Sales & Use Tax in California
Retailers engaged in business in California must register with the California Department of
Tax and Fee Administration (CDTFA) and pay the state’s sales tax, which applies to all retail
sales of goods and merchandise except those sales specifically exempted by law. The use tax
generally applies to the storage, use, or other consumption in California of goods purchased
from retailers in transactions not subject to the sales tax. Use tax may also apply to purchases
shipped to a California consumer from another state, including purchases made by mail order,
telephone, or Internet.
The sales and use tax rate in a specific California location has three parts: the state tax rate, the
local tax rate, and any district tax rate that may be in effect.
“Local Tax” is the general term for sales and use taxes imposed under the Bradley-Burns
Uniform Sales and Use Tax Law. The basic statewide sales and use tax rate is 7.25% and is
divided as follows:
- 6.00% State
- 1.00% Local Jurisdiction (City or county of place of sale or use)
- 0.25% Local Transportation Fund (County of place of sale or use)
“District Taxes” are imposed locally under the Transactions and Use Tax Law. The tax rate in
your area may be higher than 7.25% depending on the district taxes that apply there.
We are providing the following services:
- Prepare and e-file your quarterly / Annual Sales & Use Tax Return 401-A.
- Monthly estimated tax payment.
- To get online Seller Permit /License for New businesses.