On Tuesday, May 3, the city council will consider whether to place a ballot measure on the November 2011 ballot that would change the business license tax. Eliminating the cap that is currently on this tax would increase revenue to the city. Only a few businesses would be effected by this change in the cap (which currently limits a business tax at $117,048/year, no matter how large gross receipts are beyond $146.3 million). Changes in state law in 1996 require a vote of the electorate to "increase" this tax by a simple majority. No other cities nearby have a cap or maximum on their business licenses.
Another issue the city council will consider is whether to change the tax rate for business license taxes. We currently tax businesses at .08%, compared to Oakland at .12% and Berkeley at .18%.
A third issue is whether to exempt small businesses from the tax, either a complete or partial exemption. Currently the minimum tax paid is $25/year. Oakland's minimum is $60 and Berkeley's is $51.
I welcome your opinion on this measure. Please email me at emeryvillewest@gmail.com
Jennifer West
skip to main |
skip to sidebar
