Any business in one of the five Industry Segments adopted by Visit California is potentially assessable. The five industry segments are:
- Restaurant and Retail
- Transportation and Travel Industry
- Passenger Car Rental Industry
See Current Industry Segment Categories for a complete list of the specific businesses in each category. If your business is in one of these five industry categories and receives a form, you are required by law to complete the form. However, it is the business owner’s responsibility to report the percentage of revenue from tourism at that business location. (See Calculate Your Assessment.)
The following businesses are exempt from the assessment program. However, you must file the form to establish the exempt status:
- You are a public body, which is defined as a public entity or a corporation where a majority of the corporation’s board of directors is appointed by a public official or public entity, or serves on the corporation’s board of directors by virtue of being elected to public office, or both. A public entity is an agency, department or instrumentality of the United States, State of California, or any political subdivision thereof. A public official is an employee of a public body or a person elected to the public body, and serves as a representative of that public body when making the appointment.
- You are a regular route intrastate and interstate bus service.
- Your business does not derive revenue from Industry Segments List.
- Your California gross receipts are less than $1 million.
- Less than 1 percent of the California gross receipts is “travel and tourism revenue.” (Amended 1/1/2006 from less than 8 percent)
- You are a travel agency or tour operator that receives less than 20 percent of California gross receipts from travel and tourism to places within California.