Ride-hailing companies could face taxes in San Francisco

Ride-hailing companies could be taxed for starting their journeys in San Francisco following a bill signed by California governor Jerry Brown. The bill - AB 1184 - calls for a 3.25% tax on net rider fares for single-party trips, or those provided by an autonomous vehicle, as well as a 3.25% tax on shared rides. Additionally, the city or county would be able to set a lower tax rate for net rider fares for those provided by a lower emission vehicle. A report by the San Francisco Chronicle says the
October 9, 2018 Read time: 2 mins
Ride-hailing companies could be taxed for starting their journeys in San Francisco following a %$Linker: 2 External <?xml version="1.0" encoding="utf-16"?><dictionary /> 0 0 0 link-external bill false https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180AB1184 false false%> signed by California governor Jerry Brown.


The bill - AB 1184 - calls for a 3.25% tax on net rider fares for single-party trips, or those provided by an autonomous vehicle, as well as a 3.25% tax on shared rides.

Additionally, the city or county would be able to set a lower tax rate for net rider fares for those provided by a lower emission vehicle.

A report by the %$Linker: 2 External <?xml version="1.0" encoding="utf-16"?><dictionary /> 0 0 0 link-external San Francisco Chronicle false https://www.sfchronicle.com/politics/article/SF-gets-state-s-approval-to-tax-ride-hailing-13248815.php false false%> says the bill stems from an agreement between San Francisco supervisor Aaron Peskin, 8336 Uber and 8789 Lyft.

The tax under AB 1184 applies to the amount companies receive, and excludes tolls and airport fees, the report adds.  

According to Peskin’s office, the money would amount to $30 million annually over the first few years and would be directed to the San Francisco Country Transportation Authority and used for transit.

Two-thirds of city voters would need to approve for the tax next year for it to be implemented in January 2020.

UTC

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