California – Excise Tax Decrease

SALT Report 3776 – The California State Board of Equalization (BOE) elected to set the excise tax rate at 27.8 cents per gallon on gasoline for Fiscal Year (FY) 2016-17 and voted unanimously to sponsor a legislative proposal to exempt some pawn shop purchases from sales tax during its meeting on Tuesday, February 23.

The Board voted 3-2 to lower the excise tax rate on gasoline by 2.2 cents per gallon for FY 2016-17. The new rate will be 27.8 cents per gallon, effective July 1, 2016 through June 30, 2017. The Board has been tasked with setting the excise tax rate on gasoline since 2010, when two pieces of legislation (AB x8 6 and SB 70, collectively known as the fuel tax swap) took effect.

For further Information:

http://www.boe.ca.gov/news/2016/17-16-G.htm