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

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

Key Facts

Base tax, 1 employee
$75/year
Top bracket
$584,195 + $150/employee over 5,000
Tax due date
January 1 (Sec. 18.10)
License expires
December 31 each year
Late penalty
10% plus 10% more after 30 days
Fraud penalty
Additional 25%
Out-of-town businesses
Taxed 25-100% by days worked

Summary

Every business operating in Mountain View pays an annual business registration and license tax scaled to its average number of employees, from $75 for a single-employee operation up to $584,195 plus $150 per employee for firms above 5,000 workers. The tax administrator counts employees using the same figures reported to the state Employment Development Department.

a.From and after the date specified in paragraph c. of this section below, unless otherwise specifically provided for in this chapter, every business operator in the city shall pay an annual business registration and license tax based on the average number of employees of the business in the city, in the most recent four (4) quarters completed before the date the payment as set forth herein. The average number of employees of the business shall be the number of employees reported to the Employment Development Department. Number of Employees Authorized Maximum Business Registration and License Tax 1 $75 2—25 $75 + $5/employee for each employee over 1 26—50 $195 + $10/employee for each employee over 25 51—500 $445 + $75/employee for each employee over 50 employees 501—1,000 $34,195 + $100/employee for each employee over 500 employees 1,001—5,000 $84,195 + $125/employee for each employee over 1,000 5,001+ $584,195 + $150/employee for each employee over 5,000

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 34 Update 4).

Full Breakdown

City Code Sec. 16 sets Mountain View's business registration and license tax on a sliding scale tied to average employment over the most recent four completed quarters. A one-employee business owes $75. Employers with 2 to 25 workers pay $75 plus $5 per employee above one; 26 to 50 pay $195 plus $10 per employee above 25; 51 to 500 pay $445 plus $75 per employee above 50; 501 to 1,000 pay $34,195 plus $100 per employee above 500; 1,001 to 5,000 pay $84,195 plus $125 per employee above 1,000; and businesses above 5,000 employees pay $584,195 plus $150 for every employee over that mark.

The same tax reaches out-of-town operators whose employees work inside the city six or more days a year, including contractors on public works, consultant or franchise agreements: those businesses pay 25 percent of the tax for 6 to 64 days worked in the city, 50 percent for 65 to 129 days, and the full tax for 130 or more days (Sec. 16(b)). Licenses run on a calendar year: they expire December 31 (Sec. 9) and the tax is due January 1 (Sec. 10), paid to the tax administrator's office.

Renewal requires filing before the current license expires and paying the tax in full; an unpaid or unfiled renewal leaves the license suspended until both are done (Sec. 11). Every licensee must keep the license posted in a public, readily accessible spot and show it to any police officer or city inspector on request (Sec. 13).

Violations & Fines

Late payment draws a 10 percent penalty immediately, plus a second 10 percent penalty if the tax is still unpaid 30 days after it became delinquent, and interest of 1 percent per month on the unpaid tax (Sec. 18.12). Nonpayment the tax administrator finds fraudulent draws an added 25 percent penalty. Unpaid tax is a debt to the city, collectible in court along with penalties, interest, costs and the city's attorneys' fees (Sec. 18.19).

Frequently Asked Questions

How much does a Mountain View business license cost?
The tax is not a flat fee: it scales with average employment over the last four completed quarters. A one-person business pays $75 a year under City Code Sec. 18.16(a). Larger employers pay that base plus a per-employee add-on across six brackets, topping out at $584,195 plus $150 for every employee over 5,000, so headcount reported to the EDD drives the bill.
Do out-of-town contractors owe Mountain View's business tax?
Yes, if their employees come into the city to work six or more days in a calendar year, including on public works contracts, consulting agreements or franchise agreements. Sec. 18.16(b) apportions the tax by days worked: 25 percent of the full tax for 6 to 64 days, 50 percent for 65 to 129 days, and the entire tax once work reaches 130 days or more.
What happens if I pay my Mountain View business license tax late?
Sec. 18.12 adds a 10 percent penalty the moment the tax becomes delinquent, another 10 percent if it is still unpaid 30 days later, and 1 percent monthly interest on the balance. The tax administrator can add a 25 percent fraud penalty on top of those if nonpayment is found to be fraudulent, and the city can sue to collect the debt plus its attorneys' fees.
When does a Mountain View business license need to be renewed?
Licenses run on the calendar year and expire December 31 under Sec. 18.9. Renewal requires filing an application and paying the annual tax before that expiration date; miss either step and Sec. 18.11 deems the license suspended until the paperwork is filed and the tax and any penalties are paid in full.

Sources & Official References

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