San Francisco, CA – The San Francisco Board of Supervisors voted 11-0 to place the consensus business tax reform measure that will move the City away from payroll tax to a system that is based on gross receipts. The measure include progressive business license fee that will bring in $28.5 million new revenue and grow with the CPI each year.
“This November, we finally have the opportunity to fix our archaic tax system--which penalizes job growth and exempts too many large corporations from paying their fair share,” says Supervisor John Avalos. “This new measure will protect small businesses, encourage job growth, and bring in the new revenue needed to support our recovering economy” he added.
The vote followed a unity rally at the steps of City Hall that brought together community, labor and business leaders. Mayor Lee and Supervisor Avalos and other co-sponsors of the measure spoke about the great effort made by all stakeholders to come to a compromise measure. The SF Chamber of Commerce’ Steve Falk and Wade Rose, the Golden Gate Restaurant Association’s Rob Black, and Scott Hauge of the Small Business Commission joined with Conny Ford of the SF Labor Council and other community leaders to speak in support of the measure.
“I applaud the Mayor and John Avalos for moving this forward. The majority of small businesses will see their costs come down and this will help create jobs” said Scott Hauge of the Small Business Commission.
“With the additional revenue, San Francisco can develop its residents for jobs in the 21st century with academies in construction, healthcare, technology, and hospitality” said Christina Canaveral of Coleman Advocates for Children and Youth. “We can build more affordable housing so that working families that are struggling in this city can afford to live in the place they call home” she added.
Yesterday, Supervisor John Avalos, along with his two kids, Mayor Lee and Supervisor Chiu and Cohen visited Veritable Vegetables, an organic vegetable distribution business that will save 8% in taxes from the move from payroll to gross receipts. The business is a model company who has been in the City since the 70’s and is committed to staying in the City, hiring local residents, and contributing to the local economy and local food movement.