SEC. 21.13. NEWLY ESTABLISHED BUSINESSES – COMPUTATION OF BUSINESS TAX.

(Amended by Ord. No. 177,246, Eff. 2/18/06, Oper. 1/1/06.)

(a) Except in cases where this article prescribes a different method to compute and pay the business tax for a newly established business, the business tax shall be obtained and paid in accordance with whichever of the following applies to the classification of newly established business:

1. When the annual business tax is measured by any of the following: gross receipts, gross production costs and gross receipts, gross cost of the work done, or gross receipts and salaries, wages, fees or other compensation paid, the applicant for a business tax registration certificate shall at the time of making application, pay a minimum amount of tax that will apply for the first year of operation. This minimum tax cannot be pro-rated. At the end of the business tax period, the taxpayer shall file a written statement as prescribed in Section 21.14 disclosing all the particulars required for the classification of that business. At the time of renewal, the taxpayer shall pay the actual tax owed for the first year of operation deducting any minimum tax previously paid for that year. This additional tax is computed at the current rate specified for the classification of that particular business. This tax is then measured and paid in the manner prescribed in Section 21.14. In all cases, the business tax shall be determined and paid in all business tax periods subsequent to the first business tax periods in the manner prescribed in Section 21.14.

2. When the annual business tax is measured by any of the following: the number of vehicles, machines, devices or articles of equipment used, the number of persons employed, square foot area, seating capacity, the scale of fees or other charges collected, the applicant for a business tax registration certificate shall file with the Director of Finance, a statement setting forth the applicable factors in use, expected to be in use, employed, or collected. The taxpayer is required to pay the business tax at the time of making the application when the business is started. The required application and the tax payment is due as follows: when the business tax period is daily, tax is due on or before the close of business on the day on which the business was started; when the business tax period is monthly or quarterly, the tax is due on or before the last day of the month in which the business was started; when the business tax period is annual, the tax is due on or before the last day of the month following the month in which the business was started. After the start of the business, the factor by which the tax is measured is increased in the first business tax period, an additional amount of tax becomes due, and this increase shall be reported and the additional amount of business tax paid in accordance with the provisions of Section 21.14. Business taxes in these cases for subsequent business tax periods shall be paid in accordance with the provisions of Section 21.14.

ness, the factor by which the tax is measured is increased in the first business tax period, an additional amount of tax becomes due, and this increase shall be reported and the additional amount of business tax paid in accordance with the provisions of Section 21.14. Business taxes in these cases for subsequent business tax periods shall be paid in accordance with the provisions of Section 21.14.

3. (i) When the provisions of this article impose a flat rate tax for a business tax period or a fractional part of a period, the applicant of a business tax registration certificate for a newly established business shall pay the business tax required at the time the application is made, without proration for any portion of the business tax period expired at the time the business started.

(ii) When the provisions of this article impose a flat rate tax for a business tax period without the requirement that the full amount of the tax be paid for the business tax period or any fractional part of the period, the applicant for a business tax registration certificate for a newly established business shall, at the time the application is made, pay the business tax required to be paid prorated for the even monthly portion of the business tax period, which is unexpired at the time the business is started.

(b) Except as otherwise provided in the foregoing cases, application by a newly established business for a business tax registration certificate and payment of the required business tax shall be made as follows: whenever the business tax period is daily, on or before the close of business on the day on which the business is started; whenever the business tax period is monthly or quarterly, on or before the last day of the month in which the business is started; whenever the business tax period is annual, on or before the last day of the month following the month in which the business started. In these cases, the business tax for subsequent business tax periods shall be paid when due and prior to the delinquency date provided in Section 21.05.