Effective April 1, 2025, Novato businesses will need to start collecting the new voter-approved sales and use tax rate of 9.25% on taxable items. Businesses within Novato city limits should have already received a notice from the California Department of Tax and Fee Administration (CDTFA) regarding this rate change, including information on the new tax rate and tax codes. For a detailed explanation of tax rate changes, please see the CDTFA’s Explanation of Tax Rate Changes Operative April 1, 2025.
If you need assistance or have questions about the sales and use tax, please contact the CDTFA at 1.800.400.7115 between the hours of 7:30am and 5:00pm (Pacific time) Monday through Friday. You can also email the CDTFA by filling out their online form.
Additional CDTFA Resources for Businesses
Measure M Information
Approved by Novato voters with the passage of Measure M in November 2024, and paid by anyone shopping in Novato, this local sales tax increase of 0.75% is estimated to bring our community an additional $10 million in revenue per year. The City will begin receiving funds in July 2025 to directly support community identified priorities such as public safety and emergency response, parks and facilities maintenance, and roadway repairs.
More information about Measure M is available at novato.org/measureM.
