(A) (1) A business entity subject to tax on net profits may be subject to a penalty equal to 5% of the tax due for each calendar month or fraction thereof if the business entity:
(a) Fails to file any return or report on or before the due date prescribed for filing or as extended by the city; or
(b) Fails to pay the tax computed on the return or report on or before the due date prescribed for payment.
(2) The total penalty levied pursuant to this subsection shall not exceed 25% of the total tax due; however, the penalty shall not be less than $25.
(B) Every employer who fails to file a return or pay the tax on or before the time prescribed under § 110.05 may be subject to a penalty in amount equal to 5% of the tax due for each calendar month or fraction thereof. The total penalty levied pursuant to this division shall not exceed 25% of the total tax due; however, the penalty shall not be less than $25.
(C) In addition to the penalties prescribed in this section, any business entity or employer shall pay, as part of the tax, an amount equal to 12% per annum simple interest on the tax shown due, but not previously paid, from the time the tax was due until the tax is paid to the city. A fraction of a month is counted as an entire month.
(D) Every tax imposed by this chapter, and all increases, interest, and penalties thereon, shall become, from the time the tax is due and payable, a personal debt of the taxpayer to the city.
(E) The city may enforce the collection of the occupational tax due under § 110.03 and any fees, penalties, and interest as provided in divisions (A), (B), (C), and (D) above by civil action in a court of appropriate jurisdiction. To the extent authorized by law, the city shall be entitled to recover all court costs and reasonable attorney fees incurred by it in enforcing any provision of this chapter. In addition, the city shall have the right of setoff with regard to any person or entity to whom the city is indebted, for whatever reason, who shall have failed to make payment of any occupational license taxes herein imposed in the amount or estimated amount of such taxes owed, including interest and penalties.
(F) In addition to the penalties prescribed in this section, any business entity or employer who willfully fails to make a return or willfully makes a false return, or who willfully fails to pay taxes owing or collected, with the intent to evade payment of the tax or amount collected, or any part thereof, shall be guilty of a Class A misdemeanor.
(G) Any person who willfully aids or assists in, or procures, counsels, or advises the preparation or presentation under, or in connection with, any matter arising under this chapter of a return, affidavit, claim, or other document, which is fraudulent or is false as to any material matter, whether or not the falsity or fraud is with the knowledge or consent of the person authorized or required to present the return, affidavit, claim, or document, shall be guilty of a Class A misdemeanor.
(H) A return for the purpose of this section shall mean and include any return, declaration, or form prescribed by the city and required to be filed with the city by the provisions of this chapter, or by the rules of the city or by written request for information to the business entity by the city.
(I) Any person violating the provisions of § 110.11 by intentionally inspecting confidential taxpayer information without authorization, shall be fined not more than $500 or imprisoned for not longer than six months, or both.
(J) Any person violating the provisions of § 110.11 by divulging confidential taxpayer information shall be fined not more than $1000 or imprisoned for not more than one year, or both.
(K) (1) If the net profit or payroll taxes of any business or corporation, or of any employee of a business or corporation, within the city are delinquent for 30 days, the Director of Finance may send written notification to the owner or manager of that business, or to the employee, as the case may be, that they shall have 15 days to pay their delinquent taxes and to assure that the payroll taxes of all of their employees have been paid. This notice shall be delivered by a duly sworn officer of the Richmond Police Department.
(2) If the net profit or payroll returns of any person engaging in self-employment is delinquent for 30 days, the Director of Finance may issue to them written notification that they shall have 15 days to pay their delinquent taxes. In the event that these taxes are not paid within this given time, the person shall be subject to a penalty of not less than $10 nor more than $100.
(3) If after the 15-day period all the delinquent net profit or payroll taxes are not paid, the Director of Finance shall revoke the business license of the business and order it closed, in that it would be operating a business without a city business license.
(4) Any person or entity who feels that the calculations of the Director of Finance are incorrect may appeal such calculations by requesting the City Manager to review all the data pertaining to such calculations. The City Manager shall then have the duty to meet jointly with the complainant and the Director of Finance in order to reach an amicable settlement of the issue.
(5) No entity (the “new entity”) related to an entity which has failed to make payment in full of occupational license taxes (the “delinquent entity”), including net profit as well as payroll taxes, shall be issued a city business license until such occupational license taxes of the delinquent entity shall have been paid in full.
(a) There shall be a rebuttable presumption that the new entity is related to a delinquent entity within the meaning of the foregoing provision if any of the following conditions exist as to the new entity:
1. The new entity (i) includes, whether as an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer, any person, or the parent, child, sibling, or spouse of any person, who was an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer as to the delinquent entity and (ii) the new entity is engaged in the same sort of business as was the delinquent entity.
2. The new entity (i) includes, whether as an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer, any person, or the parent, child, sibling, or spouse of any person, who was an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer as to the delinquent entity, and (ii) any person who was an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer in the delinquent entity is an employee of or contractor for the new entity.
3. Any person who was an owner, partner, limited partner, member, manager, shareholder, officer, director, or joint venturer in the delinquent entity is an incorporator, organizer, or agent for service of process as to the new entity.
(b) Any entity denied a business license under the foregoing provisions shall have the right to request a hearing as to the denial before the City Manager. A request for such a hearing shall be made within ten days of the denial, with the day following the day of the denial being the first of such ten days; any request shall be in writing and delivered to the City Clerk. The City Manager shall have the right to require the production of and to inspect all documents of the new entity and of the delinquent entity pertinent to the relationship issue.
(L) Any person who shall engage in any business within the city, whether as an individual, a sole proprietorship, joint venture, partnership, corporation, limited liability company, employee, agent, or in any other form or entity, without having first obtained the occupational license required as per the provisions of § 110.02 or of § 110.14 shall be advised of the necessity of obtaining the occupational license and of the fact that a criminal complaint will be sought or an arrest made unless all business operations cease immediately and not resume until the required occupational license shall have been obtained.
(M) Any person who (i) shall continue to engage in any business within the city, whether as an individual, a sole proprietorship, joint venture, partnership, corporation, limited liability company, employee, agent, or in any other form or entity, without having first obtained the occupational license required as per the provisions of § 110.02, (ii) after having been advised, by city personnel, in accordance with the provisions of division (M) of this section, shall be guilty of a Class A misdemeanor and subject to a fine in an amount not to exceed $500, to imprisonment for a period of time not to exceed 180 days, or to such fine and to such imprisonment.
(Ord. 07-40, passed 12-14-07; Am. Ord. 11-20, passed 11-22-11; Am. Ord. 12-30, passed 9-11-12; Am. Ord. 13-03, passed 2-26-13)