Ordinance 2582-02 - Laserfiche WebLink

persons clearly establishes the relationship of principal and agent and when the following conditions are complied with: (a) The books and records of the agent show that the services were obtained in the name and for the account of the principal, and show the actual principal for whom the purchase was made. (b) The books and records show the amount of the service that was obtained for the principal, the amount of commissions and any other income derived by the agent for acting as such. Amounts received from the principal as advances and reimbursements must not be reflected as the agent's income on any of the agent's books and records. Commissions must be computed according to a set percentage or amount, which is agreed upon in the agency agreement. A person is taxable on all gross income it receives unless it can prove that the gross income does not belong to it, or a specific deduction or exemption is provided. A taxpayer that receives gross income as an agent is not liable to pay tax on those gross receipts only if it meets the criteria of this section. This section is specifically designed to set out criteria that is somewhat different than the criteria established by the Washington State Department of Revenue Rule 111 and the cases interpreting that rule. Section 5. Imposition of the tax- tax or fee levied. There is hereby levied upon and shall be collected from every person as hereinafter provided, for the act or privilege of engaging in business activities within the City, whether his or her office or place of business be within or without the City, a business and occupation tax or fee, sometimes herein referred to as the "tax." The tax shall be in amounts to be determined by application of rates against gross proceeds of sale, gross income of business, or value of products, including by-products, as the case may be, as follows: (1) Upon every person engaging within the City in business as an extractor; as to such persons the amount of the tax with respect to such business shall be equal to the value of the products, including by-products, extracted for sale or for commercial or industrial use, multiplied by the rate of one tenth of one percent (.001). The measure of the tax is the value of the products, including by-products, so extracted, regardless of the place of sale or the fact that deliveries may be made to points outside the City. (2)Upon every person engaging within the City in business as a manufacturer ; as to such persons the amount of the tax with respect to such business shall be equal to the value of the products, including by-products, manufactured, multiplied by the rate of one thenth of one percent (.001). The measure of the tax is the value of the products, including by- products, so manufactured, regardless of the place of sale or the fact that deliveries may be made to points outside the City. (3) Upon every person engaging within the City in the business of making sales at wholesale, except persons taxable under subsection of this section; as to such persons, the amount of tax with respect to such business shall be equal to the gross proceeds of such sales of the business without regard to the place of delivery of articles, 18