(Added by Ord. No. 123,096, Eff. 12/1/62.)
(a) Definitions:
1. Operator. The term “operator” is used in this section as defined in the Motor Vehicle Transportation License Tax Act of California, with reference only, however, to persons engaging in the transportation of persons for hire.
2. Transportation for Hire. The term “transportation for hire” shall be deemed to include transportation for gain or profit, direct or in direct.
3. Motor Vehicle. The term “motor vehicle” is used in this section as defined in the Motor Vehicle Transportation License Tax Act of California.
(b) Tax Imposed.
1. Every person whose business in whole or in part is that of operator, as defined herein, of any motor vehicle for the transportation of persons for hire, and who in the course of that business uses the public streets and highways of the City for the purpose of such business, shall pay a business tax as provided in this section.
2. The business taxed under the provisions of this section shall be the transportation of persons by an operator:
(i) Wholly within the City;
(ii) From a place or places outside the City to a place or places within the City;
(iii) From a place or places within the City to a place or places outside of the City;
(iv) From a place or places within the City to a place or places also within the City even though such transportation involves going outside the City in the course thereof.
3. This section shall not apply to the business of operating motor coaches or other motor vehicles under the provisions of a franchise granted pursuant to provisions of the City Charter and the Franchise Procedures Ordinance of the City of Los Angeles, which requires a franchise fee or charge based upon such operations to be paid to the City of Los Angeles, when such fee or charge has been paid. Nor shall this section apply to an operator who transports persons for hire from a place or places outside the City to a place or places within the City by taxi cabs when said operator does not also transport persons for hire from a place within the City of Los Angeles. (Amended by Ord. No. 139,139, Eff. 9/14/69.)
4. No business tax shall be required to be paid for the business of operating a single taxicab in the City pursuant to a written vehicle permit issued under Section 71.02. (Added by Ord. No. 150,105, Eff. 10/9/77.)
(c) Measure of Tax Reporting Period. (Amended by Ord. No. 166,204, Eff. 10/11/90, Oper. 1/1/91.) The tax required to be paid by this section shall be reported and paid annually. Every person engaged in the business subject to tax under this section shall pay a minimum tax of $54.99 per year at the beginning of each calendar year which shall be given as a credit against the total tax due for such year. The tax required to be paid under this section shall be measured as follows:
1. For each vehicle having a seating capacity of 10 or less persons, the tax shall be $1.06 for each day or fraction thereof of its operation as specified in Subsection (b);
2. For each vehicle having a seating capacity of 11 to 30 persons, inclusive, the tax shall be $1.60 for each day or fraction thereof of its operation as specified in Subsection (b); and
3. For each vehicle having a seating capacity of 31 or more persons, the tax shall be $2.19 for each day or fraction thereof of its operation as specified in Subsection (b).
In determining seating capacity of any vehicle used to measure the tax imposed under this section, the capacity to hold adult passengers as set forth in the specifications of the manufacturer shall be the determining factor, and seats provided for the driver, and announcer or conductor, if any, shall be included in addition to such specified capacity.
(d) Method of Reporting.
1. No person shall engage in such business or perform any act required to be taxed under this section during any tax period without first obtaining a registration certificate and paying a minimum tax for that year in the amount of $54.99. (Amended by Ord. No. 166,204, Eff. 10/11/90, Oper. 1/1/91.)
2. At the close of each tax period such person shall file a statement with the Director of Finance showing the tax due setting forth a summary of the vehicles of each graduation specified in Subsection (c) above used during such proceeding tax period and the number of days or fractions thereof of such use, and shall pay on or before the last day of February in the next subsequent tax period any additional tax that may be due hereunder for such proceeding tax period.
3. In making such statement, the person may at his option elect to compute such summary and pay such tax on a “test week” basis, by separately computing the tax which would be due for each of the four test weeks specified in Subsection (d) 4 hereof, dividing the total of the tax due for the four test weeks by four to ascertain the average weekly tax, and multiplying said average weekly tax by the number of weeks of the tax period during which the conducted operations subject to tax under this section. If the person elects to compute the tax imposed hereunder on a test week basis, such elections shall be irrevocable and conclusive as to the tax period for which such election is made. Any person electing to compute such tax on a test week basis shall retain the records used for such computation for a period of four years from the date of filing such report. Upon the failure of any person electing to compute such tax on a test week basis to retain such records, the Director of Finance may determine the amount of any additional tax estimated to be due from such persons in the manner provided by Los Angeles Municipal Code Section 21.16.
4. The test weeks which may be used by a person in computing the tax imposed under this section are the second full week in January, the second full week in April, the second full week in July and the second full week in October. If a person does not conduct operations subject to tax under this section in any one or more of such test weeks, then he may use the next succeeding week following such test week in which he does conduct such operations in the place of such test week; provided, however, that if a person does not conduct operations subject to tax under this section during each of the four test weeks which may, under this subsection, be used in computing the tax, such person may not elect to compute his tax on a test week basis without prior written application to and prior written approval of the Director of Finance as to what alternate test period or periods may be used.
5. In the event the business is discontinued, dissolved or otherwise terminated before the close of such tax period, the statement required by Subsection (d)2 hereof shall thereupon be filed, and any additional tax due hereunder shall be paid within 45 days following the date of such continuance, dissolution or termination.
(e) Exemption for Vehicles Operated Exclusively in Interstate Commerce. No tax hereunder shall be required for the operation of any motor vehicle for any day or fraction thereof when such vehicle is operated exclusively between points within this City and points without this State.
(f) Exemptions and Exceptions. No tax hereunder shall be required for the operation of any motor vehicle for any day or fraction thereof when such vehicle is operated exclusively between fixed termini or over regular routes in passenger stage operations under certificate issued by the Public Utilities Commission pursuant to Division 1, Part 1, Chapter 5, Article 2 of the Public Utilities Code of the State of California and for which operation a certificate of public convenience and necessity has been issued by the Interstate Commerce Commission. (Former (h) Relettered (f) by Ord. No. 159,384, Eff. 11/ 8/84.)
(g) Measure of Tax for Certain School Buses. (Amended by Ord. No. 166,204, Eff. 10/11/90, Oper. 1/1/91.) The provisions of Subsection (c) notwithstanding, the tax required to be paid under this section for the operation of any motor vehicle for any day or fraction thereof when such vehicle is operated exclusively on any day to transport students or members of bona fide youth organizations and their supervising adults to or from public or private schools, school events or other youth activities, without regard to the manner or source of compensation to the operator, shall be measured as follows:
1. For each vehicle having a seating capacity of 10 or less persons, the tax shall be $0.30 for each day or fraction thereof of its operation as specified in Subsection (b);
2. For each vehicle having a seating capacity of 11 to 30 persons, inclusive, the tax shall be $0.44 for each day or fraction thereof of its operation as specified in Subsection (b); and
3. For each vehicle having a seating capacity of 31 or more persons, the tax shall be $0.60 for each day or fraction thereof of its operation as specified in Subsection (b).