Business Cooperation Program
The City's Business Cooperation Program (BCP) lowers the cost of doing
business in San Diego and prevents the annual loss of millions of
dollars in sales and use tax revenue, due to misallocation. These
losses include taxes paid by San Diego purchasers and sales taxes
collected by firms operating in San Diego.
Financial Incentives
Financial incentives encourage businesses and nonprofit corporations with
significant equipment expenditures to take part in the program, thereby
allocating sales and use taxes to the City. This increases the City's General
Fund revenues used to provide a variety of services that support the business
community, such as infrastructure, public safety, and fire protection.
BCP's financial incentives can significantly lower operating and facility
costs for a wide variety of companies. These financial incentives are based
on the amount of tax revenue allocated to the City of San Diego by
participating firms.
- A cash rebate equal to .25/dollar (25 basis points on the total
sale or purchase price).
- A business tax/development fee credit equal to .45/dollar (45 basis
points on the total sale or purchase price). Participating firms can
pay their annual business license tax and/or fees arising from new
facility development with credit earned by allocating their taxes to
the City. Firms which choose this option can "cash in" any unused
credit at a later time.
To assist in this program, the City has retained a tax consultant who works
with many major corporations in California to ensure that local governments
responsible for providing municipal services receive the sales and use taxes
necessary to cover the cost of those services.
Contact Information
For more information about the Business Cooperation Program,
contact the City Planning & Community Investment Department.
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