California Sales Tax

On this page you will find handy sales and use tax information about California.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to California that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Rate

7.250% Note that the true California state sales tax rate is 6%.  There is a statewide county tax of 1.25% and therefore, the lowest rate anywhere in California is 7.25%.  We have listed the combined state/county rate as the state rate to eliminate confusion.

Range of Local Rates

0% – 3%

Local Rates Apply to Use Tax

Yes

CLICK-THROUGH NEXUS

9/15/2012

AFFILIATE NEXUS

9/15/2012

Status

Inactive

Amnesty Filing Dates

September 1, 2013 - December 2, 2013

Go to City of Los Angeles Amnesty Page
AMNESTY INCLUSION PERIODS

TAX TYPES AND CONDITIONS

The following City of Los Angeles Taxes: Business, Utility Users Taxes (Telephone, Electricity, Gas), Commercial Tenant’s Occupancy, Transient Occupancy, and Parking Occupancy Taxes.

AMNESTY BENEFITS

Waiver of penalties.

Status

Inactive

Amnesty Filing Dates

October 4, 2011 - October 3, 2012

Go to City of Los Angeles Amnesty Page
AMNESTY INCLUSION PERIODS

From October 4, 2011 through October 3, 2012, look-back period for prior City of Los Angeles Business Taxes is three years. Beginning October 4, 2012, the period is limited to five years.

TAX TYPES AND CONDITIONS

City of Los Angeles Business Tax.

AMNESTY BENEFITS

Penalties on late payment of taxes may be waived.

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

State Notices & Resources for Remote Sellers

Use this state by state guide to find each state\’s initial guidance on how to proceed post-Wayfair, state resources such as FAQs, and any state activity such as going through a legislative process that impacts remote sellers.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

California Issues Guide for Manufacturing and Research & Development Partial Exemption

California issued an updated tax guide for the state’s expanded manufacturing, research, and development partial sales and use tax exemption.

House Introduces Online Sales Simplicity and Small Business Relief Act of 2018

On September 13, 2018, Rep. Jim Sensenbrenner (R-WI) and additional U.S. House members introduced the Online Sales Simplicity and Small Business Relief Act of 2018.

Local Agencies in California Prohibited from Taxing Groceries

Effective June 28, 2018, local agencies in California cannot impose, increase, levy and collect, or enforce any California sales and use tax, fee, or other assessment on groceries.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

Destination Management Company’s Transfers of Property and Related Services are Exempt in California

A destination management company’s transfers of tangible personal property, as well as related service charges, were not subject to California sales and use tax.

Multistate Tax Commission Updates Its Uniform Sales & Use Tax Exemption Certificate

The Multistate Tax Commission (MTC) revised its Multijurisdictional Uniform Sales & Use Tax Exemption/Resale Certificate on January 22, 2018 to reflect two state changes.

California Office of Tax Appeals Adopts Regulations for Appeals

The California Office of Tax Appeals adopted emergency regulations regarding appeals of the state’s Franchise Tax Board and Department of Fee Administration, effective January 1, 2018.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.

California Extends Partial Manufacturing Exemption

California has extended the end date for the state’s partial sales and use tax exemption for manufacturing from July 1, 2022 to July 1, 2030 and expanded the exemption’s coverage.

Multistate Tax Commission Announces Tax Amnesty Program for Online Sellers

The MTC organized a tax amnesty program for online sellers, running from August 17 to November 1, 2017. The voluntary disclosure program allowed sellers to start remitting sales tax on future sales without penalty or liability for unpaid, prior accumulated sales tax in 25 participating states.

No Regulation Without Representation Act of 2017 Introduced

Under the proposed House bill, a state may tax or regulate a person’s activity in interstate commerce only when the person is physically present in the state during the period in which the tax or regulation is imposed.

California Board of Equalization Duties Transferred to Department of Tax and Fee Administration

Beginning January 1, 2018, the California BOE will only hear appeals related to property taxes, insurance taxes, and excise taxes on alcohol after passing off most duties to the new California Department of Tax and Fee Administration.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

California Enacts Lead-Acid Battery Fee, Effective April 1, 2017

Effective April 1, 2017, California enacted a battery fee on the purchase of replacement lead-acid battery and a manufacturer battery fee on the sale of a lead-acid battery to purchasers in the state.

California Increases Electronic Waste Recycling Fees

California approved an increase in the electronic waste recycling (eWaste) fee rates for all covered electronic devices. Effective January 1, 2017, the eWaste fee increases for all covered electronic devices.

California State Sales Tax Rate Decreases on January 1, 2017

On January 1, 2017, California’s state sales and use tax rate will decrease, after three years of a temporary sales tax rate increase. The rate decrease includes the statewide county tax.

Jurisdictions in California, Colorado and Illinois Approve Soda Taxes

On November 8, 2016, the San Francisco, Oakland, and Albany jurisdictions in California and the Boulder jurisdiction in Colorado approved “soda taxes” through ballot measure.

California Amends Regulation for Newspapers and Periodicals

California amended a regulation regarding newspapers and periodicals to clarify how sales and use tax apply to lump-sum charges for mixed newspaper subscriptions that include the right to access digital content.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

Congress Approves Permanent Extension of Internet Tax Freedom Act

Congress approved a permanent extension of the Internet Tax Freedom Act, signed into law by the President 02/24/16. More…