Utility Users Tax

Utility Users Tax Forms

  1. Utility Users Tax Prepayment Form (PDF)
  2. Utility Users Tax Refund Form (PDF)
  3. Utility Users Tax Remittance Form (PDF)

Ordinance 1051-C.S., 10-28-70

Guidelines

This Section imposes a tax upon every person using electricity, water, gas, or telephone service in the City. The taxes imposed by this Section will be at the rate of 6 percent of all charges made for such services. The maximum annual tax payable by any service user for an individual service will be $1,500 for each 12 month period commencing January 1 and ending December 31 of the same calendar year. The tax will be collected from the service user by the person providing the service and remitted to the Finance Director on or before the last day of the following month.

Tax Maximum

The annual tax payable by any service user for an individual service is $1,500 for each 12 month period. An "individual service" refers to each individual utility location with a separate meter and separate billing. The regulation of this maximum is the responsibility of the service supplier.

Prepayment

You may elect to prepay the utility tax maximum if you believe you will exceed the cap. The city would then notify each utility company that payment has been made and they will cease collection of the tax for the following year. In order to allow utility companies enough time to adjust their billing, prepayments should be made by December 15th.

Refer to the City of Modesto Municipal Code:

Title 8 - Finance, Revenue and Taxation

Chapter 2 Taxation

Article 9. Utility Users' Tax

8-2.905 Electricity User Tax