California – Sales and Use Tax Rate Decrease

SALT Report 3887 – The statewide sales and use tax rate will decrease one quarter of one percent (0.25%) from 7.50 percent to 7.25 percent on January 1, 2017. The decrease in the statewide rate is effective for all cities and counties in California; however, the actual sales and use tax rate may still be higher than the statewide rate in many jurisdictions in California due to the addition of district taxes.

The sales tax rate is decreasing due to Proposition 30, The Schools and Local Public Safety Protection Act of 2012, was approved by California voters in November 2012 to temporarily increase the sales and use tax by 0.25 percent. The sales and use tax imposed by Proposition 30 expires December 31, 2016.

For further Information:

http://www.boe.ca.gov/sutax/prop30.htm