For the purposes of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
BUSINESS. Any business, calling, occupation, profession, or activity engaged in with the object of gain, benefit, or advantage, either directly or indirectly.
CHARITABLE ORGANIZATION. An organization that is determined by the Internal Revenue Service to be exempt from federal income taxes under 26 U.S.C. § 501(c)(3), (4), (6), (7), (8), (10) or (19).
CHARITABLE PURPOSE. A benevolent, philanthropic, patriotic, or eleemosynary purpose that does not result in personal gain to a sponsor, organizer, officer, director, trustee, or person with ultimate control of the organization.
CLASSIFICATION. That division of businesses by NAICS codes subject to the same license rate as determined by a calculated index of ability to pay based on national averages, benefits, equalization of tax burden, relationships of services, or other basis deemed appropriate by the Council.
COUNCIL. The Town Council of the Town of James Island.
DOMICILE." A principal place from which the trade or business of a licensee is conducted, directed, or managed. For purposes of this subchapter, a licensee may be deemed to have more than one DOMICILE.
GROSS INCOME. The gross receipts or gross revenue of a business, received or accrued, for one calendar or fiscal year collected or to be collected from business done within the municipality. If the licensee has a domicile within the municipality, business done within the municipality shall include all gross receipts or revenue received or accrued by such licensee. If the licensee does not have a domicile within the municipality, business done within the municipality shall include only gross receipts or revenue received or accrued within the municipality. In all cases, if the licensee pays a business license tax to another county or municipality, then the licensee’s gross income for the purpose of computing the tax within the municipality must be reduced by the amount of revenues or receipts taxed in the other county or municipality and fully reported to the municipality. GROSS INCOME for business license tax purposes shall not include taxes collected for a governmental entity, escrow funds, or funds that are the property of a third party. The value of bartered goods or trade-in merchandise shall be included in gross income. The gross receipts or gross revenues for business license purposes may be verified by inspection of returns and reports filed with the Internal Revenue Service, the South Carolina Department of Revenue, the South Carolina Department of Insurance, or other government agencies, in calculating gross income for certain businesses, the following rules shall apply:
(1) GROSS INCOME for agents shall be calculated on gross commissions received or retained, unless otherwise specified. If commissions are divided with other brokers or agents, then only the amount retained by the broker or agent is considered GROSS INCOME.
(2) Except as specifically required by S.C. Code § 38-7-20, GROSS INCOME for insurance companies shall be calculated on gross premiums written.
(3) GROSS INCOME for manufacturers of goods or materials with a location in the town shall be calculated on the lesser of (a) gross revenues or receipts received or accrued from business done at the location, (b) the amount of income allocated and apportioned to that location by the business for purposes of the business’ state income tax return, or (c) the amount of expenses attributable to the location as a cost center of the business. Licensees reporting gross income under this provision shall have the burden to establish the amount and method of calculation by satisfactory records and proof. Manufacturers include those taxpayers reporting a manufacturing principal business activity code on their federal income tax returns.
LICENSE OFFICIAL. A person designated to administer this subchapter. Notwithstanding the designation of a primary license official, the municipality may designate one or more alternate license officials to administer particular types of business licenses, including without limitation for business licenses issued to businesses subject to business license taxes under Article 20, Chapter 9, Title 58, and Chapters 7 and 45, Title 38, of the South Carolina Code.
LICENSEE. The business, the person applying for the license on behalf of the business, an agent or legal representative of the business, a person who receives any part of the net profit of the business, or a person who owns or exercises control of the business.
MUNICIPALITY. The Town of James Island, South Carolina.
NAICS. The North American Industry Classification System for the United States published under the auspices of the Federal Office of Management and Budget.
PERSON. Any individual, firm, partnership, limited liability partnership, limited liability company, cooperative non-profit membership, corporation, joint venture, association, estate, trust, business trust, receiver, syndicate, holding company, or other group or combination acting as a unit, in the singular or plural, and the agent or employee having charge or control of a business in the absence of the principal.
(Ord. 2021-09, passed 11-18-2021)