Sales Tax Hike in Three Bay Area Counties

Santa Clara, Marin and San Mateo Counties implemented a sales-tax increase

By Cheryl Hurd
|  Monday, Apr 1, 2013  |  Updated 6:46 PM PDT
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The sales tax was raised in San Mateo, Santa Clara and Marin Counties. Cheryl Hurd reports.

The sales tax was raised in San Mateo, Santa Clara and Marin Counties. Cheryl Hurd reports.

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People who spend their money in three Bay Area counties are going to have to shell out a little more cash to get what they want.

And no, this is not an April Fool's joke.

As of Monday, San Mateo County is joining Alameda and Los Angeles counties with a countywide sales tax of nine percent -- the highest countywide tax rate in the state. Santa Clara County comes in second at 8.75 percent and Marin County is moving up to 8.5 percent.

Caught off guard? You’re not alone.

There are a lot of small businesses in downtown Redwood City which could  be affected.

Many of them are struggling to stay in business and, despite that, said they are committed to the area and hope this half-cent sales-tax hike won't run them out of town.

San Mateo County voters approved a half-cent sales-tax increase in November,  boosting the county sales tax rate to nine percent.

This comes on top of a quarter-cent statewide sales-tax increase as part of the voter-approved Proposition 30. The new sales-tax rate is getting attention, but it’s not all positive. Those looking to spend the most will be hit the hardest.

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