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Chino, CA Local Taxes & Fees: Business Tax Classification (2026)

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

Key Facts

Tax bases
Gross receipts or number of employees
Retail proof
BOE sales/use tax return
Other income proof
State franchise tax return
Late penalty
10% added every 30 days
Multi-location
Apportioned by property/payroll formula

Summary

Chino calculates each business's annual license tax two ways: by gross receipts for retail and service businesses, or by number of employees, with renewal verification required each year.

A.At the time of renewal of any business license based on gross receipts, verification of the business' total gross receipts shall be presented to the city in the following manner:1.Those businesses that have business income totally comprised of retail sales shall present a copy of the Board of Equalization Department of Business Taxes, state, local and district sales and use return for the previous year.2.Those businesses that have business income of other than retail sales shall present a copy of the business income tax return filed with the State Franchise Tax Board for the previous year.B.At the time of renewal of any business license based on number of employees, each business shall present a copy of the federal withholding tax for the previous year.

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 38).

Full Breakdown

Chino's business license tax is calculated on one of two bases set at licensing: gross receipts or number of employees. At renewal, Municipal Code § 5.04.175(A) requires gross-receipts licensees to submit a prior-year Board of Equalization sales-and-use tax return (for retail income) or a state Franchise Tax Board return (for other income), while § 5.04.175(B) requires employee-based licensees to submit a federal withholding tax return. The director of finance verifies these documents under § 5.04.175(C); for businesses operating both inside and outside the city, § 5.04.190(C) apportions taxable gross receipts using a two-factor property-and-payroll formula.

Violations & Fines

Failing to file the required renewal verification lets the director of finance assess the tax due by estimate under § 5.04.175(E)/§5.04.340. Unpaid license fees draw a 10% penalty every 30 days, capped at 100% of the original fee, under § 5.04.200.

Frequently Asked Questions

What proof does Chino require to renew a gross-receipts-based business license?
A copy of the BOE state, local and district sales-and-use tax return (retail) or the state Franchise Tax Board return (other income) for the prior year, per Chino Municipal Code § 5.04.175(A).
What if my Chino business license is based on number of employees instead?
You must present a copy of your federal withholding tax return for the previous year at renewal, per Chino Municipal Code § 5.04.175(B).
What happens if a Chino business doesn't file the required renewal verification?
The director of finance may assess the license tax due by estimate under § 5.04.175(E), citing the assessment procedure in § 5.04.340.

Sources & Official References

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