Sales Tax in Orange County, California

Understanding the Tax Rates

Orange County is composed of 34 cities, each with its own local sales tax rate. The combined state and local sales tax rate in Orange County ranges from 7.75% to 10.25%.

Calculating Sales Tax

To calculate the sales tax on a purchase, multiply the purchase price by the combined sales tax rate. For example, a $100 purchase in Anaheim would be subject to an $8.25 sales tax, calculated as follows:

$100 x 8.25% = $8.25

Exemptions and Exclusions

Certain items are exempt from sales tax in California, including:

• Groceries
• Prescription drugs
• Clothing and footwear under $2,000
• Repairs and maintenance

Common Questions

1. What is the sales tax rate in my city?

Refer to the table above or consult the California Department of Tax and Fee Administration (CDTFA) website for city-specific sales tax rates.

2. How do I report and pay sales tax?

Businesses that collect sales tax are required to file and pay sales tax returns to the CDTFA. Visit the CDTFA website for more information.

3. Can I get a refund on sales tax I paid?

Yes, you may be eligible for a refund if you purchased an item that is exempt from sales tax or if you paid sales tax on a purchase that was later returned. Visit the CDTFA website for more information.

4. What if I have questions about sales tax?

Contact the CDTFA at (800) 400-7115 or visit their website for assistance.

Conclusion

Understanding sales tax rates and exemptions is important for businesses and consumers alike in Orange County, California. By following these guidelines and seeking further assistance when needed, you can ensure compliance and avoid any potential penalties.