Press Release: Declaration of Ballot Measure

On Tuesday, July 23, 2024, the Paramount City Council adopted a resolution to place the Paramount City Services, Business License Tax Reform Measure on the November 5, 2024 ballot. The Measure, if adopted by voters, will not increase taxes on residents. Rather, the updated business license tax structure aims to provide a balance of taxes between large and small businesses.

The revenues collected from business license taxes could reach $350,000 and help fund the maintenance of general governmental services such as public safety, gang prevention programs, 911 emergency response, maintaining public spaces, supporting after-school programming and street repairs. The funds will support the city’s General Fund revenues.

If the Paramount City Services, Business License Tax Reform Measure passes, the following categories would pay their business license tax based on a percentage of gross receipts as specified below:

• Retail-related business and General Business
  • Taxed at the rate of $.30 per $1,000 gross receipts
• Professional Services
  • Taxed rate of $.70 per $1,000 gross receipts
• Rental
  • Taxed at the rate of $.70 per per $1,000 gross receipts
• Services
  • Taxed at the rate of $.40 per per $1,000 gross receipts
• Contractors
  • Taxed at the rate of $.40 per per $1,000 gross receipts
• Long-Term Medical Care Facilities
  • Taxed at the rate of $.35 per per $1,000 gross receipts

“Our businesses are the backbone of the community and Paramount takes pride in our strong partnerships with our local businesses,” said Mayor Annette C. Delgadillo. “We welcome small businesses because everyone deserves a chance to build the American dream.”

“We recognize that this update can have both positive and negative effects on businesses,” said City Manager John Moreno. “However, the benefits will be substantial. This measure will not only give small businesses a better chance to thrive in Paramount, but it will also allow us to maintain services without imposing an additional tax on our residents.”

To read frequently asked questions and learn more about the Paramount City Services, Business License Tax Update Measure, visit https://www.paramountcity.gov/press-release-declaration-of-ballot-measure/.