LOS ANGELES -- The California Supreme Court last week struck down a 1988 sales tax increase in San Diego County in a decision that could affect millions of dollars of local taxes and potential bond issues.

In a 5-to-2 ruling Thursday, the court said a majority vote approval for the tax rendered the measure invalid. The court ruled that the tax violates Proposition 13, the property tax-cutting measure approved by voters in 1978, which requires a two-thirds approval vote for all new local special taxes.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.