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California Tax Update

BY Nancy A. Geary
September 01, 2006

There may be gold in them California hills. But there's a price to be paid when panning for it. It has become clear that leasing companies need to exercise particular vigilance when operating in the Golden State.

Every state has its quirks when it comes to assessing sales tax and fees ' and California is no exception. In fact, the state is particularly vigorous in its oversight of such matters, as evidenced by two recent legal cases.

The outcome of these cases has ramifications for the entire leasing industry. There are lessons to be learned. Here's what you need to know:

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