Correct. Surprised more people aren’t aware of this. Twitter literally can’t launch it payments service while still having SF as HQ.
Since a gross receipts tax hits anything other than small, local stores inconsistently, I'm not sure what behavior it's trying to drive. It also taxes revenue rather than income, so yes, it makes anything ulta-low margin like a payments platform DOA.
It seems the objective is to disincentive companies that have business outside the city borders.
There might also be a thing about being millions behind on rent...
Interesting. How does Stripe and other SF based payment platforms handle it?