Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Uniform Local Sales and Use Tax Annotations

700.0000 APPLICATION OF TAX—Regulation 1803

Annotation 700.0175

700.0175 Local Tax Rate New City. A county's Local Sales and Use Tax ordinance contains a clause rendering the ordinance inoperative " . . . should any city within the County increase the rate of its sales or use tax above the rate of .95%." The fact that a newly incorporated city in the county adopts a Local Sales and Use Tax with the rate of 1% does not cause the county ordinance to become inoperative.

In the unpublished case of City of Dublin v. County of Alameda, the court, following the cardinal rule of statutory construction, said that words in an ordinance must be given their plain and ordinary meaning. Since the new city did not raise its rate to 1%, the county ordinance was not rendered inoperative. 9/28/92.