On Nov. 3, 2026, Indian Wells voters will consider a ballot measure to update and clarify the language in the City’s Admissions Tax ordinance regarding which organizations qualify for an exemption. In 2005, Indian Wells voters approved "Measure H," which established a general admissions tax at a maximum rate of 10 percent of the admission charge for an event held in the City. Measure H currently provides tax exemptions for certain non-profit organizations and event sponsors. However, the language defining these exempt organizations relied on more general terms rather than precise legal definitions. Therefore, in July, the City Council unanimously determined that, after 20 years, the current exemptions merited an update to clarify their terms.

The proposed new “Measure H” will update the municipal code to specifically identify qualifying exempt organizations by their federal tax classifications, such as Section 501(c)(3) for charitable, religious and educational groups, and Section 527 for political organizations. It also requires organizations seeking an exemption to demonstrate that they are in good standing and maintain their federal tax-exempt status. If an organization is exempt, residents and visitors attending the organization's event do not pay the admissions tax. Under state law and the municipal code, any changes to a previously voter-approved ordinance must be approved by a majority of the City’s voters through a new measure. The City Council unanimously voted to place this measure on the ballot.

This measure does not raise taxes. Instead, it safeguards the Admission Tax exemption for residents and visitors who purchase tickets for charitable, religious, public service and political events, reflecting the City's commitment to its nonprofit partners.

Voters will see a question titled "CLARIFYING NONPROFIT EXEMPTION FROM CITY ADMISSIONS TAX." It will ask: "To safeguard tax-exemption benefits for residents and visitors who purchase tickets for events sponsored by charitable, religious, public service, and political organizations, shall the voters approve updates to the City’s admissions-tax ordinance?"
No. This measure does not increase the admissions tax rate or create any new taxes. It updates the municipal code to clarify exactly what types of organizations are exempt from collecting the tax on their event admission charges.
The measure will update and clarify the language in the City’s Admissions Tax ordinance to identify the types of admissions charges that qualify for an exemption. Organizations seeking an exemption will be required to demonstrate to the City that they are in good standing and maintain their federal tax-exempt status.
The original admissions tax (Measure H) was passed by Indian Wells voters in 2005. In July, the City Council unanimously determined that, after 20 years, the current exemptions merited an update to clarify their terms. The California Elections Code requires that any amendments to Measure H’s exemption rules be approved by a majority of voters through a new measure. The City Council cannot make these changes on its own.
The current general admissions tax is set at a maximum rate of 10% on the admission charge to an event, as established by Measure H. The rate will remain 10% if this measure is adopted.
The updated ordinance explicitly lists:

  • Federal, state, and local governmental agencies and associations, and
  • Charitable, religious, scientific, literary, or educational organizations with an IRS 501(c)(3) status, and
  • Political organizations with an IRS Section 527 status, and
  • Membership organizations (like social clubs, labor unions, or veterans’ groups) with federal tax-exempt status, provided the event is open only to members, their families, and guests, and not to the general public.
Under the new rules, an applicant must file an application with the City’s Finance Director. The organization must demonstrate that it is in good standing and currently exempt from federal taxation. The Director will then review and evaluate the application to verify the applicant qualifies as exempt from charging the Admission Tax.
New Measure H will be consolidated with the Statewide General Election, taking place on Tuesday, Nov. 3, 2026, and will appear on your General Election ballot as an Indian Wells registered voter. The precincts, ballot drop box locations, vote center locations and vote-by-mail procedures will be the same as those utilized by the County of Riverside.