California sales tax is a tax on most goods you buy, added to the price at checkout

When you buy something in California, the store adds a sales tax to your bill. This tax goes to the state and to your local city or county. The total rate you pay depends on where you live — it is not the same everywhere in California. The state sets a base rate, and then your city or county adds its own local tax on top.

You do not pay sales tax on everything. Groceries, prescription medicines, and some medical equipment are exempt. Most other goods — clothing, electronics, furniture, gasoline — are taxed. Services like haircuts, car repairs, and plumbing are usually not taxed, though there are exceptions.

Key Takeaways

  • California's state sales tax rate is 7.25 percent, but your total rate is higher because your city or county adds a local tax on top.
  • The combined rate ranges from 7.25 percent to over 10 percent depending on which county and city you live in.
  • Groceries and prescription medicines are not taxed, but most other goods and some services are.
  • You pay sales tax at the register when you buy something in person, and online retailers must collect it too if they have a physical presence in California.

State rate plus local rate equals what you actually pay

California's state sales tax is 7.25 percent. But that is not what you pay. Your city or county adds a local sales tax on top of the state rate. The combined rate varies by location.

For example, if you live in Los Angeles County, the county adds 0.5 percent and the City of Los Angeles adds 2.25 percent, for a combined total of 10 percent. If you live in San Francisco, the combined rate is 8.625 percent. In some rural counties, the combined rate may be only 7.25 percent if no local tax is added.

You can find your exact rate by entering your address on the California Department of Tax and Fee Administration website, or by asking a cashier. The rate is printed on your receipt.

What is and is not taxed in California

Not taxed: Groceries (unprepared food you cook at home), prescription medicines, medical equipment prescribed by a doctor, and most services like haircuts and car repairs.

Taxed: Clothing, shoes, electronics, furniture, gasoline, prepared food (restaurant meals, deli items, hot coffee), alcohol, and tobacco. Clothing and shoes are taxed even though some other states exempt them.

The line between taxed and not taxed can be confusing. A sandwich from a deli counter is taxed because it is prepared food. A loaf of bread from the grocery shelf is not. A bottle of vitamins is not taxed if it is a dietary supplement, but some vitamin products are taxed if they are classified as food. When in doubt, the cashier can tell you whether an item is taxed.

How sales tax works when you shop online

Online retailers must collect California sales tax if they have a warehouse, office, or other physical presence in the state. This includes large retailers like Amazon and most national chains. If an online seller has no physical presence in California, they may not collect tax at checkout — but you are technically supposed to pay the tax yourself when you file your state income tax return (this is called use tax, and most people do not pay it).

When you buy online from a California retailer, the tax is calculated based on the address where the item is being shipped. If you order something to be delivered to your home in San Francisco, you pay San Francisco's combined rate. If you pick it up at a store in a different city, you pay that city's rate.

Sales tax on cars, boats, and other vehicles

When you buy a car, truck, or motorcycle in California, sales tax is calculated on the purchase price. The rate is the combined rate for the county where the vehicle is registered, not where you bought it. If you buy a car in one county but register it in another, you pay the tax rate of the county where you register it.

The tax is usually collected by the dealer at the time of sale and sent to the state. If you buy a used car from a private seller, you pay the tax when you register the vehicle with the Department of Motor Vehicles.

Sales tax on services and labor

Most services are not subject to sales tax in California. If you hire a plumber, electrician, or contractor to do work in your home, you do not pay sales tax on their labor. However, if they sell you materials as part of the job, those materials are taxed.

For example, if a plumber replaces a pipe in your house, you do not pay sales tax on the plumber's labor, but you do pay sales tax on the pipe itself. The plumber's invoice should show the labor separately from the materials so you can see which part is taxed.

Some services are exceptions. Landscaping services, pest control, and certain repairs to vehicles are taxed in California. If you are unsure whether a service is taxed, ask the business before they do the work.

How to find your local sales tax rate

Your combined sales tax rate depends on your address. The easiest way to find it is to visit the California Department of Tax and Fee Administration website and use their sales tax rate lookup tool. You enter your street address, city, and ZIP code, and it shows you the exact rate for that location.

You can also call your city or county tax assessor's office, or straightforward ask a cashier at a local store — they see the rate every day and can tell you what it is. Your receipt also shows the rate that was applied to your purchase.

Frequently Asked Questions

Do I pay sales tax on groceries?

No. Unprepared food that you cook at home — bread, milk, vegetables, meat, canned goods — is not taxed. But prepared food like restaurant meals, deli sandwiches, and hot coffee is taxed. Candy and soda are also taxed because they are not considered groceries.

Is clothing taxed in California?

Yes. California taxes clothing and shoes, unlike some other states. A shirt, pants, jacket, or pair of shoes is subject to sales tax at the combined rate for your location.

Do I pay sales tax when I buy something online from out of state?

If the seller has no physical presence in California, they may not collect tax at checkout. You are technically supposed to pay use tax on your state income tax return, but this is rarely enforced for individual purchases. Large online retailers like Amazon do collect California sales tax because they have warehouses in the state.

What if I buy something in one California city and use it in another?

You pay the sales tax rate of the city where you buy it, not where you use it. The tax is based on the location of the sale, not the location of the buyer's home.

Is sales tax the same in every California county?

No. The state rate is 7.25 percent everywhere, but each county and city adds its own local tax. Combined rates range from 7.25 percent to over 10 percent depending on where you live. You can look up your exact rate on the California Department of Tax and Fee Administration website.