Fuel at SFO, Sales Tax in Oakland
California's sales tax rules, enforced by the Board of Equalization are far too complicated. Then throw in political shenanigans and you get...a lawsuit.
San Francisco International Airport is located just south of the City by the Bay in San Mateo County. United Airlines has a major hub at SFO. This sounds like a sales tax boon for San Mateo County.
Except for a law that relocates the sale from the airport to an office building in Oakland, in Alameda County. The Governator signed a bill that will eliminate this "quirk" in 2008. San Mateo County decided they couldn't wait that long.
Did I mention that Oakland gives a kickback of $0.65 to United for every dollar of sales tax collected? But as Aero-News notes, the Legislature believes the deal is currently legal.
Given the backlog in California's courts, the case will likely not be decided for a couple of years.
News Stories: Aero-News Net, San Francisco Business Journal
San Francisco International Airport is located just south of the City by the Bay in San Mateo County. United Airlines has a major hub at SFO. This sounds like a sales tax boon for San Mateo County.
Except for a law that relocates the sale from the airport to an office building in Oakland, in Alameda County. The Governator signed a bill that will eliminate this "quirk" in 2008. San Mateo County decided they couldn't wait that long.
Did I mention that Oakland gives a kickback of $0.65 to United for every dollar of sales tax collected? But as Aero-News notes, the Legislature believes the deal is currently legal.
Given the backlog in California's courts, the case will likely not be decided for a couple of years.
News Stories: Aero-News Net, San Francisco Business Journal