What is a sales tax?

A sales tax is a tax placed on retail purchases, excluding certain purchases like food for home consumption, utilities, medicines, and services such as accounting or yard maintenance services. Revenue generated from a sales tax is then used to pay for state and local projects, facilities and services. 

The State of California has a helpful resource to explain sales tax information in greater detail. Read this resource from The California Department of Tax and Fee Administration (CDTFA) for full details about sales tax exemptions and exclusions.

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1. What is a sales tax?
2. What is Arroyo Grande’s current sales tax and how might it change?
3. Why will measure D-22 be placed on the November 2022 ballot?
4. Have Arroyo Grande residents passed any other sales tax measures?
5. How will Measure D-22 impact me?
6. What will happen if Measure D-22 does not pass?
7. How can Measure D-22 help resolve infrastructure issues in our City?
8. What are the sales tax rates in other cities in San Luis Obispo County?
9. Is Measure D-22 a special tax or a general tax?
10. Will Measure D-22 fund the roundabout at the Brisco-Halcyon Road interchange?