AN AMENDED ORDINANCE RESCINDING, ABOLISHING AND OTHERWISE RENDERING VOID AND OF NO EFFECT THE PRIOR ORDINANCE ELIMINATING THE BUSINESS AND OCCUPATION TAX BY THE TOWN OF WAYNE, WEST VIRGINIA FINALLY ADOPTED ON MAY 22,2017, REINSTATING THE BUSINESS AND OCCUPATION TAX UPON ITS ADOPTION, PROVIDED THAT THE REPEAL OF THE BUSINESS AND OCCUPATION TAX SHALL BE DELAYED AND HAVE NO FORECE OR EFFECT UNTIL THE DAY THE TAX COMMISSIONER BEGINS TO ADMINISTER, COLLECT AND ENFORCE THE SALES AND SERVICE AND USE TAXES IMPOSED BY THE TOWN OF WAYNE By prior Ordinance, the Mayor and City Council of the Town of Wayne, West Virginia, finally adopted on December 30, 2016, a Municipal Sales and Service Tax and a Municipal Use Tax, which fundamentally altered the nature of the tax levied upon the Town (see prior Ordinance so establishing). However, said Municipla Sales and Service Tax and Municipal Use Tax was not to be effective until July 1, 2017. Subsequent to the above passed Ordinance, and as required to fully implement the new tax system above, the Mayor and City Council finally adopted an Ordinance that rescinded, abolished and otherwise rendered void and of no effect the Business and Occupation Tax. However, said Ordinance by its very language held the effective date for the action as June 30, 2017, the day before the intended effective date ofthe new tax system above. Despite appearing facially that both Ordinances were fully compliant with the applicable laws and regulations, the Town of Wayne has received information from the WV State Tax Department by its letter of June 16, 2017, that insofar as both the above Ordinances were not finally adopted contemporaneously, that the agency has found based upon its interpretation of the relevant code that the Town of Wayne was without authority to finally adopt the Municipal Sales and Service Tax and Municipal Use Tax, insofar as at the time of its passage, the Ordinance eliminating the Business and Occupation Tax on June 30, 2017 had also not been finally adopted. For this reason, the WV State Tax Department advised in its letter that it was denying the Town of Wayne's Ordinance creating the Municipal Sales and Service Tax and the Municipal Use Tax, making it necessary to amend both of the prior Ordinances to comply fully with the legal requirements. IT IS THEREFORE ORDERED the prior Ordinance finally adopted on May 22, 2017, is hereby amended to rescind, abolish and otherwise be rendered void and of no effect only in that it purported to eliminate the Business and Occupation Tax effective June 30, 2017, at midnight. This Ordinance shall take effect upon its adoption, provided that the repeal of the Business and Occupation Tax shall be delayed and have no force or effect until the day the Tax Commissioner begins to administer, collect and enforce the sales and use taxes imposed by the Town of Wayne. PASSED ON FIRST READING by majority vote of the Governing Body of the Town of Wayne, West Virginia, this 21st day of June, 2017. The matter will come for second reading/public hearing/final adoption by the Town of Wayne Council at a meeting on June 30, 2017 at Town Hall at noon. PREPARED BY: Kendal E. Partlow, Esq. PARTLOW LAW OFFICES 27495 East Lynn Rd Wayne, WV 25570 LH-53624 6-24,28; 2017
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