California has something called a <i>use</i> tax. Turbo Tax will prompt you about this.<p>In theory, you need to pay a use tax for things purchased outside of the state from a vendor who did not collect sales tax (e.g. Amazon or other internet retailer outside of California)<p>So, while it is true that California cannot levy taxes on out of state vendors, they can levy a use tax on its residents.<p><a href="http://www.boe.ca.gov/sutax/usetaxreturn.htm" rel="nofollow">http://www.boe.ca.gov/sutax/usetaxreturn.htm</a><p><a href="http://www.boe.ca.gov/sutax/faqusetax.htm" rel="nofollow">http://www.boe.ca.gov/sutax/faqusetax.htm</a><p><i>Do I owe use tax?<p>You generally owe California use tax when you use, consume, give away or store tangible personal property (i.e., products you can see, weigh, feel or touch, such as clothing, books, computers, DVDs or CDs) in California that you purchased from an out-of-state vendor. If the out-of-state vendor does not collect the California tax on your purchase, you must pay the tax.</i>