REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution to Authorize Certain City Officials and a City Contractor Access to Sales and Use Tax Records
Report
BACKGROUND
In accordance with State Law, sales, use and transactions tax information is confidential, and it is considered unlawful for the California Department of Tax and Fee Administration (CDTFA) or any other persons authorized to access this data to publicize in any manner the information pertaining to any retail or any person or business required to report to the CDTFA.
The CDTFA remits monthly sales tax payments to the City and on a quarterly basis provides reports detailing the businesses that generate sales tax for the City and the amount of sales tax generated.
EXISTING POLICY
Sunnyvale Municipal Code Section 3.04.090. which reads as follows: "Except as otherwise provided in this chapter and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of the Revenue and Taxation Code are adopted and made a part of this chapter as though fully set forth herein."
ENVIRONMENTAL REVIEW
This action is exempt from environmental review under CEQA Guidelines 15378(b)(4) and 15378(b)(5) because it is an administrative or fiscal activity that will not result in a direct or indirect physical change to the environment.
DISCUSSION
The City contracts with Hinderliter, de Llamas and Associates (HdL) for sales tax auditing and reporting services. HdL must have access to the CDTFA's sales, use and transaction tax records in order to complete the services required by the contract with the City. City staff utilizes the information from both sources to evaluate and analyze sales tax revenue and trends to prepare revenue projections and to develop economic development strategies.
Section 7056(b) of the California Revenue and Taxation Code requires the Council to adopt a resolution to authorize specific City off...
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