Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Transactions and Use Tax Annotations

805.0000 COLLECTION OF TAX BY RETAILERS—Regulation 1827

Annotation 805.1010

805.1010 Warehouse Sales. A taxpayer requested advice as to the proper tax rate on its sale to a customer in Sacramento County. The product is manufactured and warehoused at a facility in San Mateo County. The customer is invoiced and takes title to the product when it is placed in the warehouse. The product is then delivered to the customer, at their request, in one or more shipments, to Sacramento County. Although the customer takes title to the product in San Mateo County, the taxpayer contracts to ship the product to Sacramento County. The San Mateo district transactions tax does not apply to these transactions. However, the customer does owe the Sacramento countywide district use tax. If this taxpayer is "engaged in business" in Sacramento County, it is also required to collect the Sacramento countywide district use tax on these sales. 8/20/91. (Am. 2002–2).