Business Registry and Tax

Step 1.Create business registry account, complete application, and submit payment

When a business begins operating in the City for the first time, registration with the City must be completed within 30 days of starting your business. 

Please note, that the online account for the business registry is separate from the online account for the business tax. Once registered, log in using the account number and PIN that was sent to you via email or mail.

Business Registry Portal

Exempt Businesses

1. Your business is exempt from the business registry if you are either:
2. A business or non-profit organization with less than 1 Full-Time-Equivalent employee, including owner/principal.
3. A religious organization with no ancillary business on-site. A home-based or transitory (or virtual) business, you are exempt from obtaining a Business Registry Certificate. 
4. A general contractor or sub-contractor, who performs work from time to time in Palo Alto and does not have a fixed place of business (e.g., office) in the City.

Exempt businesses must file an application form on an annual basis; however, no fee will be applied.  To claim an exemption, file an application form and select your exemption status.

Required Business Registry Information

• Business Name, Description, Structure, State of Incorporation, and Inception Date
• Owner/Principal Name, Address, Telephone Number, Email Address
• Business Address(es) – primary location and any other locations in Palo Alto Number of employees (full-time, part-time, contract, and volunteers – including Owner/Principal) at each location during peak times on a normal business day)
• Square footage your business occupies in each location
  • This is the gross area in square feet your business occupies. You can find this information in your lease agreement or building floor plans. For assistance, contact your property management team
• Federal EIN and/or Sellers permit number

Step 2.Annual renewal

Renewals begin March 1 annually. If your business is already registered, a renewal notice will be emailed or mailed that includes your account number and PIN. You can electronically submit the application and make payment online or mail to the City’s partner, HdL. 

Business Registry Portal

Step 3.Business closure, account changes, or request account updates

Updates to your business, including single location or multiple location closure, contact information, or addresses can be done in the Business Registry Portal. 

Step 1.Apply to register in the City’s Business Registry Certificate Program

When a business begins operating in the City for the first time and completed the business registry process, HdL Companies will create an online account for the business tax and send log in credentials to the contact information on file. 

Please note, that the online account for the business registry is separate from the online account for the business tax. Once registered, log in using the account number and PIN that was sent to you via email or mail.

Business Tax Portal

Step 2.Calculating and Paying the tax

Tax is due and shall be paid quarterly. The tax for each quarter is due the first day following the end of the quarter and is delinquent 30 days later. Tax filing and required payments can be done through the City’s online portal or via mail. 

Business Tax Portal

Tax Rate and Timing

The Business Tax is imposed on each square foot occupied by the business, with exemptions for certain business types and tax credits for remitted hotel tax, certain sales tax paid by a business, and vacant space. Please refer to the below chart for details of rate, timing, exemptions, and credits:

Tax Offsets

Eligible businesses may be able to offset some of all of their business tax obligation. There are three types of tax offsets. Please schedule a virtual consultation with the City to confirm eligibility and determine appropriate documentation to submit. Staff will provide next steps for your filing.

Schedule a Virtual Consultation