Another Bill Introduced to Impose Sales Tax on Services in California

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In an attempt to raise revenue, the California legislature once again is considering a bill to subject revenue from services to sales taxes.  Currently, generally only the sale of goods is subject to sales taxes.

AB 1963 (Huber) would impose California sales and use tax on almost all services if enacted. The bill would also reduce the state sales tax rate to 4% and would be effective January 1, 2013.

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