Local municipal tax filing deadlines are quickly approaching and are commonly overlooked. This alert discusses the business tax filing deadlines and requirements for the Los Angeles Business Tax and the San Francisco Gross Receipts Tax.

The Los Angeles Business Tax — a gross receipts tax the rate of which varies among different business classifications — is due February 29, 2016. Taxpayers may file their 2016 Business Tax Renewal form either through the mail or electronically. Both the written tax form and electronic filing system are accessible on the city's finance office's webpage, which includes links to the forms and instructions. To be considered timely, a taxpayer must postmark or electronically file its form no later than 11:59 pm PST on February 29. 2016. Interest and penalties will be assessed for later filed returns beginning March 1, 2016.

Taxpayers can request a maximum 45-day extension to file a return. The extension request, however, must be in writing and must be accompanied by at least 90% of the total tax due. Any such request must be received or postmarked by February 29, 2016. For additional information on the renewal of the Los Angeles Business Tax, please visit the Los Angeles City Office of Finance webpage (website).

The San Francisco Gross Receipts Tax is due on or before February 29, 2016. A 60-day extension can be filed if the taxpayer pays at least 90% of the tax due by the date of the extension request.

In addition to the Gross Receipts Tax, San Francisco also imposes a Business Registration Fee. Taxpayers must register or renew their business registration every year. The due date for registration or renewal is on the last day of May. The Business Registration Fee may be filed online on the San Francisco Treasurer's website.

Implications

During the upcoming federal and state tax return filing season, don't forget your obligations to file and pay local business taxes such as those imposed by the Cities of Los Angeles and San Francisco.

———————————————