California Sales & Use Tax

California levies a 7.25% state sales tax rate. Counties and local municipalities also levy their own sales taxes in addition to the state rate. California’s combined sales tax rates range between 7.25% and 9.75%. The combined rate includes state, district, county and city sales tax. Certain items, such as groceries and prescription medications, may be exempt from sales tax. 

Use tax is applied on the same basis and at the same rates as sales tax is within the state of California. Additionally, California has a use tax that applies to purchases made from out-of-state retailers if sales tax was not collected at the time of purchase. For monthly filers, returns are due on or before the last day of the month following the month that purchases were made. 

California provides exemption opportunities for the following industries: 

  • Manufacturing
  • Pharmaceutical/Biotech
  • Medical Devices

Statute for Refunds: 36 Months

Utility Exemption: Yes, electricity is exempt; Study is not required.

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