(A) It is the duty of each employer (as hereinbefore defined) who employs one or more persons on a salary, wage, commission or other compensation basis to deduct at the time of the payment of such compensation, the occupational license fee on such salary, wage, bonus, incentive payments, commission or other compensation due by said employer for said employee. The fee shall be deducted by the employer from all compensation paid to employees for activities in the city. However, the mere fact that the fee is not withheld will not relieve the employee of the responsibility of filing a return and paying the fee on any compensation received. A non-resident employer, either maintaining in the city an office, business address, or doing business therein, or is otherwise subject to service for legal process, is subject to the withholding provisions of this chapter.
(B) Where an employee receives compensation for personal services rendered or performed partly within and partly outside the city, the withholding agent shall conduct and withhold that portion of the compensation which is earned on within the city in accordance with the following rules of apportionment:
(1) The licensee is a traveling salesman, agent or other employee, whose compensation on the basis of commission depends directly on the volume of business transacted by him or her, the deducting and withholding shall attach to the portion of the entire compensation which the volume of business transacted by the employee within the City bears to the volume of business transacted by him or her both within and outside the city.
(2) The deducting and withholding of personal service compensation of all other employees (including officers of corporations) shall attach to the portion of the personal service compensation of such employee which the total number of working days employed within the city bears to the total number of working days employed within and outside the city.
(3) If it is impossible to apportion the earnings as provided above because of the peculiar nature of the services, the employee or of the unusual basis of compensation, apportionment shall be made in accordance with the facts and deducted and withheld accordingly. With respect with each such employee (or group of employees in similar or identical circumstances), the employer shall furnish the City Clerk a detailed statement of facts.
(4) The occasional entry into the city of an employee who performs the duties for which he or she is employed entirely outside the city, but enters the city for purposes of reporting, receiving instructions, accounting or incidental to his or her duties outside the city, shall not be deemed to take such employee out of the class of those rendering their services entirely outside the city.
(Ord. 2017-12, passed 12-11-2017; Ord. 2020-11, passed 6-22-2020)