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HomeMy WebLinkAbout22 - TAXATION
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Chapter 22
TAXATION.
Article I. In General
Sec. 22-1. Lodgers'tax.
Sec. 22~2. Admissions tax..
Sees. 22-3-22-20. Reserved.
Article II. Sales and Use Tax
Division 1. Generally
See. 22-21. Definitions and usage.
See. 22-22. Legislative intent.
See. 22-23. MotOr vehicles.
Sees. 22-24-22-32. Reserved.
Division 2. Administration and Enforcement
Sec. 22-33. Administrative authority of treasurer.
Sees. 22-34, 22-35. Reserved.
Sec. 22-36. Disputes; refunds, limitation of actions.
Sec. 22-37. Nonresident vendor.
Sec. 22-38. Transfer of ownership of business; renewal or issuance of busi-
ness license.
Liability of retailer or vendor for collection.
Reports by vendor; payment of tax.; monies collected held in trust.
Sales or use tax; deficiency.
Business records; burden of proof.
Refusal to report; estimate of tax; emergency collection proce-
dures; penalties and interest.
Sec. 22-44. Limitation of action.
See. 22-45. Taxpayer remedies.
See. 22-46. Additional remedies of city.
See. 22-47. Intercity claims for recovery.
See. 22-48. Notice of sales and use tax ordinance amendment.
See. 22-49. Participation in simplification meetings.
Sees. 22.50-22-55. Reserved.
Sec. 22-39.
Sec. 22-40.
See. 22-41.
Sec. 2242.
Sec. 2243.
Division 3. Sales Tax
See. 22-56. Schedule.
Sec. 22-57. Property and service subject to tax.
Sec. 22-58. Exempt sales.
Sees. 22-59-22-65. Reserved.
Division 4. Use Tax
Sec. 22-66. Property subject to tax.
Sec. 22-67. Exemptions.
Sec. 22-68. Building materials and supplies.
Sees. 22-69-22-72. Reserved.
.Charter reference-Taxation, ~ 11.1 et seq.
Cross references-Improvement districts, Ch. 10; licenses, permits and miscellaneous business regulations, Ch. 11.
State law references-Home rule powers, Co. Canst. Art. XX, ~ 6; municipal taxation, C.R.S. ~ 31-20-101 et seq.
Supp. No. 19
1431
Supp. No. 19
Sec. 22-73.
See. 22-74.
See. 22-75.
See. 22-76.
Sec. 22-77.
See. 22- 7S.
Sec. 22-79.
Sec. 22-80.
See. 22-81.
Sec. 22-S2.
See. 22-83.
See. 22-S4.
WHEAT RIDGE CITY CODE
Division 5. Enhanced Sales Tax Incentive Program
Program established.
Purpose.
Definitions.
Participation.
Approval of agreement; use of funds generally.
Uses enumerated.
Increments, sharing of funds.
Revenues restricted.
Capital improvement fund.
Criteria for approval of application.
Agreement required.
Joint venture; liability.
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Division 6. Business Development Zone
See. 22-S5. Program established.
Sec. 22-86. Legislative declarations.
Sec. 22-87. Definitions.
Sec. 22-8S. Participation.
Sec. 22-89. Approval of agreement; use of funds generally.
See. 22-90. Uses enumerated.
See. 22-91. Increments, sharing of funds.
See. 22-92. Capital improvement fund.
Sec. 22-93. Criteria for_ approval of application.
See. 22-94. Agreement required.
Sec. 22-95. Joint venture liability.
See. 22-96. ESTIP and TIF.
Sees. 22-97-22-99. Reserved.
See. 22-100.
See. 22-101.
See. 22-102.
See. 22-103.
See. 22-104.
Sec. 22-105.
See. 22-107.
Article m. Basic Local Telecommunications Service
.
Levy of tax.
Definitions.
Local purpose.
Amount and payment of tax.
Failure to pay.
Inspection of records.
Tax in lieu of other occupation taxes.
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TAXATION
ARTICLE I. IN GENERAL.
Sec. 22-1. Lodgers' tax.
(a) Tax imposed; conditions. There is hereby
imposed an excise tax on the price paid or charged
for the lease, rental or on the transaction of
furnishing rooms or accommodations to any per-
son who for a consideration uses, possesses or has
the right to use or possess any room or rooms or
other accommodations in any hotel, apartment
hotel, guesthouse, guest ranch, mobile home, auto
camp, trailer court or park, or any other place
furnishing rooms or other accommodations under
any concession, permit, right of access, license to
use or other special agreement. Such tax on
accommodations shall be subject to the following
conditions:
(1) The tax hereby imposed shall be in lieu of
city sales tax on such rental or furnishing
of accommodations. The tax hereby cre-
ated in this section shall not apply to the
sale or sales of any goods, services or
commodities other than the furnishing of
rooms and accommodations.
(2) The tax hereby imposed shall be collected
and paid at the rate often (10) percent of
the purchase price paid or charged for
such accommodations and shall exclude
the sale of any goods, services and com-
modities other than the furnishing of rooms
or other accommodations.
(3) The person, partnership, corporation or
other entity making such rooms or other
accommodations available shall for all
purposes of this chapter be deemed to be a
"retailer" or "vendor," as defined in sec-
tion 22-21 of this chapter.
(4) The rental or furnishing of accommoda-
tions for a period of at least thirty (30)
consecutive days shall be exempt from the
tax hereby created. For purposes of estab-
'Editor'. note-Section 2 of Ord. No. 1988-7S1, adopted
Dec. 12, 19S5, repealed Ord. No. 1985.642, adopted Jan. 1,
1986, from which ordinance was derived the prm;;.sions codi-
fied herein as ~~ 22.1 and 22-2. Section 1 ofOrd. No. 19S5-7S1
enacted new provisions, relative to the same subject matter,
which have been included herein as a new Art. 1_, 99 22-1 and
22-2. of Ch. 22.
Supp. No. 22
~ 22-2
lishing the thirty-day period, the accom-
modation may not be transferred or trans-
ferable by one consumer or person or
entity to any other consumer, person or
entity.
(b) Conditions for collection and enforcement.
The provisions for collection and enforcement of
lodgers' tax shall be the same as collections and
enforcement of sales and use tax.
(Ord. No. 1988-781, ~ 1(21-27), 12-12-88; Ord. No.
1991-869, ~3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91; Ord. No. 1996-1060, ~ 1, 12-16-96; Ord.
No. 1998-1138, ~~ I, 3, 11-23-98)
Sec. 22_2.Aibnis~onstax.
(a) Thx imposed; conditions. There is hereby
imposed an excise tax of four (4) percent of each
admission charge on every vendor who charges
admission to an amusement or entertainment
event, as defined in section 22-21 of this Code of
Laws, within the city. Such tax is in lieu of all
other taxes imposed by this chapter or other law.
(b) Exempt transactions. The following per-
sons are exempt from the payment or collection of
the tax imposed by this section:
(1) The United States government and the
State of Colorado, and the political subdi-
visions thereof, including the city, in the
conduct of their governmental functions.
(2) Religious and charitable organizations in
the conduct of their religious and charita-
ble functions; provided, that an exempt
institution license from the city is pos-
sessed by such organization.
(3) A school, other than a school held or
conducted for private or corporate profit,
in the conduct of its educational func-
tions; provided, that a letter of exemption
from the city is possessed by such school.
(4) Any person who refunds an admission
charge for any reason, either before or
after an amusement or entertainment
event has taken place, and refunds the
tax along with the charge.
(5) Any person who provides free passes, com-
plimentary admission tickets or other-
1433
~ 22-2
WHEAT RIDGE CODE
wise does not collect an admission charge,
but if such person imposes a reduced
charge, whether for a pass, complimen-
tary admission or otherwise, the tax im-
posed in this section is applicable to the
amount of such charge.
(6) Notwithstanding the foregoing, exempt
from taxation under this section shall be
nonprofit museums, whether operated by
public or private entities, and art exhibits
or shows or other events sponsored by the
city and held at city-owned facilities.
(c) ConditiOns for collection and enforcement.
The provisions for collection and enforcement of
the admissions tax shall be the same as collec-
tions and enforcement of sales and use tax.
(Ord. No_ 1988- T81, S 1(21-28), 12-12-88; Ord. No.
1991-867, S 3, 9-1-91; Ord_ No. 1991-123, S 1,
12-23-91; Ord. No. 1996-1060, S 2, 12-16-96)
Sees. 22.3-22.20. Reserved.
ARTICLE II. SALES AND USE TAX.
DIVISION 1. GENERALLY
Sec. 22.21. Definitions and usage.
(a) Terms defined. As used in article II of
chapter 11, sections 22-1 and 22-2, and this arti-
cle, and wherever else in this Code they may be
applicable, the following words and phrases shall
have the following meanings:
Access services: The services furnished by a
local exchange company to its customers who
-Editor's note-,Section 2 of Ord. No. 1985-7S1, adopted
Dee. 12, 1985, repealed Ord. No. 19S5-642, adopted Jan. I,
19S6; OId.No. 1986-696, adopted Nov. 1, 1986: and Ord. No.
1987-711, adopted Feb. 13, 1987, from which were derived the
provisions codified herein as Art. II. ~~ 22-21-22-23. 22-33,
22-36-22-46, 22-56-22.58. and 22.66-22-68, of Ch. 22.
Section 1 of said Ord. No. 1988-781 enacted provisions, rela-
tive to the same subject matter, which have been included
herein as a new Art. II of Ch. 22.
Charter reference-Revenue bonds funded by sales and
use tax, ~ 12.5.
State law reference-Municipal sales or use tax, C.R.S.
~ 29-2-101 et seq.
Supp. No. 22
provide telecommunications services which allow
them to provide such teleco=unications ser-
vices.
Admission charge: Any charge for the right or
privilege to gain entrance to any place, event,
performance or scheduled activity held within the
city; and every person, business, corporation or
association, whether owner, lessee, operator or
sublessee, who or which charges or causes to be
charged admission as defined herein shall be
responsible for the collection of the tax imposed
by this article. This tax is defined as an admis-
sions tax.
Alarm and security systems services and I or
sales: The entire service charge or purchase price
including freight for any alarm or security sys-
tem. This charge or price includes, but is not
limited to, compensation paid for monitoring,
maintenance, rental, lease, material, equipment
or installation of alarm or security systems.
Amusement or entertainment event: Any event
where a person pays to gain admission to any
place in the city that is open to the public, or to
gain access to a performance, stage show, play,
concert, or to a sporting or recreation event, or to
a motion picture, or to the use of lanes and
pinsetters for bowling balls in a bowling alley or a
game of regular or miniature golf, and other
activities as defined by the city treasurer and
promulgated in the city's regulations.
Auction: Any sale where tangible personal prop-
erty is sold by an auctioneer who is either the
agent for the owner of such property or is in fact
the owner thereof.
Auction or estate liquidation sale: Any sale
conducted or transacted at a permanent place of
business operated by an auctioneer or estate
liquidator, or a sale conducted or transacted at
any location where tangible personal property is
sold by an auctioneer or estate liquidator or any
such individual or business acting either as agent
for the owner of such tangible personal property
or is in fact the owner thereof.
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Automotive vehicle or motor vehicle: Any vehi-
cle or device in, upon or by which any person or
property is or may be transported or drawn upon
a public highway, or any device used or designed
for aviation or flight in the air. "Automotive
vehicle" includes, but is not limited to, motor
vehicles, trailers, semi-trailers or mobile homes.
"Au_
Supp. No. 1S
TAXATION
~ 22-21
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TAXATION
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tomotive vehicles" shall not include devices moved
by human power or used exclusively upon sta-
tionary rails or tracks.
Bowling alley operator: Any person, whether
owner, operator, lessee or any other. person, who
charges or causes to be charged admission to a
bowling alley or fees for the utilization, lease or
rental of bowling alleys and pinsetters for bowling
balls in a bowling alley open to the public, in-
cluding charges for bowling by the line.
Business: All activities engaged in or caused to
be engaged in with the object of gain, benefit or
advantage, directly or indirectly.
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Canvasser: Any person, whether as volunteer,
agent, organizer or employee of an exempt or char-
itable organization, who travels by foot, wagon,
motor vehicle, pushcart or any other method of
transportation from house to house or.from street
to street, or in and upon public parks or properties
to distribute informational literature to solicit
charitable contributions or to engage in other ac-
tivities protected by the First Amendment of the
United States Constitution_ .
Capital lease: A lease with characteristics of a
purchase, as defined by generally accepted ac-
counting principles. The intent of the vendor ev-
idenced by the treatment of the lease in the ven-
dor's fmancial statements, past course of dealings
and usage of trade will also be considered as a
basis of classifying a lease as capital in nature.
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Charitable organization: Any entity organized
and operated exclusively for religious, charitable,
scientific, testing for public safety, literary or ed-
ucational purposes; or to foster national or inter-
national amateur sports competition (but only if
no part of its activities involve the provision of
athletic facilities or equipment); or for the preven-
tion of cruelty to children or animals, no part of
the net earning of which inures to the benefit of
any private sharehnlrl",. n,. individual, no substan-
tial part of the activities of which is carrying on
propaganda, or otherwise attempting to influence
legislation, and which does not participate in, or
intervene in (including the publishing or distrib-
uting of statements), any political campaign on
behalf of any candidate for public office.
Supp. No. 13
~ 22-21
Carrier access services sale: Any charge by local
telephone exchange companies to providers of in-
terchange telecommunications services for use in
providing their interchange telecommunications
services.
City: The City of Wheat Ridge, Colorado.
City Code: The Code of Laws of the City of Wheat
Ridge, Colorado.
Computer software: The internalized instruc-
tion code which controls the basic operation (i.e.,
arithmetic and logic) of the computer, causing it
to execute instructions contained in system pro-
grams as an integral part of the computer. Com-
puter software is also one in which instructions
and routines (programs) are determined neces-
sary to program the customer's electronic data
processing (EP A) equipment to enable the cus-
tomer to accomplish specific functions with his
EDP system. The software may be in the form of:
(1) Systems programs (except for the instruc-
tion codes which are considered tangible
property in this definition)-Programs that
control the hardware itself and allow it to
compile, assemble and process application
programs;
(2) Application programs-Programs that are
created to perform business functions, or
control, or monitor process;
(3) Prewritten (canned) programs-Programs
that are either systems programs or appli-
cation programs and are not written specif-
ically for the user; or
(4) Custom programs-Programs created spe-
cifically for the user.
Construction equipment: All pieces of portable
machinery, vehicles and other types of equipment
used directly or indirectly to build, erect or oth-
erwise construct buildings, roads, bridges or any
construction project or to aid in such building or
construction.
Construction material: Tangible personal prop-
erty which, when combined with other tangible
personal property, loses its identity to become an
integral and inseparable part of a completed struc-
ture or project, including public and private im-
1435
~ 22.21
WHEAT RIDGE CITY CODE
provements. Construction materials include, but
are not limited to, such things as: asphalt, bricks,
builders' hardware, caulking material, cement,
concrete; conduit, electric wiring.and connections,
flooring, glass, gravel, insulation, lath, lead, lime,
lumber, macadam, millwork, mortar, oil, paint,
piping, pipe valves and pipe fittings, plaster,
plumbing fIxtures, putty, reinforcing mesh, road
base, roofmg, sand, sanitary sewer pipe, sheet
metal, site lighting, steel, stone, stucco, tile, trees,
shrubs and other landscaping materials, wall-
board, wall coping, wallpaper, weather stripping,
wire netting and screen, water mains and meters
and wood preserver. The above materials, when
used in form.s, or other items which do not remain
as an integral or inseparable part of a completed
structure or project, are not construction mate-
rials. Construction materials do not include such
things as: carpeting, equipment, furniture, remov-
able fIxtures, window coverings or similar items.
Construction project: The erection, installation,
demolition, alteration, repair or remodeling of a
building or structure upon real estate, and any
other activity for which a building permit ~s re-
quired under the city Code.
Consume: The utilization of any item of tan-
gible personal property in the provision of any
service or in the production of any physical product
or other item of tangible personal property.
Consumer: Any individual person or persons or
entity engaged in business in the city who buys,
uses, stores, distributes or otherwise consumes in
the city tangible personal property or taxable ser-
vices purchased from sources inside or outside the
city.
Consumer deductions: Those items that may be
deducted from gross sales and service on the
sales/use tax return.
Customer access service charge: Any direct
charge by local telephone exchange companies to
the consumer.
Dwelling unit: A building or any portion of a
building designed for occupancy as complete, in-
dependent living quarters for one (1) or more per-
sons, having direct access from the outside ofthe
Supp. No. 13
building or through a common hall and having
living, sleeping, kitchen and sanitary facilities for
the exclusive use of the occupants.
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Drugs dispensed in accordance with a prescrip-
tion or prescription drugs: Drugs dispensed in ac-
cordance with any order in writing, dated and
signed by a licensed practitioner of the healing
arts, or given orally by a practitioner, and imme-
diately reduced to writing by the pharmacist, as-
sistant pharmacist or pharmacy intern, specifying
the name and address of the person for whom the
medicine, drug or poison is offered and directions,
if any, to be placed on the label.
Engaged in business in the city: Performing or
providing services or selling, leasing, renting, de-
livering or installing tangible personal property
for storage, use or consumption within the city.
"Engaged in business in the city" includes, but is
not limited to, anyone of the following activities
by a person:
(1) Directly, indirectly or by.a.subsidiary main-
tains a building, store, office, salesroom,
. warehouse, or other place of business within
the taxing jurisdiction;
(2) Send one or more employees, agents or com-
missioned sales persons into the taxing ju-
risdiction to solicit business or to install,
assemble, repair, service or assist in the
use of its products, or for demonstration for
other reasons;
(3) Maintains one or more employees, agents
or commissioned sales persons duty at a lo-
cation within the taxing jurisdiction;
(4) Owns, leases, rents or otherwise exercises
control over personal property, commercial
real property or more than ten (10) residen-
tial dwelling units within the taxing juris-
diction; or
(5) Makes more than one delivery Into the
taxing jurisdiction within a twelve-month
period.
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Exempt commercial packaging materials: Con-
tainers, labels and shipping cases sold to a person
engaged in manufacturing, compounding, or
.
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TAXATION
wholesaling, jobbing, retailing, packaging, distrib-
uting or bottling for sale, profit or use that meets
all of the following conditions:
(1) Is used by the manufacturer, compounder,
wholesaler, jobber, retailer, packager, dis-
tributor or bottler to contain or label the
finished product;
_ (2) Is transferred by such person along with
and as a part of the finished product to
the purchaser; and
(3) Is not refundable to said person for reuse.
Exempt organization: Any governmental,
quasigovernmental, religious or charitable orga-
nization which has applied for, and been assigned,
an exempt institution license from the City of
Wheat Ridge.
Farm closeout sale: Full and final disposal of all
tangible property previously used by a farmer or
rancher in farming or ranching operations which
are being abandoned.
Finance director: The treasurer of the City of
Wheat Ridge or his designee.
Food: Food which is advertised or marketed for
human consumption and is sold in the same form,
condition, quantities and packaging as is com-
monly sold by grocers. The term includes cereals
and cereal products; milk and milk products;
meat and meat products; fish and fish products;
eggs and egg products; vegetables and vegetable
products; fruit and fruit products; sugar and
sugar products and sugar substitutes; coffees and
coffee substitutes; teas; cocoa and cocoa products;
candy; ice for human consumption; distilled water
for human consumption; and spices, condiments,
salt and oleo-margarine. The term also includes
food or drink served or furnished in or by restau-
rants, cafes, lunch counters, cafeterias, hotels,
drugstores, social clubs, nightclubs, cabarets, re-
sorts, snack bars, caterers, delicatessens, car-
ryout shops and other like places of business at
which prepared food or drink is regularly sold,
including sales from pushcarts, motor vehicles
and other mobile facilities; chewing gum, spiritu-
ous, malt or vinous liquor; proprietary medicines;
nostrums, lozenges; tonics; carbonated beverages
including carbonated water marketed in contain-
Supp. No. 22
~ 22-21
ers; nonalcoholic cocktail mixes; vitamins and
other dietary supplements; pet foods; seeds and
plants to grow food; food or drink furnished,
prepared or served for consumption at tables,
chairs or counters or from trays, glasses, dishes or
other tableware provided by the vendor; prepared-
food or drink sold by vendors who regularly sell
for consumption on or near the premises of the
vendor, even though such food or drink is sold on
a takeout or to-go order and is bagged, packaged
or wrapped and taken from the premises of the
vendor; and food or drink vended by or through
machines on behalf of a vendor.
Gross sales: The total amount received in money,
credit, property or other consideration valued in
money for all sales, leases, or rentals of tangible
personal property or services.
Healthcare facility: An individual or entity
engaged in providing medical services, supplies,
room and board to individual persons, and provid-
ing a place for healthcare services to be con-
ducted. The medical services may be of a thera-
peutic, diagnostic, prognostic or of a rehabilitative
nature. Healthcare facilities may include, but not
be limited to: health resorts; spas; sanatoriums;
sanitariums; rest homes; convalescent homes; hos-
pitals for humans or animals, whether for profit
or not-for-profit; wellness centers; psychiatric,
vocational, mental or physical rehabilitation cen-
ters; extended day care centers; and self-help
preventive medicine/education centers.
Hotel room, motel room or other accommoda.
tions: Any room or other accommodation in any
hotel, apartment-hotel, motel, guesthouse, trailer
court or park, or any similar place furnishing
rooms or other accommodations to any person or
animal who, for consideration, uses, possesses or
has the right to use or possess, for any reason
allowable by law, such room or other accommoda-
tion for a total continuous duration of less than
thirty (30) days. For purposes of establishing the
thirty-day period, the accommodation may-not-Jre--
transferred or transferable by one consumer or
person or entity to any other consumer, person or
entity.
License: A City of Wheat Ridge sales and use
tax license and/or general business license.
1437
~ 22.21
WHEAT RIDGE CODE
Linen services: Services involving provision aild
cleaning of linens, including, but not limited to,
rags, uniforms, coveralls and diapers.
Local exchange company: Any person who pro-
vides public telephone or telecommunication ex-
change access lines, mobile telecommunications
or channels necessary to effect the transfer of
two-way voice communication or other data con-
veyance from within the city.
Lodgers' tax: The amount assessed or charged
by this chapter and collected by retailers and
vendors on the purchase price paid or charged for
the lease, rental or on the transaction of furnish-
ing rooms or accommodations to any person who
for a consideration uses, possesses or has the
right to use or possess any room or rooms or other
accommodations in any hotel, apartment hotel,
guesthouse, guest ranch, mobile home, auto camp,
trailer court or park, or any other place furnish-
ing rooms and accommodations under any conces-
sion, permit, right of access, license to use or
other agreement or otherwise.
Lodging services: The furnishing of rooms or
accommodations by any person, partnership, as-
sociation, corporation, estate, representative ca-
pacity or any other combination of individuals by
whatever nameknown~ to a person who for a
consideration uses, possesses or has the right to
use or possess any room in a hotel, inn, bed and
breakfast_ residence, ~ apartment, hotel,
lodginghouse, motor hotel, guesthouse, guest ranch,
trailer coach, mobile home, auto camp, or trailer
court and park or similar establishment for a
period of less than thirty (30) days under any
concession, permit, right of access, license to use,
or other agreement or otherwise.
Medical equipment: All items of tangible per-
sonal property utilized by a physician, dentist or
veterinarian, or which is utilized within a
healthcare facility, in the rendering or delivery of
medical or healthcare services to any person or
animal.
Medical supplies: Drugs dispensed in accor-
dance with a prescription; insulin in all its forms
dispensed pursuant to the direction of a licensed
physician; glucose useable for treatment of insu-
lin reactions; urine- and blood-testing kits and
Supp. No. 22
materials; insulin measurii1g and injecting de-
vices, including hypodermic syringes and needles;
prosthetic devices; wheelchairs and hospital beds;
drugs or materials when furnished by a doctor as
part of professional services provided to a patient;
and corrective eyeglasses, contact lenses or hear-
ing aids; provided, that these definitions include
items purchased for use by medical and dental
practitioners or medical facilities in providing
their services, even though certain of those items
may be packaged for single use by individual
patients after which the item would be discarded_
Mobile machinery: Those vehicles, self-pro-
pelled or otherwise, which are not designed pri-
marily for the transportation of persons or cargo
over the public highways, and those motor vehi-
cles which may have originally been designed for
the transportation of persons or cargo over the
public highways, and those motor vehicles which
may have originally been designed for transpor-
tation of persons or cargo, but which have been
redesigned or modified by the mounting thereon
of special equipment or machinery, and which
may be only incidentally operated or moved over
the public highways. This definition iricludes, but
is not limited to, wheeled vehicles commonly used
in the construction, maintenance and repair of
roadways, the drilling of wells and the digging of
ditches.
Municipality: Any municipal corporation or
similar form of local government in Colorado, or
another state, except counties, school districts or
special districts, and the City of Wheat Ridge;
including any city, town, and city and county,
whether organized pursuant to charter, constitu-
tion or statute.
Newspaper: A publication, printed on news-
print, intended for general circulation, and pub-
lished regularly at short intervals, containing
information and editorials on current events and
news of general interest. The term "newspaper"
does not include: magazines, trade publications or
journals, credit bulletins, advertising inserts,
circulars, directories, maps, racing programs, re-
prints, newspaper clipping and mailing services
or listings, publications that include an updating
or revision service, books or- pocket editions of
books.
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Newspaper advertising supplements: Inserts,
attachments or supplements that are primarily
devoted to advertising and the distribution, inser-
tion or attachment of which is paid for by the
advertiser.
Nonprofit organization: Any entity organized
and operated exclusively for religious, charitable,
scientific, testing for public safety, literary or
educational purposes; or to foster national or
international amateur sports competition; or the
prevention of cruelty to children or animals, no
part of the net earnings of which inures to the
benefit of any private shareholder or individual,
no substantial part of the activities of which is
carrying on propaganda, or otherwise attempting
to influence legislation, and which does not par-
ticipate in or intervene in any political campaign
on behalf
Supp. No. 22
TAXATION
~ 22-21
1438_1
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TAXATION
of any candidate for public office. For purposes of
this chapter, an entity's status as exempt from
federal and/or state income taxes is in no way a
controlling factor in the city's determination of an
entity's "nonprofit" status.
Nonresident vendor: Any retailer or vendor
whose place of business is outside the city.
Open to the public: Any place or event to which
admission or access is open to members of the
general public. This term includes, without limi-
tation, the following places or events where a
charge or fee for admission is imposed upon mem-
bers of the public:
(1) Any performance of a motion picture, stage
show, play, concert or other manifestation
of the performing arts;
(2) Any sporting or athletic contest, exhibit or
event, either amateur or professional;
(3) Any lecture, rally, speech, dissertation or
educational seminar;
(4) Any showing, display or exhibition of any
type, including art exhibitions;
(5) Any restaurant, tavern, lounge or club,
whether the admission is called a "cover
charge," ledoor charge" or any other such
term.
Pay television shall include, but not be limited
to, cable, microwave or other television service for
which a charge is imposed.
Peddler: Any person, whether as volunteer,
owner, agent, consignee or employee, who em-
gages in a temporary business of selling and de-
livering goods within the city, and who, in fur-
therance of such purpose, leases, uses or occupies
any tent, temporary structure, stand or outdoor
location on private property for the exhibition and
sale of such goods. This definition shall include
any person who associates temporarily with any
local dealer, trader, merchant or auctioneer, or
conducts a transient business in connection with,
as a part of or in the name of any local dealer,
trader, merchant or auctioneer. This definition
shall not include any person who holds a general
bushiess license from the city and operates in full
compliance with the zoning code of the city.
Supp. No.9
!} 22.21
Person: Any individual, firm, copartnership,
joint venture, corporation, estate or trust, receiver,
trustee, assignee, lessee or any person acting in
fiduciary or representative capacity, whether ap-
pointed by a court or otherwise, or any group or
combination acting as a group and the plural as
well as singular number.
Point of destination: The address to which an
item is delivered by the seller to the purchaser
whether by common carrier, mail or conveyed by
the seller.
Preprinted newspaper supplements shall mean
inserts, attachments or suppiements circulated in
newspapers that are primarily devoted to adver-
tising and the distribution, insertion or atttach-
ment of which is commonly paid for by the adver-
tiser.
Prescription drug: A substance for human or
animal consumption used in the treatment or pre-
vention of disease or other illness, the sale of which
is delivered on a written order dated and signed
by a member of the healing arts, specifying the
name and address of the patient for whom the
medical substance is ordered and directions, if any,
to be placed on the label or dispensed in the prac-
titioner's office. "Prescription drug" does not in-
clude any medical substance which may be pur-
chased by the general public without a physician's
prescription except for insulin and insulin in-
jecting and measuring devices.
Prescription drugs for animals: Drugs dispensed
in accordance with any order in writing, dated
and signed by a practitioner, or given orally by a
practitioner, specifying the animal for which the
medicine or drug is offered and directions, if any,
to be placed on the label.
Price or purchase price: The price to the con-
sumer, exclusive of any direct tax imposed by the
federal government or by this article, and, in the
case of all retails sales involving the exchange or
property, also exclusive of the fair market value
of the property exchanged at the same time and
place of the exchange, if:
(1) Such exchanged property is to be sold there-
after in the usual course of the retailer's
business; or
1439
S 22.21
WHEAT RIDGE CITY CODE
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(2) Such exchanged property is a vehicle and is
exchanged for another vehicle and both ve-
hicles are subject to licensing, registration
or certification under the laws of this state,
including, but not limited to, vehicles oper-
ating upon public highways, off-highway
recreation vehicles, watercraft and aircraft.
.Any money or other consideration paid over
and above the value of the exchanged prop-
erty is subject to tax.
"Price" or Bpurchase price" includes:
(1) The amount of money received or due in
cash and credits;
(2) Property at fair market value taken in ex-
change but not for resale in the usual course
of the retailer's business;
(3) Any consideration valued in money, such
as trading stamps or coupons, whereby the
manufacturer or $omeone else reimburses
the retailer for part of the purchase price
and other media of exchange;
(4) The total price charged on credit sales in-
cluding finance charges which are not sep-
arately stated. An amount charged asin-
terest on the unpaid balance of the purchase
price is not part of the purchase price un-
less the amount added to the purchase price
is included in the principal amount of a
promissory note; except the interest or car-
rying charge set out separately from the
unpaid balance of the purchase price on the
face of the note is not part of the purchase.
price. An amount charged for insurance on
the property sold and separately stated is
not part of the purchase price;
(5) Installation, delivery and wheeling-in
charges included in the purchase price and
not separately stated;
(6) Transportation and other charges to effect
delivery of tangible personal property to the
purchaser;
(7) Indirect federal manufacturers' excise
taxes, such as taxes on automobiles, tires
and floor stock;
(8) The gross price of articles sold after manu-
facturing or after having been made to
Supp. No.9
order, including the gross value of all the
materials used, labor and service performed
and the profit thereon.
"Price" or "purchase price" shall not include;
(1) Any sales or use tax imposed by the State
of Colorado or by any political subdivision
thereof;
(2) The fair market value of property ex-
changed ifsuch property is to be sold there-
after in the retailer's usual course of busi-
ness. This is not limited to exchanges in
Colorado. Out-of-state tradein's are an al.
lowable adjustment to the purchase price.
(3) Discounts from the original price if such
discount and the corresponding decrease in
sales tax due is actually passed on to the
purchaser. An anticipated discount to be
allowed for payment on or before a given
date is not an allowable adjustment to the
price in reporting gross sales.
Private communications services: Telecommuni.
cations services furnislTed-to a subscriber, which
entitles the subscril:1er to exclusive or priority use
of any communication channel or groups of chan-
nels, or to the exclusive or priority use of any
interstate intereommunications system for the sub-
scriber's stations.
Prosthetic devices: Any artificial limb, part, de-
vice or appliance for human use which aids or
replaces a bodily function; is designed, manufac-
tured, altered or adjusted to fit a particular indi-
vidual; and is prescribed by a licensed practi-
tioner of the healing arts. Prosthetic devices
include, but are not limited to, prescribed audi-
tory, ophthalmic or ocular, cardiac, dental, or or-
thopedic devices or appliances, oxygen concentra-
tors and oxygen with related accessories.
Purchase or sale: The acquisition for any con-
sideration by any person of tangible personal prop-
erty or taxable services that are purchased, leased,
rented, sold, used, stored, distributed or consumed,
but excludes a bona fide gift of property or ser-
vices. These terms include capital leases, install-
ment and credit sales, and property and services
acquired by:
(1) Transfer, either conditionally or absolutely,
of title or possession or both to tangible per-
sonal property;
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TAXATION
(2) Alease, lease-purchase agreement, rental
or grant of a license, including royalty
agreement, to use tangible personal prop-
erty or taXable services;
(3) Performance of taxable services; or
(4) Barter or exchange for other property or
services including coupons.
(5) Tangible personal property furnished to-
gether with an operator shall be consid-
ered a rental if the measurement of the
price is time.
The terms "purchase" and "sale" do not include;
(1) A division of partnership assets among
the partners according to their interests
in the partnership;
(2) The formation of a corporation by the
owners of a business and the transfer of
their business assets to the corporation in
exchange for all the corporation's outstand-
ing stock, except qualifying shares, in
proportion to the assets contributed;
(3) The transfer of assets of shareholders in
the formation or dissolution of profes-
sional corporations;
(4) The dissolution and the pro rata distribu-
tion of the corporation's assets to its stock-
holders;
(5) A transfer of a partnership interest;
(6) The transfer in a reorganization qualify-
ing under section 368(a)(1) of the Internal .
Revenue Code of 1954, as amended;
(7) The formation of a partnership by the
transfer of assets to the partnership or
transfers to a partnership in exchange for
proportionate interests in the partner-
ship; .
(8) The repossession of personal property by
a chattel mortgage holder or foreclosure
by a lienholder;
(9) The transfer of assets from a parent cor-
poration to a subsidiary corporation or
corporations which are owned at least
eighty (80) percent by the parent corpora-
tion, which transfer is solely in exchange
for stock or securitieS of the subsidiary
corporation;
Supp. No. 1S
! 22-21
(10) The transfer of assets from a subsidiary
corporation or corporations which are
owned at least eighty (80) percent by the
parent corporation to a parent corpora-
tion or to another subsidiary which is
owned at least eighty (80) percent by the
parent corporation, which transfer is solely
in exchange for stock or securities of the
parent corporation or the subsidiary which
received the assets;
(11) The transfer of assets between parent and
closely held subsidiary corporation, or be-
tween subsidiary corporations closely held
by the same parent corporation, or be-
tween corporations which are owned by
the same shareholders in identical per-
centage of stock ownership amounts, com-
puted on a share-by-share basis, when a
tax imposed by this article was paid by
the transferor corporation at the time it
acquired such assets, except to the extent
that there is an increase in the fair mar-
ket value of such assets resulting from the
manufacturing, fabricating or physical
changing of the assets by the transferor
corporation. To such an extent any trans-
fer referred to in this paragraph (11) shall
constitute a sale. For the purposes of this
paragraph (11), a closely held subsidiary
corporation is one in which the parent
corporation owns stock possessing at least
eighty (80) percent of the total combined
voting power of all classes of stock enti-
tled to vote and owns at least eighty (80)
percent of the total combined voting power
of all classes of stock entitled to vote and
owns at least eighty (80) percent of the
total number of shares of all other classes
of stock.
Purchase price or sales price: The total price
paid by the consumer, purchaser or lessee in cash,
property, services, coupons or other consideration,
exclusive of any direct tax imposed by the federal.
state or county government or by this chapter.
(1) For interpreting this definition, the pur-
chase price or sale price of goods manu-
factured or made to order includes the full
purchase price for material used, and the
1441
g 22-21
WHEAT RIDGE CITY CODE
(2)
labor performed in connection therewith,
and the profit thereon included in the
price charged to the user or customer.
Purchase price or sales price includes,
without limitation, any finance, service or
other charge, except when separately
stated; installation and delivery fees; trans-
portation and other charges to effect de-
livery to the purchaser if the sales agree-
ment requires such delivery to consummate
the sale; and indirect federal manufactur-
ers' excise taxes, except when separately
stated.
In the case of a ret1l11 sale involving the
exchange of property, the purchase price
or sales price excludes the fair market
value of the property exchanged at the
time and place of the exchange if:
a. Such exchanged property is to be
sold thereafter in the usual course of
the retailer's business; or
b. Such exchanged property is an auto-
motive vehicle and is exchanged for
another automotive vehicle and both
vehicles are subject to licensing, reg-
istration or certification under the
laws of the State of Colorado, includ-
ing, without limitation, vehicles op-
erating on public highways, off-high-
way recreation vehicles and
watercraft.
(3)
Purchaser: Any person to whom a taxable ser-
vice has been rendered or who has leased or
purchased at retail tangible personal property
within the city upon which a tax is imposed by
this chapter. .
Recreation services: AlLservices relating to ath-
letic or entertainment participation events includ-
ing, but not limited to, pool, golf, billiards, skat-
ing, tennis, bowling, health/athletic club
memberships, coin operated amusement devices,
video games and video club memberships.
Regulations: Those regulations promulgated by
the city treasurer pursuant to the authority del-
egated to him by section 22-3 of this chapter, as
the same. may be from time to time amended.
Supp. No. 1S
Retail sales: All sales except wholesale sales.
Retailer or vendor: Any person selling, leasing
or renting tangible personal property or services
at retail. Retailer shall include:
(1) Auctioneer;
(2) Salesperson, representative, peddler or
canvasser, who makes sales as a direct or
indirect agent of or obtains such property
or services sold from a dealer, distributor,
supervisor or employer;
(3) Charitable organization or governmental
entity which makes sales of tangible per-
sonal property to the public, notwithstand-
ing the fact that the merchandise sold
may have been acquired by gift or dona-
tion or that the proceeds are to be used for
charitable or governmental purposes.
Return: The standard municipal sales and use
tax reporting form, and any subsequent revisions
thereto, used to report Wheat Ridge sales and use
tax.
Sale: A retail sale as defined herein.
Sales tax: The tax to be collected and remitted
. by a retailer on sales taxed under this Code.
Sales tax inspector: The city treasurer, or other
person designated by him, and shall likewise
refer to the sales tax auditor or administrator.
Security system services: Electronic security
system services for a building or portion thereof.
Such term does not include nonelectronic security
services such as consulting or human or guard
dog patrol services.
Solicitor: Any person, whether as volunteer,
owner, agent, consignee or employee, who travels
by foot, wagon, motor vehicle, pushcart or any
other method of transportation from house to
house or street to street selling or offering to sell
services, food, beverages, goods or merchandise.
Sound system services: Sound system services
involving provision of broadcast or prerecorded
audio programming to a building or a portion
thereof. Such term does not include installation of
sound systems where the entire system becomes
1442
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TAXATION
the property of the building owner or the sound
system service is for presentation of jive perfor-
mances.
Storage: The keeping or retention of, the exer-
cise of dominion or control over, or the possession
of tangible personal property under lease or pur-
chase at retail from another person within or
without the city.
Tangible personal property: Any corporeal per-
sonal property which may be seen, weighed, mea-
sured, felt or touched.
Tax: The use tax due from a consumer or the
sales tax due from a retailer or the sum of both
due from a retailer who also consumes.
Tax deficiency: Any amount of tax that is not
reported or not paid on or before the due date.
Taxable sales: Gross sales less any exemptions
and deductions specified in this Code.
Taxable services: Services subject to tax pursu-
ant to this Code.
Taxpayer: Any person obligated to collect and/or
pay tax under the terms of this Code.
Telecommunications service: The transmission
of any two-way interactive electromagnetic com-
munications, including, but not limited to, voice,
image, data and any other information, by the use
of any means but not limited to wire, cable, fiber
optical cable, microwave, radio wave or any com-
binations of such media. "Telecommunications
service" includes, but is not limited to, basic local
exchange telephone service, toll telephone service
and teletypewriter service, including, but not lim-
ited to, residential and business service, directory
assistance, cellular mobile telephone or telecom-
munication service, specialized mobile radio and
two-way pagers and paging service, including any
form of mobile two-way communication. "Telecom-
munications service" does not include separately
stated nontransmission services which constitute
computer processing applications used to act on
the information to be transmitted_
Theater operator: Any person, whether owner,
operator, lessee or any other person, who charges
or causes to be charged admission to a perfor-
mance or show at a theater open to the public.
Supp. No. 22
~ 22-21
Therapeutic device: Devices, appliances or re-
lated accessories that are sold to correct or treat a
human physical disability or surgically created
abnormality; if such device, appliance or related
accessory has a retail value of more than one
hundred dollars ($100.00), it must be sold. in
accordance with a written recommendation from
a licensed doctor to qualify as a "therapeutic
device" for purposes of this Code.
Third-party recordkeeper: An entity which has
contractually undertaken the duty of collection of
accounts from city residents or businesses for
taxable services or sales undertaken or occurring
within the city, which third-party recordkeeper
shall have the rights, duties and obligations as
specified in section 22-42(h) hereof.
Total tax liability: The total of all tax, penalties
or interest owed by a taxpayer and shall include
sales tax collected in excess of such tax computed
on total sales.
Transfer of ownership point: The geographical
location at which point the purchaser takes phys-
ical or legal possession of the property.
Treasurer: The city treasurer, or his designee,
including, not by way of limitation, the deputy
city treasurer or the finance assistant/sales tax
auditor.
Use: The exercise, for any length of time, by
any person, corporation, partnership or associa-
tion within the city of any right, power or. domin-
ion over tangible personal property by lease or
purchase.
Use tax: The tax paid or required to be paid by
a consumer for using, storing, distributing or
otherwise consuming tangible personal property
or taxable services inside the city.
Vehicle: Any vehicle or device in, upon or by
which any person or property is or may be trans-
ported or drawn upon a public highway, includ-
ing, but not limited to, motor vehicles, trailers,
semitrailers, mobile homes, mobile machinery or
self-propelled construction equipment, but exclud-
ing devices moved by human power or used exclu-
sively upon stationary rails or tracks.
Vendor's fee: The portion of total sales tax
collected by a licensed taxpayer under the require-
1443
~ 22-21
~ WHEAT RIDGE CODE
ments of this chapter that the taxpayer may
retain as payment or offset for his expense in
collecting and remitting the sales tax collected
from taxable sales and leases to purchasers and
consumers. The vendor's fee may only be retained
when sales tax collected has been remitted to the
city as prescribed in this chapter. The vendor's fee
is set forth at section 22-40(b) of this chapter.
WATS/800 service: Any outbound or inbound
interstate wide are telecommunications service or
other similar service which entitles the sub-
scriber, upon payment of a periodic charge, based
upon a flat amount and/or usage, to make or
receive~ a large volume of telephonic communica-
tions to or from persons having telephone or radio
telephone stations in specified areas which are
outside the telephone system area in which the
subscriber's station is located.
Wholesale sales: Sales to licensed retailers,
jobbers, dealers or wholesalers for resale. Sales by
wholesalers to consumers are not wholesale sales.
Sales by wholesalers to nonlicensed retailers are
not wholesale sales.
Wholesaler: Any person selling to retailers,
jobbers,dealers or other wholesalers for resale
and not for storage, use, consumption or distribu-
tion.
(b) Usage. As used in this chapter and else-
where, a masculine pronoun shall include the
feminine and vice versa, and a singular pronoun
shall include the plural and vice versa, unless the
context in which the pronoun is used indicates
otherwise. .
(Ord. No_ 1988-781, ~ 1(21-1), 12-12-88; Ord. No.
1989c804,~ 1, 8-28-89; Ord. No. 1991-869, ~ 3,
9-1-91; Ord. No. 1991'885, ~.~.1-4, 12-23-91; Ord.
No. 1992-893, ~ 1, 4-13-92;Ord. No. 1994-958, ~ 1,
3-14-94; Ord_ No. 1996-1060, ~ 3, 12-16-96; Ord.
No. 1997-1075, ~ 1,4-14-97; Ord. No. 1998-1138,
~~ 2, 4, 11-23-98)
Sec. 22-22. Legislative intent.
It is the intent of the City of Wheat Ridge that
all sales, transfers or consumption of tangible
personal property within the city shall be subject
to the sales and/or use tax imposed hereby, unless
the same is specifically exempted from taxation
Supp. No. 22
under the provisions of sections 22-58 or 22-67
hereof. The city council hereby reaffirms its au-
thority as a home rule city, pursuant to the
provisions of article XX of the Constitution of the
State of Colorado, and the Home Rule Charter of
the City of Wheat Ridge, to "assess, levy and
collect" local sales and use taxes as deemed ap-
propriate by the city council in the exercise of its
lawful legislative discretion.
(Ord. No. 1988-781, ~ 1(21-35), 12-12-88; Ord. No.
1989-804, ~ 2, 8-28-89; Ord. No. 1991-869, ~ 3,
9-1-91; Ord. No. 1991-885, ~ 5, 12-23-91; Ord. No.
1996-1060, ~ 4, 12-16-96)
State law reference-Home rule powers, Col. Canst. Art.
XX,H.
Sec. 22-23. Motor vehicles.
(a) No motor vehicle, defined as any vehicle,
including any device in or upon which any person
or property is or may be transported or drawn
upon a public highway, road or street, which is
purchased by a resident of the city or other person
for use within the city, shall be registered in
Jefferson County nor shall title to a motor vehicle
as defined herein be transferred within Jefferson
County by the county clerk of the respective
county if the tax imposed by the provisions of this
chapter has not been paid.
(b) The determination of the address of regis-
tration for the purpose of establishing liability
under this chapter for sales or use taxes on motor
and other vehicles required to be registered shall
be made pursuant to the criteria established in~
42-6-137, C.R.S.
(Ord. No. 1988-781, ~ 1(21-26), 12-12-88; Ord. No.
1991-885, ~ 1, 12-23-91)
Sees. 22.24-22-32. Reserved.
DIVISION 2. ADMINISTRATION AND
ENFORCEMENT
Sec. 22-33. Administrative authority oftrea-
surer~
(a) The administration ofthis chapter is vested
in and shall be exercised by the treasurer, who
shall prescribe forms and reasonable rules and
regulations, and forms in conformity with this
1444
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chapter for the making of returns and reports,
ascertainment and collection of the tax imposed
hereunder, and for the proper administration and
enforcement of this chapter.
(b) The rules and regulations as prescribed by
the treasurer and, as from time to time are
amended by the treasurer, pursuant to his author-
ity specified in paragraph (a) shall be pub-
Supp. No. 1S
TAXATION
~ 22-33
1444.1
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TAXATION
lished and appear as appendix A to this chapter.
The forms developed pursuant to paragraph (a)
for making returns and reporting taxes assessed
under this chapter shall be published and appear
as appendix B to this chapter.
(Ord. No. 1988-781, !i1(21-36), 12-12-88; Ord. No.
1991-885, !iI, 12-23-91)
Editor's note-The rules and regulations and the forms for
making returns and reporting taxes mentioned above and set
out in appendices A and B to this chapter have not been in-
cluded herein, but can be found on file in the city treasurer1s
office.
Sees. 22.34, 22-35. Reserved.
Sec. 22.36. Disputes; refunds, limitation of ac-
tions.
(a) Should a dispute arise between the seller
and purchaser as to whether or not any purchase,
storage, use or consumption of a service or com.
modity is exempt under this chapter, neverthe.
less the seller shall collect and the purchaser shall
pay such tax. The seller shall thereupon issue to
the purchaser an appropriate receipt showing the
details of the transaction and disburse the col.
lected, but disputed, tax to the city.
(1) The purchaser may apply for a refund by
submitting to the treasurer in writing the
amount and reason for such refund within
sixty (60) days of the date of purchase for
the unintentional payment of tax on ex-
empt purchases or an overpayment of taxes
reported and paid by any taxpayer to the
treasurer.
(2) The treasurer shall forthwith, after receipt
of the application for refund, submit same
to the sales tax inspector for a determina-
tion of applicability.
(3) The treasurer shall disburse to the appli-
cant a refund when such has been approved
by the sales tax inspector or notify the ap-
plicant in instances of disapproval by the
sales tax inspector.
(b) An application for refund of sales or use tax
paid by a person who established that a tax was
paid by another on a purchase, storage, use or
consumption made on behalf of a person entitled
to an exemption and that a refund has not been
Supp. No.9
S 22.37
granted to the person making the purchase,
storage, use or consumption, or of tax monies paid
in error or by mistake, shall be made within three
(3) years after the date of purchase, storage, use or
consumption of the goods for which the refund is
claimed.
(c) All claims for refunds shall be processed in
the manner provided in section 22-45.
(d) The provisions of this section are expressly
subject to the provisions of sections 22-45 and 22-47
of this Code of Laws.
(Ord. No. 1988-781, !i1(21-17), 12-12-88; Ord. No.
1991-869, !i 3, 9-1-91; Ord. No. 1991-885, !i!i1, 6,
12-23-91)
Editor's note-Section 5 ofOrd. No. 1991-885, adopted Dec.
23,1991, amended S 22.36 by adding provisions designated as
paragraph (b). Inasmuch as ~ 22-36 already contained pro..'i,-
sians designated as paragraph (b). the editor, at his discretion,
has included these provisions as paragraph (dJ.
Sec. 22-37. Nonresident vendor.
(a) Engaging in business. It shall be unlawful
for any nonresident vendor to engage in business
in the city without first having obtained a license
in accordance with section 11-23. Any nonresi-
dent vendor engaged in business in the city shall
have the same tax liability and responsibility for
reporting and collecting the city tax on sales to
city residents as a resident vendor has with re-
spect to sales tax pursuant to this chapter.
(b) Engaging in peddling or soliciting. It shall
be unlawful for any person to engage in the busi-
ness of a peddler or solicitor within the city limits
of Wheat Ridge without first obtaining a license
as provided herein.
(c) Engaging in canvassing. It shall be unlawful
for any person to engage in canvassing in a resi-
dential area within the city limits of Wheat Ridge
without first obtaining a license as provided
herein.
(d) Presentation of license. Any nonresident
vendor shall present its license for inspection upon
request of the sales tax inspector or other law
enforcement officer of the city.
(1) If such nonresident vendor is unable to pro-
duce a license, or identify the person in
whose possession such license could be
1445
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S 22.37
WHEAT RIDGE CITY CODE
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found, or produces an expired or invalid li-
cense, such nonresident vendor. shall be di.
rected and ordered to cease his operations
immediately and not resume such opera-
tions until a valid license is obtained.
(2) Any nonresident vendor who fails to comply
with such order or directive may be issued
a summons and complaint pursuant to sec-
tion 22-46(hl, or may be subject to the im-
poundment of his property as specified in
paragraph (e) of this section.
(el Seizure of property; administrative hearing.
In the event that a nonresident vendor fails to
comply with an order to obtain a license and con-
tinues to engage in business in the city, the city
may seize and impound any personal property of
the nonresident vendor, or his agent, located in
the city and used in any manner in furtherance of
or to facilitate the transaction of the vendor's busi-
ness in the city. The vendor shall be notified of
the impoundment and shall have the right to de-
mand an administrative hearing to be held not
later than five (5) working days from the date of
seizure, unless the vendor requests a later date.
The hearing officer at such hearing shall deter-
mine only whether or not the nonresident vendor
had a valid business license and whether or not
the impounded property was used in furtherance
of or to facilitate the transaction of business by
the nonresident vendor in the city. If no hearing
is demanded or if a hearing is held and it is de-
termined that the property was so used, the im-
pounded property shall be held until the vendor
has obtained a license, If it is determined at the
hearing that the property was not so used, it shall
be released forthwith. The determination of the
hearing officer shall be appealable to the district
court pursuant to Rule 106(a)(4) of the Colorado
Rules of Civil Procedure.
(f) Sale of impounded property upon failure to
obtain license. If the vendor fails to apply for a
license within ten (10) days from the date of im-
poundment, the sales tax inspector may estimate
the taxes due in accordance with section 22-43
and collect such taxes pursuant to this article from
the proceeds of the sale of the impounded prop-
erty. Such sale shall be conducted under the pro-
cedures specified under section 22-46(k).
Supp. No.9
(g) Investigation and issuance. Upon receipt of
a license application, the sales tax inspector shall
refer copies to the city zoning official and when
deemed appropriate or in the best interest of the
safety of the citizens of Wheat Ridge to the police
department. .
(h) Grounds for denial. The treasurer shall deny
the issuance of a license for the following reasons:
(1) Any misrepresentation, fraud, deception,
breach of warranty, or breach of contract in
the city or elsewhere by the applicant.
(2) Failure by the applicant to comply with this
. chapter or any other applicable provisions
of the City Code.
(3) Failure by the applicant, his supervisor or
his employer to remit any tax due to the
city under this chapter.
(4) Upon finding after an investigation by the
chief of police, felony convictions of the ap-
plicant, his agents or his employees in-
volving crimes against the person or prop.
erty of another, or for institutionalization
for mental illness which caused acts of vi.
olence against the person or property of an-
other; provided, however, that such felony
convictions or institutionalization occurred
within the five (5) years preceding the date
of application.
(5) For purposes of this paragraph (h):
a. Crimes or acts of violence against the
person of another shall include homi-
cide, attempted homicide, rape, at-
tempted rape, sexual assault, assault,
battery and other similar felonies in-
volving moral turpitude by whatever
name; and
b. Crimes or acts against the property of
another shall include theft, burglary,
breaking and entering, larceny, and
other similar felonies involving moral
turpitude by whatever name.
(6) Persons whose applications for licenses have
been denied shall be notified in writing of
the reason for such denial and, upon written
request to the city treasurer, are entitled to
an administrative hearing pursuant to para-
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1446
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TAXATION
graph (e) of this section with the treasurer,
or another hearing officer as designated by
the treasurer, serving as hearing officer.
The hearing officer shall determine whether
the reasons for license denial in this para-
graph (h) in fact exist.
(i) Land use permit. The city zoning official shall
determine whether the applicant must obtain a
land use permit, per section 2-60G) of the Wheat
Ridge Code, in order to do business at the pro,
posed location. If a permit is required, the city
zoning official shall recommend denial of the li-
cense unless the applicant first secures approval
or a permit.
G) Issuance of permit upon approval of zoning.
officials. Upon receipt of approval from the city
zoning official and police department, if appro.
priate, the treasurer will issue the license pur-
suant to paragraph (k) with any condition listed,
or notify applicant of denial in writing.
(k) Issuance upon payment of fee. If the appli-
cation is approved, upon payment of the prescribed
license fee by the applicant, the sales tax inspector
shall issue the license. Such license shall contain
the signature of the city treasurer and shall show
the name, address of said licensee, the kind of
license issued, the amount of fee paid, the date of
issuance and the length of time the same shall be
operative. The sales tax inspector shall keep a
permanent record of all licenses issued.
(1) Issuance of peddler's or solicitor's license. If
a land use permit is required by the city zoning
official, then a peddler's license shall be issued. If
no such permit is necessary, then a solicitor's li-
cense shall be issued.
(m) Property owner's permission required for is-
suance of peddler's license. A peddler shall not
receive a license under this section if he does not
have written p!,rmission from respective property
owners to set up displays and sell goods on private
property. A permission form must be signed and
notarized on the--fel'ffi-PTovided by sale~-tax in-
spector_
(n) Compliance with other applicable laws. All
licensees under this chapter shall comply with
other applicable laws of the City of Wheat Ridge
or State of Colorado.
Supp. No.9
li 22.37
(0) Zoning. All peddlers conducting activities
under this chapter shall conform to the zoning
provisions of the Wheat Ridge Code, including the
sign code, unless otherwise provided herein.
(1) No peddler shall conduct his activities
within ten (10) feet of any public property
or right-of-way.
(2) If customers of the peddler are required to
park in order to gain access to the goods or
services of the peddler, the peddler shall
not do business at a location that lacks suf-
ficient parking or that interferes with the
public rights-of-way on sidewalks or streets
or that requires customers to park on pri-
vate property without the consent of the
property owner.
(3) Peddlers must be located in order to pro-
vide safe access by vehicle and pedestrian
traffic to the peddler's location without re-
quiring illegal or unsafe turning move-
ments by vehicles or trespassing across pri-
vate property.
(4) Peddlers shall not use a property or loca-
tion in a way that:
a. Impedes access to the entrance of any
adjacent building or driveway.
b. Is located in such a manner as to inter-
fere with a fire hydrant, fire escape,
bus stop, loading zone, or driveway of a
fire station, police station, hospital, or
handicapped parking space or access
ramp.
(5) A peddler's land use permit shall designate
the specific location for the use and the time
period for which the permit is issued. Per-
mits may not be issued for any location for
more than ninety (90) days. Permits may
not be used at any location other than the
location specified in the permit.
(p) Hours of operation. Licensees shall be al-
lowed to engage in their businesses between the
hours of 7:00 a.m. and 10:00 p.m., unless other-
wise stated in the conditions on their license.
(q) Site cleanup deposit required. Before any ped-
dler's license or permit shall be issued to an ap-
plicant selling from a site location within the city,
1447
Ii 22-37
WHEAT RIDGE ClTY CODE
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the applicant must post a one hundred dollar
($100.00) (cash) site cleanup deposit. The deposit
will be refunded when the site has been approved
as properly restored to a reasonable condition, on
a form provided by the city, signed by the code
enforcement or city zoning official.
(r) Removal of trash. All trash or debris accu-
mulationcaus.edby a licensee's activities shall be
collected and deposited in a proper trash con.
tainer. Any accumulation of trash or debris that
causes the city to incur expense in removing the
accumulation shall be cause for the city to pro-
ceed against the site cleanup deposit.
(s) Compliance with traffic and parking laws.
All soliciting, peddling or canvassing activities,
whether conducted on foot or from a vehicle, shall
be conducted in strict accordance with all traffic
and parking laws.
(t) License and required fees for solicitors and
peddlers: All fees for solicitors and peddlers must
be paid with cash. certified check or money order
as follows:
(1) One hundred dollar ($100.00) deposit to be
applied against sales tax collections; appli-
cant must bring in sales receipts within ten
(10) days after sales to claim any refund on
overpayment of sales tax deposit. Failure
to provide proof of sales receipts will mean
forfeiture of deposit. Sales tax collections
over one hundred dollars ($100.00) must be
remitted within ten (10) days of sales.
(2) Five dollars ($5.00) application fee (section
11-24).
(3) Ten dollars ($10.00) General business li-
cense fee (section 11-29).
(4) One hundred dollars ($100.00) site clean up
deposit. Refundable upon certificate of site
clean up by code enforcement or city zoning
officials.
(u) Licenses to be displayed. The city treasurer
shall issue the license. Each license shall bear the
words "Licensed Peddler" or "Licensed Solicitor,"
and the period for which the license is issued.
(v) Licenses for canvassers: The foregoing pro-
visions shall not apply to the activities of can-
Supp. No.9
vassers when such provisions conflict with this
paragraph. All canvassers shall register with the
treasurer and obtain a license before engaging in
canvassing activities within the city. The trea-
surer shall not charge a fee for such license and
shall issue a "canvassers license" to all persons
who satisfy the criteria of paragraph (g) through
(j) inclusive.
(w) Duty of enforcement personnel: It shall be
the duty of any police officer, sales tax inspector
or code enforcement officer of the city to require
any person required to have a license. as provided
in this chapter, to produce his license and to en-
force the provisions of this chapter against any
person found to be violating the same.
(x) Treasurer shall maintain records: The chief
of police shall report to the sale tax inspector all
violations of this chapter and all violations of this
.Code by licensees and the sales tax inspector shall
maintain a record for each license issued and
record the reports from the chief of police.
(Ord. No. 1988.781, Ii 1(21-25), 12.12.88; Ord.No.
1991-869, Ii 3, 9-1-91; Ord. No. 1991-885, Ii 1, 12-
23-91)
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Sec. 22.38. Transfer of ownership of busi-
ness; renewal or issuance ofbusi.
ness license.
(a) Any retailer who shall sell out his business
or stock of goods or shall quit business shall be
required to file a final return as provided in this
chapter within ten (10) days of the date of the sale
of his business or stock of goods or of quitting
business.
(b) The purchaser of any business shall be re-
sponsible for determining whether any sales or
use tax, including penalties and interest, is owed
for that business and shall withhold a sufficient
amount from the purchase money to cover the
amount of all outstanding sales and use tax due
the city, including any penalties and interest, until
such time as the former owner shall produce a
receipt from the city treasurer showing that the
taxes, and any penalties and interest, have been
paid or a certificate that no taxes, penalties or
interest are due. If the purchaser of a business or
stock of goods fails to withhold the purchase money
as provided in this section, and the taxes, penal.
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1448
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ties or interest are due and unpaid after the
ten-day period, both the purchaser and the seller
shall be personally liable, jointly and severally,
for the payment ofthe taxes, penalties and inter-
est unpaid by the former owner. Likewise, anyone
who takes any stock of goods or business fixtures
of or used by a retailer under lease, installment
sales contract, or other contract arrangement, by
purchase, foreclosure sale, or otherwise, takes the
same subject to the city's lien for unpaid taxes, if
any, and shall be liable for the payment of all
delinquent sales and use taxes on the value of
property so taken or acquired.
(c) The seller or his agent will be held liable for
sales and use tax remittance on the sale of busi-
ness in the event the purchaser fails to remit the
tax due on the purchaser.
(d) The city use tax shall be remitted to the
city on the price paid for tangible personal prop-
erty and taxable services which are purchased to
establish a new business or business location
within the city. Such tax shall be reported on the
initial use tax return and shall be remitted to the
city on or before the twentieth day of the month
following the opening day of business. Timely
filing shall be evidenced by the postmark date.
(Ord. No. 1988-781, ~ 1(21-29), 12-12-88; Ord. No.
1991.869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91)
Sec. 22-39. Liability of retailer or vendor
for collection. .
(a) Every retailer, vendor and wholesaler shall
be liable for the collection of the tax as provided
for in this chapter for sales at retail to the user or
consumer by adding the tax imposed hereby or
the average equivalent to the sale price or charge
as a separate and distinct item, and when added,
such tax shall constitute a part of such total price
or charge and shall be a debt from the consumer
or user to the vendor until paid and shall be
recoverable at law in the same manner as other
debts.
(b) Except as provided in subsections (1) and
(2) of this paragraph (b), it shall be unlawful for
any retailer to advertise or hold out or state to the
public or to any consumer, directly or indirectly,
that the city sales tax or any part thereof shall be
Supp. No. 19
TAXATION
~ 22-40
assumed or absorbed by the retailer, or that it will
not be added to the selling price of the property
sold, or if added, that it or any part thereof shall
be refunded, or the sale tax is not considered an
element in the sales price to the consumer. Any
person violating any provisions of this section
shall be subject to the penalties provided in this
chapter.
(1) Nothing contained in this section shall be
deemed to prohibit any retailer selling
malt, vinous or spirituous liquors by the
drink from including in his sales price any
city sales tax.
(2) Nothing contained in this section shall be
deemed to prohibit any owner or operator
of vending machines or coin-operated de-
vices from including in his sales price any
city sales tax.
(c) The amount paid by the purchaser as, or in
the nature of, interest or finance charges on credit
extended in connection with the sale of any tan-
gible personal property, if the interest or finance
charges are separately stated from the consider-
ation received for the tangible personal property
transferred in the retail sale, and if included in
the report of gross sales and services, are deduct-
ible from the gross sales and services.
(d) If any vendor shall, during any repo.Iting
period, collect as a tax an amount in excess of the
percentages set forth in section 22-56 of his total
taxable sales, he shall remit to the city treasurer
the full net amount of the tax herein imposed and
also such excess. The retention by the retailer to
vendor of any excess tax collections or the inten-
tional failure to remit punctually to the city
treasurer the full amount required to be remitted
by the provisions of this chapter is hereby de-
clared to be a violation of this chapter.
(Ord. No. 1988-781, ~ 1(21-19), 12~12-88; Ord. No.
1991-869, *u3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91)
Sec. 22-40. Reports by vendor; payment of
tax; monies collected held in
trust.
(a) Every vendor shall be liable as a taxpayer
and responsible for the reporting to the treasurer
and paying the tax at the rates specified in section
1449
* 22-40
WHEAT RIDGE CITY CODE
22-56 during the reporting period, plus any over-
age of collections of tax on sales or charges for
service resulting from the use of the bracket
system therein prescribed, less a vendor's fee as
specified in this section, to cover the taxpayer's
cost of collection and reporting. Such vendor's fee
is disallowed on ~any delinquent report.
(b) The vendor's fee, as defined in section 22-
21, shall be zero (0) percent of the total sales tax
due to the city under this chapter, up to a maxi-
mum vendor's fee of zero dollars ($0.00) per
reporting period.
(c) The reporting period shall be monthly for
vendors who exceed a forty dollar ($40.00) tax
liability per month, quarterly for a vendor with
less than one hundred dollars ($100.00) in tax
liability per quarter, and annually only upon
approval of the treasurer. A report shall be made
and tax paid under the provisions of this chapter
on or before the twentieth day of the month
following the reporting period. Timely filing shall
be evidenced by the postmark date. A report shall
be made for each place of business if more than
one location is used in the business of sales at
retail within the city.
(d) All monies paid by the purchaser to the
retailer as sales taxes, lodgers' taxes, or admis-
sion taxes imposed by this chapter shall be and
remain the property of the city while in the hands
of the retailer. Until paid to the treasurer, the
monies shall be held in trust by the retailer for
the sole use and benefit of the city. Failure by the
retailer to pay the monies to the treasurer shall
be violation of this Code.
(e) Vendors are specifically prohibited from
remitting city taxes to another vendor or entity
either located within the city or outside the city.
Vendors who receive such tax monies from con-
sumers or purchasers are required to remit such
monies directly to the city.
(f) Failure to comply with the provisions in
subsection (e) above resulting in a transfer of the
city's taxes to another third party shall be a
violation of this chapter.
(Ord. No. 19S8-781, ~ 1(21-20), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91; Ord. No. 1997-1075, ~ 2, 4-14-97)
Supp. No. 19
Sec. 22-41. Sales or use tax; deficiency.
The treasurer shall, as soon as practical after
receipt of a taxpayer's report, recompute the tax
by the use of knoWn and visible factors, and if the
resulting recomputed tax is less than that shown
and paid by the taxpayer, the difference shall be
credited toward the taxpayer's obligation for the
next reporting period. If the recomputed tax is
more than that shown and paid by the taxpayer,
the difference shall be recorded as a deficiency.
The taxpayer shall be notified of the deficiency as
provided in section 22-45. Willful disregard ofthe
requirements for reporting and remittance oftax
due, or failing to respond within twenty (20) days
to the treasurer's notice of deficiency, shall, in
addition to constituting a violation of the Code,
subject the taxpayer to penalties and interest
provided in section 22-43(d).
(Ord. No. 1988-781, ~ 1(21-21), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91)
Sec. 22.42. Business records; burden of
proof.
(a) Presumption; burden to prove exemption.
Every transaction of business conducted within
the city is presumed to be taxable. The burden of
proving that any person is exempt from taxation
or any article, commodity or transaction is ex-
empt under the provisions of this chapter shall be
upon the person asserting the claim for exemp-
tion.
(b) Responsibility to preserve records. It shali
be the duty of every person engaging or continu-
ing in business within the city or otherwise sub-
ject to the tax under the provisions of this chapter
or a person requiring a license under section
11-23 or 22-37 hereof to keep and preserve suit-
able records of all sales and transactions as may
be necessary to determine the applicability of the
provisions of this chapter thereto, and to keep
such invoices, sales memoranda, books and records
for a period of three (3) years; and they shall be
open at any time for examination by the sales tax
1450
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TAXATION
~ 22-42
inspector or his agents. Failure to keep and pre-
serve suitable records as required by this section
shall be a violation of this Code. Suitable records
include, but are not limited to, the following:
(1) Supporting documentation for every line
item used on the sales/use tax return_
,
Supp. No. 19
1450.1
I
TAXATION
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(2) Sales and lease invoices, contracts.
(3) Purchase journals and invoices.
(4) Fixed asset depreciation schedules.
(5) Check books and/or check registers.
(6) State sales tax returns.
(7) Federal and state income tax returns.
(8) Sales journals.
(9) Asset ledgers.
(10) General ledgers.
(11) Journal entries.
(12) Chart of accounts.
(13) Financial reports.
(14) All other supporting documents not listed
above.
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(c) Access to records by city personnel. Business
records are to be stored or kept within reasonable
access of city personnel. Should a taxpayer's busi-
ness records be. maintained at a location outside
the city'sjurisdiction, the city maintains the right
to inspect such records at the taxpayer's location.
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(d) Audit of taxpayer business records. The city
maintains the authority to audit, upon reason-
able notice, the business records of any taxpayer
licensed to engage in business activity within the
city. If the city provides written notice to the tax-
payer prior to the expiration of the 36-month
statute of limitations that the taxpayer's records
will be audited pursuant to this chapter, such lim-
itation period shall be extended one hundred
eighty (180) days after the date of expiration of
such period.
(e) PlaJ:e of audit. The city has adopted the policy
of auditing a taxpayer's records only at the tax-
payer's business location where such business
records are routinely kept. The city's sales tax
inspectors or agents shall not engage in any tax
investigations whereby such records are sent to
the city for review. Notwithstanding this policy,
the city treasurer may, under exceptional circum-
stances, permit limited scope auditing of a tax-
payer's records by mail. Such a determination is
solely within the discretion of the city treasurer
Supp. No.9
! 22-42
and is not an appealable issue. All expenses in-
curred by the city in connection with the audit of
taxpayer business records located outside the city
shall be paid by the taxpayer.
(D Subpoenas to appear and/or produce records.
When the sales tax inspector has scheduled an
audit or examination of the records required herein
not less than thirty (30) days in advance, and has
so notified the taxpayer, and the taxpayer fails to
make available the records required in paragraph
(b) at the appointed time, the treasurer may apply
to any judge of the municipal court of the city
and/or district court in and for Jefferson County
for a subpoena to require the taxpayer to appear
before the treasurer, produce any of the foregoing
information in the taxpayer's possession, and tes.
tify under oath before the treasurer. If the trea-
surer is unable to secure from the taxpayer infor-
mation relating to the correctness of the taxpayer's
return or the amount of the taxpayer's taxable
sales, the treasurer may apply to any judge of the
district court in and for Jefferson County or the
municipal court of the city for subpoenas to such
otherpersons as the treasqrer believes may have
knowledge of the taxpayer's return or income. If
the treasurer shows that the taxpayer cannot be
found, evades service of subpoena, fails or refuses
to produce records or give testimony, the judge
may cause subpoenas to be issued to the persons
sought, requiring them to appear before the trea-
surer and give testimony regarding the ta.xpay-
er's return or income. If any of the persons so
served with subpoenas fail to respond thereto, the
judge may proceed against such persons as in cases
of contempt.
(g) Performance of audit not to limit or preclude
additional audits. Performance of an audit does
not constitute a statute of limitations or preclude
additional audits of the same period within the
parameters of this section.
.
(h) Third-party recordkeepers. Any third-party
recordkeeper, as defined in section 22-21 hereof,
shall have all of the rights, duties and obligations
of a taxpayer, retailer or vendor solely as the same
relates to the record disclosing obligations im-
posed upon taxpayers, retailers or vendors by sec-
tions 22-39 through 22-42; 22-43(a), (I), (g), G); 22-
44(b); 22-46(g) and (h) hereof; provided, that the
1451
S 22.42
WHEAT RIDGE CITY CODE
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city shall attempt to obtain any records or reports
from the taxpayer, retailer or vendor prior to its
attempts to obtain such records from thirty-party
recordkeepers, and in any event such attempts to
obtain records or reports shall only be undertaken
after providing notice to the taxpayer, retailer or
vendor; provided, further, however that a third-
party recordkeeper shall be deemed a taxpayer
for all purposes and shall be subject to all of the
provisions of this article relating to any and all
taxable transactions engaged in by such third-
party recordkeeper.
(i) Coordinated audit:
(1) Any taxpayer licensed in this city pursuant
to section 11-1 or 11-23 of this Code of Laws,
and holding a similar sales tax license in at
least four (4) other Colorado municipalities
that administer their own sales tax collec-
tion, may request a coordinated audit as
provided herein.
(2) Within fourteen (14) days of receipt of no.
tice of an intended audit by any munici.
pality that administers its own sales tax
collection, the taxpayer may provide to the
finance director of this city, by certified
. mail, return receipt requested, a written
request for a coordinated audit indicating
the municipality from which the notice of
intended audit was received and the name
of the official who issued such notice. Such
request shall include a list of those Colo-
rado municipalities utilizing local collec-
tion of their sales tax in which the tax.
payer holds a current sales tax license and
a declaration that the taxpayer will sign a
waiver of any passage-of-time-based limita.
tion upon this city's right to recover tax
owed by the vendor for the audit period.
(3) Except as provided in subparagraph (6), any
taxpayer that submits a complete request
for a coordinated audit and promptly signs
a waiver of the time limits established in
sections 22.42(d) and 22-44(a) of this Code
of Laws may be audited this city during the
twelve (12) months after such request is sub-
mitted only through a coordinated audit in-
volving all municipalities electing to par-
ticipate in such an audit.
Supp. No.9
(4) Ifthis city desires to participate in the audit
of a taxpayer that submits a complete re-
quest for a coordinated audit pursuant to
subparagraph (3), the finance director shall
so notify the fmance director of the munic-
ipality whose notice audit prompted the tax-
payer's request within ten (10) days after
receipt of the taxpayer's request for a coor-
dinated audit. The finance director shall
then cooperate with other participating mu-
nicipalities in the development of arrange-
ments for the coordinated audit, including
arrangement of the time during which the
coordinated audit will be conducted, the pe-
riod of time to be covered by the audit, and
a coordinated notice to the taxpayer of those
records most likely to be required for com-
pletion of the coordinated audit.
(5) If the taxpayer's request for a coordinated
audit was in response to a notice of audit
issued by this city, this city's finance di-
rector shall facilitate arrangements be-
tween this city and other municipalities par-
ticipating in the coordinated audit unless
and until an official from some other par-
ticipating municipality agrees to assume
this responsibility. The finance director
shall cooperate with other participating mu.
nicipalities to, whenever practicable, min.
imize the number of auditors that will be
present on the taxpayer's premises to con-
duct the coordinated audit on behalf of the
participating municipalities. Information
obtained by or .on behalf of those munici-
palities participating in the coordinated
audit may be shared only among such par-
ticipating municipalities.
(6) If the taxpayer's request for a coordinated
audit was in response to a notice of audit
issued by this city, this city's finance di.
rector shall, once arrangements for the co-
ordinated audit between the city and other
participating municipalities are completed,
provide written notice to the taxpayer of
which municipalities will be participating,
the period to be audited and the record.s
most likely to be required by participating
municipalities for completion of the coordi-
nated audit. The finance director shall also
propose a schedule for the coordinated audit.
--
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1452
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(7) The coordinated audit procedure set forth
in this section shall not apply:
a. When the proposed audit is a jeop-
ardy audit;
b. to audits for which a notice of audit
was given prior to the effective date
of this section;
c. When a taxpayer refuses to promptly
sign a waiver of the time limits es-
tablished in sections 22-42(d) and
22-44(a) of this Code of Laws; or
d. When a taxpayer fails to provide a
timely and complete request for a
coordinated audit as provided in such
paragraph (2) of this subsection 22-
42(i).
(Ord. No. 1988-781, ~ 1(21-30), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~~ 1, 6,
12-23-91)
Sec. 22-43. Refusal to report; estimate of tax;
emergency collection procedures;
penalties and interest.
(a) Refusal to report. The treasurer may, in any
reasonable manner possible, estimate the amount
of the tax due, to which interest and penalties in
accordance with paragraph (c) may be added. in
the event any taxpayer:
(1) Refuses to report and remit taxes col-
lected or required to be collected in accor-
dance with the provisions of this chapter;
(2) Fails to comply with the provisions of
section 22-68 of this chapter;
(3) Fails to file the report and remit the taxes
required in section 22-38 of this chapter
after selling his business;
(4) Intends to leave the city without paying
any taxes which are lawfully owed;
(5) Removes or intends to remove property
subject to tax hereunder from the city, or
to sell any such property with the intent
to remove the proceeds of sale from the
city without paying tax thereon;
(6) Engages or intends to engage in any ac-
tivity which the treasurer reasonably be-
lieves to jeopardize collection of taxes au-
thorized hereunder; or
Supp. No. 18
TAXATION
! 22-43
(7) Otherwise engages in conduct likely to
prevent the establishment by the trea-
surer of an accurate and exact amount of
tax due.
(b) Estimation of taxes. When an estimate of
taxes due is made, the city shall first attempt to
serve notice thereof on the taxpayer by personal
service. If personal service cannot be achieved
after reasonable effort, the taxpayer shall be
served with such notice by certified mail to the
taxpayer's last known address or by leaving a
copy with the person in charge at the taxpayer's
business establishment or last known address.
(1) In the event that the taxpayer cannot be
found at its last known address or notices
sent by the city are returned by the post
office; or there is no one available at the
taxpayer's place of business to accept no-
tice, the city may serve notice by posting
such notice in a conspicuous place at the
location of the business as indicated on
the business license or application. The
burden shall at all times be on the tax-
payer to inform the city of the taxpayer's
current address.
(2) Unless the taxpayer files a written de'
mand for administrative hearing and de-
termination of tax liability, as provided in
section 22-45 hereof, within twenty (20)
days from the date of service, receipt or
posting, whichever is later, of such notice,
he shall conclusively be deemed to have
!,ccepted the estimate as a fair and accu-
rate determination of his tax obligation
and shall thereby waive the right to con-
test that determination. In the event that
such a hearing is held, the determination
of the hearing officer shall be reviewable
as provided in section 22-45 hereof.
(c) Emergency collection procedures. In any
case wherein it appears that collection of reve-
nues from taxes lawfully imposed hereby is in
danger of risk of loss or noncollection, or other-
wise in jeopardy, the treasurer may immediately
issue demand for payment. Upon issuance of such
demand for payment, the tax required therein
shall be due and payable, and the treasurer may
proceed forthwith to collect such' taxes by any
1453
~ 2243
WHEAT RIDGE CITY CODE
lawful means, iocluding, not by the way of limi-
tation, filing ofliens upon the property subject to
tax, issuance and execution of distraiot warrants,
or filing of summons and complaint in any com-
petent court; provided, however, that collection
under this section may be stayed upon the provi-
sion by taxpayer to the treasurer of such security
as, io the opinion of the treasurer, shall be satis-
factory to ensure payment to the city of all taxes
lawfully owed by taxpayer.
(d) Penalty forlatepayment. Apenalty shall be
imposed on.any tax deficiency. Such penalty shall
be fifteen dollars ($15.00) or ten (10) percent of
the delioquent tax or deficiency per reportiog
period, whichever is greater.
(e), (f) Reserved.
(g) Penalty for fraud. If any part of delioquent
tax or deficiency is due to fraud with the iotent to
evade the tax, the penalty shall be one hundred
(100) percent of the total amount of the deficiency.
The city treasurer shall mail a written notice of
assessment to the taxpayer. The amount of the
tax due, iocludiog the penalty and ioterest, shall
become due and payable within ten (10) days
after the date of the notice of assessment.
(h) Assessment of interest. Interest shall be
assesaed.at the rate established by ~ 39-21-110.5,
C.R.S., as amended. Interest shall be calculated
for each month from the due date. that a defi-
ciency remains unpaid.
(i) City treasurer may waive penalty. For good
cause shown, the treasurer in his discretion is
authorized to waive any penalty assessed in this
chapter. For purposes of this section, interest
shall never be deemed a penalty.
(j) Confidentiality of information and records.
Except io accordance with judicial order or as
otherwise provided by law. the city treasurer,
outside agents of the city, clerks and employees
thereof shall not divulge or make known in any
way any information disclosed io any document,
report or return filed under this title except such
ioformation as is displayed on the tax license. The
officials charged with the custody of documents,
reports and returns shall not be required to
produce any of them or evidence of anything
contaioed io them io any action or proceediog io
Supp. No. 18
any court, except on behalf of the manager io an
action or proceediog under the provisions of this
title when the report of a fact shown thereby is
directly involved in such action or proceeding, io
either of which events the court may require the
production of, and may admit into evidence, so
much of such reports or of the facts shown thereby
as are pertinent to the action or proceeding and
no more.
(k) Copies of returns or reports. Nothing io this
section shall be construed to prohibit the delivery
to a person or a duly authorized representative
thereof of a copy of any return or report filed in
connection with such person's tax. Copies of such
records may be certified by the city admioistrator
or an agent thereof and when so certified shall be
evidence equally with the originals and may be
received as evidence of their contents.
(I) Publication of statistics. Nothing in this
section shall be construed to prohibit the publica-
tion of statistics so classified as to prevent the
identification of particular reports or returns and
. the items thereof or the iospection of returns by
the city attorney or other legal representatives of
the city.
(m) Sharing information with other governmen-
tal concerns. Notwithstandiog the provisions of
this section, the city treasurer may furnish to the
taxing officials of the State of Colorado, its polit-
ical subdivisions, any other state, or political
subdivision, or the United States, any ioforma-
tion contained io tax returns and related docu-
ments filed pursuant to this title or io the report
of an audit or investigation made with respect to
a return, if the recipient jurisdiction agrees with
the city treasurer to grant similar privileges to
_ the city and if such information is to be used by
the jurisdiction only for tax purposes.
(n) Violation of provisions by city employees. If
a city employee or officer violates the provisions of
this section, such employee or officer may be
dismissed.
(Ord. No. 1988-781, ~ 1(21-31), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91; Ord. No. 1996-1060, ~ 5, 12-16-96)
1454
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TAXATION
Sec. 22.44. Limitation of action.
(a) No sales or use tax, or interest thereon or
penalties with respect thereto, shall be assessed,
nor shall any notice of lien be filed, or distraint
warrant issued, or suit for collection be instituted,
nor any other action to collect the same be com-
menced, more than three (3) years after the date
on which the tax was or is payable, nor shall any
lien continue after such period, except for actual
or estimated taxes assessed before the expiration
of such period, notice oflien with respect to which
has been filed prior to the expiration of such
period.
(b) In the case .of a false or fraudulent return
resulting from either an intent to evade tax or
from reckless or grossly negligent behavior on the
part of the taxpayer, or in the case of a failure to
file a return, the tax together with interest and
penalties there.on may be assessed or procee~gs
for the collection .of such taxes may be begun m a
court .of competent jurisdiction at any time._
(c) Bef.ore the expirati.on of such period of
limitation, the taxpayer and the treasurer may
agree in writing to a extension thereof and the
period so agreed on may be extended by subse-
quent agreements in writing.
(d) The period of limitation provided herein
shall not run against the city for an audit period
if written notice is given to the taxpayer prior to
the expiration of the statute of limitations that
the latter's records will be audited pursuant to
section 22-42(f) of this chapter.
(Ord. No. 1988-781, ~ 1(21-32),12-12-88; Ord. N.o.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-8.85, ~ 1,
12:23-91)
Sec. 22-45. Taxpayer remedies.
(a) When the city asserts that sales or use
taxes are due in an amount greater than the
amount paid by a taxpayer, the city shall mail a
deficiency notice to the taxpayer by certified mail.
The deficiency notice shall state the additional
sales and use taxes due. The deficiency notice
shall contain notification, in clear and conspicu-
ous type, that the taxpayer has the right to ele~t
a hearing on the deficiency pursuant to thIS
section.
Supp. No. 1S
~ 22-45
(b) In the event that the taxpayer disputes the
tax liability imposed by the city either by any
deficiency notice or otherwise, he shall file a
written demand for an informal hearing and
determination of tax liability within twenty (20)
days from the date of the notice, which demand
will stay the sale under any distraint warrant
until the conclusion of the hearing. This demand
shall include the name, business address and
license number of the taxpayer, a copy of the
notice sent by the city, the taxable periods and the
amounts of tax which are being disputed, and a
statement of the grounds upon which the tax-
payer bases his claim.
(1) Upon receipt of the taxpayer's written
demand, the city treasurer shall set the
time and place for the hearing, to be held
as quickly as possible. The hearing shall
be held before the treasurer or a hearing
officer that is a qualified person who has
education or experience in tax administra-
tion matters and who can render a proper
decision. In the event that it is deter-
mined at the hearing that the taxpayer's
liability is less than the amount in the
possession of the treasurer, such excess
shall be paid to the taxpayer forthwith.
(2) Failure to demand an informal hearing
and determination of tax liability shall
constitute a waiver of the right to contest
such liability; however, when such deter-
mination is requested or when a request
for a refund is timely made, the final
decision rendered therein shall be appeal-
able as provided herein.
(3) The hearing provided in subparagraph
(b)(l) above shall be informal and no
transcript, rules of evidence or filing of
briefs shall be required, but the taxpayer
may elect to submit a brief, in which case
the city may submit a brief. The city shall
hold such hearing and issue the final
decision thereon within ninety (90) days
after the receipt of the taxpayer's written
request therefor, except the city may ex-
tend such period if the delay in holding
the hearing or issuing the decision thereon
was occasioned by the taxpayer, but, in
any such event, the city shall hold such
1455
~ 22-45
WHEAT RIDGE CITY CODE
hearing and issue the decision thereon
within one hundred eighty (180) days of
the taxpayer's request in writing therefor.
(c) If the dispute was not resolved by the
informal hearing, the taxpayer, pursuant to the
expressed authority of C.R.S. 29-2-106.1(9), may
elect to pursue either of the following avenues of
appeal within thirty (30)days of the city's [mal
decision:
(1) The taxpayer may request a formal hear-
ing on the record before a hearing officer,
who shall be selected from among other
metropolitan Denver treasurers/finance di-
rectors, or who shall be a neutral arbitra-
tor selected by agreement of the parties.
The hearing shall be held within sixty
(60) days of the taxpayer's request. Those
costs of compensation to the hearing of-
ficer and transcription costs shall be di-
vided equally between the city and the
taxpayer.
a. The formal hearing will be on the
merits and on the record. The tax-
payer shall be responsible for reten-
tion of his own legal counsel, if he
chooses to be so represented. A tran-
script of the hearing will be main-
tained and the Colorado Rules of
Evidence shall be observed unless
otherwise agreed by the parties. The
city shall not be entitled to file a
legal brief unless the taxpayer chooses
to submit such a brief or statement
oflegal authorities. The parties may
call witnesses who will be subject to
cross-examination.
b. Upon notice to the taxpayer that the
city has granted the taxpayer a for-
mal hearing, the taxpayer shall de-
posit with the city fifty (50) percent
of the amount of the tax deficiency in
dispute. The taxpayer will also pay
to the city all amounts of tax and
related penalties and interest not in
dispute. The taxpayer may request
permission of the city treasurer to
post security or a bond in lieu of cash
payment of the amount in dispute,
Supp. No. 18
which request will be granted by the
city treasurer if the treasurer, in his
sole discretion, determines the bond
or security is adequate to protect the
city's interest. Failure to post the
cash or security required herein shall
result in the denial of taxpayer's
appeal.
c. Any appeal from the decision ren-
dered after such formal hearing shall
be pursuant to Rule 106(a)(4) of the
Colorado Rules of Civil Procedure.
d. In the event the fmal decision denies
the taxpayer's claims, such taxes,
penalties and interest unpaid shall
become immediately payable with-
out further notice of demand for pay-
ment by the city. The city shall use
all additional remedies to collect un-
paid taxes, penal ties and interest as
provided for under section 22-46.
(2) The taxpayer may elect to pursue the
appeal provisions of C.R.S. ~ 29-2-106.1.
(d) The taxpayer shall have no right to any
form of appeal ifhe has not exhausted his admin-
istrative remedies or if he fails to request a
hearing within the time period provided in this
paragraph. For purposes of this paragraph, "ex-
haustion of administrative remedies" means:
(1) The taxpayer has timely requested in
writing a hearing before the city and the
city has held such hearing and issued a
final decision thereon; or,
(2) The taxpayer has timely requested in
writing a hearing before the city and the
city has failed to hold such hearing or has
failed to issue a fmal decision thereon
within the time periods provided in para-
graph (c) above.
(e) In the event the city's final decision denies
the taxpayer's claims, such taxes. penalties and
interest unpaid shall become immediately pay-
able without further notice of demand for pay-
ment by the city. The city shall use all additional
remedies to collect unpaid taxes, penalties and
interest as provided for under section 22-46.
(Ord. No. 1988-781, ~ 1(21-33), 12-12-88; Ord. No.
1989-804, ~ 3, 8-28-89; Ord. No. 1991-869, ~ 3,
9-1-91; Ord. No. 1991-885, ~~ 1, 5, 12-23-91; Ord.
No. 1996-1060, ~ 6, 12-16-96)
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TAXATION
Sec. 22-46. Additional remedies of city.
(a) Any sales, use, lodgers', or admissions tax
imposed by this chapter, together with the inter-
est and penalties herein provided and the cost of
collection which may be incurred by the city, shall
be and, until paid, remain a first and prior lien
and shall take precedence over all other claims
and mortgages upon:
(1) The goods, stock-in-trade and business
fixtures of or used by any retailer under
lease, title-retaining contract or other con-
tractual arrangement; and
(2) The real and tangible and intangible per-
sonal property owned or leased by any
person.
(b) Any lien arising under this section may be
foreclosed by seizing under distraint warrant and
selling so much of the property covered by the lien
as may be necessary to discharge said lien. Such
distraint warrant may be issued by the treasurer
whenever the taxpayer or vendor is in default on
the payment of sales or use tax, interest and
penalty, and may be served and the goods or
property subject to such liens seized and sold by
the treasurer or any member of the city police
department.
(c) Goods or property seized pursuant to
distraint warrant shall be sold at public auction
after thirty (30) days' public notice by publication
not less than two (2) times in a newspaper of
general circulation within the city. Such goods or
other property, whether real or personal, may be
redeemed by the taxpayer any time prior to sale
by paying such tax, penalty, and interest as is
due, together with such costs as have accrued
from the seizure and preparation for sale.
(d) A notice of lien shall be provided for as set
out in section 11-34(d) of this Code of Laws and a
copy of such notice shall be filed in the public
records of Jefferson County prior to the issuance
of a distraint warrant.
(e) In lieu of seizure of property pursuant to a
distraint warrant, the treasurer may cause a civil
action to be filed in the district court of Jefferson
County to enforce the city's lien for such tax upon
the real property situated in that county or in any
Supp. No. 21
~ 2246
other county in the state which may be subject to
such lien or to subject any real property or any
right, title, or interest in real property to the
payment of such tax. The court shall adjudicate
all matters involved in such action and may
decree a sale of the real property and distribute
the proceeds of such sale according to the findings
of the court in respect to the interest of the parties
and of the city. The proceedings in such action and
the manner of sale, the period for and manner of
redemption from such sale, and the execution of a
deed of conveyance shall be in accordance with
the law and rules of procedure for foreclosures of
mortgages upon real property. In any such action,
the court may appoint a receiver of the real
property involved in such action if equity so
requires.
(0 The treasurer may treat any taxes, penal-
ties or interest due and unpaid as a debt due the
city from the taxpayer.
(1) In case of failure to pay the taxes, or any
portion thereof, or any penalty or interest
thereon, when due, the treasurer may
recover at law the amount of such taxes,
penalties and interest, and the costs of
collection incurred by the city, in the Wheat
Ridge Municipal Court or in any county or
district court of the county wherein the
taxpayer resides or has his principal place
of business having jurisdiction of the
amounts sought to be collected.
(2) The return of the taxpayer or the assess-
ment made by the city, as herein provided,
shall be prima facie proof of the amount
due.
(3) No such civil action may be filed by the
city until the time for the taxpayer to
exercise his administrative remedies or to
file an appeal has expired.
(4) This remedy shall be in addition to all
other existing remedies available to the
city.
(g) Whenever the business or property of any
taxpayer subject to this chapter is subject to
receivership, bankruptcy or assignment for the
benefit of creditors, or seized under distraint for
property taxes, all taxes, penalties and interest
1457
~ 22-46
WHEAT RIDGE CITY CODE
imposed by this chapter and for which the tax-
payer is in any way liable under the terms of this
chapter shall be a prior and preferred lien against
all the property of the taxpayer_ No sheriff, re-
ceiver, assignee or other officer shall sell the
property of any person subject to this chapter
under process or order of any court without first
ascertaining from the city treasurer the amount
of any taxes due under this chapter. If any tax is
due, the officer shall pay the amount of the taxes
out of the proceeds less costs before making
payment to any judgment creditor or other claim-
ants. For the purpose of this chapter, the term
"taxpayer" shall include lIretailer" or "vendor."
(h) It shall be a violation of this chapter to
refuse to obtain a business or exempt business
license, to make any return provided to be made
in this chapter, or to make any false or fraudulent
return, or any false statement in any return, or to
prepare such returns in a reckless or grossly
negligent manner, to fail or refuse to make timely
payment to the city treasurer or his authorized
agent of any taxes collected or due to the city, or in
any manner to evade the collection and timely
payment of the tax, or any part thereof, imposed
by this chapter, or for any person or purchaser to
fail or refuse to pay such tax or evade the timely
payment thereof, or to aid or abet another in any
attempt to evade the timely payment of tax im-
posed by this chapter.
(1) In his discretion, the city treasurer may
direct the issuance of a summons and
complaint to appear before the Wheat
Ridge Municipal Court to any person who
may be in violation of any of the provi-
sions of this chapter or the rules and
regulations promulgated by the city trea-
surer to enforce this chapter.
(2) Any person, corporation, partnership, com-
pany, association or other entity which
violates any of the provisions of this chap-
ter shall be gnilty of a misdemeanor and,
upon conviction of such violation, shall be
subject to the penalties set forth in section
1-5 of this Code; and provided that issu-
ance of a summons and complaint by the
city, and subsequent conviction of a viola-
tion of the Code of Laws in the municipal
Supp. No. 21
court, shall not prohibit the court from
requiring payment of all taxes, penalties
and interest found to be due under this
chapter in addition to any fine imposed by
the court. Each and every twenty-four-
hour period of violation shall constitute a
separate violation of this chapter.
(3) Nothing contained in this paragraph (h)
shall preclude the treasurer from institut-
ing a legal or equitable action in the
Jefferson County District Court for the
purposes of enforcing the provisions of
this chapter. In the event such an action is
undertaken, the city shall be entitled to
recover its attorney's fees and costs of
litigation expended in said action as a
portion of its judgment rendered therein.
(i) In any action affecting the title to real
estate or the ownership or rights to possession of
personal property, the city may be made a party
defendant for the purpose of obtaining an adjudi-
cation or determination of its lien upon the prop-
erty involved therein.
(j) For the purpose of facilitating settlement
and distribution of estates, trusts, receivership,
other fiduciary relationships and the assets of
corporations in the process of dissolution or that
have been dissolved, the city treasurer may agree
with the fiduciary or surviving corporate directors
upon an amount of taxes due from the decedent or
from the decedent's estate, the trust, receivership
or other fiduciary relationship, or corporation for
any periods of tax liability under this chapter.
Payment in accordance with such agreement fully .
satisfies the tax liability for the periods that the
agreement covers, unless the taxpayer has com-
mitted fraud or malfeaE;ance or misrepresented a
material fact regardiog the tax or liability there-
for. .
(1) Except as provided in subsection (3) of
this paragraph (j), any personal represen-
tative of a decedent or the estate of a
decedent, any trustee receiver, or other
person actiog io a fiduciary capacity, or
any director of a corporation in the pro-
cess of dissolution or that has been dis-
solved shall first pay taxes covered by this
chapter due from such decedent, decedent's
1458
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estate, trust estate, receivership, or cor-
poration before he distributed the estate
or fund under such person's controL Any
such person who fails to pay taxes as-
sessed within the periods authorized by
this chapter is personally liable to the
extent ofthe property distributed by such
person for any unpaid taxes of the dece-
dent, decedent's estate, trust estate, re-
ceivership, or corporation imposed by or
due under this chapter.
(2) Any distributee of a decedent's estate, a
trust estate, or fund and the stockholder
of any dissolved corporation who receives
any of the property of such decedent's
estate, trust estate, fund, or corporation is
personally liable for taxes assessed pur-
suant to this chapter to the same extent
that the decedent, trust estate, fund or
corporation is liable under this chapter.
(3) If a tax under this chapter is due from a
decedent or the decedent's estate, per-
sonalliability of the persons set forth in
this section remains in effect only if a
determination of the tax due is made and
notice and demand thereforissued within
eighteen (18) months after the decedent's
personal representative files with the city
treasurer a written request for such de-
termination, filed after it has filed the
decedent's final retum or the decedent's
estate's retum to which the request ap-
plies. A request for determination under
this subsection does not extend the other-
wise applicable period of limitation as
specified in section 22-44.
(4) If a tax under this chapter is due from a
corporation that is in the process of disso-
lution or has been dissolved, personal
liability of directors or stockholders as
provided in this section remains in effect
only if a determination of the tax due is
made and notice and demand therefor
issued within eighteen (18) months after
the corporation files with the city trea-
surer a written request for such determi-
nation, such request is required to be filed
Supp. No. 21
TAXATION
!l 2246
with the city treasurer within ten (10)
days from the time such dissolution has
began.
(k) For property seized pursuant to a distraint
warrant, signed ioventory of the property distrained
shall be made by the city treasurer or his agent.
Prior to the sale, the owner or possessor of such
property shall be served with a copy of said
inventory it notice of the sum of the tax due and
the related expenses incurred to date, and the
time and place of the sale.
(1) A notice of the time and place of the sale,
together with a description of the prop-
erty to be sold, shall be published in a
newspaper of general circulation within
the county where distraint is made.
(2) The time fixed for the sale shall not be
less than thirty (30) days nor more than
sixty (60) days from the date of distraint.
The sale may be postponed by the city or
agent for no more than ninety (90) days
from the date originally fixed for the sale.
(3) The property shall be sold at public auc-
tion for not less than a fair minimum
price, and if the amount bid for the prop-
erty is less than the fair minimum price
so fixed, the property may be declared to
be purchased by the city and the city shall
file a release of lien thereof. If the prop-
erty is purchased by the city, such prop-
erty may be disposed ofin the same man-
ner as other city property and the lien
thereon shall be released.
(4) The property may be offered first by bulk
bid, then subsequently for bid singularly
or by lots, and the city or its agent may
accept the higher bid.
(5) The property offered for sale may be re-
deemed if the owner or possessor or other
person holding an unperfected chattel mort-
gage or other right of possession pays the
tax due and all collection costs no less
than twenty-four (24) hours before the
sale.
(6) The city or its agent shall issue to each
purchaser a certificate of sale which shall
be prima facie evidence of its right to
1459
~ 22-46
WHEAT RIDGE CITY CODE
make the sale and transfer to the pur-
chaser all right, title and interest of the
taxpayer in and to the property sold.
a. When the property sold consists of
certificates of stock, the certificate of
sale shall be notice to any corpora-
tion, company, or association to record
the transfer of its books and records.
b. When the property sold consists of
securities or other evidences of debt,
the certificate of sale shall be good
and valid evidence of title_
(7) Any surplus remaining after satisfaction
of the tax due plus any costs of making
the distraint and advertising the sale may
. be distributed by the city first to other
jurisdictions which have filed liens or
claims of sales and use or personal prop-
erty ad valorem taxes, and second to the
owner, or such other person having a legal
right thereto_
(1) Property of the taxpayer subject to distraint
shall include the personal property of the tax-
payer and the goods, stock in trade and business
fixtures owned or used by any taxpayer including
those used under lease, installment sale, or other
contract agreements.
(m) The taxpayer or any person who claims an
ownership interest or right of possession in the
distrained property may petition the city trea-
surer, or the municipal court if the property was
seized pursuant to a warrant used by the court,
for the return of the property.
(1) Grounds for return of the property shall
exist only if the person making the peti-
tion has a perfected interest in such prop-
erty which is superior to the city's interest
or that the property is exempt from the
city's lien.
(2) The fact finder shall receive evidence on
any issue of fact necessary to the decision
of the petition. If the fact finder deter-
mines by a preponderance of the evidence
in favor of the taxpayer or other peti-
tioner, the property shall be retumed.
Supp. No. 21
(n) Unless the limitation period has been ex-
tended as provided in this section, the statute of
limitations for provisions contained in this chap-
ter shall be as follows:
(1) Refunds. Any claim for refunds for dis-
puted tax shall be submitted to the city
treasurer on or before sixty (60) days from
the date of such purchase.
a. Any claim for refund resulting from
a notice of overpayment shall be
submitted to the city on or before
thirty (30) days after the date of
such notice of overpayment.
b. Any other claim for refund shall be
filed on or before three (3) years
after the date such overpayment was
paid to the city.
(2) Assessments. No notice of assessment shall
be issued more than three (3) years after
the due date of such tax due, or for a
construction project which requires a city
building permit, the date the final certif-
icate of occupancy was issued for such
project.
(3) Notice of lien. No notice of lien shall be
issued more than three (3) years after the
due date of the tax. If the limitation
period is extended, a notice of lien may be
filed on or before thirty (30) days from the
date of the notice of assessment issued for
such extended period.
(4) Returns. When a taxpayer fails or refuses
to file a return, the tax due may be
assessed and collected at any time. In the
case of a false or fraudulent return filed
with intent to evade tax, or a return filed
in a reckless or grossly negligent manner,
the tax due may be assessed or proceed-
ings for the collection of such tax due may
be begun at any time.
(5) Protest. No protest of a notice of assess-
ment or denial of a claim for refund shall
be valid if submitted to the treasurer in
other than written form or after the pe-
riod allowed in this chapter.
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TAXATION
(6) Extension of period of limitation. The pe-
riod of limitation may be extended before
its expiration by mutual consent of the
parties.
(Ord. No. 1988-781, ~ 1(21-34), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91; Ord. No. 1996-1060, ~ 7,12-16-96; Ord.
No. 1998-1120, ~ 10, 6-8-98)
Sec. 22-47. Intercity claims for recovery.
The intent of this section is to streamline and
standardize procedures related to situations where
tax has been remitted to the incorrect municipal-
ity. It is not intended to reduce or eliminate the
responsibilities of the taxpayer or vendor to cor-
rectly pay, collect, and remit sales and use taxes
to the city.
(1) As used herein, "claim for recovery" means
a claim for reimbursement of sales and
use taxes paid to the wrong taxing juris-
diction.
(2) When it is determined by the treasurer
that sales and use tax owed to the city has
been reported and paid to another munic-
ipality, the city shall promptly notify the
vendor that taxes are being improperly
collected and remitted, and that as of the
date of the notice the vendor must cease
improper tax collections and remittances.
(3) The city may make a written claim for
recovery directly to the municipality that
received tax and/or penalty and interest
owed to the city, or, in the alternative,
may institute procedures for collection of
the tax from the taxpayer or vendor. The
decision to make a claim for a recovery
lies in the sole discretion of the city. Any
claim for recovery shall include a properly
executed release of claim from the tax-
payer and/or vendor releasing its claim to
the taxes paid to the wrong municipality,
evidence to substantiate the claim, and a
request that the municipality approves or
denies, in whole or in part, the claim
within ninety (90) days of its receipt. The
municipality to which the city submits a
claim for recovery may, for good cause,
request an extension of time to investi-
Supp. No. 22
~ 22-48
gate the claim and approval of such ex-
tension by the city shall not be unreason-
ably withheld.
(4) Within ninety (90) days after receipt of a
claim for recovery, the city shall verify to
its satisfaction whether or not all or a
portion of the tax claimed was improperly
received, and shall notify the municipal-
ity submitting the claim in writing that
the claim is either approved or denied in
whole or in part, including the reasons for
the decision. If the claim is approved in
whole or in part, the city shall remit the
undisputed amount to the municipality
submitting the claim within thirty (30)
days of approval. If a claim is submitted
jointly by a municipality and a vendor or
taxpayer, the check shall be made to the
parties jointly. Denial of a claim for recov-
ery may only be made for good cause.
(5) The city may deny a claim on the grounds
that it has previously paid a claim for
recovery arising out of an audit of the
same taxpayer.
(6) The period subject to a claim for recovery
shall be limited to the 36-month period to
the date the municipality that was wrongly
paid the tax receives the claim for recov-
ery.
(Ord. No. 1991-885, ~ 6, 12-23-91)
Sec. 22-48. Notice of sales and use tax ordi-
nance amendment.
(a) In order to initiate a central register of
sales and use tax ordinances for municipalities
that administer local sales tax collection, the
finance director of the city shall file with the
Colorado Municipal League prior to the effective
date ~of this section.
(b) In order to keep current the central regi~~-..~
ter of sales and use tax ordinances for municipal-
ities that administer local sales tax collection, the
finance director of the city shall file with the
Colorado Municipal League, prior to the effective
date of any amendment, a copy of each sales and
use tax ordinance amendment enacted by the city.
1461
~ 22-48
WHEAT RIDGE CODE
(c) Failure of the city to file such ordinance or
ordinance amendment pursuant to this section
shall not invalidate any provision ofthe sales and
use tax ordinance or any amendment thereto.
(Ord_ No. 1991-885, {l 6, 12-23-91)
Sec. 22-49. Participation in simplification
meetings.
The treasurer shall cooperate with and partic-
ipate on an as needed basis with a permanent
statewide sales and use tax committee convened__
by the Colorado Municipal League which is com-
posed of state and municipal sales and use tax
officials and business officials. Such committee
will meet for the purpose of discussing and seek-
ing resolution to sales and use tax -problems
which may arise.
(Ord_ No_ 1991-885, {l 6, 12-23-91)
Sees. 22-50-22-55. Reserved.
DIVISION 3. SALES TAX*
Sec. 22-56. Schedule.
(a) There is hereby imposed a sales tax on all
sales and _services not specifically exempted in
sections 22-56(a) and/or 22-58, in the amount of
two and one-half (2.5) percent of the purchase
price. The city considers each and every sale
within the city to be taxable, unless the same is
specifically exempted by this chapter. In order to
avoid fracti_Qns _gf pennies, the following brackets
shall be_ applicable to all taxable transactions:
(1) On sales amounting to nineteen cents
($0.19) to and including eighty-four cents
($0.84) a tax of one cent ($0.01);
(2) On sales amounting to eight-five cents
($0.85)uto and including one dollar and
eighteen cents ($1.18) a tax of two cents
($0.02);
*Editor's not~rd. No. 1994-986, adopted Dec. 12,
1994, provided for a one-half cent increase in the city's sales
and use tax for purposes of expanding and renovating the
police department bun ding and replacing the police department's
communication system. Said increase was effective Jan. I,
1995. and remains in effect until the earlier of the collection of
$2.5 million or Dec. 31, 1996.
Supp. No. 22
(3) On sales in excess of one dollar ($1.00),
the tax shall be two cents ($0.02) on each
full dollar of the sales price, plus the tax
shown on the above schedule for the ap-
plicable fractional part of a dollar of each
such sale price.
(b) Lodgers' tax is imposed in lieu of city sales
tax at the rate often (10) percent of the purchase
price paid or charged for the rental or furnishing
of rooms or accommodations. However, the sale of
any goods, services and commodities other than
--the furnishing of rooms or other accommodations
shall be subject to the sales tax imposed hereby.
(c) Notwithstanding subsections (a) and (b) of
this section, the sales tax rate imposed by this
section shall be increased to two and one-half
(2]12) percent of the purchase price, effective Jan-
uary 1, 1998 and terminating on December 31,
2002, or such date as a total of $12,350,000 has
been raised, in the manner and as authorized by
the one-half (112) percent increase approved by
vote of the Wheat Ridge electorate on November
4, 1997, whichever occurs first. Upon such termi-
nation, this subsection (c) shall also terminate
and be deemed repealed.
(Ord. No. 1988-781, {l1(21-18), 12-12-88; Ord. No.
1991-869, {l 3, 9-1-91; Ord. No. 1991-885, {l 1,
12-23-91; Ord. No. 1992-893, {l 2, 4-13-92; Ord.
No. 1997-1104, {l1, 12-22-97; Ord. No. 1998-1138,
{l5, 11-23-98)
Cross references-Lodger's tax, ~ 22-1; admissions and
amusement tax, ~ 22-2.
Sec. 22-57. Property and service subject to
tax.
The sales tax imposed by section 22-56 above
shall apply to all sales and services, including
without limitation those described below, that are
not specifically exempted in sections 22-56(a) and/or
22-58 of this Code:
(1) Retail sales. The sale, purchase, lease,
rental or grant of license for use of tangi-
ble personal property, and any subse-
quent lease, rental or sale of tangJ.1l1e
personal property by any person to any
consumer or purchaser, regardless of
whether the person purchasing, leasing,
renting or selling the personal property
paid the tax imposed on his initial pur-
1462
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(2)
chase and use of the property so acquired
which is subsequently leased, rented or
sold. When a retail sale involves the ex-
change or trade-in of property, the tax
shall be collected on the purchase price
paid or charged, including the fair market
value of the property exchanged or trad-
ed-in at the time and place of exchange or
trade-in except as specified under section
22-21(3).
Leases or rentals. If tangible personal
property is purchased for use exclusively
in the rental or leasing business and is
Supp. No. 20
TAXATION
!i 22-57
1462.1
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not at any time used for the purchaser's
general business or personal use, use tax
is not due upon the purchase of the tan-
gible personal property, but a sales tax is
due upon the rental or leasing of tangible
personal property used in the rental or
leasing business, regardless of whether a
sales or use tax has been paid upon a
previous purchase of the property.
(3) Telecommunications services. There shall
be imposed a tax upon the sale of telecom-
munications services, whether furnished
by public or private corporations or enter-
prises for all intrastate, interstate and
international telecommunications service
charged to an apparatus, telephone or
account within the city, or to a customer
location within the city, or to a person
residing in the city, without regard to
where the bill for such service is physi-
cally received. For purposes of this sec-
tion, "telecommunications service" in-
cludes the installation of any
telecommunications equipment or appa-
ratus. A credit shall be allowed to the
extent provided in section 22-66(e) for any
telecommunications services subject to the
tax herein that are also subject to a sales
tax outside of this city if such tax is
correctly assessed.
(4) Energy sales. Upon the charge within the
city for electrical energy and natural or
manufactured gas sold for domestic or
commercial consumption and not for re-
sale.
(5) Meals. Meals furnished in any restau-
rant, eating house, hotel, motel, drug-
store, club, resort or other place as fol-
lows:
a. On the selling price of meals, whether
sold to the public or to employees
before the amount of discount cou-
pons are applied.
b. On the cost of meals which are given
to employees in return for their la-
bor or services rendered or otherwise
given away. This cost shall include
all direct materials and labor costs
Supp. No. 18
TAXATION
! 22-57
associated with the production of the
meals, and all indirect overhead costs
associated and attributable to the
production of the meals. Indirect over-
head shall utilize "full absorption" as
defined and utilized in U.S. Trea-
sury tax statutes and Internal Rev-
enue Service regulations.
(6) Pay television. Pay, cable or subscription
television services sold, purchased, leased,
rented, furnished or used, including
charges for service connections, installa-
tions, connection charges and all and any
other similar charges made for such ser-
vices.
(7) Vending machines. Every retailer or ven-
dor vending items of tangible personal
property through coin-operated vending
machines shall be taxable and such re-
tailer or vendor shall pay retail sales or
use tax at the rate specified in section
22-56 on the tangible personal property
sold or vended in the coin-operated ma-
chine unless the sale shall be otherwise
exempt as provided in this chapter. Own-
ers of vending machines that vend arti-
cles of tangible personal property are sub-
ject to sales or use tax on the cost of the
vending machines, provided that owners
of coin-operated devices that do not vend
articles of tangible personal property are
not subject to the sales or use tax on the
cost of such devices; instead, the utiliza-
tion of such machines are considered short-
term rentals of tangible personal property
and the gross receipts are subject to the
sales tax.
(8) Sales to banks. On the purchase price
paid for sales of tangible personal prop-
erty purchased at retail to national bank-
ing associations and banks for use within
the city.
(9) Manufacturing equipment. Machinery, ma-
chine tools and specific processing equip-
ment and repair parts and replacements
thereof used in manufacturing or process-
ing tangible personal property.
1463
~ 22-57
WHEAT RIDGE CITY CODE
(10) Clothing. On the entire amount charged
for clothing purchased at retail.
(11) Resale. Upon used merchandise which
has previously been purchased and which
has been remanufactured or rebuilt and,
as so remanufactured or rebuilt, has been
sold to a subsequent owner.
(12) Farm equipment. Upon farm equipment
not titled or registered as a motor vehicle.
(13) Software services. On the design, develop-
ment, writing, translation, fabrication,
maintenance, lease or transfer of com-
puter program (software) services.
(14) Storage units. On the total lease or rental
charges for storage lockers/units located
within the city.
(15) Amusement or entertainment events. On
the price of admission for any amusement
or entertainment event as specified in
section 22-56.
(16) Auction, farm or estate sale. On sales
made at an auction, farm closeout sale or
estate sale held within the city.
(17) 7bbacco products. The sale of any tobacco
product which is not a cigarette is subject
to sales tax.
(18) Fund raising organizations. The cost of
all materials, equipment, supplies pur-
chased and/or used or consumed by fund
raising organizations, other than such or-.
ganizations qualifying as exempt organi-
zations, is taxable. Fund raising organi-
zations, whether or not qualifying as
exempt institutions, must collect and re-
mit sales taxes on any sales they may
conduct.
(19) Florists. All sales at retail by a florist are
taxable and all orders taken by florists
within the city and telegraphed to florists
outside the city are subject to the city
sales tax. When a florist within the city
receives a telegraphic order from a florist
outside the city, the sale is exempt from
city sales tax. When a florist has more
than one location in the city, interoffice
transactions and deliveries are deemed
not to be telegraphic orders.
Supp. No. 1S
(20) Other services. On the consideration paid
for any linen services, sound system ser-
vices, and alarm and/or security system
services, advertising services, credit bu-
reaus, or broadcast stations as defined in
section 22-21 of this chapter, and such
other services specified by regulation pro-
mulgated hereunder.
(21) Scope of tax authority. For the purpose of
this chapter, tax is due on all items deliv-
ered into or out of the city at the point of
destination or wherever transfer of own-
ership takes place.
(22) Medical supplies and medical equipment.
All medical supplies and medical equip-
ment, as-hereinbefore defined, except those
specifically exempted pursuant to section
22-58(25) hereof, shall be taxable, either
as a sales' tax to the ultimate consumer
(i.e., patient) or as a Use tax payable by
either the health care facility, physician,
dentist or veterinarian utilizing, making
available for utilization or consumption
by others, or consuming the medical sup-
plies or equipment in the provision of
health care services. In the event either
the city's sales or use tax is paid on any
nonexempt medical supply or item ofmed-
ical equipment at the time of its purchase
by the nonexempt health care facility,
physician. dentist or veterinarian. there
shall not be a sales tax imposed on any
further sale or consumption of such med-
ical supply or item of medical equipment,
the intent being to subject all transac-
ti,)Us involving nonexempt medical sup-
plies and equipment to either the sales
tax or the use tax, but not both.
(Ord. No. 1988-781, ~ 1(21-15), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~~ 1, 6,
12-23-91; Ord. No. 1992-893, ~~ 3-5, 4-13-92)
Sec. 22.58. Exempt sales.
(a) Enumeration of exempt items of sales and
service. There shall be exempt from taxation un-
der the provisions of this chapter the following:
(1) All direct sales to the United States gov-
ernment, to the State of Colorado, its
1464
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TAXATION ~ 22-5S
. departments and institutions, and the po- (9) Consideration received for labor or ser-
litical subdivisions thereofin their govern- vices sold, except those specific services
e mental capacities. defmed as taxable. if such services are
(2) All direct sales to, but not sales by, char- separately stated from the tangible per-
sonal property sold. Manufacturing or fab-
itable organizations, as defined in section rication labor is not exempt,
22-21 in the conduct of their regular reli-
gious, charitable, and eleemosynary func- (10) The sale of newspapers as defined in ~
tions and activities; provided, however. 24-70-102, C.R.S.
that building materials and supplies shall (11) The sale of construction and building ma-
be subject to use tax as provided in section terials, as defined in section 22-21, if the
22-68 hereof. Any exempt organization purchaser of such materials presents to
which makes sales of tangible personal the retailer a building permit or other
property to the public and which other- documentation acceptable to the city evi-
wise meets the definition of a retailer in dencing that another municipality's local
section 22-21 must have a sales tax li- use tax was correctly assessed or is re-
cense and collect and remit tax in the quired to be paid on the materials.
same manner as any other retailer. The (12) Tangible personal property or the furmsh-
fact that the merchandise sold may have ing of services if the transaction was pre-
been acquired by gift or donation, or that viously subjected to a sales or use tax,
the proceeds are to be used for charitable lawfully imposed on the purchaser or user
purposes, does not make the sales exempt by another municipality, equal to or in
from tax. excess of the rate established pursuant to
. (3) All sales to organizations which have pre- section 22-56. A credit shall be granted
viously obtained from the city exempt against the city's sales tax with respect to
institution licenses and have presented such transaction equal to the lawfully
the licenses to the vendor at the time of imposed local sales or use tax previously
their purchases. paid by the purchaser or user to the
previous municipality. The amount of the
(4) All sales which the city is prohibited from credit shall not exceed the rate estab-
taxing under the constitution or laws of lished pursuant to section 22-56.
the United States or the State of Colo- (13) The sale price of property returned by the
rado. purchaser when the full sale price includ-
(5) All sales of cigarettes, excluding tobacco ing the tax levied is refunded, either in
products. cash or by credit.
(6) Food purchased with food stamps or WIC (14) Discounts from the original selling price if
(Women, Infant & Children) vouchers. such discount or decrease in purchaser
(7) All charges for rooms and accommoda- price and the corresponding decrease in
tions except that such charges are subject sales tax due is actually passed on to the
to the tax imposed under sections 22-56 consumer. An anticipated cash discount to
and 22-1, which tax is subject to the same be allowed for payment on or before a
requirements and obligations and provi- given date is not an allowable adjustment
to the selling price in determining gross
. sians as are sales taxes. taxable sales on any vendor's return prior
(8) Motor fuel upon which there has been to the date when the customer actually
accrued or has been paid either the gaso- receives the discount. Any adjustments in
line tax or special fuel tax required by ~ sale price such as allowable discounts,
. 39-27-102, C.R.S., and which is not sub- rebates, and credits cannot be anticipated
ject to refund. and the tax must be based upon the
Supp. No, 18
1465
~ 22-58
WHEAT RIDGE CITY CODE
original selling price unless such adjust-
ments have actually been made prior to
the filing of the return wherein such sale
is reported; except that, ifthe price upon
which the tax was computed and paid to
the city by the vendor is subsequently
readjusted, prior to the payment of the
tax by the purchaser, a proper credit may
be taken against the tax due on the next
subsequent return. ,
(15) All sales of tangible personal property if
the following conditions exist:
a. The sales are to those who reside or
do business outside the city for their
, use outside the city;
b. The article or commodity is deliv-
ered to the purchaser by common
carrier, by mail or conveyed by the
seller; and
c. Seller retains legal ownership of prop-
erty until purchaser actually takes
possession.
(16) Allsales of tangible personal property to a
public utility doing business both Within
and outside the city, for use in its business
outside the city, even though sale and/or
delivery thereof is made within the city.
(17) All sales of farm machinery, machinery
parts, livestock, poultry, and livestock and
poultry feed and drugs, seeds and fertiliz-
ers to purchaser for use outside the city
even though sale and/or delivery is made
within the city; except that, trucks of
one-ton manufacturer-rated capacity or
less and lawn and garden tillers, mowers
and renovators are not to be considered as
farm machinery.
(18) All permits, licenses, service charges, fines
and assessments, for benefit or penalty,
charged by and in accordance with the
, Code of the city.
(19) All sales of personal property, where the
sale occurs at the residence of the owner,
and where the property to be sold was
originally purchased for use by members
of the household (Le., garage sales, yard
sales, etc.); provided, however, that such
Supp. No. 1S
sales shall not be exempt if the owner
conducts more than four (4) three-consec-
utive-day sales in a one-year period.
(20) All wholesale sales or sales of tangible
personal property purchased for resale;
provided that the purchaser has a valid
State of Colorado or city sales and use tax
license.
(21) Sales of tangible personal property to a
person engaged in manufacturing or com-
pounding for sale shall be deemed a whole-
sale sale when it meets all of the following
conditions:
a. The property is transformed in fact
by the process of manufacture;
b. The property becomes by the manu-
facturing processes a necessary and
recognized ingredient, component and
constituent part of the finished prod-
uct; and
c. The physical presence of the prop-
erty in the finished product is essen-
tial to the use thereof in the hands of
the ultimate consumer.
d. Additional factors to be considered
are the nature of the purchaser's
contractual obligations, if any, to use,
alter or consume the property to
produce goods or perform services;
the degree to which the items in
question are essential to the
purchaser's performance ofthose ob-
ligations; the degree to which the
purchaser controls the manner in
which the items are used, altered or
consumed prior to their transfer to
third parties; and the degree to which
the form. character or composition of
the items when transferred to third
parties differs from the form, char-
acter or composition of these items
at the time they were initially pur-
chased.
(22) Sales of tangible personal property for use
as containers, labels and shipping cases
to a person engaged in manufacturing or
1466
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TAXATlON
compounding for sale shall be deemed to
be wholesale sale when it meets all of the
following conditions:
a. The property is used by the manu-
facturer or compounded to contain or
label the finished product so manu-
factured or compounded;
b. The property is sold by the manufac-
turer or compounder along with and
as a part of the finished product; and
c. The property is not returnable to the
manufacturer for reuse.
(23) The fair market value of any exchanged
or traded-in property which is to be resold
thereafter in the usual course of the
retailer's business, if included in the full
price of an article sold.
(24) The exemption stated herein shall not
include natural gas and/or electricity used
in the processing or manufacturing of
goods or commodities or substances_
(25) All sales of drugs dispensed in accordance
with a prescription, prescription drugs for
animals, all sales ofinsu\in in all its forms
dispensed pursuant to the direction of a
licensed physician, and all sales of pros-
thetic devices for humans and animals.
(25.1H25.4) ReserVed.
(25.5) Medical supplies and medical equip-
ment. All medical supplies and medical
equipment which are purchased by, or for
use and/or consumption within, a charita-
ble or not-for-proflt health care facility to
which an exempt institution license has
been issued by the treasurer, provided
such not-for-profit health care facility em-
ploys more than one hundred (100) per-
sons within the city, provides more than
one hundred (100) hospital bed spaces on
an ongoing basis, and provided the health
care facility has entered into an agree-
ment, approved by the Wheat Ridge City
Council, provided for ongoing payments
to the city relating to the mutual services
provided by and between the city and the
health care facility.
Supp. No. 21
~ 22-65
(26) Reserved.
(27) All sales of electrical energy and natural
or manufactured gas sold for direct use in
the commercial growth of plants and flow-
ers for sale, whether wholesale or retail.
(b) Increase by implication or similarity pro-
hibited. The foregoing list of exemptions shall not
be increased by implication or similarity.
(c) Exemptions allowed on return. Retailers or
vendors shall not have to remit sales tax reported
on their returns for deductions from gross sales. If
included in reported gross sales, the following are
deductible from gross sales:
(1) Refunds. The price of tangible personal
property or taxable services returned by a
purchaser when the price and the sales
tax collected are refunded in cash or by
credit.
(2) Bad debts. Amounts previously included
in gross sales and related sales tax remit-
ted to the city which are determined to be
uncollectible amounts by the vendor may
be included as bad debts. Only vendors
using the accrual basis of accounting from
gross sales may claim a bad debt deduc-
tion.
(3) Interest and finance charges. The amount
of interest or finance charges on credit
extended in connection with any sale if
the interest or finance charges are sepa-
rately stated from the price and included
in "gross sales" on previously tiled re-
turns.
(Ord. No. 1988-781, ~ 1(21-16), 12-12-88; Ord. No_
1989-804, ~ 4, 8-28-89; Ord. No. 1991-869, ~ 3,
9-1-91; Ord. No. 1991-885, ~~ 1,6, 12-23-91; Ord.
No. 1992-893, ~ 7,4-13-92; Ord. No. 1996-1060, ~~
8, 9, 12-16-96)
Sees. 22-59-22-65. Reserved.
1467
~ 22-66
DIVISION 4. USE TAX.
WHEAT RIDGE CITY CODE
Sec. 22-66_ Property subject to tax.
(a) General intent; filing of return required. It
is hereby declared to be the legislative purpose
and inteJ;l.t of the city council that for the purposes
of this article every person who, on and after the
effective date of this chapter, stores, uses, distrib-
utes or consumes within the city any article of
tangible personal property purchased at retail,
and not stored or distributed in the normal func-
tion of wholesaling, is exercising a taxable privi-
lege and shall be taxed therefor in the amount of
two (2) percent of the purchase price. It is hereby
declared that every resident of the city or any
person doing business within the city who pur-
chases or leases tangible personal property for
use, storage or consumption within the city from
sources outside the city and taxable hereunder,
and who has not paid the city sales tax imposed
by this chapter, shall make an application, file a
return, and pay the tax to the city. The use,
storage or consumption of tangible personal prop-
erty includes, for the purpose of this chapter,
materials, commodities and items oftangible per-
sonal property affixed to, or made a part of,
facilities and structures on real property owned or
leased within the city.
(b) Acquisition of business. The city use tax
shall be remitted on the price paid for tangible
personal property which is acquired with the
purchase of a business, and for use in the opera-
tion of a business. The tax shall be based on the
price paid for such chattels as recorded in the bill
of sale or agreement and constituting a part of the
total transaction at the time of the sale or trans-
fer, provided the valuation is as great or greater
than the fair market value of such merchandise or
chattels. Where the transfer of ownership is a
package deal made by a lump-sum transaction,
the use tax shall be paid on the book value
established by the purchaser for income tax de-
.Editor's note-Ord. No. 1994-986, adopted Dee. 12,
1994, provided for a one-half cent increase in the city's sales
and use tax for purposes of expanding and renovating the
p:>Iice department building and replacing the police department's
communication system. Said increase was effective Jan. I,
1995, and remains in effect until the earlier of the collection of
$2.5 million or Dec. 31, 1996.
Supp. No. 21
preciation purposes or fair market value if no
determination has been made. When a business is
taken over in return for the assumption of out-
standing indebtedness owed by former owners,
the tax shall be paid on the fair market value of
all taxable tangible personal property acquired by
the purchaser. Such tax shall be reported on the
initial use tax return and remitted on or before
the twentieth day of the month following the date
of sale. Timely remittance shall be evidenced by
the postmark date.
(c) Notwithstanding subsections (a) and (b) of
this section, the use tax rate imposed by this
section shall be increased to two and one-half
(2]12) percent of the purchase price, effective Jan-
uary 1, 1998, and terminating on December 31,
2002, or such date as a total of $12,350,000 has
been raised, in the manner and as authorized by
the one-half ('-12) percent increase approved by
vote of the Wheat Ridge electorate on November
4, 1997, whichever occurs first. Upon such termi-
nation, this subsection (c) shall also terminate
and be deemed repealed.
(d) Taxation of leases:
(1) The sales tax on any lease payment shall
be paid by the lessee and shall be remit-
ted by the lessor to the city, providing the
property is located in the city at the time
the payment is due.
(2) Payment and remittance of sales tax to
the city pursuant to subsection (1) above
shall be made on each payment made
under the lease, including, but not limited
to, each payment under any option to
purchase contained in the lease, each pay-
ment for termination of the lease, and
each payment for purchase of the leased
property if the same is sold to the lessee
after termination of the lease, regardless
ofthe subsequent location of the property.
(3) The city will collect use tax only from the
lessee and only on any lease payment
which is due when the property is located
within the jurisdiction of the city. Such
collection of use tax on a lease payment
shall be subject to the credit provisions of
paragraph (e).
1468
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(4) Any applicable use tax shall be imposed
on the lessee and not on the lessor.
(5) Any applicable use tax shall be based
upon the full purchase price of the prop-
erty.
(6) If a lease is renewed, it shall be treated in
the same manner as provided in this
section.
(e) Credit for sales or use tax previously paid to
another municipality:
(1) The city's sales and use tax shall not
apply to the storage, use or consumption
of any article of tangible personal prop-
erty the sale or use of which has already
been subjected to a sales or use tax of
another statutory or home rule mUnicipal-
ity legally imposed on the purchaser or
user equal to or in excess of two and
one-half (2.5) percent. A credit shall be
granted against the city's use tax with
respect to the person's storage, use or
consumption in the city of tangible per-
sonal property, the amount of the credit to
equal the tax paid by him by reason of the
imposition of a sales or use tax of the
previous statutory or home rule munici-
pality on his purchase or use of the prop-
erty. The amount of the credit shall not
exceed two and one-half (2.5) percent.
(2) Credit shall not be given for use tax or
warehouse tax paid to another jurisdic-
tion if such tax was improperly assessed
or imposed by the other jurisdiction.
(D Proration as applied to certain construction
equipment. Proration of the use tax shall be
applied to construction equipment as follows:
(1) Construction equipment located within
the boundaries of the city for more than
thirty (30) consecutive days shall be sub-
ject to the full applicable use tax of the
city.
(2) Construction equipment which is located
within the boundaries of the city for thirty
(30) consecutive days or fewer shall be
subjected to the city's use tax in an amount
which does not exceed the amount calcu-
Supp. No. 21
TAXATION
1469
~22-66
lated as follows: the purchase price of the
equipment shall be multiplied by a frac-
tion, the numerator of which is one and
the denominator of which is twelve, and
the result shall be multiplied by two and
one-half (2.5) percent.
(3) Where the provisions of subsection (g)(2)
of this paragraph are utilized, the credit
provisions of this section shall apply at
such time as the aggregate sales and use
taxes legally imposed by and paid to other
statutory or home rule municipalities on
any such equipment equal to two and
one-half (2.5) percent.
(4) In order to avail himself of the provisions
of this section, the taxpayer shall comply
with the following procedure:
a. Prior to or on the date the equip-
ment is located within the bound-
aries of the city, the taxpayer shall
file with the city an equipment dec-
laration on a form provided by the
city. Such declaration shall state the
dates on which the taxpayer antici-
pates the equipment will be located
within and removed from the bound-
aries of the city, shall include a de-
scription of each such anticipated
piece of equipment, and shall in-
clude such other information as rea-
sonably deemed necessary by the
city.
b. The taxpayer shall file with the city
an amended equipment declaration
reflecting any changes in the infor-
mation contained in any previous
equipment declaration no less than
once every ninety (90) days after the
equipment is brought into the bound-
aries of the city or, for equipment
which is brought into the boundaries
of the city for a project ofless than
ninety (90) days duration, no later
than ten (10) days after substantial
completion of the project.
c. The taxpayer need not report on any
equipment declaration any equip-
~ 22-66
WHEAT RIDGE CITY CODE
ment for which the purchase price
was under two thousand five hun-
dred dollars ($2,500.00).
(Ord. No. 1988-781, ~ 1(21-22), 12-12-88; Ord. No.
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~. 1,
12-23-91; Ord. No. 1996-1060, ~~ 10, 11, 12-16-96;
Ord. No. 1997-1104, ~ 2, 12-22-97)
Sec. 22-67. Exemptions.
There shall be exempt from the tax provided in
section 22-66, the storage, use, distribution and
consumption of the following:
(1) Any tangible personal property or taxable
services upon which the city retail sales
tax has been paid to a vendor authorized
and licensed to collect the same.
(2) Tangible personal property which if it
were sold at retail within the city would
be exempt from sales tax under the pro-
visions of section 22-58; provided, how-
ever, that any building materials and sup-
plies shall be subject to use tax as provided
in section 22-68 hereof without limitation
of the foregoing, this provision shall apply
where tangible personal property is uti-
lized or consumed by a charitable organi-
zation' as defined in section 22-21, in the
conduct ofits regular religious, charitable
or eleemosynary functions and activities.
(3). Tangible personal property brought into
the city by a nonresident for his own use,
storage or consumption while temporarily
within the city.
(4) Tangible personal property of a resident
which was acquired prior to his becoming
a resident.
(5) Any right to the continuous possession or
use for three (3) years or less of any article
of tangible personal property under a lease
or contract, only if the lessor has sought
and been granted permission from the
city to pay and has paid to the city a sales
or use tax on such tangible personal prop-
erty upon its acquisition.
a_ With regard to the right to the con-
tinuous possession or use for three
(3) years or less of any article of
Supp. No. 21
tangible personal property under a
lease or contract, the lessor shall
collect and remit sales tax on each
lease payment received on such prop-
erty, subject to the provisions of this
section.
b. Where the lessor does not lease tan-
gible personal property in the ordi-
nary course of business and wishes
to engage in a one-time transaction
with respect to an article of tangible
personal property, he may request
permission from the city to pay a
sales or use tax on such article of
tangible personal property upon its
acquisition and the city may grant
such permission.
(Ord. No. 1988-781, ~ 1(21-23), 12-12-88; Ord. No_
1991-869, ~ 3, 9-1-91; Ord. No. 1991-885, ~~ 1, 5,
12-23-91; Ord. No. 1992-893, ~ 8, 4-13-92)
Sec. 22-68. Building materials and supplies.
(a) Every person who builds, constructs, recon-
structs, alters, expands, modifies or improves any
building, dwelling, or other structure or improve-
ment to real property in the city, including all
exempt institutions or private construction job
sites, and who purchases lumber, fixtures, or any
other building materials and supplies used there-
for, or any other article or articles of any tangible
personal property used therein, and every owner
or lessee of realty or improvements thereon situ-
ated in this city, upon which any article or articles
of tangible personal property acquired from sources
within or without the city are installed, attached
or affixed, or any equipment used for construction
thereon or improvements thereto, and which the
contractor, owner or lessee has not paid the tax
imposed by this chapter thereon shall pay a use
tax in either of two (2) ways:
(1) By determining an estimated value of the
total cost of construction as established by
the city building inspector and multiply-
ing that value by the tax rate established
by the city treasurer according to regula-
tions promulgated hereunder_ This shall
establish an estimated value upon which
the city sales or use tax shall be computed
1470
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TAXATION
~ 22-6S
and collected, either through the owner,
lessee or general contractor or subcontrac-
tor. The term "cost of construction" shall
include the cost of interior decoration but
shall not include land cost; or
(2) By obtaining a city sales and use. t!lX
license and making monthly reports and
returns and remitting the tax on an ac-
tual cost basis.
Supp. No. 21
1470.1
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.
(b) The city treasurer or his authorized agent
subsequently may conduct an audit to recompute
the tax by comparing the estimated value of the
building materials and supplies used therefor and
the articles of tangible personal property used
therein to the actual cost of the same. If the
recomputed tax is greater than that shown and
paid by the taxpayer, the taxpayer shall be noti-
fied of the deficiency in the manner set forth in
section 22-45.
(Ord. No. 1988-781, ~ 1(21-24), 12-12-88; Ord. No.
1991_869, ~ 3, 9-1-91; Ord. No. 1991-885, ~ 1,
12-23-91; Ord. No. 1996-1060, ~~ 12, 13, 12-16-96)
Sees. 22-69-22-72. Reserved.
DIVISION 5. ENHANCED SALES T,AX
INCENTIVE PROGRAM
Sec. 22-73. Program established.
There is hereby established within the city an
enhanced sales tax incentive program.
(Ord. No. 1988-758, ~ 1(24-1),5-23-88)
Sec. 22-74. Purpose.
The purpose of the enhanced sales tax incen-
tive program created by this division is to_encour-
age the establishment ancl/or substantial expan-
sion of retail sales tax generating businesses
within the city, thereby stimulating the economy
of and within the city, thereby providing employ-
ment for residents of the city and others, thereby
further expanding the goods available for pur-
chase and consumption by residents of the city,
and further increasing the sales taxes collected by
the city, which increased sales tax collections will
enable the city to provide expanded and improved
municipal services to and for the benefit of the
residents of the city, while at the same time
providing public or public-related improvements
at no cost, or at deferred cost, to the city and its
taxpayers and residents.
(Ord. No. 1988-758, ~ 1(24-2), 5-23-88)
Supp. No. 18
TAXATION
* 22-76
Sec. 22-75. Definitions.
The following words, terms and phrases, when
used in this division, shall have the meanings
ascribed to them in this section, except where the
context clearly indicates a different meaning:
Enhanced sales tax shall mean the amount of
sales tax collected by the city over and above a
base amount negotiated by, and agreed upon by.
the applicant and the city, and which amount is
approved by the city council, which base amount
shall never be lower than the amount of sales
taxes collected by the city at the property in
question in the previous twelve (12) months plus
a reasonable and agreed upon percentage of an-
ticipated increase in sales taxes, or, in the case of
a newly established business, an amount which
represents the good faith determination by the
applicant and the city as to the amount of sales
taxes which could be generated from the new
business without the participation by applicant in
the ESTIP created under this division.
ESTIP means the enhanced sales tax incentive
program created under this division.
Owner or proprietor shall mean the record
owner or operator of an individual business, or, in
the case of a shopping center, the owner of the
real property upon which more than one (1)
business is operated, provided that the owner
(whether an individual, corporation, partnership
Dr other entity) is the owner or lessor of the
individual businesses operated thereon.
(Ord. No. 1988-758, ~ 1(24-3), 5-23-88)
Sec. 22-76. Participation.
Participation in ESTIP shall be based upon
approval by the city council exercising its legisla-
tive discretion in good faith. Any owner or propri-
etor of anew ly established or proposed retail
sales tax generating business or location, or the
owner or proprietor of an existing retail sales tax
generating business or location which wishes to
expand substantially, may apply to the city for
inclusion within the ESTIP provided that the new
or expanded business is reasonably likely to gen-
erate enhanced sales taxes of at least five thou-
sand dollars ($5,000.00) in the first year of oper-
ation.
(Ord. No. 1988-758, ~ 1(24-4), 5-23-88; Ord. No.
1990-854, ~ 1, 11-26-90)
1471
~ 22-77
WHEAT RIDGE CITY CODE
Sec. 22-77. Approval of agreement; use of
funds generally.
Approval by the city council of an agreement
implementing this ESTIP shall entitle the suc-
cessful applicant to share in enhanced sales taxes
derived from, applicant's property or business in
an amount which shall not in any event exceed
fIfty (50) percent of the enhanced sales taxes'
provided, however, that applicant may use such
amounts only for public and/or public-related pur-
poses such as_ those specifIed herein and which
are expressly approved by the city council at the
time of consideration of the application. The time
period in which the enhanced sales taxes may be
shared shall not commence until all public or
public-related improvements are completed, and
shall be limited by the city council in its discre-
. '
bon, to a specifIed time, or until a specified
amount is reached. ,
(Ord. No. 1988-758, ~ 1(24-5), 5-23-88)
Sec. 22-78. Uses enumerated.
The uses to which the shared enhanced sales
t~~s may be put by an applicant shall be strictly
lirmted to those which are public or public-related
in natu:e. For the purposes ofthis division, public
or publIc-related purposes shall mean public im-
provements, including but not limited to streets
sidewalks, curbs, gutters, pedestrian malls street
lights, drainage' facilities, landscaping, dec~rative
s~ctures, statuaries, fountains, identification
SIgnS, traffic safety devices, bicycle paths, off-
street parking facilities, benches, restrooms, in-
formation booths, public meeting facilities, and
all necessary, incidental, and appurtenant struc-
tures and improvements, together with the relo-
cation and improvement of existing utility lines,
and any other improvements of a similar nature
which are specifically approved by the city council
upon the city council's fInding that said improve-
ment are public or public-related improvements,
and that such improvements shall enhance the
competitive position of the applicant within the
Denver Metropolitan area marketplace.
(Ord. No. 1988,758, ~ 1(24-6), 5-23-88)
~ents are subject to agreement between the par-
ties, and approval by the city council and which
increments shall be reasonably rel~ted to the
average monthly performance of the business or
property in question, or similar businesses in the
area (i.e. adjust for seasonal variations). If in any
month the agreed upon figure is not meet by
applicant so as to create enhanced sales tax for
that month, no funds shall be shared with appli-
cant for that month, and no increment shall be
shared until that deficit, and any other cumula-
tive defIcit, has been met, so that at the end of any
twelve-month cycle, funds in excess of those en-
hanced sales taxes agreed to be shared shall not
have been shared with any applicant.
(Ord. No. 1988-758, ~ 1(24-7), 5-23-88)
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e
Sec. 22-80. Revenues restricted.
It is an overriding consideration and determi-
nation of the city council that existing sources of
city sales tax revenues shall not be used im-
paired, or otherwise affected by this enh~ced
sales tax incentive program. Therefore, it is hereby
conclusively determined that only enhanced sales
taxes generated by the properties described in an
application shall be subject to division under this
ESTIP. It shall be the affirmative duty of the city
treasurer to collect and hold all such enhanced
sales taxes in a separate account apart from the
sales taxes generated by and collected from the
other sales tax generating uses and businesses
within the city and to provide an accounting
.
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Sec. 22-79. Increments, sharing of funds.
The base figure for sales taxes shall be divided .
into twelve (12) monthly increments, which incre-
Supp. No. 18 1472
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TAXArION
system which accomplishes the overriding pur-
pose ofthis section. It is conclusively stated by the
city council that this division would not be adopted
or implemented but for the provisions of this sec-
tion.
(Ord. No. 1988-758, ~ 1(24-8), 5-23-88)
Sec. 22.81. Capital improvement fund.
The one (1) percent of sales and use taxes ear-
marked for the capital improvement fund may be
utilized in this ESTIP for public improvements so
long as the same are within the meaning of the
phrase capital improvements as dermed in the
voter approved sales tax referendum previously
held within the city, and provided that the same
are found and determined by the city council to be
capital improvements which could be provided by
the city from the capital improvement fund but
for the provision of such improvements by the ap-
plicant; provided, however, that such use of cap-
ital improvement funds as part ofthis ESTIP shall
be limited to the amount agreed pursuant to sec-
tion 22-83 hereof; provided further, however, that
nothing contained herein shall limit the city
council in the determination to appropriate addi-
tional capital improvement funds for capital im-
provements affecting the property in question as
a part of the city's regular appropriation and
budget process.
(Ord. No. 1988-758, ~ 1(24-9), 5-23.88)
Sec. 22-82. Criteria for approval of applica-
tion.
(a) Approval of an application for inclusion in
this ESTI? shall be given by the city council, at a
public hearing held as a portion of a regularly
scheduled city council meeting, based upon the
following criteria:
(1) The amount of enhanced sales taxes which
are reasonably to be anticipated to be de-
rived by the city through the expanded or
new retail sales tax generating business;
(2). The public benefits which are provided by
the applicant through public works, public
improvements, additional employment for
city residents, etc.;
Supp. No. 12
~ 22.S3
(3) The amount of expenditures which may be
deferred by the city based upon public im-
provements to be completed by the appli-
cant;
(4) The conformance of the applicant's prop-
erty or project with the comprehensive plan
and zoning ordinances of the city;
(5) The agreement required by section 22-83
having been reached, which agreement
shall contain and conform to all require-
ments of section 22-83.
(6) Approval shall be by motion adopted by a
majority of the entire city council.
(Ord. No. 1988-758, ~ 1(24-10), 5-23-88)
Sec. 22.83. Agreement required.
Each application for approval submitted to the
city council shall be subject to approval by the
council solely on its own merits. Approval of an
application shall require that an agreement be
executed by the owner and the city, which agree.
ment shall, at a minimum, contain:
(1) A list of those public or public-related im-
provements which justify applicant's ap-
proval, and the amount which shall be spent
on such improvements;
(2) The maximum amount of enhanced sales
taxes to be shared, and the maximum time
during which the agreement shall continue,
it being expressly understood that any such
agreement shall expire and be of no further
force and effect upon the occurrence of the
earlier to be reached of the maximum time
of the agreement (whether or not the max-
imum amount to be shared has been
reached) or the maximum amount to be
shared (whether or not the maximum time
set forth has expired);
(3) A statement that this is a personal agree-
ment which is not transferable and which
does not run with the land;
(4) That this agreement shall never constitute
a debt or obligation of the city within any
constitutional or statutory provision;
(5) The base amount which is agreed upon by
month, and the fact that if, in any month as
1473
~ 22.S3
WHEAT RIDGE CITY CODE
e
specified, sales taxes received from the prop-
erty do not at least equal such amount, that
there shall be no sharing of funds for such
month;
(6) The base amount shall be agreed upon
which shall consider the historic level of
sales at the property in question, or a sim-
ilar property within the area in the event
of a new business, and a reasonable allow-
ance for increased sales due to the improve-
ments and upgrades completed as a result
of inclusion within this program;
(7) A provision that any enhanced sales taxes
subject to sharing shall be escrowed in the
event there is a legal challenge to this en-
hanced sales tax incentive program or the
approval of any application therefor;
(8) An affirmative statement that the obliga-
tions, benefits, and/or provisions of this
agreement may not be assigned in whole or
in any part without the expressed authori-
zation of the city council, and further that
no third party shall be entitled to rely upon
or enforce any provision hereof;
(9) Any other provisions agreed upon by the
parties and approved by the city council.
(Ord. No. 1988-758, !l1(24-11), 5-23-88)
Sec. 22-84. Joint venture; liability.
The city council has enacted this ESTIP as a
joint benefit to the public at large and to private
owners for the purposes of providing the city with
increased sales tax revenues generated upon and
by properties improved as a result of this pro-
gram; public improvements being completed by
private owners through no debt obligation being
incurred on the part of the city, and allowing ap.
plicants an opportunity to improve properties
which generate sales activities, which improve-
ments make those properties more competitive in
the marketplace and further provide to the appli-
cant additional contingent sources of revenues for
upgrading such properties. The city council spe-
cifically finds and determines that creation of this
ESTIP is consistent with the city's powers as a
home rule municipal corporation, and that exer-
cise of such powers in the manner set forth herein
Supp. No. 12
is in furtherance of the public health, safety and
welfare. Notwithstanding any provision hereof, the
city shall never be a joint venturer in any private
entity or activity which participates in this ES-
TIP, and the city shall never be liable or respon.
sible for any debt or obligation of any participant
in ESTIP.
(Ord. No. 1988-758, !l1(24-12), 5-23-88)
DMSION 6. BUSINESS DEVELOPMENT
ZONE
Sec. 22.85. Program established.
There is hereby established within the City of
Wheat Ridge the "Wheat Ridge Business Devel-
opment Zone" program.
(Ord. No. 888, !l1, 1-13-92)
Sec. 22.86. Legislative declarations.
(a) The city council of the City of Wheat Ridge
hereby finds and declares:
(1) That the health, safety and welfare of the
people of this city are in large part depen-
dent upon the continued encouragement, de-
velopment and expansion of opportunities
for employment in the private sector in this
city;
(2) That there currently exists in this city busi-
nesses or vacant land which require new
development or revitalization opportuni-
ties to overcome conditions of unemploy-
ment, underemployment, net out-migration
of the population, diminution of tax reve-
nues, chronic economic distress and
blighting influences such as, but not lim-
ited to, deterioration of business districts,
deterioration of public infrastructures,
traffic and drai"age problems or sudden se-
vere economic dislocations;
(3) That by creating new development, rede-
velopment or expansion opportunities for
businesses within the city the city council
will increase the likelihood that new and
improved businesses will generate more mu-
nicipal sales and use tax revenues for the
city in the future.
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1474
TAXATION
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(b) It is therefore declared to be the policy of
the City of Wheat Ridge, in order to provide in-
centives for private enterprises to expand or for
new businesses to locate in the city, to develop a
program which empowers the city council to des.
ignate portions of the city as a "business develop-
ment zone" and to provide for the abatement of
certain categories of fees, taxes and other busi-
ness development-related charges for new devel-
opment or redevelopment within such districts.
(c) The city council has enacted this division 6
of article II of chapter 22 of the Code of Laws as a
joint benefit to the public at large and to private
owners for the purposes of reducing blight in our
business districts and of providing the city with
increased sales and use tax revenues generated
upon and by properties improved as a result of
this program and allowing owners and propri-
etors opportunities to improve properties which
generate sales activities, which improvements
make those properties more competitive in the
marketplace and further provide to owners and
proprietors additional contingent sources of reve-
nues for ungrading such properties.
(d) The city council specifically finds and deter-
mines that creation of this "business develop-
ment zone" ordinance and the exercise of the
powers enumerated herein are consistent with and
promotes the public health, safety and general
welfare of the citizens of Wheat Ridge.
(Ord. No. 888, !iI, 1-13-92; Ord. No_ 1993.947, !iI,
12-13-93)
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Sec. 22-87. Definitions.
As used in this division, the following ph;ases
shall have the following meanings unless the con-
text clearly indicates another meaning:
(1) The phrase eligible city fees, charges and
taxes shall mean and shall be limited to use
tax on furniture and fIXtures associated
with the initial development or redevelop-
ment "project," use tax on building mate-
rials, building permit fees and zoning fees.
(2) The phrase expected incremental future sales
and use tax revenue shall mean the amount
of the additional sales and use tax revenue,
as projected by the city, expected to be gen-
Supp. No. 12
.22.89
erated during the council-designated time
period from the time of completion of the
"project" over and above the sales and use
tax fees generated on the premises in the
twelve (12) months preceding the applica-
tion described in section 22-88.
(3) The phrase owner or proprietor shall mean
the record owner, tenant or opeator of an
individual business or, in the case of a shop-
ping center, the owner of the real property
upon which more than one business is op-
erated.
(4) Project shall mean the specific development
or redevelopment expenditures which re-
late both to the abatement of "eligible city
fees, charges, and taxes" and "expected in-
cremental future sales and use tax
revenues."
(Ord. No. 888, !i1, 1-13.92)
Sec. 22.88. Participation.
Participation in the business development zone
program shall be based upon approval by the city
council, exercising its legislative discretion in good
faith. Any owner or proprietor of an established,
proposed or newly purchased business, or the
owner or proprietor of an existing business which
wishes to expand, may apply to the city for inclu-
sion within the program. Abatement or sharing of
eligible city fees, charges, and taxes shall, upon
approval of the application by the city council, be
granted up to the amount of expected incremental
future sales and use tax revenue to be generated
.by the project during the agreed to time period.
(Ord. No. 888, !i1, 1-13-92)
Sec. 22-89. Approval of agreement; use of
funds generally.
Approval by the city council of an agreement
implementing the provisions of this division shall
entitle the applicant to share in the eligible city
fees, charges and taxes up to the amount agreed
by the city council; provided, however, that appli-
cant may use such amounts only for the purpose
of developing or redeveloping the business within
the approved business development zone, which
1475
~ 22.89
WHEAT RIDGE CITY CODE
purposes shall be specifically enumerated in the
agreement provided for in section 22-94 hereof.
(Ord. No. 888, ~ 1, 1-13-92)
Sec. 22.90. Uses enumerated.
The uses to which the eligible city fees, charges
and taxes may be put by an applicant shall be
strictly limited to those which are approved by
the city council and relate directly to the devel-
opment or redevelopment of businesses within the
city, which developed or redeveloped businesses'
will generate more municipal sales and use tax
revenues for the city in the future. Priority shall
be given to all businesses which make application
for inclusion within this program and who agree
to utilize the eligible city fees, charges and taxes
for the public or public-related purposes identified
section 22-78 of this Code of Laws.
(Ord. No. 888, ~ 1, 1-13-92)
Sec. 22;91. Increments, sharing of funds.
The base figure for eligible city fees, charges
and taxes shall be divided into twelve (12) monthly
increments, which increments are subject to agree-
ment between the parties and approved by the
city council, and which increments shall be rea-
sonably related to the amount of sales and use
taxes generated on the premises in the twelve (12)
months preceding the application received by the
city for participation in this program. The ac-
counting and payment provisions of sections 22-79
and 22-80 hereof are hereby declared to be appli-
cable to any application approved hereunder
(Ord. No. 888, ~ 1, 1-13-92)
Sec. 22-92. Capital improvement fund.
'I:he one percent of use taxes earmarked for the
Capital Improvement Fund may be utilized in this
business development zone program for public im-
provements so~long as the same are within the
meaning of the phrase capital improvements as
defined in the voter-approved sales tax ref",rendum
previously held within the city, and provided the
public improvements are found and determined
by the city council to be capital improvements
which could be provided by the city from the Cap-
Supp. No. 12
ital Improvement Fund but for the provision of
such improvements by the applicant.
(Ord. No. 888, ~ 1, 1-13-B2)
Sec. 22.93. Criteria for approval of applica.
tion.
(a) Approval of an application for inclusion in
this business development zone program shall be
given by the city council at a public hearing held
as a portion of a regularly scheduled city council
meeting based upon the following criteria:
(1) The amount of expected incremental future
sales -and use taX revenue which reason.
ably [can] be anticipated to be derived by
the city through the expanded or new tax
generating business;
(2) The public benefits which are provided by
the applicant through public works, public
improvements, additional employment for
city residents, etc.;
(3) The amount, if any, of city expenditures
which may be deferred based upon public
improvements to be completed by the ap-
plicant;
(4) The conformance of the applicant's prop-
erty or project with the comprehensive plan
and zoning ordinances of the city;
(5) The agreement required by section 22-94
hereof having been reached, which agree-
ment shall contain and conform to all of the
requirements of such section.
(b) Approval of any application shall be made
by motion adopted by a majority of the entire city
council.
(c) The city council may by three-fourths ma-
jority vote approve exceptions to the provisions of
this division when such exceptions are found to be
in the public's interest and such exceptions pro-
vide substantial benefit to the city.
(Ord. No. 888, ~ 1, 1-13-92; Ord. No. 1993-947, S 2,
12-13-93)
Sec. 22-94. Agreement required.
Each application for approval to the city council
shall be subject to approval by the council solely
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on its own merits. Approval of one application
shall not require, or be deemed precedent for,
approval of any other application. Approval of an
application shall require that an agreement be
executed by the owner and the city, which agree-
ment shall, at a minimum contain:
(1) A list of those public or public-related
improvements which justify applicant's
approval, and the amount which shall be
spend on such improvements;
(2) The maximum amount of expected incre-
mental future sales and use tax revenue
and the maximum time during which the
agreement shall continue, it being ex-
pressly understood that any such agree-
ment shall expire and be of no further
force and effect upon the occurrence of the
earlier to be reached of the maximum
time of the agreement (whether or not the
maximum amount to be shared has been
reached) or the maximum amount to be
shared (whether or not the maximum
time set forth has expired);
(3) A statement that this is a personal agree-
ment which is not transferable and which
does not run with the land;
(4) That this agreement shall never consti-
tute a debt or obligation of the city within
any constitutional or statutory provision;
(5) The base amount which is agreed upon by
month, and the fact that if, in any month
as specified, expected incremental future
sales and use tax revenue received from
the property does not at least equal such
amount, that there shall be no sharing of
funds for such month;
(6) The base amount shall be agreed upon,
which shall consider the use taxes gener-
ated by the property in question, or a
similar property within the city in the
event of a new business;
(7) A provision that any expected incremen-
tal future sales and use tax revenue shall
be escrowed in the event there is a legal
challenge to this business development
zone program;
Supp. No. 19
TAXATION
~ 22-96
(8) An affirmative statement that the obliga-
tions, benefits and/or provisions of this
agreement may not be assigned in whole
or in any part without the expressed allo.
thorization of the city council, and further
that no third party shall be entitled to
rely upon or enforce any provision hereof;
(9) Any other provisions agreed upon by the
parties and approved by the city council.
(Ord. No. 888, ~ 1, 1-13-92)
Sec. 22-95. Joint venture liability.
The city council has enacted this business
development zone as a joint benefit to the public
at large and to private owners for the purposes of
providing the city with increased tax revenues
generated upon and by properties improved as a
result of this program; public improvements be-
ing completed by private owners through no debt
obligation being incurred on the part of the city,
and allowing applicants an opportunity to im-
prove properties which generate sales and other
business activities. The city council specifically
finds and determines that creation of this busi-
ness development zone is consistent with the
city's powers as a home rule municipal corpora-
tion, and that exercise of such powers in the
manner set forth herein is in furtherance of the
public health, safety and welfare. Notwithstand-
ing any provision hereof, the city shall never be a
joint venturer in any private entity or activity
which participates in this business development
zone program, and the city shall never be liable or
responsible for any debt or obligation of any
participant in this business development zone.
(Ord. No_ 888, ~ 1, 1-13-92)
Sec. 22-96. ESTIP and TIF.
If the applicant, owner or proprietor partici-
pates in the city's Enhanced Sales Tax Incentive
Program ("ESTIP") or if the owner's or proprietor's
business is located in an urban renewal area in
which all or a portion of sales tax revenues have
been pledged as part of a tax increment financing
program, he or she shall be ineligible for partici-
pation in this business development zone pro-
gram.
(Ord. No. 888, ~ 1, 1-13-92)
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~ 22-97
WHEAT RIDGE CITY CODE
Sees. 22-97-22-99. Reserved.
ARTICLE m. BASIC LOCAL
TELECOMMUNICATIONS SERVICE.
Sec. 22-100. Levy of tax.
There is hereby levied a tax on and against
each person, corporation or entity engaged in the
business or occupation of providing basic local
telecommunications service within the City of
Wheat Ridge.
(Ord. No. 1997-1072, ~ 1, 3-24-97)
See. 22.101. Definitions.
For the purposes of this article, the following
terms shall be construed as defined herein:
Basic local telecommunications service means
the electronic or optical transmission of informa-
tion between separate points by prearranged
means, which may include the provision of a tone,
or its functional equivalent, a local line or other
transmission path and such local usage as is
necessary to place or receive a call. Basic local
telecommunications service does not include long
distance service, cellular service or mobile radio
telephone service. However, the provision of cel-
lular or mobile radio service to any resident,
business or other entity as its primary local
telecommunications service shall be deemed basic
telecommunication service for the purpose of de-
termining the applicability of this business and
occupation tax.
Incumbent basic local telecommunications ser-
vice provider or incumbent provider shall be the
*Editor's note-Ord. No. 1997-1072, ~ 1, adopted March
24, 1997, repealed and re-enacted the provisions of Ch. 22, Art.
III to read as herein set out. Prior to this revision, Art. III
contained provisions relative to telephone exchanges and was
derived from Code 1977, ~~ 21-21-22-27 and from the follow-
ing ordinances:
Ord. No.
1987- 73S
1985-77S
1989-S17
Date
Ord. No.
1990-S56
1991-S87
1991-SSS
Date Ord. No.
Date
11-23-87
11-28-88
2-12-90
12-10.90 1992-9S0
12-23-91 1994-956
1-13-92 1995-991
12-14.92
2-2S.94
2-13-95
Supp. No. 19
company or entity providing basic local telecom-
munications service within the city as of July 1,
1996.
Line shall mean a separate telephone number,
except that, to the extent basic local telecommu-
nications service is provided through trunks, a
line shall mean network access register. or its
functional equivalent.
New basic local telecommunications service pro-
vider or new provider shall be any company or
entity other than the incumbent provider who
enters into the business of providing basic local
telecommunications service in the city.
(Ord. No. 1997-1072, ~ 1, 3-24-97)
Sec. 22-102. Local purpose.
The tax provided in this article is upon the
affected occupations and businesses in the perfor-
mance of local functions and is not a tax upon
those functions relating to interstate commerce.
(Ord. No. 1997-1072, ~ 1, 3-24-97)
Sec. 22-103. Amount and payment of tax.
The amount of the tax levied and payment of
the tax shall be as follows:
(1) The Incumbent Basic Local Telecommuni-
cations Service Provider shall pay one
hundred ninety thousand five hundred
and seventy-five dollars ($190.575.00) as
follows: One hundred ninety thousand
five hundred and seventy-five dollars
($190,575.00) shall be paid in twelve (12)
equal monthly installments of fifteen thou-
sand eight hundred and eighty-one dol-
lars and twenty-five cents ($15,881.25),
each installment to be paid on the last
business day of each calendar month.
(2) Each New Basic Local Telecommunica-
tions Service Provider shall pay a tax
based on a calculated fraction of the tax
paid by the Incumbent Basic Local Tele-
communications Service Provider. The
amount shall be determined as follows:
a. The incumbent provider per line
charge will be determined by divid-
ing the Incumbent Basic Local Tele-
communications Service Provider tax
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by the number of customer lines
provided by the Incumbent Basic Lo-
cal Telecommunications Service Pro-
Incumbent Provider Tax ($190.575.00) =
No. of Incumbent Provider Lines
b. The tax paid by each new Basic
Local Telecommunications Service
Provider shall be the Per Line Charge
as defined through the above for-
mula multiplied by the number of
lines provided in Wheat Ridge by the
New Basic Local Telecommunica-
tions Provider.
(3) Calculation of the tax paid by a cellular or
mobile radio telephone service provider
shall be based only on the number of lines
or the functional equivalent actually used
to provide Basic Local Telecommunica-
tions Service as described in section 22-
101 above.
(4) The amount of the tax levied against new
Basic Local Telecommunication Service
Provider shall be calculated each August
and shall be effective on the following
January 1 and shall be payable in twelve
(12) equal monthly installments, each in-
stallment to be paid on the last business
day of each calendar month.
(Ord. No. 1997-1072, ~ 1, 3-24-97)
Sec. 22-104. Failure to pay.
If any Basic Local Telecommunications Service
Provider subject to this article fails to pay the
taxes as herein provided; the full amount thereof
shall be due and collected from such provider, and
the same, together with an addition of ten (10)
percent of the amount of taxes due shall be and is
declared to be a debt due and owing from such
provider to the city.
(Ord. No. 1997-1072, ~ 1,3-24-97)
Sec. 22-105. Inspection of records.
The city, its officers, agents or representatives,
shall have the right at any reasonable time to
examine the books and records of the Basic Local
Supp. No. 19
TAXATION
~ 22-107
viderwithin Wheat Ridge. Expressed
as a formula, the ratio shall be as
follows:
New Provider Tax
Number of New Provider Lines
Telecommunications Service Providers which are
subject to the provisions of tax imposed in this
article and to make copies of the entries or con-
tents thereof.
(Ord. No. 1997-1072, ~ 1,3-24-97)
Sec. 22-107. Tax in lieu of other occupation
taxes.
The tax provided in this article shall be in lieu
of all other occupation taxes or taxes on the
privilege of doing business within the city on any
provider of Basic Local Telecommunications Ser-
vice subject to the provisions of this article.
(Ord. No. 19!)7:1072, ~ 1, 3-24-97)
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