Layton, UT Local Taxes & Fees: Business Tax Classification (2026)
Key Facts
- Governing section
- LMC 5.04.060, Classifications and Fees
- License categories
- 10, professional through special categories
- Utility/bank fee
- $150 flat, plus franchise fee
- License period
- 1 year from date of issue
- Late penalty
- 25% after 15 days, +10% per month
- Enforcing officer
- City License Officer
Summary
Layton sorts every business into one of ten license categories under LMC 5.04.060, from professional and personal-service firms to contractors, manufacturers, amusements, and coin-operated machines. Most pay an annual fee tied to gross income; utilities and banks instead pay a flat $150 plus any franchise fee. The License Officer administers billing, and late renewals trigger escalating penalty surcharges.
The following businesses, activities, persons, or machines shall be licensed and a fee shall be paid in accordance with the latest fee schedule adopted by the City Council. The City Council shall set the appropriate fees by resolution. The respective lists are not deemed exclusive, and any similar business, activity, person, or machine, though not listed, shall be licensed and shall pay the fee required for the category into which it logically fits. 1. Professional. A person operating a business, which uses professionally trained persons, shall pay a license fee based on the gross annual income of the business as set by resolution... 6. Utilities and Public Services. A person operating a utility business or a business in the nature of a public service where the person is granted a monopoly under government regulations and banking institutions and finance companies, shall pay a license fee, additional to any franchise fee, of $150.
Full Breakdown
020, it is unlawful to conduct any business or nonprofit enterprise in Layton without first obtaining a license, and one act of selling goods, soliciting business, or using a vehicle or premises for a business purpose is enough to trigger the requirement. Each branch location needs its own separate license. 060 then sorts businesses into ten fee classifications: Professional (architects, attorneys, CPAs, dentists, physicians); Personal Services (barbershops, laundries, real estate brokers); Repair Services; Retail Business and Business Services; Contractors (electricians, plumbers, roofers); Utilities and Public Services, which pay a flat $150 fee in addition to any franchise fee rather than a gross-income-based rate; Manufacturing and Processing; Amusements (bowling alleys, theaters, pool halls); Machines (jukeboxes, vending machines, pay an additional fee, though non-profit-operated gum or candy machines are exempt); and Special Categories such as carnivals, circuses, fortunetellers, and temporary celebration booths of three days or less, billed per the Consolidated Fee Schedule.
Most categories pay a fee based on gross annual income as set annually by City Council resolution, and any business type not explicitly listed still must be licensed and pay the fee for the category it logically fits. 160 sets the license period at one year from issuance, with fees due before the year ends. 140, may inspect any licensed, formerly licensed, or unlicensed premises to enforce the title.
Violations & Fines
Operating without a license is unlawful under LMC 5.04.020, and unpaid license fees become a debt to the City that the City Attorney may sue to collect under 5.04.140(9); a civil judgment does not bar separate criminal prosecution for the same violation. Renewing late costs a 25% penalty once more than 15 days pass after expiration, plus another 10% added on the first day of every month it stays unpaid, under LMC 5.04.160. Under 5.04.140(7), the City Manager can summarily suspend or revoke a license, or order a business closed, if conduct is an imminent threat to public health, safety, or welfare, though the licensee gets a special hearing within 5 days unless waived.
Frequently Asked Questions
Does Layton use a gross receipts tax or a flat business license fee?
What happens if I renew my Layton business license late?
Can Layton revoke my business license without a full hearing first?
Sources & Official References
Other rules in Layton
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