What happened
A sales tax increase has taken effect in Los Angeles County, raising the rate from 9.75% to 10.25%. This increase, which is the result of voters passing Measure ER in June, makes LA County's sales tax the highest in the nation.
The increased revenue will go into the county's general fund, with priorities including healthcare services and safety-net providers. Some residents have expressed concern about the timing of the tax hike, given the already high cost of living in the area.
In some cities, such as Santa Monica, Pasadena, and West Hollywood, the sales tax rate will be even higher, reaching around 11% or more. The increase is expected to be temporary, lasting for five years, and will exempt groceries, prescription medications, and certain medical equipment.
Residents have reported feeling the impact of the tax hike in their everyday purchasing decisions, with some stating that the cost of living in the area has become increasingly unaffordable. Experts have also noted that broader factors, such as housing shortages and federal economic policies, are contributing to the financial pressure on families in the region.