Statewide Sales and Use Tax Rate Decreases by 1% on July 1st

Statewide Sales and Use Tax Rate Decreases by 1% on July 1st

The statewide sales and use tax rate decreased from 8.25 percent to 7.25 percent on July 1, 2011.

The 1 percent decrease applies, generally, to all taxable transactions in California. In areas where voters have approved additional sales taxes, the total tax rate applied to purchases will be the statewide base tax rate of 7.25 percent, plus any applicable local sales tax. For example the new rate for the cities of Lakeport and Clearlake is 7.75 percent.

Retailers should check the BOE website, www.boe.ca.gov, for updates.

To check if your city has additional sales taxes, you can visit the following website for a listing by City or County http://www.boe.ca.gov/cgi-bin/rates.cgi.
 

Posted on 7/1/2011