Don’t be surprised if some extra cents ring out on your receipt this week. Starting Tuesday, Los Angeles County residents will see a quarter-percent sales tax increase on purchases due to voter-approved measures supporting county-operated homeless services.
As of April 1, residents of unconsolidated areas of Los Angeles County or cities that did not levie their own voter approval tax will see sales tax jumping from 9.5% to 9.75%.
In California, Alameda County is now at 10.25% in the county’s highest sales tax, according to the tax rate that came into effect in January 2025.
Why is there a sales tax hike?
In November, Los Angeles County voters approved Measure A, which funds homeless services called Measure H, in lieu of the county’s 2017 quarterly cent sales tax.
Measurement H was set to expire in 2027.
However, Measure A completely replaces it two years before its expiration date, increasing the tax rate to half a cent.
The new tax remains in effect until it is removed by voters.
According to the county’s Homelessness Initiative, the A’s goals include reducing the number of people falling into homelessness, living on the streets with mental or substance use disorders, increasing the number of affordable housing units in the county, and increasing the number of people transitioning from business to permanent housing.
This is a breakdown of how Measure A revenue is used.
Approximately 60% of the revenue will be directed to the county’s homeless services.
Of that total percentage, approximately 15% is expected to be allocated to cities, government councils and unorganized areas based on inappropriate populations from the previous year’s Homelessness Count Survey conducted by the Los Angeles Department of Homeless Services. Approximately 1.65% will test new ideas for large-scale programs of the future for innovation funds.
Approximately 40% will be allocated to housing production.
35.75% of the total is because the newly established Los Angeles County Affordable Housing Solutions Agency will fund the development of affordable housing. 3% has been reserved for the Los Angeles County Development Bureau. 1.25% is scheduled for accountability, data and research.
Are all cities in Los Angeles County going to see a sales tax rate of 9.75%?
no. Some cities in the county differ, with higher sales tax rates, and as a result of measurement, these tax rates increase by more than 9.75%, according to the California Department of Tax and Tax Administration.
Cities with current rates of 10.25% and increase to 10.50% as a result of Major A:
Alhambra Alcadia Bardwin Park Bell Gardens Bell Flower Burbank Carson Kommerco Vina Kudda HikuruBurdute Gardens Glendale Hawaiian Garden Hausthorn Hanton Park La Canoda Flintridge Lavel Bell Cake Wood Laurel Romi Taron Beach Fernandosan Gabrielsierra Madresignal Hill South Pasadenavernonwest Hollywoodwhittier
Cities that have approved their own new sales tax rates, combined with the highest and lowest listed Major A:
Lancaster has approved a new .75% sales tax. That tax rate will rise from 10.25% to 11.25%. Palmdale has approved a new .75% sales tax. That tax rate will increase from 10.25% to 11.25%. Azusa has approved a new .25% sales tax. That rate will rise from 10.25% to 10.75%. Glendora has approved a new .25% sales tax. That rate will rise from 10.25% to 10.75%. Irwindale has approved a new .25% sales tax. That rate will rise from 10.25% to 10.75%. South El Monte has approved a sales tax of .25%. That rate will rise from 10.25% to 10.75%. Artesia has approved AA’s new .75% sales tax. The current rate is 9.50%, jumping to 10.50%. Downey has approved a new .25% sales tax. That tax rate will rise from 10% to 10.50%. Manhattan Beach has approved a sales tax of 0.50%. That rate will rise from 9.50% to 10.25%.
These cities were excluded from the 0.25% sales tax on Measurement H, but are now subject to Measurement A, with the sales tax rate being increased to 10.75%.
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These cities are also increasing from measurement A and their own local rates.
Avalon’s current rate is 10%, increasing to 10.25%. Elmonte has approved an indefinitely increase in rates to 0.75%. That rate will rise from 10% to 10.50%. Inglewood’s current rate is 10%, increasing to 10.25%. La Puente’s current rate is 10%, while Santa Fe Springs’ current rate increases to 10.50% and to 10.75%. Torrance’s current rate is 10%, increasing to 10.25%.
What is taxable and can it be taxed?
Many of your daily purchases are subject to tax on furniture, toys, clothing, electronics, and more.
The California Tax Services Center has sales tax exemption items include:
The sale of specific foods for human consumption (such as groceries). Sale to the US government. Sales of prescription drugs and specific medical devices. Selling items paid for by EBT card.
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