For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
“BUSINESS ENTITY.” Each separate corporation, limited liability company, business development corporation, partnership, limited partnership, sole proprietorship, association, joint stock company, receivership, trust, professional service organization, or other legal entity through which business is conducted.
“CITY.” The City of Grayson, Kentucky.
“COMPENSATION.” Wages, salaries, commissions, or any other form of remuneration paid or payable by an employer for services performed by an employee, adjusted as follows:
(1) Include any amounts contributed by an employee to any retirement, profit sharing, or deferred compensation plan, which are deferred for federal income tax purposes under a salary reduction agreement or similar arrangement, including but not limited to salary reduction arrangements under Sections 401(a)(k), 402(e), 403(a), 403(b), 408, 414(h), or 457 of the Internal Revenue Code; and
(2) Include any amounts contributed by an employee to any welfare benefit, fringe benefit, or other benefit plan made by salary reduction or other payment method which permits employees to elect to reduce federal tax for compensation under the Internal Revenue Code, including but not limited to Sections 125 and 132 of the Internal Revenue Code.
“EMPLOYEE.” Any person who renders service to another person or business entity for compensation including an officer of a corporation and any officer, employee, or elected official of the United States, a state, or any political subdivision of a state, or any agency or instrumentality of any one (1) or more of the above. A person classified as an independent contractor under the Internal Revenue Code shall not be considered an employee.
“EMPLOYER.” As defined in Section 3401(d) of the Internal Revenue Code.
“LICENSE FEE.” A tax imposed for the privilege of exercising the right to engage in trade, occupation or profession as an employee.
“LICENSEE.” Includes any person required to file a return or to pay a license fee under this chapter.
(Ord. 16-2007, passed 11-13-07; Am. Ord. 7-2008, passed 7-14-08; Am. Ord. 6-2017, passed 1-22-18)