To qualify, a business in the City of San Diego should have at least $500,000 annually in taxable goods from out-of-state vendors, or be located outside the City of San Diego and willing to relocate into the City of San Diego (entirely). This type of business must have significant business-to-business sales. This could be a call center, data center, or wholesale distribution facility where taxable products are sold to other businesses or to the general public, but the business must not sell to the public on these premises. The business can’t be meaningfully competing with other San Diego businesses which are already generating taxable sales for the City. Example: your business owes $5,000 in local use tax because you bought $500,000 worth of equipment from an out of state vendor. The City will give you a rebate of $2500 if you qualify for this program.