what is california tax rate
The amount of sales tax generated by a sale depends on the tax rate and the dollar value of the goods sold. Figure 1 shows how the sales tax is calculated if a retailer sells five books costing $20 each and the tax rate is 8 percent. As discussed later in this report, Californiaâs sales tax rate varies across cities and counties, ranging from 7.5 percent to 10 percent. The stateâs average rate is 8.5 percent.