Sales Tax in Los Angeles, California

Understanding the 9.5% Sales Tax Rate

Los Angeles County, California, has a combined sales tax rate of 9.5%. This rate is a combination of the state sales tax rate of 6% and the local sales tax rate of 3.5%. The local sales tax rate is set by the Los Angeles County Board of Supervisors.

History of the Sales Tax Rate in Los Angeles County

The first sales tax in Los Angeles County was imposed in 1933 at a rate of 2%. The rate was increased to 3% in 1941 and to 4% in 1943. In 1982, the rate was increased to 6%. In 1990, the rate was increased to 7%. In 2002, the rate was increased to 8%. In 2009, the rate was increased to 9%. In 2010, the rate was increased to 9.5%.

Exemptions from the Sales Tax

Certain items are exempt from the sales tax in Los Angeles County. These items include:

• Food for human consumption
• Prescription drugs
• Medical devices
• Clothing and shoes under $750
• Books
• Newspapers
• Magazines

Sales Tax Holidays

Los Angeles County offers a number of sales tax holidays throughout the year. These holidays allow shoppers to purchase certain items tax-free. The sales tax holidays for 2023 are:

• Back-to-School Sales Tax Holiday: August 4-6, 2023
• Clothing and Footwear Sales Tax Holiday: August 25-27, 2023
• Emergency Preparedness Sales Tax Holiday: April 8-9, 2023

How to Calculate Sales Tax

To calculate the sales tax on a purchase, multiply the purchase price by the sales tax rate. For example, if you purchase an item that costs $100, the sales tax would be $9.50.

Paying Sales Tax

Sales tax is typically collected at the point of sale. However, you may also be required to pay sales tax if you purchase items online or through the mail. If you are not sure whether you owe sales tax on a purchase, you can contact the California Department of Tax and Fee Administration (CDTFA).

Filing Sales Tax Returns

Businesses that are required to collect sales tax must file sales tax returns with the CDTFA. The frequency of filing sales tax returns depends on the amount of sales tax collected. Businesses that collect less than $1,500 in sales tax per month must file sales tax returns quarterly. Businesses that collect $1,500 or more in sales tax per month must file sales tax returns monthly.

Penalties for Not Paying Sales Tax

Businesses that fail to file sales tax returns or pay sales tax on time may be subject to penalties. The penalties for not paying sales tax can be significant. Businesses that are caught not paying sales tax may be required to pay the back taxes, plus interest and penalties.

Getting Help with Sales Tax

If you have questions about sales tax in Los Angeles County, you can contact the CDTFA. The CDTFA offers a number of resources to help businesses and individuals understand and comply with the sales tax laws.

Additional Resources

• CDTFA website
• Los Angeles County Board of Supervisors website
• California Sales Tax Brackets

Table 1: Sales Tax Rates in Los Angeles County

Table 2: Sales Tax Holidays in Los Angeles County

Table 3: Sales Tax Return Filing Deadlines

Table 4: Penalties for Not Paying Sales Tax