City begins taxing on the sales of mansions exceeding $5 million

Spectrum News | April 1, 2023

LOS ANGELES (CNS) — The city of Los Angeles Saturday will begin an additional tax on the property sales that exceed $5 million through Measure ULA, a ballot measure passed in November, which city officials have said will generate a revenue for affordable housing projects and support homeless prevention services.

What You Need To Know

  • The measure, also known as the “mansion tax,” will implement a 4% sales tax on properties exceeding $5 million and a 5.5% sales tax on properties exceeding $10 million
  • The tax will be collected and earmarked for renter protections, including protections for low-income seniors at risk of homelessness and building affordable housing across the city to address the current shortage
  • Several council members are hoping to use Measure ULA funding to expand renter protections, including developing a program that would establish a right to counsel for tenants
  • Though the measure passed with 58% voter approval and has support from the City Council, the measure is currently facing litigation by the Howard Jarvis Taxpayers Association and the Apartment Association of Greater Los Angeles
Read more at Spectrum News