Pacifica, CA Local Taxes & Fees: Business Tax Classification (2026)
Key Facts
- Classifications
- Seven tiers, A through G, by net profit margin
- Minimum tax (Classes A-E)
- $40 per year
- Minimum tax (contractors, Class F)
- $50, capped at $1,000
- Minimum tax (professionals, Class G)
- $100 per year
- Reclassification appeal window
- 15 days to request Council hearing
- Enforcing office
- License Collector, City of Pacifica
Summary
The City of Pacifica sorts every business with a fixed location into seven license-tax classifications, A through G, under Municipal Code §§ 3-1.202-3-1.208, based on the business's reported net profit margin. Manufacturers, wholesalers and retailers fall into A through E by rising profit tiers, contractors form Classification F, and licensed professionals like doctors and attorneys form Classification G, each paying a different minimum tax and per-$1,000 rate on gross receipts under § 3-1.213.
Every person who engages in business at a fixed place of business within the City shall pay a license tax based upon gross receipts at the rates and in the classifications set forth in this article. ... Classification "A" shall comprise the following businesses: ... (d)Any other business not set forth in this section operating on a net profit on net sales of one and ninety-nine one-hundredths (1.99%) percent, or less, as reported by Robert Morris Associates Annual Statement Studies or other acceptable comprehensive study. ... (a)Classification "A", businesses reporting less than Twenty-five Thousand and no/100ths ($25,000.00) Dollars of annual gross receipts shall pay a minimum tax of Forty and no/100ths ($40.00) Dollars; businesses reporting more than Twenty-five Thousand and no/100ths ($25,000.00) Dollars of annual gross receipts shall pay the minimum of Forty and no/100ths ($40.00) Dollars plus thirty (30¢) Cents per One Thousand and no/100ths ($1,000.00) Dollars of annual gross receipts over Twenty-five Thousand and no/100ths ($25,000.00) Dollars;
Full Breakdown
The City of Pacifica taxes every business with a fixed place of business on gross receipts, sorted into seven classifications, A through G, under Chapter 1, Article 2 of Title 3 of the Municipal Code. 206. 208. 213 sets the actual rates: businesses under $25,000 in annual gross receipts pay a flat minimum (from $40 for Classifications A-E up to $100 for Classification G), and businesses above that threshold pay the minimum plus a per-classification cents-per-$1,000 rate on the excess, from 30 cents for Classification A to 77 cents for Classification G.
Contractors in Classification F face a $1,000 cap on the tax. 211, whose finding is final. Reclassification isn't retroactive: it applies starting with the next tax calculation. 137.
Violations & Fines
Violating any provision of Pacifica's business tax chapter, or knowingly misrepresenting a material fact to get a license, is punishable under the general penalty scheme in Chapter 2 of Title 1 of the Code per § 3-1.138. Unpaid tax becomes a debt the City can sue to collect under § 3-1.134, and a taxpayer on a payment plan accrues 8 percent simple annual interest on the unpaid balance under § 3-1.132; a license can also be revoked for missed installments.
Frequently Asked Questions
How does the City of Pacifica classify businesses for the license tax?
What is the minimum business license tax a Pacifica business pays?
Can a Pacifica business dispute its assigned classification?
Sources & Official References
Other rules in Pacifica
California rules heatmap·Compare Pacifica to another location·View the California local taxes & fees overview
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How other cities in San Mateo County handle business tax classification.