California Sales and Use Taxes Set to Increase by .25% on January 1, 2013
/Due to voter approval of Proposition 30, the statewide sales and use tax rate will increase one quarter of one percent (0.25%) on January 1, 2013. The higher tax rate will apply for four years – January 1, 2013 through December 31, 2016.
This is the first sales and use tax rate change since July 1, 2011, when rates in most of Ventura County dropped from 8.25% to 7.25% (except Port Hueneme and Oxnard, where rates dropped from 8.75% to 7.75%). Oxnard and Port Hueneme both voted in a Transactions and Use Tax of .5% effective April 1. 2009 that is reflected in these rates.
Thus, effective January 1, 2013, sales and use tax rates in all of Ventura County, except for Port Hueneme and Oxnard, will increase to 7.5% (8% in Port Hueneme and Oxnard).
Our neighbors in the L.A. County portion of Westlake Village, Agoura Hills, Malibu and Calabasas will pay 9% effective January 1, 2013, while most of our neighbors in Santa Barbara County will be paying 8% (except Santa Maria, which will be at 8.25% because they added a .25% Transactions and Use Tax in that city effective October 1st of this year).
The highest sales and use tax rates in the state will continue to be in Pico Rivera and South Gate, where rates will be to 10% effective January 1st. In November 2012, La Mirada voters approved a 1% temporary sales tax rate increase that will expire in five years. As a result, La Mirada joins the 10% sales and use tax club effective April 1, 2013.
There are a number of cities currently at a 9.5% effective rate, include Avalon, Santa Monica. El Monte, Inglewood and South El Monte. Effective April 1, 2013, the City of Commerce and Culver City join this list.
This is taxing just writing about this stuff!
For updates, visit the California Board of Equalization website at www.boe.ca.gov.
Here is a history of sales and use tax rates (excluding district taxes) in California going back to August 1, 1933.
- 8/1/33: 2.5%
- 7/1/35: 3%
- 7/1/43: 2.5%
- 7/1/49: 3%