California Sales Tax Exemption
organization’s purchases may be subject to sales
or use tax, as explained below.
IRS states that state tax applies unless there
is a specific legal exemption or exclusion.
Although many nonprofit and religious
organizations are exempt from federal and state
income tax, there is no similar broad exemption
from California sales and use tax.
Individuals, businesses, and groups that sell
taxable merchandise in California must pay sales
tax on their taxable sales. Sellers may charge
their customers for sales tax reimbursement
(referred to as “sales tax”).
California sales tax exemptions are listed on
page nine (9) of the Publication 18 for
Non-Profit Organization for more information on