CA sales tax increases

[kemasa]

I just got the email for the sales tax increases. It is amazing how many locations are over 10% sales tax and that is just the increases.

That is quite a huge tax on people, over 10% on items purchases and that is after getting taxed on income. The high is 10.5%, many at 10.25%.

As of Oct-2018, there are 18 areas 10% or over. Effective April 2019, there will be more.

It is no wonder why many are leaving CA.

The fun thing is that you are supposed to charge the sales tax based on where the item is delivered to.

http://www.cdtfa.ca.gov/taxes-and-fees/rates.aspx

These are the current number of locations for a given rate:

467 7.250
6 7.375
19 7.500
595 7.750
44 7.875
48 7.975
10 8.000
38 8.125
83 8.250
11 8.375
2 8.475
31 8.500
4 8.625
1 8.725
77 8.750
3 8.875
2 8.975
42 9.000
1 9.125
44 9.250
233 9.500
6 9.750
9 10.000
9 10.250

[Tunabliss]

It's become a free for all. I don't get how they justify and we allow a sales tax at all; let alone letting them get this high! I believe this was a driving force behind the ammo regs that are forcing us to buy ammo in CA instead of tax free on line. Time to through some tea in the harbor!

[kemasa]

I think the ammo thing is pure harassment. The sales tax money might be a side issue, but the main thing is cost people more time and money and make it as difficult as possible. I wouldn't doubt that they would prefer gun people to leave the state.

[Fjold]

The worst thing is that individual cities can add to their County's sales tax rate.

Having 58 different sales tax rates is bad enough but add in all the other tax zones for the different cities and it becomes a PIA.

[Tyke8319]

It's become a free for all. I don't get how they justify and we allow a sales tax at all; let alone letting them get this high! I believe this was a driving force behind the ammo regs that are forcing us to buy ammo in CA instead of tax free on line. Time to through some tea in the harbor!

The sad part is Newsom doesn't need to justify a GD thing. He'll just do what he wants and he has the legislator to back him.
It'll be an interesting war to watch how Trump will get the $928 million back from Newsom...

[Featureless]

This is an onerous bookkeeping and reporting burden the costs of which will have to be passed on to the consumers.

[kemasa]

This is an onerous bookkeeping and reporting burden the costs of which will have to be passed on to the consumers.

Yes, and it has gotten MUCH worse due to the SC case. As bad as it was making the CA transfer dealer be considered the retailer and collect the sales tax on the firearm AND their transfer fee, now many more out of state retailers will be responsible for collecting the sales tax, including on the transfer fee, which they don't know what it is.

There are going to be many more businesses across the country who have to file a CA sales tax return, even if they made no sales within the time period. As well, they are going to have to do the same for many other states. It would be far easier to have a business charge the sales tax based on where they are, not where the item is shipped to.

Then again, sales tax is really a tax without representation when you buy an item outside of where you live as you have no vote on the sales tax increases or anything else in that specific area, when it is out of state, it is even worse.

[The War Wagon]

ALL that free crap for ILLEGAL FOREIGN INVADERS ain't just gonna pay for itself!!! Ante up!

[newbie1234]

I just got the email for the sales tax increases. It is amazing how many locations are over 10% sales tax and that is just the increases.

That is quite a huge tax on people, over 10% on items purchases and that is after getting taxed on income. The high is 10.5%, many at 10.25%.

As of Oct-2018, there are 18 areas 10% or over. Effective April 2019, there will be more.

It is no wonder why many are leaving CA.

The fun thing is that you are supposed to charge the sales tax based on where the item is delivered to.

[url]http://www.cdtfa.ca.gov/taxes-and-fees/rates.aspx[url]

These are the current number of locations for a given rate:

https://www.salestaxhandbook.com/california/rates

[Nardo1895]

The fun thing is that you are supposed to charge the sales tax based on where the item is delivered to.

I'm a little confused by this statement. I assume you mean that the sale tax rate needs to be based on where the customer lives? I think vehicles are done that way, but most (all?) other retail sales are taxed at the rate of the retailer's location. Are we supposed to tax based on the buyer's location? Or does this refer to how an out-of-state seller is suppose to apply sales tax on sales to California?

[kemasa]

I'm a little confused by this statement. I assume you mean that the sale tax rate needs to be based on where the customer lives? I think vehicles are done that way, but most (all?) other retail sales are taxed at the rate of the retailer's location. Are we supposed to tax based on the buyer's location? Or does this refer to how an out-of-state seller is suppose to apply sales tax on sales to California?

It isn't where the person lives, but where it is delivered to, in this case where the FFL is located. If you have a customer who buys a firearm, you can't determine what the sales tax rate is until you know where the FFL is located. It applies to both in state and out of state. Then realize that as the CA retailer, the seller is also responsible for submitting the sales tax on the transfer dealer's transfer fee.

My personal opinion is that the sales tax should just be based on the seller's location. Forcing a business to collect and submit sales tax for every state and every district in the state is absurd. But I don't make such decisions.