Butte County and Chico Face Sales Tax Increase Due to Measure H

Measure H will raise sales tax rates in Butte County and Chico, effective April 1. Butte County’s tax will increase from 7.25% to 8.25%, while Chico’s will rise from 8.25% to 9.25%. Consumers are urged to make big purchases before this change to save money. Revenue from the tax hike will support public safety and government programs.

The recent passage of Measure H will lead to significant tax increases in Butte County and Chico, effective April 1. As a result, Butte County’s sales tax will rise from 7.25% to 8.25%, while in Chico specifically, the tax rate will escalate from 8.25% to 9.25%. This change is prompting consumers to reconsider their purchasing decisions, especially for larger items.

Local reporters have observed consumer behavior in electronics stores, highlighting the financial impact of the increased tax. For example, a television priced at $5,299 incurs a current sales tax of $437. The upcoming tax raise will add an extra $53 to the total cost. Retailers in the area are advising consumers to make purchases sooner rather than later to capitalize on the existing rates.

Retail managers are emphasizing the importance of being informed about the upcoming tax changes. Chad Jeakins, manager of Best Buy in Chico, stated, “It’s smart to take advantage of the current rates to save some money while you can.”

The sales tax increase will be particularly noticeable for potential vehicle buyers. For instance, a $30,000 vehicle currently incurs $2,475 in tax; post-increase, that number will jump to $2,745, adding $300 to the overall cost. Joshua Meyer, a sales manager at Volkswagen/Mazda Chico, remarked on the importance of providing a great customer experience while encouraging buyers to make purchases before the tax hike takes effect.

With the anticipation of increased shoppers ahead of the new tax rates, both car dealerships and appliance stores are preparing for a surge in sales. Revenue generated from Measure H is expected to support public safety and other critical government programs.

The increase in sales tax due to Measure H will significantly affect consumers in Butte County and Chico, particularly for larger purchases. Retailers are encouraging purchases before the new rates take effect on April 1 to help customers save. Furthermore, the funds raised from this tax increase will be allocated to important public services, underscoring the dual impact of this legislative change on both consumers and community resources.

Original Source: www.actionnewsnow.com