(a) Rental income received by a taxpayer shall be included in the computation of net profits from business activities under Section 181.0501(c), (e) and (g), only if and to the extent that the rental, ownership, management or operations of the real estate from which such rentals are derived, whether so rented, managed or operated by a taxpayer individually or through agents or other representatives, constitutes a business activity of the taxpayer in whole or in part.
(b) Where the gross monthly rental of any and all real properties regardless of number and value, aggregates in excess of two hundred fifty dollars ($250.00) per month, it shall be prima-facie evidence that the rental, ownership, management or operation of such properties is a business activity of such taxpayer, and the net income of such rental property shall be subject to tax. However, in the case of commercial property, the owner shall be considered engaged in a business activity when the rental is based on a fixed or fluctuating percentage of gross or net sales, receipts or profits of the lessee, whether or not such rental exceeds two hundred fifty dollars ($250.00) per month. It is provided further that in the case of farm property, the owner shall be considered engaged in a business activity when he shares in crops or when the rental is based on a percentage of the gross or net receipts derived from the farm, whether or not the gross income exceeds two hundred fifty dollars ($250.00) per month; and provided further that the person who operates a licensed rooming house shall be considered in business whether or not the gross income exceeds two hundred fifty dollars ($250.00) per month.
(c) Every property owner who is taxed subject to this Section 181.0704 shall personally or through a management agent submit a list to the Tax Administrator of the names and addresses of all persons, firms, corporations or other entities occupying, leasing, renting, or otherwise using the premises, or any part thereof, within the City in such a manner as to produce economic benefit to the property owner, whether such benefit is referred to as “rent” and whether such benefit results in a profit or loss. The list shall be prepared as of December 31st of the following year and at such other times as may be prescribed by the Tax Administrator.
(Ord. 2004-78. Passed 4-26-04.)