California Partial Sales Tax (CPST) Set to Increase July 1st
The Bottom Line
Consumers can expect a tax increase from 41.7 cents ($0.41) to 47.3 cents ($0.43) for gasoline motor vehicles.
California now has the highest fuel tax rate in the nation, bypassing Hawaii.
Cost Saving Solutions
Whenever a new tax kicks in, suppliers in the industry have to pay a floor tax where they calculate their inventory and pay back taxes on it at a later date. As soon as the new tax increase goes into effect, businesses are not only paying the new tax rate, but also the difference, which prevents them from buying a surplus of fuel to stockpile at that lower rate and then sell at a higher price later. By speaking with an SCL representative you can assess your inventory needs, learn how to consolidate your inventory, monitor inventory electronically or switch to synthetic products that will extend drain intervals and improve fuel economy. Staying ahead of the curve will allow your business to more effectively weather market fluctuations.
Contact an SCL Consultant today
In a wide range of industrial sectors, if there’s metal touching metal, oil is involved. At SCL, we’re here to protect and optimize the machines that keep our country moving and we pride ourselves on providing superior logistics and solutions, extensive product and industry knowledge and total performance satisfaction for our customers. For information on how we can assist your fleet in choosing the optimal products at a competitive price, contact an SCL, consultant today.
The post Fuel Tax Increase Effective July 1, 2019 appeared first on SCL.