Institute on Taxation and Economic Policy tracks rising sales tax burdens in Los Angeles…
What happened
The Institute on Taxation and Economic Policy is tracking sales tax burdens in California, noting various increases in Los Angeles County. On October 1, Measure ER added 0.5% to sales tax rates throughout Los Angeles County, bringing the rate in San Gabriel to 11%. Other measures are proposed, including Measure PS in San Gabriel, which would raise the rate to 12%, and Measure Q in Diamond Bar, which would raise the rate to 11.25% on November 3.
From dailynews.com
Why it matters
The multiple tax hikes reflect a competition among governments to raise revenue from consumers, often through special exemptions from Sacramento. According to the Institute on Taxation and Economic Policy, lowest-income households in California pay 7.6% of their income in sales and excise taxes.
From dailynews.com
Who's involved
- Los Angeles CountyCounty where multiple sales tax increases are being implemented.
- Institute on Taxation and Economic PolicyPolicy institute tracking and analyzing tax burdens in California.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Los Angeles CountySpeculative
Local sales tax increases could raise consumer costs and operational expenses in the county.
- MalibuSpeculative
Increased local sales tax rates could raise consumer costs and reduce local business revenue.
The tax increases may increase funding access for public health services.
Possible ripples
Who this could reach next, traced step by step from the reporting. Possibilities worth considering, not forecasts.- How could rising sales tax rates in Los Angeles County affect Barbara Ferrer's department?Increased sales tax revenue could provide greater funding for public health services.Possible
- Malibu may face higher consumer costs from rising county tax ratesMalibu may face higher consumer costs due to rising county tax ratesPossible
- Higher sales tax rates may boost funding for LA County public healthHigher sales tax rates could provide additional funding for public health services.Possible
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The entities involved
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Los Angeles County
county in California, United States
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Los Angeles
seat of Los Angeles County, and largest city in California, United States
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Institute on Taxation and Economic Policy
non-profit non-partisan tax think tank