SAN JOSE, Calif. (KRON) — San Jose small businesses that have been significantly impacted by COVID-19 will get a break from paying taxes.

City leaders recently voted to extend a program that will waive the city’s business license tax for businesses dealing with financial challenges caused by COVID-19.

According to city documents, approximately 5,500 businesses may be eligible for an exemption. 

From Oct. 1, 2020, and Jun. 30, 2021 more than 19,000 businesses and residential landlords were contacted about being exempted from paying taxes with 1,430 businesses already approved. 

Business owners may be eligible if their gross receipts are less than $25,760 or if the business owner and their spouse have combined gross receipts that are less than $51,520.

The extension of the program is the latest effort by the city to help its business community. 

As a result, the city lost $409,127 in revenue from exemptions that were applied through Jun. 30, 2021. 

But despite losing out on money, the city has passed several local measures throughout the course of the pandemic in aim to help San Jose’s small businesses. 

Eligible business owners will be able to apply for an exemption through Jun. 30, 2022. 

To learn more about the program, click or tap here.