6.04.010 Definitions.

     The following words or phrases as used in this Article shall have the
following meanings:
     (a)  Business. Any business, commercial enterprise, trade, calling,
vocation, profession, occupation, or means of livelihood, whether or not
carried on for gain or profit.
     (b)  City. The City of Santa Monica.
     (c)  Evidence of Doing Business. "Evidence of doing business" shall
include, but not be limited to, a person's or entity's use of signs, circulars,
cards, telephone books, newspapers, or trade publications to advertise, hold
out or represent that such person or entity is in business in the City, or when
any person or entity holds an active license or permit issued by a governmental
agency indicating that such person or entity is in business within the City, or
when any person or entity gives other evidence of transacting and carrying on
business, and such person fails to deny in a sworn statement given to the
Director of Finance that such person or entity is not "engaged in business"
within the City, after being requested to do so by the Director of Finance,
then these facts shall be considered prima facie evidence that such person or
entity is conducting a business in the City.
     (d)  Gross Receipts.
     (1)  Unless a different meaning is specifically defined, "gross receipts"
shall include:
     (i)  The total amount of the sale price of all sales, the total amount
charged or received for the performance of any act, service, or employment of
whatever nature it may be, whether such service, act, or employment is done as
part of or in connection with the sale of goods, wares, merchandise or not, for
which a charge is made or credit allowed, including all receipts, cash,
credits, and property of any kind or nature, any amount for which credit is
allowed by the seller to the purchaser without any deduction therefrom on
account of the cost of the property sold, the cost of the materials used, labor
or service costs, interest paid or payable, losses or any other expense
whatsoever.
     (ii) The amount of any Federal manufacturers' or importers' excise tax
included in the price of property sold, even though the manufacturer or
importer is also the retailer thereof and whether or not the amount of such tax
is stated as a separate charge.
     (iii)     In connection with a person leasing, subleasing, or renting
property, all amounts paid by a tenant or subtenant to a lessor or sublessee
for the services performed, or materials used, or utilities or facilities
furnished by the lessor or sublessor on the premises or in connection with the
tenant's or subtenant's use, possession, or the right to possess the property,
including but not limited to income from laundry facilities on the property;
any receipts paid by a tenant or subtenant to a lessor or sublessor for the use
or possession of land, or the right to use or possess land other than that upon
which the building or structure is located but which is used or possessed or is
available for use or possession by a tenant or subtenant for purposes related
to the tenancy, all amounts paid as prepaid rent, and all amounts paid by a
tenant or subtenant for the rental of any furniture, equipment, fixtures,
garage, or storage space.
     (iv) Receipts of any person received as commissions or fees earned, or
charges of any character made or compensation of any character received, for
the performance of any service by said person or any of said person's employees
and receipt of any person received as partial or full compensation or
reimbursement for salaries, payroll taxes, fringe benefits, and any and all
similar expenses for persons who are employees of said person and receipts of
any person received as partial or full compensation or reimbursement for
equipment, supplies, utilities, or other items or services acquired by said
person in that person's name and used or consumed in the performance of
services.
     (2)  "Gross Receipts" shall not include:
     (i)  The amount of any Federal tax imposed on or with respect to retail
sales whether imposed upon the retailer or upon the consumer and regardless of
whether or not the amount of Federal tax is stated to customers as a separate
charge.
     (ii) Any California State, city, or city and county sales or use tax
required by law to be included in or added to the purchase price and collected
from the consumer or purchaser.
     (iii)     Such part of the sales price of any property previously sold and
returned by the purchaser to the seller which is refunded by the seller by way
of cash or credit allowances given or take as part payment on any property so
accepted for resale.
     (iv) Any refundable deposit which is returned to the depositor.
     (v)  That portion of the receipts of a general building contractor
licensed under Sections 6.08.060 or 6.08.070, which represents payments to
subcontractors, provided such subcontractors are licensed under the provisions
of this Chapter and that the general contractor furnishes the Director of
Finance with the names and addresses of the subcontractors and the amounts paid
to each subcontractor.
     (vi) Bad debts taken from gross receipts reported during a prior tax year
in accordance with generally acceptable accounting practices.
     (vii)     Anything which the City of Santa Monica may not lawfully include
by virtue of the Constitution of the United States or the Constitution of the
State of California.
     (viii)    Fees for actual costs of governmental requirements (e.g.,
inspections, plan checks, etc.) paid by a licensee on behalf of a third party.
     (e)  Independent Contractor. Any natural person other than a state
licensed building trades contractor, who is engaged to aid in the business of
any other person, whether as a professional as defined hereinafter, or whether
pursuant to any license, certificate, or registration authorized by the
California Business and Professions Code, as the same now exists or as
hereafter amended, or whether with regard to any other trade, skill or
occupation, and who receives remuneration either through commission, or
pursuant to any contract of employment which excludes regular wages or salary,
or in any other manner other than through regular wages, salary or a direct
participation in the profits of the business.
     (f)  Operate. Manage, control or carry on, whether done as an owner, an
agent, an employee, or a lessee, or a licensee. (Prior code Sec. 6000; added by
Ord. No. 1523CCS, adopted 5/8/90)