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Modesto, CA Business Licensing & Operations: Pawnbrokers (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License tax
$16.00 per quarter
Governing section
MC § 6-1.222
License revocation trigger
6 months' delinquency (§6-1.121)
Late payment penalty
5%/month, capped at 25%
License posting
Displayed conspicuously on premises
Excluded from junk dealer ordinance
MC § 4-21.03(a)(2)

Summary

Modesto taxes every pawnshop or pawnbroker operator $16 a quarter under a specific line item in the business license chapter, on top of the general license-application, posting, and non-transfer rules every licensed business must follow. The Finance Director can revoke the license after six months of unpaid taxes or unfiled reports.

6-1.222 - Pawnshop. Every person conducting, carrying on or managing a pawnshop or acting as pawnbroker, shall pay a license tax in the sum of sixteen dollars ($16.00) per quarter.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 71).

Full Breakdown

Section 6-1.222 sets a dedicated quarterly license tax of $16.00 for every person conducting, carrying on, or managing a pawnshop or acting as a pawnbroker in Modesto, a rate carried over unchanged from Ordinance No. 238-C.S. as last amended by Ordinance No. 2730-C.S. in 1990. Like every other business category in Title 6, Chapter 1, a pawnbroker must first obtain a license under Section 6-1.103 by completing an application under Section 6-1.108 that discloses the owner's name and address, the business address, and the type of business conducted; the license tax and application together determine the amount due under the Director's administrative classification power in Section 6-1.110.

Once issued, the license must be posted and exhibited in a conspicuous part of the pawnshop under Section 6-1.117, is not transferable to another owner or location under Section 6-1.118, and can be renewed annually under Section 6-1.120, except that the Director must refuse renewal if the licensee is delinquent in any charge or required report. The Director and any City police officer may enter the pawnshop free of charge at any reasonable time to demand the license certificate under Section 6-1.123, and a licensee who misrepresents any material fact to procure the permit violates Section 6-1.131.

Because pawnbrokers are expressly carved out of the City's separate Junk Dealers and Scrap Metal Recyclers ordinance (Section 4-21.03(a)(2)), the quarterly business license tax in Chapter 1 is the operative local licensing mechanism for pawnshops in Modesto, distinct from the state-level pawnbroker reporting duties under the Business and Professions and Financial Codes.

Violations & Fines

Failure to pay the $16 quarterly tax on time triggers delinquency costs under Section 6-1.125: an additional 5 percent of the unpaid tax per month, capped at 25 percent, plus another 25 percent if the Director finds the nonpayment fraudulent. Section 6-1.121 lets the Director revoke a pawnbroker's license outright if taxes, costs, or required reports remain delinquent for six months. Refusing to let the Director or a police officer inspect the posted license under Section 6-1.123 requires the Director to file a complaint against the refusing party, and any unpaid tax, interest, or cost becomes a collectible debt to the City under Section 6-1.129, enforceable by civil action.

Frequently Asked Questions

How much does a pawnshop license cost in Modesto?
Sixteen dollars per quarter under Section 6-1.222, the dedicated license tax rate for anyone conducting a pawnshop or acting as a pawnbroker, in addition to the standard application process under Chapter 1.
Can Modesto revoke a pawnbroker's business license?
Yes. Section 6-1.121 authorizes the Director to revoke the license if the pawnbroker fails to pay taxes or costs, or fails to file required reports, for six months after they become delinquent.
Is a Modesto pawnshop license transferable to a new owner?
No. Section 6-1.118 bars transferring any license issued under this chapter; a change of ownership or location requires a new application and license.
Are pawnbrokers regulated under Modesto's junk dealer ordinance too?
No. Section 4-21.03(a)(2) expressly exempts pawnbrokers from the Junk Dealers and Scrap Metal Recyclers chapter, leaving the Chapter 1 business license tax as the applicable local licensing scheme.

Sources & Official References

Other rules in Modesto

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