City of Vancouver Requirements and Fee Calculation Instructions

City of Vancouver Requirements and Fee Calculation Instructions

General businesses

License fee: $200

Employee fee: $90 per full-time equivalent (FTE) employee

The minimum number of FTEs is one. The maximum employee fee is $71,910 (799 FTEs).

If you do not have a physical location inside Vancouver city limits, but you will travel into Vancouver to conduct business, count only the employees that work in the City of Vancouver.

Employee definition: Payrolled employees, self-employed persons, sole proprietors, owners, managers, and partners that work in city limits.

Method for calculating FTEs: Add up all hours to be worked in city (in 12-month period) by all “employees” and divide total by 2,080 hours; then round resulting number to nearest whole number. See examples below.

Examples:

600 hours
2,080 hours
  =    0.29  >    1 FTE            6,000 hours worked 
2,080 hours
 =   2.88  >   3 FTEs           75,000 hours worked 
2,080 hours
 =   36.03  >   36 FTEs


Non-Resident businesses

The license for a business operating in this city, but based outside this city, is determined by gross annual income earned within this city’s limits and number of employees to (FTE):

 

Reported gross annual income

License fee

$0 through $12,000

No fee

Above $12,000

$200 + $90 per FTE


Nonprofit & other employee-fee exempt business

A nonprofit or other business that qualifies for an applicable city employee-fee exemption criterion pays the city license fee, only.
License fee: $200
Employee fee: $0

Fees exemption

A business that expects to generate $12,000 or less in annual gross receipts in city limits is exempt from paying all city business license fees.

License fee: $0
Employee fee: $0