The Commercial Vacancy Tax is a tax on keeping certain commercial space vacant for more than 182 days in a calendar year. Owners, tenants, and subtenants of Taxable Commercial Space MUST file each year regardless of whether the space was vacant. Filing and payment is due on March 2, 2026.
To learn more about the Commercial Vacancy Tax, view our informational video and download the presentation (Español Filipino 中文 ).
Review the definition of Taxable Commercial Space and the map below to confirm that the Commercial Vacancy Tax applies to your space.
For purposes of the Commercial Vacancy Tax, "Taxable Commercial Space" means the ground floor of any building or structure, or the ground floor of any portion of a building or structure, where such ground floor:
- is adjacent or tangent to a Public Right of Way,
- is located in one of the Named Neighborhood Commercial Districts (NCD) or Named Neighborhood Commercial Transit Districts (NCT), as they existed on March 3, 2020; and
- is not Residential Real Estate.
Map of Districts Covered by the Commercial Vacancy Tax
You generally MUST file a return if your commercial space is in the orange highlighted area. These areas are Named Neighborhood Commercial Districts (NCD) or Named Neighborhood Commercial Transit Districts (NCT), as they existed on March 3, 2020. This map is for estimation purposes only. Click on map to move or zoom.
Business Registration
If you own property in San Francisco for business purposes or lease or rent out property to a tenant within San Francisco for business purposes, you generally must register as a business. If you own a mixed-use property and lease out both residential and commercial space, you generally must register a seperate businesses for each. Learn more.
Filing
Review the definition and map above to confirm the Commercial Vacancy Tax applies. If the Tax applies to any space(s) associated with the property, the owner must file a Commercial Vacancy Tax return every year even if the space is occupied, has a tenant, and qualifies for a vacancy exemption.
Common Scenarios:
Property has Commercial Tenant(s)
Owner MUST file and report each Taxable Commercial Space even if it is occupied.
Property Has Multiple Commercial Spaces
Owner MUST file and report each Taxable Commercial Space, even if all spaces are located within the same building.
Property is Mixed-Use (Residential and Commercial)
Owner MUST file and report each Taxable Commercial Space, but should NOT include residential units or residential tenants in the filing.
Filing
Review the definition and map above to confirm the Commercial Vacancy Tax applies to your space. If the Tax applies to your space, all tenants and subtenants are required to file a return every year, even if the owner of the space also filed, and even if the space is occupied, has a subtenant, or qualifies for a vacany exemption.
Common Scenarios:
Tenants and Subtenants Incorrectly Submit Non-Filer Certifications
A Non-Filer Certification should only be submitted if the space is NOT Taxable Commercial Space, such as when the space is not on the ground floor or the space is not located in a covered commercial district.
Tenant or Subtentant Received a Notice but the Property Owner Also Filed
The tenant or subtenant MUST file. The Commercial Vacancy Tax requires separate filings from property owners, tenants, and subtenants.
Tenant or Subtenant is Operating in a Space
The tenant or subtenant MUST file even if the space is occupied.
Tenant or Subtenant Is Not Located on the Ground Floor
If a business is not located on the ground floor, the space is not Taxable Commercial Space. If you receive a notice, go to the online Commercial Vacancy Tax filing and indicate that you received a notice in error.
Tenant or Subtenant No Longer Operates at the Location
If you leased this space anytime during the tax year, you MUST file. If a business is no longer operating at the address listed on your notice, you may need to update the business acount or close the business. Submitting a Non-Filer Certification will not be sufficient.
Additional Information
All owners, lessees/tenants, and sublessees/subtenants of Taxable Commercial Space, as defined in the Code, must file a Return. A Return must be filed for all Taxable Commercial Spaces, even if the spaces are in the same building.
Persons that qualify for a vacancy exemption and or otherwise not subject to the Commercial Vacancy Tax who are the owner, tenant, or subtenant of Taxable Commercial Space still must file a Return. They may declare their exemption or explain why they do not owe the tax on the Return.
Taxable Commercial Space is considered vacant if it’s unoccupied, uninhabited, or unused for more than 182 days, whether consecutive or nonconsecutive, in a tax year, except during the following exclusion periods if applicable to you for that space:
- Building Permit Application Period: The period between the date that the first application for a building permit is filed and the date that the Department of Building Inspection grants or denies that application up to a maximum of one year.
- Construction Period: A one-year period after the City issues the first building permit for repair, rehabilitation, or construction.
- Conditional Use Application Period: The 183-day period after the first complete application for a conditional use permit is filed. If the planning Commission has not granted or denied the application within 183 days, this period is extended to December 31 of that year.
- Disaster Period: The two-year period after the date that a Commercial Space is severely damaged and made uninhabitable or unusable because of fire, natural disaster, or other catastrophic event.
If a tenant has operated a business in Taxable Commercial Space for more than 182 consecutive days during a lease of at least two years, the tenant will not be liable for the Commercial Vacancy Tax for the remainder of that lease, regardless of whether the space is vacant.
Additionally, any organization that is exempt from income taxation under Internal Revenue Code Section 501(c)(3) is exempt from the Commercial Vacancy Tax.
However, the owner, tenant, or subtenant of a Taxable Commercial Space MUST file a Commercial Vacancy Tax return regardless of whether they are exempt from paying the Commercial Vacancy Tax or other taxes.
Beginning January 1, 2025, Taxable Commercial Space located in a named Neighborhood Commercial District or Neighborhood Commercial Transit District are exempt from filing and payment of the Commercial Vacancy Tax in a tax year if a City managed public infrastructure or construction project in that district lasts more than 180 days in that tax year. View the ordinance.
The Commercial Vacancy Tax rate increases when a space is vacant for consecutive years. The rates are:
- $250 per linear foot of Frontage for space that was vacant for one year.
- $500 per linear foot of Frontage for space that was vacant for two consecutive years.
- $1,000 per linear foot of Frontage for space that was vacant for three consecutive years or more.
The Commercial Vacancy Tax rate is calculated based on a building’s Frontage (the total length of Taxable Commercial Space that is adjacent or tangent to the Public Right of Way) rounded to the nearest foot.
View Commercial Vacancy Tax Data
About the Public Data:
The Board of Supervisors passed legislation to permit the Office of the Treasurer and Tax Collector to disclose certain Commercial Vacancy Tax information to the public. Below is an explanation of information collected from the Commercial Vacancy Tax return that is available to the public via DataSF. Select "View Data" button.
What is in this public dataset?
The data is available online via DataSF. This dataset delineates approximately 2,800 parcels with “Taxable Commercial Space” - meaning parcels where one or more property owner(s) and/or commercial tenant(s) are required to file or pay the Commercial Vacancy Tax. The dataset includes the Block, Lot, Parcel Number and Situs Address for each commercial parcel within the named Districts. Information about each filing received for the parcel is included, such as Filer Type (Owner / Tenant/ Subtenant), Filer Name, Situs Address from Filing, whether the filer reported a vacancy, and if so, the tax rate applied. The information displayed is reported by the taxpayers and subject to audit by the Tax Collector.
Filings that are reflected as Pending are under review by the Tax Collector. Reasons for review include: the filer reported that the parcel is not Taxable Commercial Space (ie, the parcel does not have a structure, is not within the boundaries, does not otherwise meet the definition of Taxable Commercial Space), or the Parcel Number and Situs Addresses are not aligned.
Data will be refreshed daily until further notice.
What’s not in this public dataset?
- Filings received that did not match a parcel number subject to this tax (ie, for an address outside the named districts, or where the filing had a typo in the address or parcel number)
- Duplicate filings (if we received more than one filing from the same person for the same place)
Why are there multiple filings per one address / parcel?
- CVT requires a filing from the property owner AND any tenants that are occupying or holding a space vacant
- One parcel could be subdivided into several addresses / spaces that have different filers
Report a Vacant Commercial Property
This reporting tool is for those who are aware a vacant commercial property and would like to report the vacancy. This report will be shared with the Office of Economic and Workforce Development and the Office of the Treasurer & Tax Collector.
Legislation: Commercial Vacancy Tax Exemption - Taraval Street
Regulation No. 2023-1 - Commercial Vacancy Tax - Ground Floor Commercial Space; Multiple Rights of Way
Legislation re: Disclosure of Vacancy Tax Information; Penalties For Failure to Timely File Vacancy Tax Returns (6/27/22)
Article 29: Vacancy Tax Ordinance
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