Pico Rivera city taxes include a combined 10.75% sales tax, a property tax built on Proposition 13’s 1% base, a utility users tax of 4.5% to 5%, a business license tax tied to gross receipts, and a 10% tax on hotel stays. The city is a general law city, which lets it levy local taxes approved by voters or set by municipal code. Here’s what each one costs you and when it’s due.
Sales and Use Tax: 10.75%
Most retail purchases in Pico Rivera carry a 10.75% sales tax.1California Department of Tax and Fee Administration. California City and County Sales and Use Tax Rates The rate combines the 7.25% California base, Los Angeles County transportation and transit district taxes including Measure M for Metro projects, and the city’s own 1% transactions and use tax from Measure P, which voters approved in November 2008.2Metro. Measure M
Clothing, electronics, furniture, and most other tangible goods are taxed at the full rate. Unprepared groceries and prescription medications stay exempt under state law. The California Department of Tax and Fee Administration collects from retailers and sends the local share back to the city and county each month.3California Department of Tax and Fee Administration. Tax Guide for Local Jurisdictions and Districts – Payments and Distributions
Two situations catch people off guard. Vehicle use tax is based on your registration address, not where you bought the car.4California Department of Tax and Fee Administration. Tax Guide for Purchasers of Vehicles Buy a car in a lower-tax city and you still owe Pico Rivera’s 10.75%. The same rule covers out-of-state and online purchases: if no California sales tax was collected, you owe use tax at the Pico Rivera rate when the item comes home. Skipping that report can bring state penalties and interest.
Property Tax
The Los Angeles County Assessor sets the assessed value of your property, and under Proposition 13 the general levy is capped at 1% of that value. Assessed value can rise no more than 2% per year unless the property changes hands or you add new construction.5Los Angeles County Assessor. Proposition 13 Your starting assessed value is the purchase price.
Your actual bill runs higher than 1% because voter-approved bond measures and direct assessments for school districts, street lighting, and landscape maintenance ride on top. Each shows as its own line item on the annual bill from the Los Angeles County Treasurer and Tax Collector.
Due Dates and Penalties
The annual bill splits into two installments:6Los Angeles County Property Tax Portal. Annual Secured Property Tax Bill
- First installment: due November 1, delinquent after December 10
- Second installment: due February 1, delinquent after April 10
Miss either deadline and a 10% penalty attaches to the unpaid amount. The second installment also picks up an additional $10 cost if it goes delinquent. Stay unpaid long enough and the property goes into tax-defaulted status; after five years, the county can sell it at public auction.7California State Controller’s Office. Public Auctions and Bidder Information Properties under a nuisance abatement lien face a three-year window.
Appealing an Assessment
If you think your assessment runs above fair market value, file with the Los Angeles County Assessment Appeals Board. The regular filing period runs July 2 through November 30.8Los Angeles County Assessment Appeals Board. Assessment Appeals Board For supplemental assessments triggered by a purchase or new construction, you get 60 days from the date on the supplemental notice or tax bill.
Utility Users Tax
Pico Rivera taxes electricity and natural gas at 4.5%, and telephone and video services at 5%.9City of Pico Rivera, CA. Pico Rivera Municipal Code Chapter 3.52 – Utility Users Tax Your service provider adds the tax as a separate line on your monthly bill and sends the money to the city, which deposits it in the general fund. Most residents barely notice it. For a business running heavy electrical loads, it adds up.
Business License Tax
Any business operating within city limits needs a license from the Finance Department before opening. That covers storefronts, home-based businesses, and contractors visiting local job sites.10City of Pico Rivera, CA. Pico Rivera Municipal Code Chapter 5.08 – Business License and Permit Requirements Operating without one can bring fines and block you from getting building or health permits.
Fee Structure
Most businesses pay a $25 base plus a percentage of annual gross receipts, with the percentage varying by category:11City of Pico Rivera, CA. Pico Rivera Municipal Code Chapter 5.12 – Fees for Licenses
- General commerce and retail: 0.1% of gross receipts
- Service businesses: 0.1% of gross receipts
- Contractors: 0.2% of gross receipts, with the first $25,000 covered by the base fee
- Professional services: 0.3% of gross receipts
- Rental properties, commercial and residential: 0.3% of gross receipts
- Industrial businesses: $25 base plus $0.35 per square foot
Some categories pay flat fees instead. Carnivals and circuses pay $150 per day. Billiard halls pay $100 for the first table and $5 per additional table. Street vendors pay $20 per day or $160 per year.
Home-Based Businesses
Working from home requires both a business license and a separate Home Occupation Permit through the Community and Economic Development Department. The permit has historically cost $143 plus a 3% technology surcharge, though the city can adjust it. The permit carries restrictions on signage, customer traffic, and outside storage to protect the residential character of the neighborhood.
Transient Occupancy Tax: 10%
Hotels, motels, and similar short-term lodging charge a 10% tax on the room rate.12City of Pico Rivera, CA. Pico Rivera Municipal Code Chapter 3.36 – Uniform Transient Occupancy Tax It applies to stays of 30 consecutive calendar days or fewer. Stay longer under a written agreement with the hotel and you’re no longer a transient, so the tax falls off.
Federal and state employees on official business, along with foreign government officials covered by federal law or treaty, are exempt. To claim the exemption you must submit a form to the hotel operator when rent is collected, signed under penalty of perjury. The operator collects the tax and remits it to the city.
What Pico Rivera Does Not Tax
Commercial cannabis activity of all types is prohibited in the city, so there is no local cannabis tax. Pico Rivera does not levy a local income tax, and no California city currently does. Real estate transfers do carry a documentary transfer tax, but that one is collected by Los Angeles County rather than the city.