Food and Sales Tax 2020 in California
California sales tax details
The California state sales tax rate is 7.25%. This rate is made up of a base rate of 6%, plus California adds a mandatory local rate of 1.25% that goes directly to city and county tax officials. Depending on local sales tax jurisdictions, the total tax rate can be as high as 10.25%.
Food and prescription drugs are exempt from sales tax.
Amazon owns and operates a number of fulfillment centers in California. This physical presence, or nexus, creates a sales tax obligation for Amazon and many sellers participating in Amazon’s Seller Central and Fulfillment by Amazon (FBA) programs.
Businesses with nexus in California are required to register with the California Department of Tax and Fee Administration (CDTFA) and to charge, collect, and remit the appropriate tax.
Generally, a business has nexus in California when it has a physical presence there, such as a retail store, warehouse, inventory, or the regular presence of traveling salespeople or representatives. However, out-of-state sellers can also establish nexus.
California state sales tax rate
7.25%
* Due to varying local sales tax rates, we strongly recommend using our California sales tax calculator to determine the exact sales tax rate for your location.
California sales tax changes effective April 2019
The following sales tax rate changes are set to go into effect April 1, 2019 in California. For specific details including effective rate date changes, please refer to document L-595 from the California BOE.
Source: Avalara (https://www.avalara.com/taxrates/en/state-rates/california/rate-changes.html)
