El Cerrito Sales Tax Falls Back to Single Digits Today

There's one kind of change that most of us agree is good.

It's the kind left in your pocket after shopping, and beginning today, July 1, there will be more of it. The sales tax rate falls a full percentage point throughout California, which means El Cerrito's rate is now 9.25 percent.

The city's tax rate had been 10.25 percent, following El Cerrito voter approval last November of Measure R, which boosted the city's sales tax a half percent, from the previous 9.75 percent. The measure was intended to spare city services from budget cuts. It took effect April 1.

The statewide one-percent decrease results from the expiration of a statewide one-percent increase that began in April 2009 as part of the 2008-09 state budget agreement and that was due to sunset June 30, 2011, according to a news release from State Board of Equalization Chairman Jerome Horton.

The reduction affects the state share of the sales tax, which is falling from 8.25 to 7.25 percent. It will not reduce revenue from any local additions to the sales tax, including the sales tax revenue received by El Cerrito, according to City Treasurer Mary Dodge.

Although the city's sales tax rate dropped by a percentage point, El Cerrito's new rate of 9.25 percent remains comparatively high. El Cerrito and Union City, where the new rate also is 9.25 percent, have the highest sales tax in California outside Los Angeles County.