§ 21-163. Tax reporting and payment; duty to ensure compliance by participants.

(a)

Each participant at an open-air market or park-and-swap operation shall have the option of reporting and paying taxes due under the Tax Code for such participant's activities at such market or operation by either of the following methods:

(1)

The participant may obtain his or her own transaction privilege license and report and pay all taxes due under the Tax Code directly to the city, in which case the operator's only obligation concerning taxes on the participant's activities shall be to require proof of a valid transaction privilege license from the participant for his or her activities at the operator's market or operation; or

(2)

The participant may report and pay all taxes due under the Tax Code to the operator on a daily basis, in which case the participant shall not be required to obtain his or her own transaction privilege license from the city or to file his or her own tax reports with the city. All tax reports from a participant to the operator shall be attached to the operator's tax reports to the city, which the operator shall file on a monthly basis pursuant to the Tax Code. If the participant elects to pay its taxes due under the tax code to the operator, the participant and the operator shall be jointly and severally liable for all taxes, interest and penalties due to the city as a result of the operator's non-payment, partial payment or late payment of taxes due for the participant's activities.

(b)

It shall be unlawful for any operator to allow any participant to conduct any activities at such operator's open-air market or park-and-swap operation until the participant consents to reporting and paying his or her taxes due under the Tax Code to the operator or until the participant has displayed to the operator a valid transaction privilege license for his or her activities at such market or operation. On or before January 31 of each year, the operator shall verify with each participant who elects to report and pay his or her taxes due under the Tax Code directly to the city that such participant has renewed his or her transaction privilege license.

(c)

It shall be unlawful for any operator to allow any participant to conduct any activities at such operator's open-air market or park-and-swap operation at any time that the operator knows, or reasonably should know, that the participant has not fully complied with his or her tax licensing, reporting and payment obligations to either the operator or the city.

(Ord. No. 1919, § 5, 12-10-96)