When Are Sales Taxes Due in California?

California sales tax is a transactional tax applied to the retail sale of tangible personal property, meaning most physical goods sold to the public. Retailers operating in California are responsible for collecting this tax from consumers and remitting it to the state. The California Department of Tax and Fee Administration (CDTFA) is the agency responsible for administering sales and use tax laws in the state. Understanding timely remittance requirements is important for compliance.

Determining Your Filing Frequency and Due Dates

The CDTFA assigns a specific filing frequency to businesses, which can be monthly, quarterly, or annually, based on the taxpayer’s reported sales or anticipated taxable sales. This assignment dictates when sales tax returns must be submitted and payments made. Businesses should confirm their assigned filing frequency directly with the CDTFA to ensure accuracy.

Businesses with significant taxable sales are designated as monthly filers. For these accounts, returns are due on the last day of the month following the reporting period. For example, sales tax collected in January would be due by the last day of February. Quarterly filing is for businesses with moderate taxable sales. The four quarterly periods are January-March, April-June, July-September, and October-December, with returns due on the last day of the month following the end of the quarter (e.g., April 30 for the first quarter).

Annual filers are businesses with very low taxable sales. For these accounts, the annual return covers the entire calendar year and is due on January 30 of the following year. If any sales tax due date falls on a weekend or a state holiday, the deadline is automatically extended to the next business day.

Submitting Your Sales Tax Return

The primary method for submitting a completed sales tax return to the CDTFA is online through their website. Taxpayers can log in to their online services profile using their username and password to access the filing portal. The online system allows for the entry of sales, purchases, and deduction information, with the tax amount automatically calculated.

Electronic payments are also made through the CDTFA website, directly from a bank account using routing and account numbers, which incurs no fee. Some taxpayers may be required to pay via Electronic Funds Transfer (EFT). While online filing is available, some taxpayers may still be eligible to file via mail by obtaining a paper form. Payments submitted by mail should include a check or money order made payable to the California Department of Tax and Fee Administration, with the CDTFA account number written on the payment.

Understanding Penalties for Late Filing

Failing to file or pay sales tax on time in California can result in financial consequences. A penalty for late filing or late payment is 10% of the tax due. This penalty applies if the return is not filed by the due date, even if the payment is submitted on time.

Interest also accrues on unpaid tax and penalties from the original due date until the amounts are paid in full. The interest rate is subject to change and is determined semiannually. Additional penalties may be imposed for circumstances such as negligence, fraud, or repeated non-compliance. If a taxpayer anticipates difficulty meeting a deadline, they should contact the CDTFA, although formal extensions for sales tax are uncommon.