HomeMy WebLinkAboutO-1389ORDINANCE NO. 1389
AN ORDINANCE AMENDING ORDINANCE NO. 1385
KNOWN AS THE CITY OF FAIRHOPE'S
SALES AND USE TAX ORDINANCE
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAIRHOPE
ALABAMA, as follows:
The ordinance known as the City of Fairhope's Sales and Use Tax Ordinance (No.
1385), adopted 27 April 2009, is hereby amended in respect to the certain sections below
and all other sections within this ordinance remain as written and adopted:
Section 1. (c) Upon every person, firm or corporation engaged or continuing
within the city in the business of selling at retail machines used in mining, quarrying,
compounding, processing, and manufacturing of tangible personal property, an amount
equal to one-half (1/2) percent of the gross proceeds of the sale of such machines;
provided, that the term "machines," as herein used, shall include machinery which is used
for mining, quarrying, compounding, processing, or manufacturing tangible personal
property, and the parts of such machines, attachments and replacements therefore which are
made or manufactured for use on or in the operation of such machines and which are
necessary to the operation of such machines and are customarily so used.
(d) Upon every person, firm or corporation engaged or continuing within the city in
the business of selling at retail any automotive vehicle or truck trailer, semi -trailer, house
trailer or mobile home set-up materials and supplies including but not limited to steps,
blocks, anchoring, cable pipes and any other materials pertaining thereto an amount equal to
one-half (1/2) percent of the gross proceeds of sale of said automotive vehicle, truck
trailer, semi -trailer, house trailer or mobile home set-up materials and supplies provided,
however, where a person subject to the tax provided for in this subsection withdraws from
his stock in trade any automotive vehicle or truck trailer, semi -trailer or house trailer for use
by him or by his employee or agent in the operation of such business, there shall be paid, in
lieu of the tax levied herein, a fee of five dollars ($5.00) per year or part thereof during
which such automotive vehicle, truck trailer, semi -trailer or house trailer shall remain the
property of such person. Each such year or part thereof shall begin with the day or
anniversary date, as the case may be, of such withdrawal and shall run for the twelve (12)
succeeding months or part thereof during which such automotive vehicle, truck trailer, or
house trailer shall remain the property of such person.
Where any used automotive vehicle or truck trailer, semi -trailer or house trailer is taken in
trade or in a series of trades, as a credit or part payment on the sale of a new or used vehicle,
the tax levied herein shall be paid on the net difference, that is, the price of the new or used
vehicle sold less the credit for the used vehicle taken in trade.
(e) Upon every person, firm or corporation engaged or continuing within the city in
the business of selling at retail any machine, machinery or equipment which is used in
planting, cultivating and harvesting farm products, or used in connection with the
production of agricultural produce or products, livestock or poultry on farms, and the parts
of such machines, machinery or equipment, attachments and replacements therefore which
are made or manufactured for use on or in the operation of such machine, machinery or
equipment, and which are necessary to and customarily used in the operation of such
machine, machinery or equipment, an amount equal to one-half (1/2) percent of the gross
proceeds of the sale thereof. Provided, however, the one-half (1/2) percent rate herein
prescribed with respect to parts, attachments, and replacements shall not apply to any
automotive vehicle or trailer designed primarily for public highway use, except farm trailers
used primarily in the production and harvesting of agricultural commodities.
Ordinance No. 1389
Page -2-
Where any used machine, machinery or equipment which is used in planting, cultivating,
and harvesting farm products, or used in connection with the production of agricultural
produce or products, livestock and poultry on farms is taken in trade or in a series of trades
as a credit or part payment on a sale of a new or used machine, machinery or equipment, the
tax levied herein shall be paid on the net difference, that is, the price of the new or used
machine, machinery or equipment sold, less the credit for the used machine, machinery or
equipment taken in trade.
Section 4. (b) An excise tax is hereby imposed on the storage, use or other
consumption in the city, of any machines used in mining, quarrying, compounding,
processing, and manufacturing of tangible personal property purchased at retail on or after
the effective date of this ordinance at the rate of one-half (1/2) percent of the sales price of
any such machine; provided, that the term "machine" as herein used, shall include
machinery which is used for mining, quarrying, compounding, processing, or
manufacturing tangible personal property, and the parts of such machines, attachments and
replacements therefore, which are made or manufactured for use on or in the operation of
such machines and which are necessary to the operation of such machines and are
customarily so used.
(c) An excise tax is hereby imposed on the storage, use or other consumption in the
city on any automotive vehicle or truck trailer, semi -trailer, house trailer or mobile home
set-up materials and supplies including but not limited to steps, blocks, anchoring, cable
pipes and any other materials pertaining thereto purchased at retail on or after the effective
date of this ordinance for storage, use or other consumption in the city at the rate of one-
half (1/2) percent of the sales price of such automotive vehicle, truck trailer, semi -trailer,
house trailer or mobile home set-up materials and supplies within the corporate limits of
said city. Where any used automotive vehicle or truck trailer, semi -trailer or house trailer is
taken in trade or in a series of trades, as a credit or part payment on the sale of a new or
used vehicle, the tax levied herein shall be paid on the net difference, that is, the price of the
new or used vehicle sold less the credit for the used vehicle taken in trade.
(d) An excise tax is hereby levied and imposed on the storage, use or other
consumption in the city of any machine, machinery or equipment which is used in planting,
cultivating and harvesting farm products, or used in connection with the production of
agricultural produce or products, livestock or poultry on farms, and the parts of such
machines, machinery or equipment, attachments and replacements therefore which are
made or manufactured for use on or in the operation of such machine, machinery or
equipment, and which are necessary to and customarily used in the operation of such
machine, machinery or equipment, which is purchased at retail after the effective date of
this ordinance, for the storage, use or other consumption in the city at the rate of one-half
(1/2) percent of the sales price of such property within the corporate limits of said city,
regardless of whether the retailer is or is not engaged in the business in this city. Provided,
however, the one-half (1/2) percent rate herein prescribed with respect to parts,
attachments, and replacements shall not apply to any automotive vehicle or trailer designed
primarily for public highway use, except farm trailers used primarily in the production and
harvesting of agricultural commodities. Where any used machine, machinery or equipment
which is used in planting, cultivating, and harvesting farm products, or used in connection
with the production of agricultural produce or products, livestock and poultry on farms is
taken in trade or in a series of trades as a credit or part payment on a sale of a new or used
machine, machinery or equipment, the tax levied herein shall be paid on the net difference,
that is, the price of the new or used machine, machinery or equipment sold, less the credit
for the used machine, machinery or equipment taken in trade.
Ordinance No. 1389
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Severability. The sections, paragraphs, sentences, clauses and phrases of this
ordinance are severable, and if any phrase, clause, sentence, paragraph or section of this
ordinance shall be declared unconstitutional by a court of competent jurisdiction, then such
ruling shall not affect any other paragraphs and sections, since the same would have been
enacted by the municipality council without the incorporation of any such unconstitutional
phrase, clause, sentence, paragraph or section.
Effective Date. This ordinance shall take effect immediately upon its due adoption
and publication as required by law.
ADOPTED AND APPROVED this 8th day of June, 2009.
ATTEST:
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Lisa A Hanks, City Clerk