Business license tax compliance
If you operate a business in Piedmont, you need a business license. This includes:
- Renting a home or room
- Home-based business
- Freelance, 1099, or side hustle
- Business of any size
If your only source of compensation is reported on a W-2, you are not subject to the business tax. For example, you do not need a business license if you work from your home in Piedmont for a company that issues you a W-2.
Compliance letter
If you received a business tax compliance letter, this means we believe you are running a business in Piedmont without a business license.
You need to get a business license and pay:
If you believe you received this letter in error, contact [email protected]. Include the account number in the letter.
Penalties
If you’re found operating without a license, here’s what you can expect:
Back taxes
You’ll owe all unpaid business taxes from the first date you started operating in Piedmont. The amount is calculated based on your gross receipts.
Fine
The fine is based on the number of days you have operated without a license:
- 1 to 30 days: penalty is 25% of tax owed
- 31 to 60 days: penalty is 50% of tax owed
- More than 60 days: penalty is 100% of tax owed
These penalties apply on top of the original tax owed.
Interest
Interest accrues at a rate of 1.5% per month or fraction thereof, starting from the original due date until payment is made.
Liens and collections
If you continue to operate without resolving your tax liability:
- The City can assess a lien on your business property.
- Your tax debt may be added to your property tax bill as a special assessment.
- The lien remains until all taxes, penalties, interest, and legal fees are paid in full.