CHAPTER 1. Licensing by Cities [16000. - 16005.]

Cal. Business and Professions Code - BPC 1.
in effect

Cal. Business and Professions Code - BPC § 16000. Section 16000.

(a) The legislative body of an incorporated city may, in the exercise of its police power, and for the purpose of regulation, as herein provided, and not otherwise, license any kind of business not prohibited by law transacted and carried on within the limits of its jurisdiction, including all shows, exhibitions and lawful games, and may fix the rates of the license fee and provide for its collection by suit or otherwise. Any legislative body, including the legislative body of a charter city, that fixes the rate of license fees pursuant to this subdivision upon a business operating both within and outside the legislative body’s taxing jurisdiction, shall levy the license fee so that the measure of the fee fairly reflects that proportion of the activity actually carried on within the taxing jurisdiction. (b) No license fee levied pursuant to subdivision (a) that is measured by the licensee’s income or gross receipts, whether levied by a charter or general law city, shall apply to any nonprofit organization that is exempted from taxes by Chapter 4 (commencing with Section 23701) of Part 11 of Division 2 of the Revenue and Taxation Code or Subchapter F (commencing with Section 501) of Chapter 1 of Subtitle A of the Internal Revenue Code of 1986, or the successor of either, or to any minister, clergyman, Christian Science practitioner, rabbi, or priest of any religious organization that has been granted an exemption from federal income tax by the United States Commissioner of Internal Revenue as an organization described in Section 501(c)(3) of the Internal Revenue Code or a successor to that section. (c) Before a city, including a charter city, issues a business license to a person to conduct business as a contractor, as defined in Section 7026, the city shall verify that the person is licensed by the Contractors’ State License Board.

Cal. Business and Professions Code - BPC § 16000.1. Section 16000.1.

(a) (1) A city that licenses businesses carried on within its jurisdiction shall accept a California driver’s license or identification number, an individual taxpayer identification number, or a municipal identification number in lieu of a social security number if the city otherwise requires a social security number for the issuance of a business license. (2) A city that licenses a business carried on within its jurisdiction shall require the applicant to provide an address where the individual consents to receive service of process. An acceptable address for this purpose shall include a post office box or private mailbox that complies with paragraph (2) of subdivision (b) of Section 17538.5. This address shall be available for public inspection. (3) Personal information collected for purposes of issuing a business license by a city shall be confidential, shall not be available to the public for inspection, and shall not be disclosed except as required to administer the licensure program or comply with a judicial warrant, subpoena, or court order. (b) For purposes of this section, the following definitions shall apply: (1) “City” includes a charter city and a city and county. (2) “Personal information” means all of the following: (A) An applicant’s residential address if the applicant provides a different address pursuant to paragraph (2) of subdivision (a). (B) A California driver’s license or identification number, an individual taxpayer identification number, a municipal identification number, and a social security number. (C) Income and tax information.

Cal. Business and Professions Code - BPC § 16000.2. Section 16000.2.

A city, county, or city and county that issues business licenses, equivalent instruments, or permits within its jurisdiction shall provide written notice of the requirements of Section 118600 of the Health and Safety Code to each applicant for a new or renewed business license, equivalent instrument, or permit.

Cal. Business and Professions Code - BPC § 16000.3. Section 16000.3.

(a) When applying to a city for an initial business license, equivalent instrument, or permit, or renewal thereof, a person who conducts a business operation that is a regulated industry, as defined in Section 13383.5 of the Water Code, shall demonstrate enrollment with the National Pollutant Discharge Elimination System (NPDES) permit program by providing all of the following information, under penalty of perjury, on the initial business license, equivalent instrument, or permit, or renewal thereof, application: (1) The name and location of facilities operated by the person who conducts that business. (2) All primary Standard Industrial Classification Codes, as defined in Section 25244.14 of the Health and Safety Code, for the business. (3) Any of the following for each facility operated by the person of that business: (A) The stormwater permit number, known as the Waste Discharger Identification number (WDID), issued for the facility by the State Water Resources Control Board. (B) The WDID application number issued for the facility by the State Water Resources Control Board. (C) The “notice of nonapplicability” (NONA) identification number issued for the facility by the State Water Resources Control Board. (D) The “no exposure certification” (NEC) identification number issued for the facility by the State Water Resources Control Board. (b) Prior to the issuance or renewal of the business license, equivalent instrument, or permit, the city shall determine whether any of the primary Standard Industrial Classification Codes are applicable to a General Permit for Storm Water Discharges Associated with Industrial Activities Excluding Construction Activities, as referenced in Section 13383.5 of the Water Code, and if applicable, the city shall confirm that the WDID, WDID application number, NONA, or NEC corresponds to the business requesting the initial business license or business license renewal. To determine whether any of the primary Standard Industrial Classification Codes are applicable to a General Permit for Storm Water Discharges Associated with Industrial Activities Excluding Construction Activities, as referenced in Section 13383.5 of the Water Code, the city may use information provided by the State Water Resources Control Board, including information posted pursuant to Section 13383.10 of the Water Code for these purposes. To confirm the WDID, WDID application number, NONA, or NEC, the city shall only need to keep record of the applicable documentation. (c) The city shall transfer compliance information received in subdivision (a) to the State Water Resources Control Board as requested by the board. The city shall make the identification number provided in the applicable documentation available to the public upon request in a manner consistent with the procedures of the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). (d) For business license, equivalent instrument, or permit renewals, a city may develop a provisional license procedure that provides businesses three months to comply with the requirements of this section. (e) “City” includes a charter city and a charter city and county. (f) This section shall apply to applications for initial business licenses, equivalent instruments, or permits, and renewals thereof, submitted on and after January 1, 2020. (g) This section shall not apply to a city that does not issue or renew, or have an application process for issuing or renewing, business licenses, equivalent instruments, or permits that include a business license. (h) This section shall not be construed to impose any additional liability on a city under the National Pollutant Discharge Elimination System permit program for nonenrollment under a General Permit for Storm Water Discharges Associated with Industrial Activities Excluding Construction Activities by a person who conducts a business operation that is a regulated industry, as defined in Section 13383.5 of the Water Code. (i) For purposes of this section, a business license, equivalent instrument, or permit includes a business license, equivalent instrument, or permit issued solely for the purpose of raising revenue.

Cal. Business and Professions Code - BPC § 16000.5. Section 16000.5.

Notwithstanding Section 16000, no incorporated city shall require a regulatory license or impose a regulatory license fee with respect to cafe musicians. “Cafe musician,” for the purposes of this section, means any person playing a musical instrument in any place or establishment where food or alcoholic beverages are sold, offered for sale or given away, who is an employee, or independent contractor, of such place or establishment. “Cafe musician” does not include an owner, manager, or operator of such place or establishment.

Cal. Business and Professions Code - BPC § 16000.7. Section 16000.7.

(a) The Legislature hereby finds and declares that the prohibition on the imposition of regulatory licenses and license fees on federally chartered veterans’ organizations that solicit donations as specified in this section is in need of uniform statewide regulation and constitutes a matter of statewide concern that shall be governed solely by this section. (b) Notwithstanding Section 37101 of the Government Code, Section 16000 of this code, or any other provision of law, no city, including a charter city, shall require a regulatory license or impose a regulatory license fee with respect to the solicitation of donations for the support of veterans by federally chartered veterans’ organizations specified in Title 36 of the United States Code. (c) This section shall not be construed to prohibit licensing and regulation of business-related activities, such as those involving the sale or exchange of goods or services.

Cal. Business and Professions Code - BPC § 16001. Section 16001.

Every honorably discharged or honorably relieved soldier, sailor, or marine of the United States or Confederate States who served in the Civil War, any Indian war, the Spanish-American War, any Philippine insurrection, the Chinese Relief Expedition, the World War of 1914 and years following, or World War II, who is physically unable to obtain a livelihood by manual labor, and who is a voter of this state, may distribute circulars, and hawk, peddle, and vend any goods, wares or merchandise owned by him, except spirituous, malt, vinous, or other intoxicating liquor, without payment of any license tax or fee whatsoever, whether municipal, county or state, and the legislative body shall issue to such soldier, sailor or marine, without cost, a license therefor.

Cal. Business and Professions Code - BPC § 16001.5. Section 16001.5.

Every person who was honorably discharged or honorably relieved from the military, naval or air service of the United States who served on or after June 27, 1950, and prior to February 1, 1955, or on or after August 5, 1964, and prior to a future date to be established by the Legislature, who is physically unable to obtain a livelihood by manual labor, and who is a resident of this state, may distribute circulars, and hawk, peddle, and vend any goods, wares or merchandise owned by him, except spirituous, malt, or vinous, or other intoxicating liquor, without payment of any license tax or fee whatsoever, whether municipal, county or state, and the legislative body shall issue to such person, without cost, a license therefor.

Cal. Business and Professions Code - BPC § 16001.7. Section 16001.7.

Every person who is honorably discharged or honorably relieved from the military, naval, or air service of the United States and who is a resident of this state, may distribute circulars, and hawk, peddle and vend any goods, wares, or merchandise owned by him or her, except spiritous, malt, or vinous, or other intoxicating liquor, without payment of any business license fee, whether municipal, county, or state, and the legislative body shall issue to that person, without cost, a license therefor.

Cal. Business and Professions Code - BPC § 16001.8. Section 16001.8.

(a) A veteran who is honorably discharged or honorably relieved from the Armed Forces of the United States and is a resident of this state shall not be required to pay any local business license fees for a business selling or providing services if the veteran is the sole proprietor of the business. (b) The Legislature finds and declares that the prohibition on the imposition of local business license fees on veterans as specified in this section is a matter of statewide concern and is not a municipal affair, as that term is used in Section 5 of Article XI of the California Constitution. Therefore, this section applies to all cities, including charter cities.

Cal. Business and Professions Code - BPC § 16002. Section 16002.

No license fee may be collected from, nor any penalty for the nonpayment thereof enforced against, any commercial traveler whose business is limited to goods, wares, and merchandise sold or dealt in at wholesale in this State.

Cal. Business and Professions Code - BPC § 16002.1. Section 16002.1.

No license fee for the privilege of auctioning real estate may be collected from any real estate auctioneer, whose business is limited exclusively to auctioning real estate, except by the city in which he has a permanent place of business.

Cal. Business and Professions Code - BPC § 16002.2. Section 16002.2.

No city shall impose a license fee or tax, other than a fee or tax based on gross receipts, for the privilege of renting, leasing, or operating laundry equipment, whether or not coin operated, upon any individual or firm whose business is limited exclusively to renting, leasing, or operating such equipment, which license fee taxes or has the effect of taxing any gross receipts, other than gross receipts actually derived from the conduct of business within such city. For purposes of this section, the tax shall be based on the entire gross receipts of the taxpayer derived within the city, and no minimum tax shall be imposed upon any business location, nor shall such tax be measured by the number of business locations or machines of the taxpayer within the city. This section shall not apply to coin-operated laundry equipment owned and operated by a retail establishment providing coin-operated laundry equipment for general public use.

Cal. Business and Professions Code - BPC § 16002.5. Section 16002.5.

No city shall impose a license fee or tax, other than a fee or tax based on gross receipts, for the privilege of renting, leasing, or operating coin-operated vending machines, upon any individual or firm whose business is limited exclusively to renting, leasing, or operating such machines, which license fee or tax has the effect of taxing any gross receipts other than gross receipts which are directly attributable to the business activities conducted within the city. For the purposes of this section, the license fee or tax shall be based on the entire gross receipts which are directly attributable to the business activities conducted within the city, and no minimum license fee or tax shall be imposed upon any business location, nor shall such license fee or tax be measured by the number of business locations or machines of the taxpayer within the city. Any license to conduct a business issued by a city in connection with which the city imposes a license fee or tax upon coin-operated vending machines within the city, may be revoked for failure of the licensee to report to the city the gross receipts from such machines. The city may demand an audit of any such licensee and require him to submit a copy of the state sales and use tax returns filed relative to such machines, and a copy of any other tax statement filed with any government entity by him or by any other individual or firm owning, renting, leasing, or operating such machines disclosing the gross receipts received from owning, renting, leasing, or operating such machines. The provisions of this section shall not apply to a chartered city or to a chartered city and county.

Cal. Business and Professions Code - BPC § 16005. Section 16005.

(a) A city shall not include in the definition of gross receipts, for purposes of any local tax or fee imposed by the city on a cannabis retailer licensed under Division 10 (commencing with Section 26000), the amount of any cannabis excise tax imposed under Section 34011.2 of, or any sales and use taxes imposed under Part 1 (commencing with Section 6001) of, Part 1.5 (commencing with Section 7200) of, or Part 1.6 (commencing with Section 7251) of, Division 2 of the Revenue and Taxation Code, or Section 35 of Article XIII of the California Constitution. (b) For purposes of this section, “city” includes a charter city and a city and county.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026

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