and such contract provides that such person will not be treated as an employee with respect to such activities for federal tax purposes. 1989-14 -3 (f) Banks and savings and loan associations that sell promotional items are engaged in retail sales as to the sales of the promotional items and are not exempt from the city license taxation as to those sales. However, no license tax levied on a savings and loan association shall exceed fifty dollars ($50.00) and shall be levied only where the main office of such association is located. This ordinance shall become effective December 31, 1989. INTRODUCED: PUBLIC HEARING: ADOPTED: ATTEST: March 28~ 1989 April ll, 1989 April ll, 1989 City~Ci~rk --