Liability of Successor For Failure To Withhold
San Diego Municipal Code § 38.0138
in effect§38.0138 Liability of Successor For Failure To Withhold
If the successor to the business fails to withhold a portion of the purchase price as required, it shall be liable to the City for the payment of the amount required to be withheld. Within thirty (30) days after receiving a written request from the successor for a tax clearance certificate stating that no tax or penalty is due, the City Treasurer shall either issue the certificate or mail notice to the successor at its address as it appears on the records of the City Treasurer of the estimated amount of the tax and penalty that must be paid as a condition of using the certificate. (Amended 9–10–1990 by O–17524 N.S.)
§ Editor’s Note
WHEREAS, by Ordinance No. O–17509 (New Series), adopted August 6, 1990, and effective September 6, 1990, this City Council established a transient transportation tax, the proceeds of which are to be deposited to the general fund; and
WHEREAS, said tax is deemed to be in the nature of an impact fee for the additional impacts of transient vehicles on City services and facilities; and
WHEREAS, the State Board of Equalization has preliminarily concluded that said tax may be more in the nature of a sales tax, the collection of which may contravene the provisions of the Bradley–Burns Act, Revenue and Taxation Code section 7203.5, which would thereby cause that portion of City sales tax revenues collected by the State to be subvented to the County and not be remitted to the City; and WHEREAS, this loss of revenue has the potential to severely disrupt City revenue collections and public services and safety; and
WHEREAS, the State Board of Equalization intends to submit its tentative ruling to the State Attorney General for review; and
WHEREAS, the Bradley–Burns Act will not apply to prevent the loss of revenue to the City for any period when such tax is not collected; and
WHEREAS, the City Council of The City of San Diego deems it essential to defer imposition and collection of the Transient Transportation Tax until this issue is resolved; and
WHEREAS, the City Council therefore considers the potential loss of revenue due to the proposed implementation of this tax to constitute an emergency within the meaning of section 17 of the San Diego City Charter;
NOW, THEREFORE, BE IT ORDAINED, by the Council of The City of San Diego, as follows:
Section 1. That the provisions of Section 2 of Ordinance No. O– 17509 (New Series), adopted August 6, 1990, shall be amended to read as follows:
Section 2. This ordinance shall take effect and be in force on January 1, 1991, or on the thirtieth day from and after its passage, whichever is later. Section 2. The imposition of any tax adopted by Ordinance No. O– 17509 (New Series) and its collection between the dates of September 6, 1990, and the date of adoption of this ordinance is hereby waived and shall not be collected, notwithstanding any later administrative or judicial decision or determination to the contrary.
Section 3. This ordinance shall take effect and be in force immediately upon its adoption pursuant to the provisions of section 17 of the City Charter of San Diego, the Council having determined that said ordinance constitutes an emergency measure within the meaning of section 17 in order to provide for the immediate preservation of the public peace, property, health or safety.
Section 4. The City Clerk shall cause a copy of this ordinance to be inserted as a note to the provisions of Chapter 3, Article 8, of the San Diego Municipal Code, when printed.
(“Editor’s Note” added 9–10–1990 by O–17524 N.S.)
Source: City of San Diego Office of the City Clerk, San Diego Municipal Code and City Charter (docs.sandiego.gov PDFs)URL: https://docs.sandiego.gov/municode/MuniCodeChapter03/Ch03Art08Division01.pdf#page=14Fetched: 10/28/2026