Application For Business License - State Of Washington (Page 4 of 4) in pdf

If you do not qualify for an exemption or registration fee, the base fee and RGRL will apply as calculated below.

Base Fee: All businesses operating in Kirkland exceeding $12,000.00 are subject to a base fee of $100.

Revenue Generating Regulatory License Fee Calculation

How many employees (or Full Time Equivalents), including officer /

Number of FTEs______ x $100 = $_______

owner / manager, are employed at this location? If using part-time

employees, use the FTE calculation worksheet as shown at the bot-

Plus: BaseFee = $_______

tom of this page.

Total Fee = $_______

Revenue Generating Regulatory License Fee: FTE x $100.00

Add the RGRL amount and the base fee. This total amount is your

business license tax fee.

Minimum payment $200.00. Must claim 1 employee.

Definitions:

Qualified Nonprofit Organization - Certain organizations exempt from Federal Income Tax. An organization that files with the

City a copy of its current IRS 501(c)(3) exemption certificate issued by the Internal Revenue Service.

Government Organization - A governmental entity that engages solely in the exercise of governmental functions. Activities

which are not exclusively governmental, such as some of the activities of a hospital or medical clinic, are not exempt under this

chapter.

Religious Organization - A nonprofit business operated exclusively for a religious purpose, upon furnishing proof of the Fi-

nance Director of its nonprofit status. For the purposes of this chapter, the activities that are not part of the core religious func-

tions are not exempt.

Full Time Equivalent - A business may choose to calculate the number of employees for the purpose of the Revenue Generat-

ing Regulatory License according to the following alternative method based on the number of employee hours worked for the

business during the previous year. Where there are employees who work less than the 1,920 hours per year, the total number

of hours worked by all such employees during the previous four quarters shall be added together and divided by 1,920. A frac-

tion of .5 or over shall be rounded up. The city may require the business to submit copies of its Washington State Department

of Labor and Industries (L & I) reports for the prior four quarters.

If you do not have physical premises within Kirkland but conduct business in Kirkland, you should consider only the num-

ber of worker hours spent working in Kirkland or direct hours related to work completed for a customer located in Kirkland.

Note for new Businesses - The Revenue Generating Regulatory License for a business that did not submit reports for each of

the last 4 quarters to L & I shall be based on the estimated number of employees of that business. If, during the license year,

the City determines that the actual number of employees is significantly different than estimated, then the amount of the Rev-

enue Generating Regulatory License may be recalculated for the new business. If the revised Revenue Generating Regulatory

License is higher, the business must pay the difference within 30 days after notification. If the Revenue Generating Regulatory

License is lower, then the difference will be refunded within 30 days.

Full Time Equivalent Calculation Chart

Part-time employee hours reported during the most recent four quarters:

________Quarter 1 + ________Quarter 2 + ________Quarter 3 + ________ Quarter 4 =______________Total for four quarters

1920

Divide by ______________

______________*

* A fraction of .5 or over shall be rounded up

Minimum payment $200.00. Must claim 1 employee.

Hours worked by persons who are defined as employees for Revenue Generating Regulatory License must be included in

the calculation even if the business is not required to report to the Washington State Department of Labor and Industries (L&I)

concerning such person.

The City reserves the right to request verification of information provided on the application form and fee worksheet.

Application For Business License - State Of Washington Page 4

Related Articles

Related forms

Related Categories