City/County Business Licenses

[Phyllis J. Stinson]

What does everyone do when traveling to locations out of the judicial district/city/county you live in about city and county business licenses?  If you work out of your home and the business you do out of your home generates no traffic whatsoever, and you don't inventory salable products, since it is a professional service, and you have no place to publicly display (required) the license, why do we have to have it?    The state has taken over the issuing of city and county business licenses and collecting the fees, instead of the cities and counties, which is a bone of contention locally.  It makes no sense to me. We also have to pay the state for licensing in accordance with the State Board of Court Reporting, which isn't cheap, and obtain so many CE points to keep our eligibility for licensure good.  I'm just wondering how this is handled elsewhere, because my accountant said we could be required to purchase a license for every city and county we travel to to cover a depo or report a hearing!  I hope he was being facetious.  Input and comments will be appreciated.  Thank you.

[Martha R]

Why are they exempt?  I wonder if that same thing applies to my city.

[Deborah M.]

In California, the State shares the tax returns with the City of LA (and probably others) so they know what we make.  The only reason you have to get a license is so the City can collect taxes.  I have paid for years and just found that CRs are exempt from paying city taxes to the City of LA!

[Kellie Zollars]

I'd get one in the city where your office is (probably your home) and not worry about the other cities/counties. Many years ago I was told that a business license will help prove you are an independent contractor if ever audited for taxes.  Your accountant is saying that because he is probably required to under the accounting laws.  Martha is right though, they're doing anything they can to raise money.  

[Martha R]

My city has been after me the last 5 years to get a city business license, but I haven't returned their request.  The 25 years before that, I never had a request.   It's all about the $$$$.  Cities are always trying to figure out how to get more money.  It's like extortion.  I assume the city has access to my tax return, or how else would they know I have  a business?