Los Angeles Tax Penalty Amnesty Program

November 2020

The Los Angeles Office of Finance is administering a Tax Penalty Amnesty Program for taxes on businesses; commercial tenants; communications, electricity and gas users; and parking and transient occupancy from October 1, 2020, to December 17, 2020.

This program was created to provide businesses, both registered and unregistered, a voluntary opportunity to pay any outstanding principal, interest and fees owed to the city and could waive penalties of up to 40% percent of the principal amount due. This program also is available to businesses currently under audit or that have been contacted before by the city of Los Angeles.

Failure to register the business with the Office of Finance or pay all business taxes in a timely manner may incur additional penalty and interest charges on the taxes owed for the current year and the seven previous tax years. After the delinquent date, interest accrues yearly on all outstanding tax liabilities at rates ranging from 0.3% to 0.7% of interest per month and penalties could range from 5% to 40% after the fourth month of delinquency. The Tax Penalty Amnesty Program applies to both registered and unregistered businesses that have outstanding taxes including principal, interest, penalties and fees due to the city of Los Angeles.  

Businesses may apply to participate in the amnesty program online or by mail, and the application must include payment for any outstanding principal, interest or fees. Apply online by visiting finance.lacity.org/amnesty or mail the application and payment to:

City of Los Angeles – Amnesty Office of Finance
PO BOX 30716
Los Angeles, CA 90030-0716
 

Please also be aware that the city of Los Angeles is not limited to just areas called Los Angeles. For city business tax purposes, the city of Los Angeles refers to other localities including but not limited to all or part of Hollywood, North Hollywood, Van Nuys, Sherman Oaks, Encino, Reseda, Sun Valley, Panorama City, Northridge, Chatsworth, Canoga Park, Woodland Hills, Hidden Hills, Granada Hills, Valley Village, Pacoima, Sylmar, Tujunga, Pacific Palisades, Playa Vista, Culver City Westmont, El Segundo, West Carson, Harbor City, Wilmington and San Pedro.
 

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