By Nina Gille Nielsen
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April 7, 2025
As of April 1, 2025, residents and small business owners across Los Angeles County are seeing a slight but important shift at the checkout counter. Thanks to voter approval of Measure A back in November 2024, the countywide sales tax rate has officially increased from 9.5% to 9.75%. For some cities, the rise is even higher—raising questions, concerns, and necessary conversations about what this means for communities and local businesses. At Find Your Vision, we believe staying informed is the first step in adapting to change. So here’s a breakdown of what’s happening and why it matters. What Is Measure A? Measure A—officially known as the Los Angeles County Homelessness Services and Affordable Housing Ordinance—was passed by voters to address two of the most pressing issues in the region: homelessness and affordable housing. The tax increase is expected to generate significant new funding for: Homeless services Affordable housing development Supportive programs for vulnerable populations Unlike previous tax measures that had expiration dates, Measure A will remain in effect indefinitely, unless repealed by voters. Where Is the Sales Tax Increasing—and By How Much? Here’s a quick breakdown of how the new sales tax is affecting various areas: Countywide (Most Areas) Old Rate: 9.5% New Rate: 9.75% This increase affects unincorporated areas and cities that haven’t passed their own additional sales taxes. Lancaster & Palmdale New Total Rate: 11.25% These cities approved their own 0.75% increase on top of Measure A, making them some of the highest in the county. Long Beach & Glendale New Total Rate: 10.5% Up from 10.25% due to the countywide increase. Cities Now Included Under Measure A Cities that were previously excluded from Measure H—like Azusa, Glendora, Irwindale, South El Monte, Artesia, Downey, and Manhattan Beach—are now included under Measure A and will also see their sales tax rise to 9.75%. What This Means for Local Businesses For small businesses and entrepreneurs, particularly those operating in retail, hospitality, or service industries, this change may require: Revising pricing strategies Updating POS systems and accounting software Reassessing supply and customer engagement tactics It also highlights the importance of staying connected to community needs. Businesses that support or align with the causes funded by Measure A may find ways to positively engage with their community while navigating these changes. Stay Informed and Stay Compliant According to the California Department of Tax and Fee Administration (CDTFA), the updated sales tax rates effective April 1, 2025, reflect a combination of statewide and voter-approved local measures, including Measure A in Los Angeles County. The CDTFA outlines that these rate changes apply to retail sales of tangible personal property and are enforceable across both incorporated and unincorporated areas. Businesses are required to update their point-of-sale systems and accounting practices to remain compliant with the new rates. You can find the full breakdown of updated rates and guidelines directly on the CDTFA’s official site. A Note from Find Your Vision As a nonprofit dedicated to uplifting entrepreneurs and underrepresented voices, we know that policy changes impact real people. That’s why we’re committed to keeping you informed—and ready—with the tools, context, and community you need to keep growing. Have questions about how this sales tax increase may affect your business? Let’s talk. We’re here to help you stay prepared and confident in the face of change. Source: ¹ Los Angeles County Small Business & Worker Relief Funds ² Los Angeles County Department of Consumer and Business Affairs – Measure A Sales Tax Update ³ Official 2024 Election Results from LA County Registrar β΄ California Department of Tax and Fee Administration – April 2025 Rate Changes