Sales tax on bunker fuel purchases in California

Effective 1 January 2003 all fuel purchases by vessels in Californian ports are subject to full state sales tax.

California bunker suppliers advise that effective 1 January 2003 all fuel purchases by vessels in Californian ports are subject to full state sales tax. The tax applicable rates received from the suppliers are as follows:

  • 8.25% in Los Angeles, Long Beach and Oakland
  • 8.50% in San Francisco

In a letter to the Governor of California of 20 September 2002, INTERTANKO expressed support for Senate Bill 145, which would have extended the partial sales tax exemption on the purchase of bunker fuel in California ports.