If added to the ballot and approved in June, the L.A. County sales tax rate would rise from 9.75% to 10.25%.
After a meeting yesterday, two LA County supervisors, Holly Mitchell and Hilda Solis, backed up the newest sales tax increase, raising the tax by half a percent. This would generate around $1 billion each year. The new tax hike would show up in most everyday purchases in Los Angeles, such as eating out, shopping at retail stores and many other expenses.
While this tax increase would affect everyone in the area, it would have an excessive impact on less affluent communities, where even a small difference in spending can strain already tight budgets over time. Especially with taxes already so high, the cost of living in Los Angeles would put some residents over the edge.
But while the tax hike is established as a necessary funding measure, it does nothing to address one of the county’s most urgent crises: homelessness. Los Angeles continues to struggle with a growing population of people living on the streets or in temporary shelters. This new revenue would not be allocated toward affordable housing, emergency shelter programs, or long-term solutions for those without a home.
The main goal of this increase would be to replace funding that was cut for federal healthcare by the Trump Administration. This addition would work to stop hospital closures, reduce emergency room overcrowding and support clinics. If added to the ballot and approved in June, the L.A. County sales tax rate would rise from 9.75% to 10.25%.
Ultimately, while the intention behind the tax increase is to maintain funding for essential healthcare services, it raises questions about equity and effectiveness.
With housing shortages and general financial pressures in LA County continuing to burden residents, relying on a sales tax hike may only offer a partial solution.