>> Angelenos will start paying a 9.25% sales tax, up from 8.25%, come April 1, thanks to the finally-passed state budget.
>> Come July 1, the sales tax will go up to 9.75%, with the extra money going towards Measure R, passed in November to help build the Subway to the Sea and address other LA County transit issues.
>> Vehicle license fee will also go up to 1.15% of the vehicle’s value, up from .65%, starting May 19. That increase is also due to the new state budget.
Keep in mind, however, that vehicle license fees were at 2% until 1998, at which point the fees started getting pushed down until they hit .65%. Governor Davis tried to reinstitute the 2% in 2003 — and got himself recalled. Schwarzenegger, when he took office, dropped the rate back down to .65% — AND reimbursed the peeps who paid the 2% rate — a move some analysts said would add $4 billion to the state deficit.
All that’s to say that fees are going up, but not as far up as they once were. Also, Schwarzenegger’s one lucky bastard who was able to drop vehicle license fees back when gas guzzling was popular, and now is able to raise them back up when oil=war — all while currying favor with the enviro crowd as a “green governor.”
>> California personal income tax rates will go up by 0.25%.
>> Figure out how much all of the new state budget stuff will cost you using SacBee’s handy calculator (via LAist).
>> If you’re in despair about the taxes: Keep in mind that Obama’s stimulus plan gives most people a $400 tax break at least. So — I hope you at least break even. What Obama giveth, Schwarzenegger taketh away?
Photo by Steve Wampler



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