(a)
The gross receipts tax rates applicable to the business activities of private education and health services, administrative and support services, and all business activities not otherwise exempt and not elsewhere subjected to a gross receipts tax rate or an administrative office tax by this Article 12-A-1 are:
(1) For tax years beginning on or after January 1, 2018 and ending on or before December 31, 2020:
0.525% (e.g., $5.25 per $1,000) for gross receipts between $0 and $1,000,000
0.55% (e.g., $5.50 per $1,000) for gross receipts between $1,000,001 and $2,500,000
0.6% (e.g., $6 per $1,000) for gross receipts between $2,500,001 and $25,000,000
0.65% (e.g., $6.50 per $1,000) for gross receipts over $25,000,000
(2) For the business activities of private education and health services and administrative and support services:
(A) For tax year 2021:
0.735% (e.g., $7.35 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.77% (e.g., $7.70 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.84% (e.g., $8.40 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
0.91% (e.g., $9.10 per $1,000) for taxable gross receipts over $25,000,000
(B) For tax year 2022 and, if the Controller does not certify under Section 953.10 that the 90% gross receipts threshold has been met for tax year 2023, for tax year 2023:
0.761% (e.g., $7.61 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.798% (e.g., $7.98 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.87% (e.g., $8.70 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
0.943% (e.g., $9.43 per $1,000) for taxable gross receipts over $25,000,000
0.788% (e.g., $7.88 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.825% (e.g., $8.25 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.9% (e.g., $9 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
0.975% (e.g., $9.75 per $1,000) for taxable gross receipts over $25,000,000
(D) For tax year 2024 if the Controller certifies under Section 953.10 that the 95% gross receipts threshold has been met for tax year 2024, and for tax years beginning on or after January 1, 2025:
0.814% (e.g., $8.14 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.853% (e.g., $8.53 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.93% (e.g., $9.30 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
1.008% (e.g., $10.08 per $1,000) for taxable gross receipts over $25,000,000
(3) For all business activities not otherwise exempt and not elsewhere subjected to a gross receipts tax rate or an administrative office tax by this Article 12-A-1:
(A) For tax year 2021:
0.735% (e.g., $7.35 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.77% (e.g., $7.70 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.84% (e.g., $8.40 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
0.91% (e.g., $9.10 per $1,000) for taxable gross receipts over $25,000,000
(B) For tax year 2022 and, if the Controller does not certify under Section 953.10 that the 90% gross receipts threshold has been met for tax year 2023, for tax year 2023:
0.788% (e.g., $7.88 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.825% (e.g., $8.25 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.9% (e.g., $9 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
0.975% (e.g., $9.75 per $1,000) for taxable gross receipts over $25,000,000
0.814% (e.g., $8.14 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.853% (e.g., $8.53 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.93% (e.g., $9.30 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
1.008% (e.g., $10.08 per $1,000) for taxable gross receipts over $25,000,000
(D) For tax year 2024 if the Controller certifies under Section 953.10 that the 95% gross receipts threshold has been met for tax year 2024, and for tax years beginning on or after January 1, 2025:
0.84% (e.g., $8.40 per $1,000) for taxable gross receipts between $0 and $1,000,000
0.88% (e.g., $8.80 per $1,000) for taxable gross receipts between $1,000,000.01 and $2,500,000
0.96% (e.g., $9.60 per $1,000) for taxable gross receipts between $2,500,000.01 and $25,000,000
1.04% (e.g., $10.40 per $1,000) for taxable gross receipts over $25,000,000
(b) Private education and health services include the activity by persons other than governmental agencies of providing instruction and training in any subject, or of providing health care or social assistance for individuals; it includes business activity described in NAICS codes 61 and 62.
(c) Administrative and support services includes the activity of performing routine support activities for the day-to-day business activities of others; it includes business activity described in NAICS code 56.
(d) The amount of gross receipts from all business activities described in this Section subject to the gross receipts tax shall be determined under Section 956.2.
(e) If the final judicial decision in San Francisco Superior Court Case No. CGC-19-573230 (City and County of San Francisco v. All persons interested in the matter of Proposition C on the November 6, 2018 San Francisco ballot, authorizing an increase in specified business taxes to fund specified homeless services in San Francisco, and all matters and proceedings related thereto) has the effect of invalidating the Homelessness Gross Receipts Tax in Article 28 of the Business and Tax Regulations Code, then for tax years beginning on or after January 1 of the tax year following the date on which such court decision becomes final, the phrase “over $25,000,000” in Sections 953.4(a)(2) and (3), as applicable, shall be replaced with the phrase “between $25,000,000.01 and $50,000,000” and there shall be added to each of the rate tiers in each of those Sections an additional rate tier for taxable gross receipts over $50,000,000 with a rate of 0.69% plus the applicable rate for taxable gross receipts between $25,000,000.01 and $50,000,000. These additional rate tiers shall continue in effect for 20 tax years, after which the rate tiers shall return to what the rate tiers would have been absent the increase in this Section 953.4(e).
(Added by Proposition E, App. 11/6/2012, Oper. 1/1/2014; amended by Proposition F, 11/3/2020, Eff. 12/29/2020, Oper. 1/1/2021)