NR# 46-A
Date: August 31, 2000
Customer and Taxpayer Services Division
Andal Announces 1999 Taxable Sales - Fourth Quarter
Taxable sales in California continued to grow at a strong
rate during the fourth quarter of 1999, announced Dean Andal,
Chairman, State Board of Equalization (BOE). Transactions
subject to the sales and use tax totaled $109.0 billion during
the fourth quarter of 1999, an increase of $12.7 billion or
13.1 percent over the fourth quarter of 1998.
In constant dollar terms, taxable sales grew by 11.9 percent
over the same quarter a year ago. The California Taxable Sales
Deflator measured an inflation rate of 1.1 percent for the
fourth quarter of 1999.
In the durable goods category, new car dealers had another
quarter of double-digit growth; the eight in the last ten
quarters. New car dealers posted taxable sales of $10.2 billion
during the quarter, a 22.5 percent increase over the fourth
quarter of 1998. Retailers of building materials registered
continuing strong growth in sales as California's construction
industry continued to perform well. Building materials dealers
posted taxable sales of $5.2 billion, up14.4 percent from
a year earlier. However, construction contractors showed modest
growth over the same period last year with taxable transactions
of $4.3 billion, an increase of 6.7 percent.
Gasoline consumption was up slightly and measured 3.7 billion
gallons. That increase represents a 3.7 percent increase from
the fourth quarter 1998, even though the average price of
gasoline during the fourth quarter was $1.316 per gallon,
a 17.6 percent increase from the previous year's price. Service
station sales during the fourth quarter increased significantly,
posting a 25.0 percent increase when compared with fourth
quarter 1998.
Most other non-durable goods retailers experienced various
levels of growth. Restaurants had sales of $8.3 billion, increasing
9.3 percent while general merchandise stores realized sales
of $12.4 billion, an increase of 8.3 percent.
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