City Licensing and Tax Requirements
The City of Sausalito imposes local sales tax and daily business license which costs $20 to all vendors conducting business and selling goods or services within the City limits of Sausalito. All persons engaged in selling art, merchandise or services should refer to Sausalito's Municipal Code and/or its Finance Director* to determine requirements for compliance. Please note that the Code is a bit unclear on defining "sales". For instance, a musician donating time to play during Art Walk may be able to accept tips and sell CDs to cover expenses for participating in the event. Though any sales of Cds must be offered to the public for a "donation." That means you must be prepared to give away the CD if someone doesn't want to contribute a donation.
Any artist or performer who exhibits work simply for self-promotion without sales may be exempt from the fees and taxes. Artists who make occasional sales or operate as non-professionals may also be exempt. Amateur artists who do not derive income generally from art sales, though they may occasionally sell art, may be exempt from tax and license requirements as "occasional" sellers, (akin to tax-exempt garage sales, which California permits its residents to do only occasionally). Like most laws, Sausalito's tax and license requirements are not easily interpreted and it may help artists to think of Sausalito's Art Festival and other festivals where it is clear that artists pay booth fees in exchange for the privilege to engage in sales of art and wares. This is an arrangement intended expressly for profit to artists and the festival, and licenses, fees and taxation clearly apply.
Therefore, the majority of Art Walk artists and performers may be exempt from tax, license and permit requirements as non-professionals, occasional vendors, or exhibitors and performers only. Artists who regularly participate in this event or other similar events with the express intention of selling to make profit, would be required to comply with governing business license and tax laws. Professional artists and more-than-occasional vendors in Sausalito are, of course, required to comply with all tax and license requirements, and for those an annual license would be most suitable.
It is the responsibility of each artist to determine his or her own tax and license requirements. However, Sausalito's Finance Director is most helpful and best able to assist with the distinctions. Please direct all questions and, if applicable, fees and completed application to:
Please note the correct address below for mailing any applications as the Bridgeway Ave. address printed on the application is incorrect. It will be faster to process your application via fax, or be applying in person at the Finance Department at City Hall in Sausalito. If you opt to apply by fax, ask for a confirmation email and print out a copy of it and bring the application with you to the event. That will ensure all your bases are covered in the event a spot check occurs. Call Louise Ho the Finance Director of the city of Sausalito to process the application. She is the only individual equipped to field specific questions in regards to the tax code and whether you are required to obtain a business licence. Also note that if you plan on vending within Sausalito on a regular basis, it may be more economical to purchase a yearly licence.
City of Sausalito
420 Litho St.
Sausalito, CA 94965
Attn: Louise Ho, Finance Director
415-289-4105
800-987-0999fax- 415-289-4167
Downloadable forms for apply for busines license via fax:
Temporary Business License Application Form>
Credit Card Authorization Form >
Related Pages:Sausalito Art Walk Information>
About the Event>
Live Music Schedule>
2007 Art Walk Schedule>
Children's Entertainment and Art>
Art Walk Merchants>
Previous Events>
Map to the Event>
Tour Sausalito's Caledonia Neighborhood >
How to Submit your Music>
How to Exhibit at the Event>
Guidelines for Artist Participants >
City Taxes and Sausalito Business License Information>
Temporary Business License Application Form>
Credit Card Authorization Form for Business License>
Contact Us>The Next Sausalito Art Walk takes place October 10th, 2007
from 5:30 PM to 8:00 PM on Caledonia Street