Starting Tuesday, Los Angeles County residents will experience a sales tax increase, impacting purchases from groceries to cars. The sales tax rate will rise from 9.5% to 9.75% following voter approval of Measure A last November. This measure replaces the previous Measure H, which was set to expire in 2027, and aims to fund homeless services and prevention efforts in the county.
Measure A will generate over $1 billion annually, with approximately 60% allocated to homeless services and 40% to housing production. The tax will remain in effect indefinitely unless repealed by voters. The increase affects cities differently; for example, Long Beach will see a sales tax of 10.5%, while Santa Monica’s will be 10.75%. In Palmdale and Lancaster, the rate will rise to 11.25% due to additional local measures.
The California Department of Tax and Fee Administration has issued a special notice regarding the new rates, urging residents and businesses to review the changes. The additional revenue aims to support homeownership, provide rental assistance, and fund services for vulnerable populations, including mental health and addiction treatment.
Recent Comments