California Sales Tax Hike
Posted By Admin on March 31, 2009
Sales tax in California will increase by 1% effective tomorrow, April 1.
“SACRAMENTO (AP) — Californians will start feeling the pain of the recently negotiated state budget fix on Wednesday, when a 1-percent increase in the state sales tax will force consumers to pay more for goods such as cars, furniture, laptops and toys.” (from the Associated Press)
Okay so let’s see what this sales tax hike will bring to the state of California, would this really help balance the budget or not? For me, I just think that this tax hike is another big dent on our already tight budget especially for those people who got laid off from their jobs. I think that this will make us think and prioritize what our needs are before really buying so question now is, if people are not going to be buying how will that translate into money for the state?
Good thing food items or groceries are not covered by sales tax because if they were, that would be a nightmare.
“In grocery stores, unprepared food items are not taxed but vitamins and all other items are. Ready-to-eat hot foods, whether sold by supermarkets or other vendors, are taxed. Restaurant bills are taxed. As an exception, hot beverages and bakery items are tax-exempt if and only if they are for take-out and are not sold with any other hot food. If consumed on the seller’s premises, such items are taxed like restaurant meals. All other food is exempt from sales tax.” ( from Wikipedia )
This is the list of sales tax rates in California, see what’s the sales tax in your city.
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