Re:Stripe to move to South San Francisco
by nothrabannosir on Thursday October 24, 2019 @04:36AM
(#21342708)
This is significant information, because there’s a whole conversation upthread assuming the gross receipts tax applies to their full business.
I have a hard time believing most of their payroll is here. Strip is fairly disturbed and probably has huge ops and customer service teams in low cost locations. Their payroll footprint in the city, while significant, will not be burdensome when it comes to gross receipts
Payroll tax is based on apportionment of payroll expense, rather than headcount. It also includes stock based compensation. I'd guess most of their payroll expense is in San Francisco.
The item specifically relevant to Stripe is that it's categorized as a Financial Services rather than Information company. Financial Services companies have to allocate gross receipts based 50% on their payroll location and 50% based on their sales location. So while their portion of sales in San Francisco is negligible, most of their payroll is there.