It doesn’t punish billionaires. It punishes your grocery bill, your pharmacy, and your neighborhood.
The tax is calculated on a company’s worldwide employee count — not San Francisco employees. This was designed to spare Big Tech while hammering local businesses with small SF footprints.
Gross receipts tax rates explode from 0.175% to as high as 1.175% — a 571% increase. Administrative offices see payroll taxes jump from 0.35% to 5.0% — a 1,329% increase on the highest tier.
Once enshrined in the City Charter, these rates cannot be adjusted by the Board of Supervisors without another citywide ballot measure. This is a permanent structural attack on San Francisco’s commercial backbone.
These are not small adjustments. These are existential blows to neighborhood grocers and pharmacies.
| Revenue Tier | Current Rate | Prop D Rate | Increase |
|---|---|---|---|
| $0 – $1M | 0.075% | 0.575% | ↑ +667% |
| $1M – $2.5M | 0.175% | 0.575% | ↑ +229% |
| $2.5M – $25M | 0.175% | 1.075% | ↑ +514% |
| $25M+ | 0.175% | 1.175% | ↑ +571% |
| Payroll Tier | Current Rate | Prop D Rate | Increase |
|---|---|---|---|
| First $100M | 0.35% | 3.0% | ↑ +757% |
| $100M – $200M | 0.55% | 3.5% | ↑ +536% |
| $200M – $350M | 0.75% | 4.25% | ↑ +467% |
| $350M+ | 0.75% | 5.0% | ↑ +567% |
This is an 800% tax hike on the supply chain of food and medicine. Your neighborhood grocer and pharmacy will pay dramatically more — and they will pass it on to you.
Big Tech companies with massive global workforces are deliberately carved out. Prop D targets the local businesses that actually serve San Franciscans.
Once passed, this tax structure is locked into the City Charter. Future Boards of Supervisors cannot easily fix the damage. This is fiscal irresponsibility disguised as justice.
San Francisco voters are being asked to choose between two competing measures. One protects working families. The other punishes them. When the choice is unclear, the responsible vote is always NO on D.