Online store licenses
in San Jose, California
Start with the main licenses and permits below. For a checklist based on your own business, tell us what you’re opening and how it will operate.
Researched Sep 2026
About this example
The business is an online store located in San Jose, California, selling tangible goods and operated from a home without employees. It is subject to federal, state, county, and city regulations, including tax registrations and local business permits. The legal structure, tax election, and sales channels have not been established.
Requirement labels below refer to this setup. Conditional items depend on additional details.
Authorities researched
- Federal
- United States
- State
- California
- County
- Santa Clara County
- City
- San Jose
Details to confirm before you apply
- Which sales will go through registered marketplace facilitators, and which will be direct or through other channels?
- Does the owner plan to operate under a name different from their legal name?
- What specific tangible goods will the business sell?
- Will the owner form an LLC or remain a sole proprietorship?
- Is the owner aware of the hardship exemption for the Business Tax Certificate?
- Does the owner need to confirm zoning compliance for their specific address?
- Will the owner hire employees in the future?
The main licenses and permits
6 of 8- 01Business Tax Certificate (Business Tax Registration)City of San José Finance Department – Revenue Management Division (Business Tax) · San Jose
Every person or company conducting business in San José — including a home-based online store — must register and pay the business tax within 90 days of starting business.
RequiredAnnual; due on the 15th day of the calendar month in which the business began. - 02San Jose home occupation compliance (no permit required)City of San Jose Planning Division / Finance Department · San Jose
The store operates from a dwelling in San Jose, which makes it a 'home occupation' that must conform to San Jose Municipal Code home occupation criteria even though no planning permit is required.
RequiredNot applicable - 03California income tax filing (FTB)California Franchise Tax Board (FTB) · California
All businesses must file state income tax; a sole proprietor reports business income on their individual return.
RequiredAnnual - 04Federal income tax filing (Schedule C, self-employment tax, estimated tax)Internal Revenue Service (IRS) · Federal
Net profit from the online store is reported on the owner's individual federal return.
RequiredAnnual - 05California Seller's Permit (sales and use tax)California Department of Tax and Fee Administration (CDTFA) · California
Required for taxable merchandise sales outside the marketplace exemption. A seller whose entire retail sales are facilitated by registered marketplace facilitators is generally exempt from seller registration with CDTFA.
ConditionalNone — the permit is valid as long as the business is actively engaged in selling - 06Business entity registration with the California Secretary of StateCalifornia Secretary of State (SOS) · California
Not required if operating as a sole proprietorship (no formation documents are filed with the SOS). Required if the owner forms an LLC: file Articles of Organization online, $70.
ConditionalNot applicable for formation; biennial Statement of Information follows (see next item)
This example includes 2 other potential requirements. A report based on your business explains which apply, how to file, published fees and timing, and what to complete first.
Make the checklist yours
Your location, activities, and business structure can change the list. Get a free preview for your business, then decide whether to unlock the full report for $49.
Questions people ask
What city business licenses or registrations should an online store in San Jose check?
Our research identifies Business Tax Certificate (Business Tax Registration), issued by City of San José Finance Department – Revenue Management Division (Business Tax), as required. Every person or company conducting business in San José — including a home-based online store — must register and pay the business tax within 90 days of starting business. Check the other city permits in this guide and confirm the requirements for your premises and activities.
How much do licenses and permits cost for an online store in San Jose?
Most fees vary by item; see report. Several items have fees that depend on your entity type, square footage, or payroll, so the full report lists each fee as the agency publishes it.
What should I do first?
Review Employer Identification Number (EIN) — IRS (if applicable) (Internal Revenue Service (IRS)), then Federal income tax filing (Schedule C, self-employment tax, estimated tax) (Internal Revenue Service (IRS)), then Business entity registration with the California Secretary of State (if applicable) (California Secretary of State (SOS)). Confirm each item's applicability and prerequisites before applying; the report provides a suggested order for the full checklist.
Is this legal advice?
No. It is a research summary of public requirements published by government agencies, each linked to its official page. Confirm with the issuing agency before filing.
Related guides
Researched from official government sources on September 2, 2026 for a typical online store. Requirements change and depend on your facts; this page is not legal advice. Confirm with the issuing agency before filing.