Occupational Tax Rate Structure

The standard occupational tax rate which shall progress by successive levels of taxation based upon the range of gross receipts, and levied upon each $1,000.00 of gross receipts, or fraction thereof, pursuant to the following range of gross receipts and rate of tax per $1,000.00 of gross receipts or fraction thereof:

RANGE OF GROSS RECEIPTS RATE PER THOUSAND DOLLARS
$ 0 - 250,000 0.30
250,001 - 500,000 0.35
500,001 - 750,000 0.40
750,001 - 1,000,000 0.45
1,000,001 - 1,500,000 0.50
1,500,001 - 2,000,000 0.55
2,000,001 - 3,000,000 0.60
3,000,001 - 4,000,000 0.65
4,000,001 - 5,000,000 0.70
5,000,001 - 6,000,000 0.75
6,000,001 - 7,000,000 0.80
7,000,001 - 8,000,000 0.85
8,000,001 - 9,000,000 0.90
9,000,001 - 10,000,000 0.95
10,000,001 - 11,000,000 1.00
11,000,001 and above 1.05
The tax class factor, and the corresponding tax class which establishes the tax rate relationship between tax classes to be used in the computation of the city's occupational tax is as follows below.  The tax class can be found on the customer's renewal form with the exception of some professional businesses who pay by the flat fee method.
Tax Class Tax Class Factor
1 1.00
2 1.25
3 1.50
4 1.75
5 2.00
6 2.25
Occupational Tax is calculated on a graduated scale. The first $250,000 is taxed at 30 cents per thousand, the next $250,000 at 35 cents per thousand and so on. See example below based on a gross revenue of $1,750,000 for a business in a Tax Class 2. The Tax Class Factor for this business is 1.25 based on the chart above.
250 x .30 = 75.00
250 x .35 = 87.50
  250 x .40 = 100.00
 250 x .45 = 112.50
500 x .50 = 250.00
 250 x .55 = 137.50
Total: $762.50 x 1.25 = $953.13 AMOUNT DUE