Debra A. Simmons, CPA

Sales Tax Rate Drops July 1

In Business Info on May 14, 2011 at 4:19 pm

Effective July 1, 2011, the combined statewide sales and use tax rate will decrease from 8.25% to 7.25%. The temporary 1% increase implemented in April 2009 expires June 30, 2011. Remember that district taxes are still applicable, so the tax rates in most areas of California will be greater than 7.25%. For a list of rates as of April 1, 2011, go to

If the governor has his way, rates will increase, but that won’t happen until later this year. So reprogram your cash registers and accounting programs to charge the lower sales tax beginning July 1.


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