California Decreases Statewide Sales and Use Tax Rate

California’s statewide sales and use tax rate applicable to sales of tangible personal property is scheduled to decrease on July 1, 2011. The current rate – 8.25% – will be reduced to 7.25%. This rate is a combination of 6.25% state tax and a 1% state wide county tax resulting in the 7.25% rate. Effective July 1, 2011, the sales and use tax rate imposed on diesel fuel sales will increase 1.87%, making the new combined rate for diesel fuel 9.12% plus applicable district taxes. (Special Notice L-276, California State Board of Equalization, June 2011)

Posted on June 30, 2011