San Diego Business Tax: $34.00 for businesses with 12 employees or fewer; $125.00 plus $5.00 per employee for businesses with 13 employees or more. Applies to all businesses operating in the City of San Diego. Non-medical cannabis businesses are subject to a gross receipts tax.
San Diego requires a Short-Term Residential Occupancy (STRO) license for rentals under one month, operating under a tiered permit system, and assesses Transient Occupancy Tax (TOT).
San Diego's unique tiered business tax structure based on employee count, coupled with the availability of Opportunity Zones, provides distinct avenues for strategic tax planning for local businesses and investors.
These are the dominant professions and industries in San Diego. Click your profession to see your personalized write-off list.
These strategies are especially powerful or unique for San Diego residents and business owners. Click any strategy to learn more.
Running an LLC or business in San Diego? Here's what you need to know about local taxes, entity structure, and the write-offs that matter most in this city.
San Diego business owners face both California state taxes and San Diego-specific local taxes. Understanding both layers is essential for effective tax planning.
Common questions about San Diego business taxes, LLC structure, and local write-offs — answered by Uncle Kam's tax advisors.
San Diego does not have a local individual income tax. You'll pay California state income taxes but no additional city-level income tax. Focus your planning on maximizing federal and California state deductions.
Book a Free Strategy Call →San Diego Business Tax: $34.00 for businesses with 12 employees or fewer; $125.00 plus $5.00 per employee for businesses with 13 employees or more. Applies to all businesses operating in the City of San Diego. Non-medical cannabis businesses are subject to a gross receipts tax.
Book a Free Strategy Call →The top write-offs for San Diego business owners include: S-Corp election to reduce self-employment taxes, home office deduction, vehicle and mileage, Section 179 equipment expensing, business meals and entertainment, retirement contributions (Solo 401k/SEP-IRA), and San Diego-specific deductions like local business taxes paid. Uncle Kam's advisors know the San Diego tax landscape — book a free strategy call.
Book a Free Strategy Call →Forming an LLC in San Diego provides liability protection and pass-through taxation. For most San Diego business owners earning over $60,000 net profit, adding an S-Corp election to your LLC can save thousands in self-employment taxes annually. California has specific LLC requirements and fees — get a personalized recommendation from Uncle Kam's tax advisors.
Book a Free Strategy Call →Short-term rental rules in San Diego: San Diego requires a Short-Term Residential Occupancy (STRO) license for rentals under one month, operating under a tiered permit system, and assesses Transient Occupancy Tax (TOT). From a tax perspective, STR owners can deduct mortgage interest, property taxes, insurance, repairs, depreciation, and management fees. The short-term rental loophole may allow you to offset W-2 income with rental losses if you qualify.
Book a Free Strategy Call →Yes — San Diego has designated Opportunity Zones where investors can defer and reduce capital gains taxes by investing in qualified opportunity funds (QOFs). This is one of the most powerful tax deferral strategies available for real estate and business investors in San Diego. Uncle Kam can connect you with advisors who specialize in OZ investments.
Book a Free Strategy Call →Freelancers and self-employed professionals in San Diego can reduce taxes by: electing S-Corp status (saves $5k–$20k/year for most), maximizing the home office deduction, deducting all business-related expenses, contributing to a Solo 401(k), and using the QBI deduction (up to 20% of qualified business income). San Diego's combined state and local tax burden makes these strategies even more valuable. Get a free tax review from Uncle Kam.
Book a Free Strategy Call →This city guide is commonly used by the following taxpayer profiles. Click to see all strategies for your situation.
Uncle Kam connects you with vetted CPAs and tax advisors in San Diego, California who specialize in maximizing write-offs for your business type.
Find San Diego Tax Professionals →Uncle Kam clients save an average of $5,000–$40,000/year. The strategies that make that possible are unlocked on a free strategy call.
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