Chapter 25. Financial Institution, Guaranty Company, and Public Utility Taxes.

§ 47–2501. Gas, electric lighting, telephone, telecommunications, and heating oil companies.

(a) Before the 21st day of each calendar month, each telephone company that sells public utility services or commodities within the District, and each nonpublic utility who sells artificial gas that is delivered, by any method of delivery, to an end-user in the District shall:

(1) File an affidavit with the Mayor indicating the amount of its gross receipts for the preceding calendar month from the sales or distribution of public utility services and commodities, or the sale of artificial gas by a nonpublic utility that is delivered, by any method, to an end-user in the District;

(2) Until December 31, 2004, pay to the Mayor 11% of these gross receipts from sales included in bills for a telephone company, 11% of these gross receipts from deliveries for a person who delivers heating oil to an end-user in the District, or 11% of these gross receipts from sales determined from meters for a gas company; and until December 31, 2004, pay to the Mayor 11% of the gross receipts from the sales of natural or artificial gas by a nonpublic utility person delivered, by any method, to an end-user located in the District;

(3) After December 31, 2004, pay to the Mayor 11% of these gross receipts from sales included in bills rendered after December 31, 2004 for nonresidential customers and 10% of these gross receipts from sales included in bills rendered after December 31, 2004 for residential customers for a telephone company, 11% of these gross receipts from deliveries made after December 31, 2004 for nonresidential customers and 10% of these gross receipts from deliveries made after December 31, 2004 for residential customers for a person who delivers heating oil to an end-user in the District, or 11% of these gross receipts from sales determined from meters read after December 31, 2004 for nonresidential customers and 10% of these gross receipts from sales determined from meters read after December 31, 2004 for residential customers for a gas company; or

(4) After December 31, 2004, pay to the Mayor 11% of the gross receipts from the sales of natural or artificial gas by a nonpublic utility person delivered after December 31, 2004, by any method, to a nonresidential end-user located in the District and 10% of the gross receipts from the sales of natural or artificial gas by a nonpublic utility person delivered after December 31, 2004, by any method, to a residential end-user located in the District.

(5) After December 1, 2005, pay to the Mayor:

(A) 11% of these gross receipts from the sales included in bills rendered after December 1, 2005, for nonresidential customers and 10% of these gross receipts from sales included in bills rendered after December 1, 2005, for residential customers for a telephone company,

(B) 11% of these gross receipts from deliveries made after December 1, 2005, for nonresidential customers and 10% of these gross receipts from deliveries made after December 1, 2005, for residential customers for a person who delivers heating oil to an end-user in the District; or

(C) 11% of those gross receipts from the sales of artificial gas delivered by any method after December 1, 2005, for nonresidential customers and 10% of those gross receipts from sales of artificial gas delivered by any method after December 1, 2005, for residential customers by a nonpublic utility to an end-user in the District.

(6) After September 30, 2006, pay to the Mayor:

(A)(i) 11% of these gross receipts from the sales included in bills rendered after September 30, 2006, for nonresidential customers and 10% of these gross receipts from sales included in bills rendered after September 30, 2006, for residential customers for a telephone company;

(ii) For the purposes of sub-subparagraph (i) of this subparagraph, in determining whether a particular customer is a residential or nonresidential customer, a telephone company may rely upon existing customer classifications, such as “individual,” “consumer,” “enterprise,” “business,” “corporate,” or “government”.

(B) 11% of those gross receipts from the sales of artificial gas delivered by any method after September 30, 2006, for nonresidential customers and 10% of those gross receipts from sales of artificial gas delivered by any method after September 30, 2006, for residential customers by a nonpublic utility to an end-user in the District.

(a-1) [Repealed].

(a-2) One-eleventh of the total tax collected from nonresidential customers pursuant to subsection (a)(3), (4), (5), and (6) of this section, or any successor tax, shall be deposited in the Ballpark Revenue Fund established by [§ 10-1601.02].

(a-3) For sales included in bills rendered after December 1, 2005, before the 21st day of each month beginning January 2006, each gas company that provides distribution services to District customers shall:

(1) File an affidavit with the Mayor indicating the number of therms of natural gas delivered for final consumption in the District for the preceding billing period; and

(2)(A)(i) Pay to the Mayor a tax of $0.0703, beginning December 2, 2005 and ending September 28, 2006, for each therm of natural gas delivered to end-users in the District for the billing period;

(ii) Pay to the Mayor a tax of $0.0707, beginning September 29, 2006, for each therm of natural gas delivered to end-users in the District for the preceding billing period; and

(B)(i) Pay to the Mayor an additional tax of $0.00983, beginning December 2, 2005 and ending September 28, 2006, for each therm of natural gas delivered to nonresidential end-users in the District for the billing period;

(ii) Pay to the Mayor an additional tax of $0.00707, beginning September 29, 2006, for each therm of natural gas delivered to nonresidential end-users in the District for the preceding billing period.

(iii) Revenues received by the District pursuant to this subparagraph shall be deposited in the Ballpark Revenue Fund established by § 10-1601.02. Payments under this subparagraph shall be in addition to any other payments under this section.

(iv) For the purposes of this subparagraph, for meter readings on or after June 28, 2006, residential end-use customers with group-metered accounts shall be residential customers. Group-metered accounts shall include service to any multiple dwelling building or property with 4 or more dwelling units.

(3) Each gas company that provides distribution services to District customers shall be allowed to recover the tax imposed under paragraph (1) of this section in its rates as a surcharge on customers’ bills.

(4) The tax imposed under paragraph (1) of this subsection shall be reflected as a separate line item on each bill for distribution services sent by each gas company that provides distribution services to District.

(a-4)(1) For sales included in bills rendered after September 30, 2006, before the 21st day of each month beginning November 1, 2006, each person who delivers heating oil to an end-user in the District shall:

(A) File an affidavit with the Mayor indicating the number of gallons of home heating oil delivered for final consumption in the District for the preceding billing period; and

(B)(i) Pay to the Mayor a tax of $0.17, beginning October 1, 2006, for each gallon of home heating oil delivered to end-users in the District for the preceding billing period; and

(ii)(I) Pay to the Mayor an additional tax of $0.017, beginning October 1, 2006, for each gallon of home heating oil delivered to nonresidential end-users in the District for the preceding billing period.

(II) Revenues received by the District pursuant to this sub-subparagraph shall be deposited in the Ballpark Revenue Fund established by [§ 10-1601.02]. Payments under this subparagraph shall be in addition to any other payments under this section.

(III) For the purposes of this sub-subparagraph, beginning July 1, 2006, in determining whether a particular customer is a residential or nonresidential customer, all deliveries to a personal place of dwelling shall be considered residential, including end-users living in cooperative housing associations, condominiums, and apartment communities.

(2) Any gross receipts from sales made on or after October 1, 2006, that are not included in bills rendered after September 30, 2006, and taxed under subsection (a-4) of this section shall be taxed at the appropriate rates provided in subsection (a)(5) of this section and reported in the affidavit due on October 21, 2006.

(3) Each person who delivers heating oil to an end-user in the District shall be allowed to recover the tax imposed under paragraph (1) of this section in its rates as a surcharge on customers’ bills.

(4) The tax imposed under paragraph (1) of this subsection shall be reflected as a separate line item on each bill for heating oil delivered to an end-user in the District sent by each person who delivers heating oil to end-users in the District.

(b)(1)(A) For the period beginning July 1, 1986, and ending February 28, 1989, each telecommunication company not subject to the tax imposed by subsection (a) of this section shall:

(i) Report by affidavit filed with the Mayor the amount of its monthly gross receipts from the sale of toll telecommunication services that originate from or terminate on telecommunication equipment located in the District and for which a toll charge or periodic charge is billed to an apparatus, telephone, or account in the District, to a customer location in the District, or to a person residing in the District, without regard to where the bill for the service is physically received; and

(ii) Pay to the Mayor 6.7% of these gross receipts.

(B) To prevent actual multi-state taxation of the sale of toll telecommunication service, for the month beginning July 1, 1986, and for each succeeding month, any telecommunication company, upon proof that it has paid a properly due excise, sales, use, or gross receipts tax in another jurisdiction on a sale that is subject to taxation under this act, shall be allowed a credit against the tax for the amount paid, but in no event shall the credit permitted under this section exceed the tax imposed under this act.

(2) For each calendar month in the period beginning after September 30, 1987, and ending February 28, 1989, each telecommunication company shall pay the gross receipts tax imposed by this subsection before the 21st day of the succeeding calendar month. The affidavits for each calendar month shall be filed at the time payment is made or on the 20th day of the succeeding calendar month, whichever is earlier.

(3)(A) For the period beginning July 1, 1986, and ending August 31, 1987, the gross receipts tax imposed by this subsection shall be due on October 1, 1987. The tax for this period shall be paid in 2 equal installments before November 1, 1987, and before January 1, 1988. The Mayor may, upon written application made before the date prescribed for payment of the tax, grant a reasonable extension of time for paying the tax whenever good cause exists for the extension. The affidavits for each calendar month of this period shall be filed at the time the first installment payment is made or on October 30, 1987, whichever is earlier.

(B) For the period beginning September 1, 1987, and ending September 30, 1987, the gross receipts tax imposed by this subsection shall be paid before October 21, 1987. The required affidavit shall be filed at the time the payment is made or on October 20, 1987, whichever is earlier.

(C) Each telecommunication company subject to the gross receipts tax imposed by this subsection for the period beginning July 1, 1986, and ending September 30, 1987, shall be allowed a credit against the gross receipts tax imposed by this subsection for the amount of personal property tax that is allocable to the period beginning July 1, 1986, and ending September 30, 1987, and that is paid pursuant to § 47-1501 [repealed], and subchapter II of Chapter 15 of this title.

(D) Beginning July 1, 1986, a telecommunication company subject to the tax imposed by this act may be allowed an alternate method of reporting its monthly gross receipts upon showing, to the satisfaction of the Mayor that the telecommunication company does not have the capability to identify the jurisdiction of origination or termination of a particular toll telecommunication service. This showing shall be made by a written petition to the Mayor, which shall include the factual basis for the company’s inability to identify the jurisdiction of origination or termination of a particular toll telecommunication service, with supporting documentation, and an alternative method of reporting for the services for which the company is unable to identify the jurisdiction of origination or termination that the company believes is reasonable and equitable, with supporting documentation. The Mayor may employ a reasonable and equitable alternate method for reporting a telecommunication company’s gross receipts from this service based on information submitted pursuant to this subsection or any other information made available to the Mayor. Any alternate method for reporting a telecommunication company’s gross receipts that is authorized by the Mayor shall apply only to the service for which the company is unable to identify the jurisdiction of origination or termination and shall not affect the reporting of any other gross receipts. Nothing in this section shall be deemed to relieve the obligation of a telecommunication company to pay the tax imposed by this act.

(4) Gross receipts from the sale by any telecommunication company of toll telecommunication services for resale to any other telecommunication company subject to the gross receipts tax under this subsection shall be exempt from the gross receipts tax under this subsection.

(5) For purposes of this subsection:

(A) The term “telecommunication company” includes and is not limited to every person, as defined in § 47-2001(i), and lessee of a person who provides for the transmission or reception within the District of Columbia of any form of toll telecommunication service for a consideration.

(B) The term “toll telecommunication service” means the transmission or reception of any sound, vision, or speech communication for which there is a toll charge that varies in amount with the distance or elapsed transmission time of each individual communication; or the transmission or reception of any sound, vision, or speech communication that entitles a person, as defined in § 47-2001(i), upon the payment of a periodic charge, which is determined as a flat amount or upon the basis of total elapsed transmission time, to an unlimited number of communications to or from all or a substantial portion of the persons having telephone or radio telephone stations in a specified area that is outside the local telephone system area in which the station providing this service is located.

(c) Notwithstanding any other provision of law, each gas company, electric company, telephone company, telecommunication company, and each person who, by any method of delivery, delivers heating oil to an end-user in the District, and each nonpublic utility who sells natural or artificial gas that is delivered, by any method, to an end-user in the District subject to the tax imposed by this section shall pay, in addition to any tax imposed by this section, the franchise tax imposed by Chapter 18 of this title, the real property tax imposed by Chapter 8 of this title, and the personal property tax imposed by § 47-1501 [repealed], and subchapter II of Chapter 15 of this title, to the extent provided in § 47-1508. Beginning in FY 1999, the amount of tax imposed by this section shall not be calculated as gross revenues to which the tax is then applied.

(d) Before February 1, 1988, the Mayor shall:

(1) Report to the Council on the tax treatment of telecommunication and related services in other jurisdictions; and

(2) Make recommendations as to what, if any, additional telecommunication and related services should be subject to tax by the District.

(d-1)(1) Before the 21st day of each calendar month, each electric company that provides distribution services to District of Columbia ratepayers shall:

(A) File an affidavit with the Mayor indicating the number of kilowatt-hours of electricity delivered for final consumption in the District of Columbia for the preceding calendar month; and

(B)(i) Pay to the Mayor a tax of $0.007 for each kilowatt-hour of electricity delivered to end-users in the District of Columbia for the preceding calendar month; and

(ii)(I) Pay to the Mayor a tax of $0.0007 for each kilowatt-hour of electricity delivered to nonresidential end-users in the District of Columbia for the preceding calendar month.

(II) Revenues received by the District pursuant to this sub-subparagraph shall be deposited in the Ballpark Revenue Fund established by § 10-1601.02. Payments under this sub-subparagraph shall be in addition to any other payments under this section.

(2) Each electric company providing distribution services to District of Columbia ratepayers shall be allowed to recover the tax imposed under paragraph (1) of this subsection in its rates. Recovery of the tax shall not be subject to any rate cap imposed pursuant to In the Matter of the Investigation into Electrical Services, Market Competition, and Regulation Policies, Formal Case No. 945 (Public Service Commission 1995) or Chapter 15 of Title 34.

(3) The tax imposed under paragraph (1) of this subsection shall be reflected as a separate line item on each bill for distribution services sent by an electric company.

(4) The rate of tax in paragraph (1)(B) of this subsection shall be subject to reduction in accordance with § 47-143.

(e) The Mayor shall issue retroactive and prospective rules necessary or appropriate to carry out the provisions of this section in accordance with § 2-505.

(July 1, 1902, 32 Stat. 617, ch. 1352, § 6, par. 5; July 26, 1939, 53 Stat. 1107, ch. 367, title IV, § 2(a); May 18, 1954, 68 Stat. 118, ch. 218, title XIV, § 1401; July 24, 1956, 70 Stat. 599, ch. 669, § 8(a); Oct. 21, 1972, 86 Stat. 1016, Pub. L. 92-518, title III, § 303(a); Oct. 21, 1975, D.C. Law 1-23, title V, § 501(a)(1), 22 DCR 2105; Sept. 13, 1980, D.C. Law 3-95, § 201(a), (b), 27 DCR 3509; June 22, 1983, D.C. Law 5-14, § 102, 30 DCR 2632; Oct. 1, 1987, D.C. Law 7-25, § 2, 34 DCR 5068; Sept. 20, 1989, D.C. Law 8-26, § 22, 36 DCR 4723; Aug. 17, 1991, D.C. Law 9-34, § 2, 38 DCR 4223; Sept. 10, 1992, D.C. Law 9-145, § 110(a), 39 DCR 4895; Feb. 5, 1994, D.C. Law 10-68, § 48, 40 DCR 6311; June 14, 1994, D.C. Law 10-128, §§ 106(a), 106(b), 41 DCR 2096; Apr. 18, 1996, D.C. Law 11-110, § 55, 43 DCR 530; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575; Apr. 30, 1998, D.C. Law 12-99, § 2(b), 45 DCR 1524; Apr. 20, 1999, D.C. Law 12-264, § 52(p), 46 DCR 2118; July 18, 2000, D.C. Law 13-148, § 2(c), 47 DCR 4636; June 5, 2003, D.C. Law 14-307, § 902(d), 49 DCR 11664; Mar. 13, 2004, D.C. Law 15-105, § 86(a), 51 DCR 881; Apr. 8, 2005, D.C. Law 15-320, § 110(e), 52 DCR 1757; Sept. 19, 2006, D.C. Law 16-161, §§ 101, 201(b), 53 DCR 5392; Mar. 2, 2007, D.C. Law 16-191, §§ 79, 93, 53.)

Prior Codifications

1981 Ed., § 47-2501.

1973 Ed., § 47-1701.

Section References

This section is referenced in § 47-1810.01, § 47-2001, § 47-2005, § 47-2201, § 47-2507, § 47-3904, and § 47-3921.

Effect of Amendments

D.C. Law 13-148, in subsec. (a), in the introductory text deleted “, electric lighting” following “each gas”; in par. (3) substituted “for a gas company” for “for an electric lighting or gas company”; in subsec. (c) substituted “gas company, electric company” for “each gas, electric lighting” and substituted “, in addition to any tax imposed by this section,” for “, in addition to the gross receipts tax,”; and added subsec. (d-1).

D.C. Law 14-307, in subsec. (a), rewrote pars. (3) and (4); added subsec. (a-1); and in subsec. (d-1), substituted “$0.0077” for “$0.007” in par. (1)(B), and added par. (4).

D.C. Law 15-105, in subsec. (a-1), substituted “§ 47-368.03” for “§ 47-143”.

D.C. Law 15-320 rewrote subsecs. (a)(2), (3), and (4); added subsec. (a-2); and rewrote subsec. (d-1)(1)(B).

D.C. Law 16-161, in subsec. (a), rewrote the lead-in text, substituted “or the sale of artificial gas” for “the delivery of heating oil to an end-user in the District or sale of natural or artificial gas” in par. (1), and added pars. (5) and (6); repealed subsec. (a-1); in subsec. (a-2), substituted “pursuant to subsection (a)(3), (4), (5), and (6) of this section” for “pursuant to subsection (a)(3) and (4) of this section”, and substituted “One-eleventh of the total tax collected from nonresidential customers” for “One-eleventh of the total tax collected”; added subsecs. (a-3) and (a-4); in subsec. (d-1)(1)(B)(i), substituted “a tax of $0.007” for “a tax of $ 0.0077”; rewrote subsec. (d-1)(1)(B)(ii)(I); and, in subsec. (e), substituted “necessary or appropriate” for “necessary”.

Cross References

Compensating-use tax, “retail sale”, “sale at retail” and “sold at retail” defined, exceptions, see § 47-2201.

Gross sales tax, exemptions, sales of personal property purchased by a toll telecommunication company, see § 47-2005.

Income and franchise taxes, purpose of chapter, imposition of franchise tax, see § 47-1810.01.

Taxation of personal property, exemptions, wireless telecommunication company, see § 47-1508.

Tax on corporations and financial institutions, “corporation,” “taxable income” and “taxable period” defined, see § 47-1807.01.

Toll telecommunication service tax, exemptions, see § 47-3904.

Emergency Legislation

For temporary (90 day) amendment of section, see § 902(d) and 903 of Fiscal Year 2003 Budget Support Amendment Emergency Act of 2002 (D.C. Act 14-544, December 4, 2002, 49 DCR 11700).

For temporary (90 day) amendment of section, see §§ 902(d) and 903 of the Fiscal Year 2003 Budget Support Amendment Congressional Review Emergency Act of 2003 (D.C. Act 15-27, February 24, 2003, 50 DCR 2151).

For temporary (90 day) amendment of section, see §§ 902(d) and 903 of Fiscal Year 2003 Budget Support Amendment Second Congressional Review Emergency Act of 2003 (D.C. Act 15-103, June 20, 2003, 50 DCR 5499).

For temporary (90 day) amendment of section, see § 2(d) of Finance and Revenue Technical Corrections Emergency Amendment Act of 2005 (D.C. Act 16-51, March 17, 2005, 52 DCR 3164).

For temporary (90 day) amendment of section, see § 2(b) of Utility Taxes Technical Corrections Emergency Act of 2005 (D.C. Act 16-86, May 18, 2005, 52 DCR 5265).

For temporary (90 day) amendment of section, see § 2(b) of Utility Technical Corrections Congressional Review Emergency Act of 2005 (D.C. Act 16-177, October 4, 2005, 52 DCR 9074).

For temporary (90 day) amendment of section, see § 2 of Natural Gas Taxation Relief Emergency Act of 2005 (D.C. Act 16-186, October 28, 2005, 52 DCR 10012).

For temporary (90 day) enactment, see § 2 of Gasoline Fuel Tax Examination Emergency Act of 2005 (D.C. Act 16-188, October 28,

Temporary Legislation

Section 2(d) of D.C. Law 16-7, in subsec. (a), in par. (3), deleted “11% of these gross receipts from deliveries made after December 31, 2002, for a person who delivers heating oil to an end-user in the District,”, and added par. (3A) to read as follows:

“(3A) After April 30, 2003, pay to the Mayor 11% of these gross receipts from deliveries made after April 30, 2003, for a person who delivers heating oil to an end-user in the District.”

Section 6(b) of D.C. Law 16-7 provided that the act shall expire after 225 days of its having taken effect.

Section 2(b) of D.C. Law 16-29, in subsec. (a-1), inserted “This paragraph shall expire on January 1, 2005.”; in subsec. (a-2), substituted “Beginning, January 1, 2005, one-eleventh of the total tax collected from nonresidential customers” for “One-eleventh of the total tax collected”; in subsec. (d-1)(1)(B), substituted “a tax of $0.007, as of January 1, 2005,” for “a tax of $ 0.0077” in sub-subpar. (i), and rewrote sub-subpar. (ii)(I); and, in subsec. (e), substituted “necessary or appropriate” for “necessary”. Sub-subpar. (ii)(I) of subsec. (d-1)(1)(B) reads as follows:

“(ii)(I) Pay to the Mayor a tax of $0.0007, as of January 1, 2005, for each kilowatt-hour of electricity delivered to nonresidential end-users in the District of Columbia for the preceding calendar month.”

Section 4(b) of D.C. Law 16-29 provided that the act shall expire after 225 days of its having taken effect.

Section 2 of D.C. Law 16-48, in subsec. (a), substituted “each calendar month, each” for “each calendar month, each gas and” and “nonpublic utility who sells” for “and nonpublic utility who sells natural or” in the lead-in language, deleted “or natural” following “sale of” in par. (1), and added par. (5); in subsec. (a-2), substituted “pursuant to subsection (a)(3) and (4) of this subsection and after December 1, 2005, one-eleventh of the total tax collected from nonresidential customers pursuant to subsection (a)(5) of this section” for “pursuant to subsection (a)(3) and (4) of this subsection”; and added subsecs. (a-3) and (a-4). Subsecs. (a)(5), (a-3) and (a-4) read as follows:

“(5) After December 1, 2005, pay to the Mayor:

“(A) 11% of these gross receipts from the sales included in bills rendered after December 1, 2005, for nonresidential customers and 10% of these gross receipts from sales included in bills rendered after December 1, 2005, for residential customers for a telephone company;

“(B) 11% of these gross receipts from deliveries made after December 1, 2005, for nonresidential customers and 10% of these gross receipts from deliveries made after December 1, 2005, for residential customers for a person who delivers heating oil to an end-user in the District; or

“(C) 11% of those gross receipts from the sales of artificial gas delivered by any method after December 1, 2005, for nonresidential customers and 10% of those gross receipts from sales of artificial gas delivered by any method after December 1, 2005, for residential customers by a nonpublic utility to an end-user in the District.”

“(a-3)(1) For sales included in bills rendered after December 1, 2005, before the 21st day of each month beginning January 2006, each gas company that provides distribution services to District customers shall:

“(A) File an affidavit with the Mayor indicating the number of therms of natural gas delivered for final consumption in the District for the preceding billing period; and

“(B)(i) Pay to the Mayor a tax of $0.0703, as of December 2, 2005, for each therm of natural gas delivered to end-users in the District for the preceding billing period; and

“(ii)(I) Pay to the Mayor a tax of $0.00983, as of December 2, 2005, for each therm of natural gas delivered to nonresidential end-users in the District for the preceding billing period.

“(II) Revenues received by the District pursuant to this sub-subparagraph shall be deposited in the Ballpark Revenue Fund established by § 10-1601.02. Payments under this sub-subparagraph shall be in addition to any other payments under this section.

“(2) Each gas company that provides distribution services to District customers shall be allowed to recover the tax imposed under paragraph (1) of this section in its rates as a surcharge on customers’ bills.

“(3) The tax imposed under paragraph (1) of this subsection shall be reflected as a separate line item on each bill for distribution services sent by each gas company that provides distribution services to District.

“(4) The amount of the tax imposed under paragraph (1) of this subsection shall be in effect during Fiscal Year 2006.

“(a-4) Any gross receipts from sales made on or after November 1, 2005, that are not included in bills rendered after December 1, 2005, and taxed under subsection (a-3) of this section shall be taxed at the appropriate rates provided in subsection (a)(4) of this section and reported in the affidavit due on December 21, 2005.”

Section 4(b) of D.C. Law 16-48 provided that the act shall expire after 225 days of its having taken effect.

Section 2(g) of D.C. Law 16-102 repealed subsec. (a-1); in subsec. (a-2), substituted “One-eleventh of the total tax collected from nonresidential customers” for “One-eleventh of the total tax collected”; in subpar. (d-1)(1)(B)(i), substituted “a tax of $0.007” for “a tax of $0.0077”; in subsec. (e), substituted “necessary or appropriate” for “necessary”; and rewrote subpar. (d-1)(1)(B)(ii)(I) to read as follows:

“(ii)(I) Pay to the Mayor a tax of $0.0007 for each kilowatt-hour of electricity delivered to nonresidential end-users in the District of Columbia for the preceding calendar month.”

Section 2 of D.C. Law 16-44 enacted provisions to read as follows:

“Sec. 2. Fuel cost reduction plan.

“(a) The Mayor shall submit a comprehensive plan to the Council setting forth the most appropriate method or methods that may be executed to address increasing costs associated with motor vehicle fuel and natural gas. The report shall, at a minimum examine the following methods: moving price ceilings; elimination of the gas tax in whole or in part; establishing gasoline sales-tax holidays; gas vouchers; and examining the city’s buying power to purchase home heating fuel.

“(b) The report shall include:

“(1) Historical fuel (motor vehicle, natural gas, heating oil) cost trends in the District of Columbia from calendar year 2003 through December 2005;

“(2) An assessment concerning the multiple variables that have influenced the cost shifts through the designated period; and

“(3) An assessment concerning possible price gouging, by local motor vehicle fuel retailers, and wholesalers.

“(c) The report shall be due on December 15, 2005.”

Section 4(b) of D.C. Law 16-44 provided that the act shall expire after 225 days of its having taken effect.

Section 2 of D.C. Law 16-45 enacted provisions to read as follows:

“Sec. 2. Increased funding for the Low Income Home Energy Assistance Program and Utility Discount Programs.

“Except for the funds which are deposited in the Ballpark Revenue Fund under D.C. Official Code § 47-2501(a-2), for fiscal year 2006, the portion of the funds collected with respect to sales of heating oil and artificial gas under D.C. Official Code § 47-2501(a) which exceed the amount which is estimated, as of the September 2005 revenue estimates, to be collected with respect to such sales in the budget and financial plan shall be used for the Low Income Home Energy Assistance Program and Utility Discount Programs administered by the District of Columbia Office of Energy.”

Section 4(b) of D.C. Law 16-45 provided that the act shall expire after 225 days of its having taken effect.

Section 8 of D.C. Law 16-102 added Sec. 4a to D.C. Law 16-102 to read as follows:

“Sec. 4a. Applicability. Section 2(d) shall apply for the period beginning May 1, 2003 and ending December 31, 2004.”

Section 11(b) of D.C. Law 16-102 provided that the act shall expire after 225 days of its having taken effect.

References in Text

“This act”, referred to in (b)(1)(B) and two places in (b)(3)(D), is D.C. Law 7-25.

Section 47-1501, referred to in subsections (b)(3)(C) and (c) of this section, was repealed by § 24 of D.C. Law 6-212.

Editor's Notes

D.C. Law 15-324, § 2, purports to amend par. (3) of subsec. (a) without reference to the prior amendment by D.C. Law 15-320, § 110(e). The amendment by D.C. Law 15-324, § 2, was not effective.

Mayor authorized to issue rules: Section 1102 of D.C. Law 5-14 provided that the Mayor shall issue rules necessary to carry out the provisions of the act.

Section 903 of D.C. Law 14-307 provided: “Sec. 903. Applicability. Section 902 shall apply as of January 1, 2003.”

Applicability: Section 202(a) of D.C. Law 16-161 provided that section 201(a) and (b)(1) through (3) shall apply as of January 1, 2003.

Delegation of Authority

Delegation of authority under Law 5-14, see Mayor’s Order 83-190, July 25, 1983.

Delegation of authority pursuant to D.C. Law 7-25, the “Gross Receipts Tax Amendment Act of 1987”, see Mayor’s Order 94-120, May 16, 1994 ( 41 DCR 3240).

§ 47–2501.01. Television, video, or radio service to subscribers or paying customers.

(a) Before the 21st day of each calendar month, each company that sells or charges for cable television service, satellite relay television service, and any and all other distribution of television, video, or radio service, other than sales of digital goods as defined in § 47-2001(d-1) and subject to tax pursuant to § 47-2001(n)(1)(C) or § 47-2201(a)(1)(R))[sic.], or both, with or without the use of wires provided to subscribers or paying customers, whether for basic service, ancillary service, or other special service, and any other charges related to providing the services within the District of Columbia, including, but not limited to, rental of signal receiving equipment, shall:

(1) File an affidavit with the Mayor indicating the amount of its gross receipts for the preceding calendar month from the sale of or charges for the services within the District;

(2) Until May 31, 1994, pay to the Mayor 9.7% of these gross receipts; and

(3) After May 31, 1994, pay to the Mayor 10% of its gross receipts from sales included in bills rendered after May 31, 1994.

(b) Notwithstanding any other provision of law, each company subject to the tax imposed by this section shall pay, in addition to the gross receipts tax, the franchise tax imposed by Chapter 18 of this title, the real property tax imposed by Chapter 8 of this title, the personal property tax imposed by § 47-1521 et seq., to the extent provided in § 47-1508.

(c) For the purpose of this section, the term “company” does not include a nonprofit educational organization that provides programming to subscribers or other persons under an Instructional Television Fixed Service License issued by the Federal Communications Commission. The gross receipts of a nonprofit educational organization that provides programming to subscribers or other persons under an Instructional Television Fixed Service License issued by the Federal Communications Commission shall not be subject to the tax established by this section.

§ 47–2502. Bonding, title, guaranty and fidelity companies.

All companies, incorporated or otherwise, who guarantee the fidelity of any individual or individuals, such as bonding companies, and all companies who furnish abstracts of titles to real property, or who insure real estate titles, shall pay to the Collector of Taxes of the District of Columbia 3% of their gross receipts in the District of Columbia.

§ 47–2503. Private banks.

Private banks or bankers not incorporated shall pay a tax of $500 per annum. Every person, firm, company, or association not incorporated having a place of business where credits are opened by the deposit or collection of moneys or currency subject to be paid or remitted upon draft, check, or order, or where money is advanced or loaned on stocks, bonds, bullion, bills of exchange, or promissory notes, or where stocks, bonds, bills of exchange, or promissory notes are received for discount or for sale, shall be regarded as a private bank or banker.

§ 47–2504. Washington Stock Exchange.

The Washington Stock Exchange, through its president or treasurer, shall pay to the Collector of Taxes of the District of Columbia a sum equal to $500 per annum in lieu of tax on the members thereof for business done on said exchange.

§ 47–2505. Note brokers.

Note brokers shall pay a tax of $100 per annum. Every person, firm, company, or association not incorporated (except private banks and bankers) that loans money on promissory notes without real estate or collateral security or advances money on personal property as security without possession of said personal property shall be deemed a note broker; provided, that exception shall be made of cooperative associations whose business is restricted to the members of such association.

§ 47–2506. Payment of tax by private banks and note brokers.

The taxes for said private banks and bankers, and note brokers shall be paid to the Collector of Taxes of the District of Columbia, and shall date from the first day of July in each year and expire on the 30th day of June following. Said taxes shall date from the first day of the month in which the liability begins, and payment shall be made for a proportionate amount.

§ 47–2507. Transitional rules for taxing financial institutions.

(a) Short period. —

(1) For financial institutions with a federal taxable year ending on a date other than June 30th, a short period return must be filed and the tax computed in accordance with § 47-2501 for the period from July 1, 1981, to the end of the taxpayer’s tax year for federal income tax purposes (federal tax year).

(2) The short period return required in paragraph (1) of this subsection shall be filed on or before the last day of the month following the close of the taxpayer’s federal tax year.

(3) Financial institutions required to file a return as described in this subsection are required to make estimated tax payments as follows:

(A) Pay an amount in the short period divided by 12 multiplied by the amount of its tax liability as of June 30, 1980;

(B) If the taxpayer’s short period is 9 months or less, no additional estimated tax payment is due; and

(C) If the taxpayer’s short period is more than 9 months, a second estimated tax payment is due March 31, 1982, in an amount computed in subparagraph (A) of this paragraph.

(b) Transition period. —

(1)(A) The first transition year is a financial institution’s first full taxable year for federal income tax purposes beginning on or after July 1, 1981.

(B) A taxable year for purposes of this subsection is a 12-month period.

(2)(A) For each of the 3 transition years, each financial institution shall calculate its tax liability and file returns under both the gross earnings tax and the franchise tax for the 3 taxable years of the transition period. Each financial institution shall calculate its tax liability as follows:

(i) For the first transition year, the franchise tax plus 100% of the difference between the total of the franchise tax plus the personal property tax and the gross earnings tax computed for the same taxable year; provided, that the computed gross earnings tax is greater than the total of the franchise tax plus the personal property tax; and

(ii) For the 2nd transition year, the franchise tax plus 66 2/3% of the difference between the total of the franchise tax plus the personal property tax and the gross earnings tax computed for the same taxable year; provided, that the computed gross earnings tax is greater than the total of the franchise tax plus the personal property tax;

(iii) For the 3rd transition year, the franchise tax plus 33 1/3% of the difference between the total of the franchise tax plus the personal property tax and the gross earnings tax computed for the same taxable year; provided, that the computed gross earnings tax is greater than the total of the franchise tax plus the personal property tax.

(B) In no event shall the total tax levied be less than the franchise tax plus the personal property tax. Any gross earnings tax paid or accrued under the provisions of this section shall not be allowed as a deduction in arriving at the franchise tax liability.

(3)(A) During the 3-year transition period described in paragraph (2) of this subsection, every financial institution shall make and file a declaration of estimated tax at such time or times and under such conditions, and shall make payments of such tax during its taxable year in such amounts and under such conditions as prescribed in § 47-1812.14 and regulations relating thereto.

(B) For every financial institution required to file a gross earnings tax return and a franchise tax return under the 3-year transition period described in paragraph (2) of this subsection, the underpayment of estimated taxes pursuant to § 47-1812.14(b) for each taxable year within the transition period shall be the excess of:

(i) The cumulative amount of the installments of estimated franchise taxes and gross earnings taxes which would be required to be paid if the estimated taxes were equal to 80% of the sum of the taxes shown on the franchise tax return for the taxable year and the gross earnings tax return for the taxable year, or if a franchise tax return or a gross earnings tax return or both were not filed for the taxable year, 80% of the total franchise taxes and gross earnings taxes for such year, over

(ii) The cumulative amount of installments paid for gross earning taxes for the taxable year plus the cumulative amount of installments paid for franchise taxes for the taxable year on or before the date prescribed for payment pursuant to law or regulation.

(C) After the 3-year transition period, the gross earnings tax provided by § 47-2501 shall not apply to financial institutions and each financial institution shall be subject to the franchise tax as provided by Chapter 18 of this title.

(c) Gross earnings tax return filing. — The gross earnings required for each of the 3 transition years shall be filed with the Mayor on or before the 15th day of March in each year; except, that such returns, if made on the basis of a fiscal year, shall be filed on or before the 15th day of the 3rd month following the close of such fiscal year. During the transition period referred to in subsection (b), there shall be excluded from the gross earnings tax and franchise tax computation all earnings resulting from any IBF time deposit or IBF loan.

(d) Filing extension. — The Mayor may grant a reasonable extension of time for filing the returns required by subsection (c) of this section whenever in his judgment good cause exists therefor, and he shall keep a record of every such extension. Except in the case of a taxpayer who is not within the continental limits of the United States, no extension shall be granted for more than 6 months, and in no case shall such extension be granted for more than 1 year.

(July 1, 1902, 32 Stat. 622, ch. 1352, § 6, par. 20; Sept. 13, 1980, D.C. Law 3-95, § 301, 27 DCR 3509; July 24, 1982, D.C. Law 4-130, § 3, 29 DCR 2412; Sept. 17, 1982, D.C. Law 4-150, § 201, 29 DCR 3377; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575.)

Prior Codifications

1981 Ed., § 47-2507.

Section References

This section is referenced in § 47-1807.02, § 47-1812.14, and § 47-2515.

Cross References

Income and franchise taxes, declaration of estimated tax by corporations, financial institutions, and unincorporated businesses, see § 47-1812.14.

Tax on corporations and financial institutions, same—levy and rates, subject to transition rules, see § 47-1807.02.

Editor's Notes

Mayor authorized to issue regulations: Section 401 of D.C. Law 4-150 provided that the Mayor shall issue regulations necessary to carry out the provisions of the act.

Mayor authorized to issue rules: Section 1102 of D.C. Law 5-14 provided that the Mayor shall issue rules necessary to carry out the provisions of the act.

§ 47–2508. Applicability of acts of Congress to national banks in the District of Columbia.

The provisions of all acts of Congress relating to national banks shall apply in the several states, the District of Columbia, the several territories and possessions of the United States, and the Commonwealth of Puerto Rico.

§ 47–2509. Declaration and payment of estimated tax.

Every bank, trust company, and building association, and all bonding, title, guaranty and fidelity companies, subject to the provisions of § 501(a) of the Revenue Act of 1975, shall make and file a declaration of estimated tax at such time or times and under such conditions, and shall make payments of such tax in such amounts and at such times and under such conditions as the Mayor shall, by rule, prescribe. Such payments shall not be in excess of the amount by which said tax was increased by provisions of this act.

(Oct. 21, 1975, D.C. Law 1-23, title V, § 501(b), 22 DCR 2091; Nov. 1, 1975, D.C. Law 1-30, § 2, 22 DCR 2545; June 22, 1983, D.C. Law 5-14, § 103, 30 DCR 2632; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575.)

Prior Codifications

1981 Ed., § 47-2509.

1973 Ed., § 47-1711.

References in Text

“The Revenue Act of 1975” and “this act,” referred to in this section, are references to D.C. Law 1-23, 22 DCR 2091, approved October 21, 1975.

Section 501(a)(1) and 501(a)(2) of the Revenue Act of 1975, are codified as §§ 47-2501 and 47-2502, respectively.

Editor's Notes

Mayor authorized to issue rules: Section 1102 of D.C. Law 5-14 provided that the Mayor shall issue rules necessary to carry out the provisions of the act.

Delegation of Authority

Delegation of authority under Law 5-14, see Mayor’s Order 83-190, July 25, 1983.

§ 47–2510. Personal property tax provisions applicable to financial institutions.

Notwithstanding any other provision of law, financial institutions, as defined in § 47-1801.04, shall be subject to the applicable personal property tax provisions of Chapters 15 and 16 [repealed] of this title and of Chapter 17 [repealed] of this title and shall be liable for the payment of taxes on such personal property. This section shall take effect as to taxable property held on July 1, 1981, and on July 1st of each succeeding year.

§ 47–2511. Severability.

If any provision of this chapter, or application thereof, to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

§ 47–2512. Savings clause.

(a) Existing rights and liabilities. — The repeal or amendment of any provision of this chapter, shall not affect any act done or any right accruing or accrued, or any suit or proceeding had or commenced in any civil cause before such repeal or amendment, but all rights and liabilities under this chapter shall continue, and may be enforced in the same manner and to the same extent, as if such repeal or amendment had not been made.

(b) Offenses and penalties. — All offenses committed and penalties incurred, under any provision of law hereby repealed or amended, may be prosecuted and punished in the same manner and with the same effect as if this chapter had not been enacted.

§ 47–2513. Rules and regulations.

The Mayor of the District of Columbia is authorized to promulgate rules and regulations to carry out the provisions of this chapter.

§ 47–2514. Real property tax provisions applicable to financial institutions.

Notwithstanding any other provision of law, financial institutions, as defined in § 47-1801.04 shall be subject to the applicable real property tax provisions of the following laws (1) Chapter 7 of this title, (2) Chapter 6 of this title, (3) Chapter 5 of this title, (4) §§ 47-829 to 47-841, (5) Chapter 13 of this title, (6) Chapter 12 of this title, and (7) Chapter 10 of this title, and shall be liable for the payment of taxes on such real property.

§ 47–2515. Effective date.

The provisions of this chapter (relating to repeal of the gross earnings tax applicable to financial institutions) will be effective for financial institutions beginning with the federal taxable year following the 3-year transition period described in § 47-2507. All other provisions of this chapter shall take effect on September 13, 1980.