July 1, 2014 California Sales Tax Changes.
Select link below and navigate to the California Board of Equalization Webpage addressing important sales tax changes:
For additional information please contact your nearest Sellers Petroleum Office.
The sale and purchase of gasoline is exempt from the 5.5% California State sales tax.
FARM EQUIPMENT AND MACHINERY
Sales and purchases of farm equipment, machinery, and their parts are exempt from the 5.50 percent state sales and use tax when sold to or purchased by qualified persons who are engaged in the business of producing and harvesting agricultural products, as identified in Standard Industrial Classification Codes, or when sold to qualified persons that assist those so identified. Regulation 1533.1 and 1533.2 can be used as reference.
DIESEL FUEL USED IN FARMING ACTIVITIES AND FOOD PROCESSING
Sales and purchases of diesel fuel are exempt from the 5.50 percent state sales and use tax when that fuel is consumed during the activities of a farming business as set forth in Internal Revenue Code 263A or food processing. Farming business activities include transporting farm products to the marketplace. Regulation 1533.1 and 1533.2 can be used as reference.
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