Taxes & Fees

The City of Long Beach requires all businesses, including home-based businesses and independent contractors, to pay a business license tax and any applicable fees before beginning operations. 

Taxes and fees for the first year of operation will be charged prior to receiving your business license. A bill will be mailed to the mailing address as indicated on your application. Once you receive a license, you will receive a bill every year at the expiration date of your license for the next year's taxes and fees. 

Please note: Even if you do not receive a bill, it is your responsibility to submit the annual renewal fees. If renewal fees are not received on time, or if not paid, you will not receive a license and/or it may be subject to penalties. 

Business License Tax Rates

The business license tax rate you will be charged depends on the classification of your business. Please refer to the Business License Rates below for more information. 

Development Services Fees

Businesses located within Long Beach will need their application reviewed by Planning. If the business is doing any tenant improvements which require building permits, the application may also need to be reviewed by Building and/or Fire. These departments charge their own fees to review the business license application. More information can be found on the Development Services page. 

Health Fees

For businesses that will be working with food or hazardous materials, the Health & Human Services Department may need to review the application. The Health & Human Services Department charge separate fees for health permits and inspections. More information can be found on the Health & Human Services website. 

Business Improvement District Fees

Businesses located in Business Improvement Districts will have to pay additional fees to the Business Improvement Association. These fees go toward the maintenance and advertising of the commercial business area. Business License is responsible for collecting and remitting the fees to the BIDs and the Economic Development Department is responsibe for the management of the BIDs. More information can be found on the Business Improvement District page.

 

How to Pay

 


Penalties

A bill for your taxes and fees will be mailed out 15 days prior to the license expiration date. The business has 30 days after the due date to pay to avoid any penalties. 

A 25% penalty will be assessed on the unpaid amount if not paid within 30 days of the due date. A 10% penalty will be charged on any unpaid balance on the 1st of every month thereafter.