Business License Tax

The business license is a tax certificate to show that a business has paid the business license tax and fees. Its sole purpose is to raise revenue for municipal purposes. It is non-regulatory.

Any person who derives an income or is located within the city limits of Tracy is required to pay the business license tax prior to commencing business.

The business license tax certificate does not entitle the holder to conduct business before complying with all requirements of the Tracy Municipal code and other applicable laws, nor to conduct business in a zone where such business violates law.

There is an annual minimum flat rate fee of $50 for the first $500,000 of gross receipts.  Businesses reporting gross receipts over $500,000 will be taxed based on a rate of 0.05%-0.15% with a limit of $65,000. For a tax and fee schedule you may contact the Finance Department at (209) 826-1827 to determine which classification your business falls under. The tax may be pro-rated based on your start date.

It depends on the type of business you are conducting. It has to fall within the guideline regulations of the home occupation permit. You may contact the Finance Department or the Dev. & Engineering Zoning dept. at 831-6400 to inquire.

We issues business license tax certificates quarterly and annually. There are some exceptions depending on when and where and the type of business you will be conducting.

The City of Tracy is on a fiscal year July 1st to June 30th. Most certificates expire on June 30th. A few classifications are on a quarterly basis, thus expiring Sept. 30th, Dec. 31st, March 31st or June 30th.