The City of Pacific Grove welcomes you to its business community. Starting a business can be exciting and challenging. We wish you great success in your new venture!

The City of Pacific Grove requires all businesses operating within the City limits to obtain a business license and pay business license tax prior to commencing business operations.

STEP 1: Obtain Zoning Clearance (required for businesses located inside the City)
Home-based and commercial businesses (with a Pacific Grove business address) are required to obtain Zoning Clearance from the Community Development Department. This step is not required for businesses which are headquartered outside the City but conduct business in the City of Pacific Grove.

STEP 2: Apply for a Business License
After you have obtained the Zoning Clearance and gathered all necessary documentation, you can then submit your business license application along with required documents using the online filing method. To begin, simply click on the “start now” button located on the right of this page. From the main menu please select the “apply” option to submit a new application for your business.

If you need further assistance applying for a business license, you are welcome to contact us at or by phone Toll-Free at (831) 920-3890. Phone support is available Monday through Friday, 8:00 am to 5:00 pm (PST).

Filing & Paying Your Lodging Establishment TOT & HID

Transient Occupancy Tax and HID Assessment returns for Hotels, Motels, B&Bs, RV Parks or Vacation Rentals can be submitted via online, by phone, or by mail to simplify your monthly reporting. Filing by web is City preferred, however.

Please be aware: effective 7/1/2019, the TOT rate increased from 10% to 12%.

To submit your TOT online please click the “Start Now” button found on the right, and under TOT Remittance, select the “File and Pay TOT and/or HID” option to begin your monthly filing process.

Please direct any TOT/HID questions to, or call the TOT Processing Center at (831) 233-6559. Phone support is available Monday through Friday, 8:00 AM to 5:00 PM (PST).

What is a Business License?

A business licenseis an annual business tax for doing business within the City limits. The City of Pacific Grove Municipal Code requires that you obtain a license when you conduct any business activity within the City, even if your business is located outside of the City limits or if you have a business license from another City. Businesses that are based in the City must also have a business license. This includes home based businesses, building contractors, independent contractors, and non-profit businesses.

Business license taxes and fees help pay for City services like roads, fire, police and other community services. These services benefit businesses, business owners, and the general public.

When should an application or renewal be submitted?

New businesses must apply for a license within 30 calendar days of their official start date of operation in the City of Pacific Grove. Thereafter, business licenses renew every July 1st and taxes and fees are due by August 1st.

Are there any restrictions on where I do business?

Yes, every business operating from a location inside the City of Pacific Grove will require a Certificate of Occupancy Use Permit. This is to ensure that the business activity and site location are compatible with the City’s municipal code and zoning requirements. Businesses operating at residential (home based) location or at a commercial location in the City require review and approval from the Planning Department.