San Francisco City Parking Tax Collection Bond
The City of San Francisco requires businesses in the area to apply for bonds prior their authorization to rent and collect any charges for their parking spaces. This certificate is needed to ensure that businesses will pay the corresponding taxes and fees imposed by the city for their business operations. The bond will guarantee the compensation of the city should accredited applicants cause any licensing infractions, such as the failure to meet the obligatory taxes and fees.
What is a Certificate of Authority (COA) to Collect Parking Tax?
Businesses or individuals acting as parking operators in the City of San Francisco are required by the local government to pay corresponding parking space occupancy tax or parking tax for their parking fee collection. The City’s parking tax rate is at 25% of the actual parking charges.
Parking operators must secure their COA for each of their parking sites under their actual business name and Business Account Name (BAN). Upon approval, both the business certificate and COA must be displayed onsite.
What is the San Francisco City Parking Tax Collection Bond?
Prior the collection of any parking charges, businesses involved must secure a Certificate of Authority (COA) to Collect Parking Taxes in the City of San Francisco. The city shall then collect the corresponding charges. The bond will guarantee that parking operators will adhere to the rules and regulations imposed under San Francisco’s City Law Code. As such, the bond must be secured prior the issuance of the certificate.
How does it work?
The San Francisco City Parking Tax Collection Bond must be issued by a surety bond provider certified by the California Department of Insurance. The parties in the agreement are the Principal (certificate applicant or business), Obligee (City of San Francisco), and Surety/Bond Company (surety bond provider/insurance).
The Surety Company will guarantee the compensation (performance bond) of the Obligee should the Principal fail to meet scheduled taxes and fees or violate any other licensing provisions. The Surety Company will receive and assess the validity of all public claims where claims may only amount to the total penal sum arranged in the bond form. The Principal shall reimburse all expenses covered by the Surety Company.
The Bond Company is secured through an indemnity agreement as the permit applicant or licensed business will ensure the full reimbursement of the claims, including legal fees and premiums. This agreement shall be made before the execution of the bond.
How much does it cost?
Typically, the bond for San Francisco City Parking Collection Tax is set between 1.5% and 7%. The actual bond will depend on the operator’s credit score and license and business history.
How can I apply for this bond?
At Surety Bond Authority, we are dedicated to help you get your bond the fast and easy way. Here is a step-by-step guide to help you get started.
To secure your certificate of authority, make sure you apply for your bond early. If you are ready to get yours processed today, you can APPLY HERE. Rest assured our expert surety bond agent will guide you from the time of your application until the issuance of your bond.
In the assessment phase, our underwriter will need the following information:
- Nature of your profession or business
- Credit score
- Financial strength
For the speedy processing of your application, ensure you have gathered and provided accurate information upon submission.
Once the assessment is done, we will promptly issue your bond and send it your way. Contact us today and get your bond issued in no time!