California Exempts Hydrogen Fuel From State Sales and Use Tax

The California legislature passed a measure Tuesday that exempts hydrogen fuel from state sales and use taxes.

The bill, S.B. 419, passed the Assembly 70-0 on Monday before the state Senate gave final approval on Tuesday. The Senate initially passed the bill 36-0 in June. Gov. Gavin Newsom must sign or veto it by Oct. 12.

• The tax break would begin July 1, 2026 and apply to the sale, storage, or use of hydrogen fuel within the state. It wouldn’t impact local taxes on this type of fuel, however.
• It’s estimated that the bill will result in ...