HomeMy WebLinkAboutOrdinance 9876~.
. ~.~
ORDINANCE N0. ~~~~
AN ORDINANCE AMENDING CHAPTER 32 OF THE CODE OF THE CITY
OF FORT WORTH, TEXAS ( 1 986) , BY ADDING A NEW SECTION 32-1
RELATING TO TAXATION OF TELECOMMUNICATIONS SERVICES;
REPEALING THE APPLICATION OF THE EXEMPTION PROVIDED FOR IN
SECTION 4B(a) OF ARTICLE 1066c V.A.T.C.S.; PROVIDING FOR
NOTIFICATION TO THE COMPTROLLER OF THE STATE OF TEXAS;
PROVIDING THAT NO SUCH TAX PROVIDED FOR HEREUNDER SHALL
SERVE AS AN OFFSET TO OR TO REDUCE ANY AMOUNT PAYABLE BY
ANY PROVIDER OF TELECOMMUNICATIONS SERVICE PURSUANT TO ANY
FRANCHISE, STREET USE ORDINANCE, CHARTER PROVISION, STAT-
UTE OR ANY OTHER IMPOSITION OF THE CITY OF FORT WORTH;
MAKING THIS ORDINANCE CUMULATIVE; PROVIDING A SEVERAAILITY
CLAUSE; PROVIDING FOR AN EFFECTIVE DATE, AND PROVIDING FOR
ENGROSSMENT AND ENROLLMENT.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,
TEXAS:
SECTION 1.
'T'hat Chapter 32 of the Code of the City of Fort Worth, Texas
(1986), be and is hereby amended by adding a new Section 32-1 which
shall be and read as follows:
"Sec. 32-1. Taxation of Telecommunications Services;
Repealing Exemption.
(a) A tax is hereby authorized on all telecommunica-
tions services sold within the City of Fort Worth, Texas.
For purposes of this section, the sale of telecommunica-
tions services is consummated at the location of the
telephone or other telecommunications device from which
the call or other communication originates. If the point
of origin cannot be determined, the sale is consummated at
the address to which the call or other communication is
billed.
(b) The application of the exemption provided for in
Article 1066c, Section 4B(a), V.A.T.C.S. is hereby re-
` pealed by the City of Fort Worth as authorized by Section
4B(b) thereof.
(c) The rate of tax imposed by this section shall be
the same as the rate imposed by the City of Fort Worth for
all other local Sales and Use Taxes as authorized' by the
legislature of the State of Texas.
''~ ytl
(d) The City Secretary shall forward to the
Comptroller of the State of Texas by United States
Registered or Certified Mail a copy of this ordinance
along with a copy of the minutes of the City Council's
vote and discussion on this ordinance.
(e) This section shall become effective as of
October 1, 1987."
SECTION 2.
This ordinance shall be and is hereby declared to be cumulative
of all other ordinances of the City of Fort Worth, and this ordi-
nance shall not operate to repeal or affect any of such other
ordinances. The tax provided for hereunder shall not serve as an
offset to, be in lieu of or in any way reduce any amount payable to
the City pursuant to any franchise, street use ordinance, charter
provision, statute or, without limitation by the foregoing enumera-
tion, otherwise payable by any provider of telecommunications ser-
vice; it being the express intent hereof that all such obligations,
impositions and agreements of every kind and nature shall remain in
full farce and effect without reduction or limitation hereby.
SECTION 3.
If any section, subsection, sentence, clause or phrase of this
ordinance is for any reason held unconstitutional, such holding
shall not affect the validity of the remaining portions of this
ordinance..
SECTION ~.
This ordinance is to be literally construed to achieve its
remedial purposes.
-2-
`~
• ~ ~ `,
SECTION 5.
This ordinance shall become effective from and after its pas-
sage as provided by law.
SECTION 6.
The City Secretary of the City of Fort Worth is hereby directed
to engross and enroll this ordinance by copying the caption and
Section 1 in the minutes of the City Council and by filing this
ordinance in the ordinance records of the City.
APPROVED AS TO FORM AND LEGALITY:
City TL L.. .~.~.~~~
Date:
ADOPT
EFFEC
ord5
-3-
• ._._x
~RAN9f'ORTATiON~PUBLF 'N •K, IiJ`~ Y..I{iUil,~ ~®l(i((~~l(„~~~ ~jtU'~~fW/~iL(L4.iL~(L®~
V
HATER ADMlNISTRAT'iQN ~' ee~~
L'~1Y* 1'
DATE REFERENCE SUBJECT REPEAL OF CITY SALES TAX PAGE
5-28-87 NUMBER
G-7090 EXEMPTION ON TELECOMMUNICATIONS 1
'°f
SERVICES -~
RECOMMENDATION•
It is recommended that the City Council adopt the attached ordinance to repeal
the City sales tax exemption on telecommunications services effective
October 1,`1987.
BACKGROUND.
State law (article 1066c, V,A.C.S.) provides that telecommunications services
are subject to the state sales tax, but are exempt from all local sales taxes.
However, the law also says that if a city desires to apply its local sales tax
to telecommunications services, it may repeal that exemption, October 1, 1987
is the earliest that the repeal may take effect and the tax be imposed, For
repeal to take effect on October 1, 1987, a City must notify the State
Comptroller of such action by June 30, 1987..
It is estimated that repeal of the City sales tax exemption on telecommunca-
tions services would generate not less than $100,000 of additional sales tax
revenues in the 1987-1988 fiscal year.
APPRQVED BY
G~rY C~U~C~~
OAI l
eee
MAY ~ s~BT
~~
City Secretary of the.
City of Fort Vdorth, Texnt;
SUBMITTED FOR IHt
CITY MANAGER'S
DISPOSITION BY COUNCIL.
PROCESSED BY
OFFICE BY ~ APPROVED
ORIGINATING [ OTHER (DESCRIBE)
A
DEPARTMENT HEAD• Wade Adkins CITY SECRETARY
FOR ADDITIONAL INFORMATIO„r'
CONTACT W Adkins 7623
Ado ted Qrdinance N0.
DATE