Petaluma, CA Local Taxes & Fees: Business Tax Classification (2026)
Key Facts
- Governing section
- PMC § 6.01.120
- Number of classifications
- 17 (A through Q)
- Payment due date
- March 1, delinquent March 31
- Late penalty
- 25% plus 25%/month, capped at 100% or $1,000
- Criminal penalty
- Misdemeanor for chapter violations
Summary
Every business operating in Petaluma must be sorted into one of seventeen business tax classifications set out in Petaluma Municipal Code Section 6.01.120, from contractors and manufacturing to production/film making and rental of residential or nonresidential property. The classification you land in determines whether your annual business tax is figured on gross receipts, cost of operations, or a flat fee tied to a fixed period, activity, or vehicle count.
6.01.120 Business classifications. Each business in the city shall be classified into one of the following business classifications: ... ... E. Production/Film Making. Any person, grouped, association, partnership, firm or corporation involved in the shooting of films, commercials, television series or related visual programs utilizing city streets, facilities or other locations as a backdrop for the audio and/or visual program. ... ... I. Rental of Nonresidential Property. Any person engaged in the business of renting or letting a building or structure to a tenant for purposes of conducting business (i.e., commercial retail space, office buildings, warehouses, industrial uses and other nonresidential uses). ... ... J. Rental of Residential Property. Any person engaged in the business of renting or letting five or more attached residential units for purposes of dwelling, sleeping or lodging (i.e., apartments, boarding houses and other residential property rentals). This classification does not include hotels, motels, bed and breakfast, or campgrounds which are classified under services.
Official source re-checked September 8, 2026: no newer edition of the code had been published (publisher’s edition: current through Ordinance 2931 NCS, passed July 6, 2026).
Full Breakdown
120 lists seventeen classifications lettered A through Q. Filmmakers and production companies using city streets or facilities as a backdrop fall under classification E, Production/Film Making, taxed on a fixed-activity basis rather than gross receipts. Landlords are split into two separate classifications: Rental of Nonresidential Property (I) covers commercial retail space, office buildings, warehouses and industrial uses, while Rental of Residential Property (J) covers renting five or more attached residential units such as apartments or boarding houses, and specifically excludes hotels, motels, bed and breakfasts, and campgrounds, which fall under the Services classification instead.
130 ties the tax rate measure to the classification: administrative headquarters and manufacturers pay on the greater of cost of operations or gross receipts, while transient sales, special events, seasonal sales, transportation of persons and goods, and production/film making pay on a fixed period, activity, or vehicle basis rather than gross receipts. 220 naming the classification the certificate covers. 180. 140 to reflect only the business activity conducted within city limits.
Violations & Fines
Failure to pay by March 31 triggers an automatic twenty-five percent penalty on the estimated tax under Section 6.01.260, plus an additional twenty-five percent penalty for every month or fraction of a month it remains unpaid, plus interest at one and one-half percent per month starting sixty days after delinquency. Total penalties are capped at one hundred percent of the tax due or one thousand dollars, whichever is less. Any violation of the business tax chapter is a misdemeanor under Section 6.01.280, and unpaid amounts become a collectible debt to the city under Section 6.01.270.
Frequently Asked Questions
How does Petaluma classify a film production company for business tax purposes?
Is a landlord renting out a house taxed the same as a commercial landlord in Petaluma?
What happens if I pay my Petaluma business tax late?
Sources & Official References
Other rules in Petaluma
California rules heatmap·Compare Petaluma to another location·View the California local taxes & fees overview
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How other cities in Sonoma County handle business tax classification.