3.40.010 – Imposition

  1. A tax is imposed on the following acts or privileges:
    1. The act or privilege of originating in the city of St. Charles or receiving in the city of St. Charles intrastate telecommunications by a person at the rate of five percent (5%) of the gross charge for such telecommunications purchased at retail from a retailer by such person.  However, such tax is not imposed on such act or privileges to the extent such act or privilege may not, under the Constitution of the United States, be made the subject of taxation by municipalities in this state.
    2. The act or privilege of originating in the city of St. Charles or receiving in the city of St. Charles interstate telecommunications by a person at the rate of five percent (5%) of the gross charge for such telecommunications purchased at retail from a retailer by such person.  To prevent actual multi-state taxation of the act or privilege that is subject to taxation under this paragraph, any taxpayer, upon proof that the taxpayer has paid a tax in another state on such event, shall be allowed a credit against any tax enacted pursuant to this paragraph to the extent of the amount of such tax properly due and paid in such other state which was not previously allowed as a credit against any other state or local tax in this state.  However, such tax is not imposed on the act or privileges to the extent such act or privilege may not, under the Constitution and statutes of the United States, be made the subject of taxation by municipalities in this state.
  2. The tax authorized by this Section shall be collected from the taxpayer by a retailer maintaining a place of business in this state and making or effectuating the sale at retail and shall be remitted by such retailer to the city of St. Charles.  Any tax required to be collected pursuant to an ordinance authorized by this section and any such tax collected pursuant to an ordinance authorized by this section and any such tax collected by such retailer shall constitute a debt owed by the retailer to the city of St. Charles.  Retailers shall collect the tax from the taxpayer by adding the tax to the gross charge for the act or privilege of originating or receiving telecommunications when sold for use.  The tax authorized by this section shall constitute a debt of the purchaser to the retailer who provides such taxable services until paid, and if unpaid, is recoverable at law in the same manner as the original charge for such taxable services.  If the retailer fails to collect the tax from the taxpayer, then the taxpayer shall be required to pay the tax directly to the city of St. Charles.

Whenever possible, the tax authorized by this section shall, when collected, be stated as a distinct item separate and apart from the gross charge for telecommunications.

(2001-M-27: § 1; 2000-M-96: § 1; 1998-M-46: § 1; 1998-M-37: § 1)