Making Los Angeles Business Friendly by Reducing Tax Filing Burden on Businesses
Posted by Councilmember Englander on June 14, 2017 at 4:15 PM
Today, I introduced a motion that would move the deadline for Los Angeles businesses to file taxes so that it aligns with state and federal filing deadlines. Aligning the deadlines will benefit both the City and its businesses by reducing accounting and administrative costs.
The current filing deadline for Los Angeles businesses makes no sense. We are shooting ourselves in the foot and making it harder to do business in our City when we ask businesses to file their taxes on a separate timeline from federal and state agencies. This motion will simplify the process, reduce costs, and allow Los Angeles businesses to focus on what they do best: bringing jobs and economic development to our communities.
In addition to making our City more business friendly, this motion is expected to increase compliance among Los Angeles businesses. Currently, only 69 percent of businesses file on time. The next 15 to 20 percent of businesses file upon receiving a Notice of Hearing for failure to file, and the remainder only file as a result of sweeps performed by the Office of Finance.