Measure U Sales Tax Information
Measure U is a local transactions and use tax within the City of Santa Maria. City voters in the November 2018 election (74.18 percent majority in favor) extended and enhanced Measure U at the one-cent rate, to support essential City services. Previously, 64.95 percent of City voters initially approved Measure U in the June 2012 election, enacting a one-quarter-cent general transactions and use tax. The City’s overall sales tax rate increased from 8.00 percent to 8.75 percent. The tax changed from 0.25 percent to 1.00 percent effective April 1, 2019 (City Attorney's Analysis).
The tax is imposed upon all retailers within the incorporated City Limits (City Limits Map). The tax applies to gross receipts from any retailers from the sale of tangible property sold at retail within the City. All retailers need to collect the enhanced tax rate from customers and then report it properly and in timely fashion to the California Department of Tax and Fee Administration (formerly the Board of Equalization). Retailers were reminded to adjust their point of sale systems (cashiering equipment) in time for April 1, 2019. Santa Maria residents do not shoulder the entire cost because the tax also is paid by all visitors who make purchases on taxable goods.
The Measure U Citizens' Oversight Committee ensures transparency and oversight of the revenue generated by and expenses made. Click this link for Measure U Citizens' Oversight Committee agendas and minutes.