Tax Type
BPOL Tax
Description
Contractor's License
Topic
Rate of Tax
Date Issued
04-05-1974
Assessment of Initial License Tax
The procedure of using the current year's contracts as the basis of assessing a contractor's initial local license tax and subsequently using the same year's contracts as the basis of the license tax for the succeeding year is valid for the city or county in which the contractor's office is located. This approach provides a means of levying a tax during the first year of operation. However, a locality in which a contractor is temporarily working may not use this method for computing the initial tax.
Editorial Note: Ch. 32, Acts 1974, prohibits the use of any contract amount more than once in the tax base used to determine a contractor's license tax.
Attorney General's Opinion