Cupertino, CA Local Taxes & Fees: Business Tax Classification (2026)
Key Facts
- Base tax
- $75 per year
- Lowest rate tier
- $0.02/sq ft, 0-5,000 sq ft
- Highest tier rate
- $0.0025/sq ft above 150,000 sq ft
- Delinquency penalty
- 20%/month, capped at 100%
- Interest rate
- 1% per month on unpaid tax
- Refund claim window
- 6 months from overpayment
- Violation classification
- Infraction under Chapter 1.12
Summary
Cupertino taxes every business operating in the city under Municipal Code Chapter 5.04 unless a specific section sets its own rate. Businesses not separately classified pay a $75 base license tax plus a per-square-foot fee that steps down as floor area grows, from $0.02 per square foot up to 5,000 square feet to $0.0025 above 150,000 square feet, adjusted annually for inflation.
5.04.280 Imposition of Tax–Business Generally. Every person engaged in a business not specifically mentioned or classified in this chapter, within the City of Cupertino, shall pay a business license tax in accordance with the following schedule: A basic tax of seventy-five dollars per year; In addition, each such person shall pay a fee as follows: Square Feet Rate per Square Foot 0-5,000 .0200 5,001-25,000 .0175 25,001-75,000 .0150 75,001-100,000 .0125 100,001-150,000 .0100 150,001 and above .0025 This amount shall increase annually from 1992 based on the indexing formula in Section 5.04.460 of this code.
Full Breakdown
300, $150 plus $5 per machine). 0025 for any floor area above 150,000 square feet. 'Floor area' is defined as the total space occupied by the owner, lessee or tenant, less 15% to account for elevator shafts, stairwells, atria and equipment rooms. 460, so the dollar figures printed in the code rise annually without a new ordinance. 260). 230).
Violations & Fines
Operating without paying the tax makes the amount a debt to the City that the Collector can sue to collect, plus any penalties and costs (§ 5.04.240). Unpaid tax accrues 1% monthly interest and a 20% per month delinquency penalty capped at 100% of the annual tax; fraud found after notice and hearing adds a 90% penalty and can be assessed personally against a responsible officer or shareholder (§ 5.04.250). A chapter violation is also an infraction punishable under Chapter 1.12 (§ 5.04.500).
Frequently Asked Questions
Does every Cupertino business pay the same license tax rate?
How is floor area calculated for the per-square-foot fee?
What happens if I pay my Cupertino business tax late?
Can I get a refund if I overpaid my business tax?
Sources & Official References
Other rules in Cupertino
California rules heatmap·Compare Cupertino to another location·View the California local taxes & fees overview
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How other cities in Santa Clara County handle business tax classification.