City Council Approves Tax Relief for Businesses Hit by Palisades Fire

Eligibility for this tax relief will be assessed on a case-by-case basis by the Office of Finance

In a unanimous decision, the Los Angeles City Council on Monday approved a motion to provide tax relief for businesses and sole proprietors affected by the recent Pacific Palisades Fire.

The motion, introduced by Councilwoman Traci Park under an emergency rule for immediate action, aims to waive the 2025 gross receipts tax for those whose operations were severely disrupted.

“This relief cannot wait,” Park stated in a release. “Today’s unanimous vote sends a clear message: we stand with every small business owner and sole proprietor affected by this tragedy. Whether you’re the owner of a café, a clothing store, a gardener, or a childcare provider, we see you, and we are committed to helping you rebuild.”

The motion directs the City Attorney, in collaboration with the Office of Finance, to draft an urgency ordinance that would exempt from the tax businesses completely destroyed by the wildfire, those that were non-operational for 60 or more consecutive days due to the fire, and sole proprietors like housekeepers, gardeners, and childcare providers who have suffered significant income loss due to client displacement.

Eligibility for this tax relief will be assessed on a case-by-case basis by the Office of Finance to ensure that assistance is directed where it is most needed.

in News, Upbeat
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