It's Cheaper to Buy a Car in California Now
The sales tax has now been reduced by one percent, making it more affordable to buy a new or used car in the state.
The surcharge sales tax was implemented in 2009 as a temporary measure to help California balance its books and only passed because there was a hard end date.
Buyers of a new car in California today could expect to save $270, based on an average price of $27,000.
This was enough of a savings to quell purchases in late June - with buyers waiting for the tax reduction in July.
It has been suggested that these delayed purchases may have been responsible for an industry-wide vehicle sales slowdown in June, which softened as the month came to a close.

Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid
About The Author

Latest Weekly Car Buying Tips
June 2025
- Best Car Deals Around the Country Jun 26, 2025
- Real Prices of Compact Cars Jun 26, 2025
- Cheapest Luxury Lease Deals Jun 26, 2025
- Largest Hidden Dealer Rebates Jun 26, 2025
- Top 100 Cheapest Lease Deals Jun 19, 2025
- All SUV Lease Deals Compared June 2025 Jun 19, 2025
- Cars With the Largest Rebates Jun 19, 2025
- Price Comparison of Subcompact SUVs Jun 19, 2025
- Best Bang for Your Buck Lease Deals Jun 12, 2025
- Best Electric, Hybrid Lease Deals Jun 12, 2025
- Top 100 Cheapest New Cars Right Now Jun 12, 2025
- Real Prices of New Compact SUVs Jun 12, 2025
- Best 0% Finance Deals June 2025 Jun 05, 2025
- Biggest Discounts on New Cars June 2025 Jun 05, 2025
- New Cars with the Most Available Inventory Jun 05, 2025
- Real Prices of Midsize SUVs Jun 05, 2025
May 2025
- Best Car Deals by Category May 29, 2025
- Worst Cars to Lease Right Now May 29, 2025
- Real Prices of Large SUVs May 29, 2025
- Real Prices of Pickup Trucks May 22, 2025
- Real Prices of Midsize Cars May 15, 2025
- Which Cars Better to Lease or Buy May 01, 2025