AT WHAT COST
Millions of shoppers forced to pay new fee on groceries and goods under April 1 law and they’re not happy about reason
Two cities in Southern California now have the highest sales tax in the country after the law went into effect
MILLIONS of shoppers are being forced to fork over more cash at the store thanks to a new price hike.
Starting on April 1, customers are being slapped with an increased sales tax rate.
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A county-wide tax hike, approved in November, raises prices on goods from gas to grocery bills by a quarter-cent.
The sales tax went up from 9.5% to 9.75% to increase funding to prevent homelessness.
The increase was approved by voters, but shoppers still aren't happy with the raised prices.
"I didn’t vote for this!" one disgruntled resident wrote on Facebook.
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"There's no way people voted for this," another shared.
A third added, "This is ridiculous. It’s so expensive already this is insane."
"How are people still voting for tax hikes when there is plenty of money already?" another slammed.
"These officials are spending tax payer money on wasteful items. The more you give the more they want."
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The price hike affects all Los Angeles County residents, which is over nine million people.
The increase also means that two cities in northern Los Angeles County, Palmdale and Lancaster, have a staggering 11.25% sales after residents approved additional tax increases, KNBC reported.
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That makes it the highest tax rate of any large city in the country, surpassing Seattle, which previously held the title with a 10.35% sales tax.
TAX FOR HOMELESSNESS
The Los Angeles County tax increase was passed with Measure A, also known as the Affordable Housing, Homelessness Solutions and Prevention Now measure.
The measure's legislation said that about 60% of the money from the sales tax will cover costs for homelessness services.
Of that 60%, 15% of it will be distributed to cities based on an annual count of people who are homeless in the area.
Taxes hiked to help the homeless
Taxes are going up for Los Angeles County residents.
Starting on April 1, the sales tax in Los Angeles is going up from 9.5% to 9.75%.
The tax affects big purchases like electronics and cars to everyday buys like gas and groceries.
Voters said yes to the price hike when they approved Measure A in the November election.
The tax gives more funding to homelessness issues.
The extra dollars are set aside to help keep existing programs and provide more programs and resources to prevent homelessness and fight the ongoing crisis in the area.
The sales tax will stay in place unless voters repeal it.
Over 75,000 people in Los Angeles County experienced homelessness in 2024, according to the Los Angeles Homeless Services Authority.
Another 35.75% of that money will support the Los Angeles County Affordable Housing Solutions Agency.
The agency is a program created in 2023 to oversee solutions to the homelessness crisis in the state.
'THE PEOPLE CANNOT AFFORD IT'
However, not all residents are excited about the new plan.
Some lawmakers have even pushed back on the increased costs.
Palmdale City Councilmember Andrea Alarcón told KNBC she was the only elected official in her region who was against the tax hike.
"This will disincentivize local buying, hurt local and small businesses, and deter tourism," she wrote in an opinion piece about her decision to oppose the measure.
"The people of Palmdale cannot afford an additional tax on day-to-day expenses.
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"Seniors and those on fixed incomes cannot afford it. I cannot afford it.”
The sales tax will remain in effect unless it is repealed by voters.