Business License

New Business License Requirement

Effective October 11, 2024, an annual business license is required for all Transient Occupancy Tax (TOT) operators. The business license is an annual license, issued by the Treasurer-Tax Collector and applies to operators of Hotels/Motels, Commercial Vacation Rental, Limited Vacation Rental, and Homestays. The business license is in addition to the permitting requirements of the Housing and Community Development. You may contact Housing and Community Development at (831) 755-5025.

General Information

A business license is an annual license issued by the Monterey County Treasurer-Tax Collector for the privilege of conducting business within the unincorporated area of Monterey County. The purpose of a business license is to provide for necessary regulation of certain lawful businesses being conducted within the unincorporated area of Monterey County, in the interest of the public health, safety, and welfare of the people of the county. On December 13, 2016, the Monterey County Board of Supervisors adopted Monterey County Code, Section 7.02. This section requires a business license, effective April 1, 2017, for specified businesses being conducted within unincorporated Monterey County.

Businesses Requiring a License

A business license is required for operators of Hotels/Motels, commercial and limited vacation rentals, homestays and commercial cannabis businesses. More specifically, a business license is required for all vacation rental activities as defined section 7.120 as well as any commercial cannabis business activity as defined by section 7.90.030(I) of the Monterey County Code. It is unlawful for any person to maintain, conduct, operate, or carry on within the unincorporated area of the County any business for which a license is required by Section 7.02 unless a valid license is obtained. 

Applying for a License

A business license is required prior to the commencement of business. Therefore, a business license application should be submitted in advance of the anticipated start date of the business. If you have already commenced business, you should submit a business license application immediately. You may apply online here: https://hdlweb.co.monterey.ca.us/PrimeWeb/Apply/Apply1/BusinessLicense