§ 6-32. Definitions.

As used in this article the term:

Administrative fee means the component of an occupation tax which approximates the reasonable cost of handling and processing the occupation tax.

Criteria for taxation means that under this article in determining the amount of occupation tax to be levied on an individual business or practitioner the city shall use gross receipts of the business or practitioner in combination with the profitability for the type of business, profession, or occupation as measured by nation-wide averages derived from statistics, classifications, or other information published by the United States Office of Management and Budget, the United States Internal Revenue Service, or successor agencies of the United States (O.C.G.A. § 48-13-10(a)(3)). For businesses or practitioners with more than one (1) type of service or product, the city will classify the entire gross receipts by the dominant service or product.

Employee means an individual whose work is performed under the direction and supervision of the employer and whose employer withholds FICA, federal income tax, or state income tax from such individual's compensation or whose employer issues to such individual for purposes of documenting compensation a form I.R.S. W-2 but not a form I.R.S. 1099.

Gross receipts means the total revenue of the business or practitioner for the period, including without being limited to the following:

(1)

Total income without deduction for the cost of goods or expenses incurred;

(2)

Gain from trading in stocks, bonds, capital assets, or instruments of indebtedness;

(3)

Proceeds from commissions on the sale of property, goods, or services;

(4)

Proceeds from fees charged for services rendered; and

(5)

Proceeds from rent, interest, royalty, or dividend income.

Gross receipts shall not include the following:

(1)

Sales, use, or excise tax;

(2)

Sales returns, allowances, and discounts;

(3)

Interorganizational sales or transfers between or among the units of a parent-subsidiary controlled group of corporations as defined by 26 U.S.C. § 1563(a)(1), between or among the units of a brother-sister controlled group of corporations as defined by 26 U.S.C. § 1563(a)(2), or between or among wholly owned partnerships or other wholly owned entities;

(4)

Payments made to a subcontractor or an independent agent; and

(5)

Governmental and foundation grants, charitable contributions, or the interest income derived from such funds, received by an nonprofit organization which employs salaried practitioners otherwise covered by this article, if such funds constitute eighty (80) percent or more of the organization's receipts; and

(6)

Proceeds from sales to customers outside the state.

Location or office shall include any structure or vehicle in the city where a business, profession, or occupation is conducted, but shall not include a temporary or construction work site which serves a single customer or project or a vehicle used for sales or delivery by a customer or practitioner of a profession or occupation which has a location or office.

Occupation tax means a tax levied on persons, partnerships, corporations or other entities for engaging in an occupation, profession or business and enacted by the city commission as a revenue-raising ordinance.

Occupation tax certificate means a document issued by the city acknowledging payment of the occupation tax and administrative fee. Until the city's present stock of "business license" forms is exhausted, they may be used in place of said "tax certificate".

Practitioner of professions and occupations shall not include a practitioner who is an employee of a business, if the business pays an occupation tax.

Regulatory fee means the payment required by the city as an exercise of its police power as part of or as an aid to regulation of an occupation, profession or business, the amount of which shall approximate the reasonable cost of the actual regulatory activity performed by the city. Regulatory fees do not include an administrative fee. Also, development impact fees or other costs imposed as conditions of zoning or land development are not regulatory fees for purposes of this article. See O.C.G.A. § 48-13-5(6).

Regulatory fee certificate means a document issued by the city acknowledging payment of regulatory fee.

Regulatory fees means payments, whether designated as license fees, permit fees, or by another name, which are required by the city commission as an exercise of its police power and as a part of or as an aid to regulation of an occupation, profession, or business. The amount of a regulatory fee approximates the reasonable cost of the actual regulatory activity performed by the city. A regulatory fee may not include an administrative fee. Regulatory fees do not include development impact fees as defined by paragraph (8) of O.C.G.A. § 36-71-2 or other costs or conditions of zoning or land development.

Standard industrial classification shall mean categories of occupations and industries established by the promulgated by the office of management and budget of the United States of America and found in the Standard Industrial Classification Manual of 1987.

(Ord. No. 0-94-27, § 2, 12-20-94; Ord. No. 0-95-45, § 2, 12-19-95)