State Income Tax California imposes a graduated income tax similar to the Federal Income Tax in structure. Returns are to be filed each year by April 15th.
Retail Sales Tax8.25% of tangible personal property. Retail sales tax varies by county. It is dependent upon voter-approved taxes for special funding projects. Check with your city or county offices for you city’s rate.
Groceries, prescribed medications, newspaper, periodicals and public utilities are not subject to sales tax.
Property Tax California property taxes for the first year – approximately 1.25% of the value (purchase price) of the property, plus any voter-approved bonded indebtedness of the community.
Thereafter, 1% of the combined value (purchase price) of the property, plus 2% appreciation per year, plus any voter-approved bonded indebtedness of the community.
Exceptions The Homeowner’s Exemption will be a deduction of $7,000 from the sum of the original purchase price and any accrued appreciation. This net figure will be multiplied by 1%. This exemption applies only to owner-occupied property. Any improvements to the property are taken into account to increase the taxable value of the property.
To qualify for the Homeowner’s Exemption, the property must be owner occupied on March 1st. Once you have purchased a home, you are automatically sent a card for application. The card must completed and returned between March 1st and April 15th. Applications submitted after April 15th but before the end of the year will quality for only 80% of the exemption. If you have not received your Homeowner’s Exemption card by the 1st week in March, you should contact your local County Tax Assessor. The only time you should have to re-file is if there is some change in title. Again, a card should be sent to you automatically, but if you do not receive it, you should call the County Tax Assessor.
The above state tax rate does not include local city taxes, special assessments, etc.
Tax Year is July 1 through June 30 Taxes are paid in two equal installments. On November 1st, the first installment is due and becomes delinquent if not paid by December 10th, at which time a penalty of 10% is added to the bill. The second installment is due on February 1st and becomes delinquent if not paid by April 10th. If the second installment becomes delinquent, a 10% penalty is added to it as well as a $10.00 handling cost.
Mello-Roos Tax In some cities, a special tax is assessed to fund parks, street lights and other amenities.