San Diego, CA Taxes 2025
Complete local tax guide and OBBBA calculator
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San Diego Tax Overview 2025
High home values but lower sales tax. SALT cap increase helps with state income tax.
Local Income Tax
0%
City/county rate
Sales Tax
7.75%
State + local
Property Tax
0.73%
Effective rate
Median Home
$875,000
Home value
No Local Income Tax!
San Diego does not impose a local income tax on residents, which means you only pay state income tax (if applicable) and federal taxes.
State Tax Information
San Diego is located in California (1% - 13.3% state income tax)
💼 San Diego Local Income Tax
San Diego does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in California) and federal income tax.
This is good news for San Diego residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in San Diego
🛒 San Diego Sales Tax 2025
The combined sales tax rate in San Diego is 7.75%. This includes both the California sales tax and any local sales taxes.
Sales tax applies to most retail purchases in San Diego. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on California law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $3.88 | $53.88 |
| $100 | $7.75 | $107.75 |
| $500 | $38.75 | $538.75 |
| $1,000 | $77.50 | $1,077.50 |
🏠 San Diego Property Tax 2025
The average effective property tax rate in San Diego is 0.73%. Based on the median home value of $875,000, the typical homeowner pays approximately $6,388 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within San Diego based on school district and other taxing authorities.
Estimated Annual Property Tax in San Diego
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $1,460 | $122 | ✓ Yes |
| $300,000 | $2,190 | $183 | ✓ Yes |
| $400,000 | $2,920 | $243 | ✓ Yes |
| $500,000 | $3,650 | $304 | ✓ Yes |
| $750,000 | $5,475 | $456 | ✓ Yes |
| $1,000,000 | $7,300 | $608 | ✓ Yes |
💡 SALT Tip: Under the OBBBA, you can deduct up to $40,000 in state and local taxes (SALT) on your federal return. This includes property taxes, state income taxes, and local income taxes.
💰 San Diego Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for San Diego Residents
Tourism and hospitality sector benefits significantly from OBBBA deductions.
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, introduced several federal tax deductions that can significantly reduce your tax burden as a San Diego resident.
Available OBBBA Deductions:
Calculate Your San Diego Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a San Diego resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in San Diego?
The combined sales tax rate in San Diego is 7.75%. This includes both state and local sales taxes.
Does San Diego have a local income tax?
San Diego has a local income tax of 0%. This is in addition to any state and federal income taxes.
What is the property tax rate in San Diego?
The average effective property tax rate in San Diego is 0.73%. On a home worth $875,000, you'd pay approximately $6,388 per year.
How do OBBBA deductions benefit San Diego residents?
Tourism and hospitality sector benefits significantly from OBBBA deductions. You can use our free calculator to estimate your total savings from tips, overtime, auto loan interest, SALT, and senior bonus deductions.