Resources

Displaying 1-12 of 67 results found

• Fact Sheet

  Corporations Pay Far Less of Their California Income in State Taxes than a Generation Ago

  Calling California home means sharing in the responsibility of creating strong communities. Yet, corporations are contributing roughly half as much of their California profits in state taxes than four decades ago. In the early 1980s, corporations that reported profits in California paid more than 9.5% of this income in state corporation taxes. In contrast, corporations … Continued
  
  Taxes & Revenue
• Fact Sheet

  California Loses Nearly $70 Billion Annually Through Tax Breaks

  California will lose an estimated $69.2 billion in state General Fund revenues in 2021-22 to personal and corporate income tax breaks — or “tax expenditures.” Many of the state’s largest tax breaks primarily benefit higher-income households and businesses, while just a fraction of the state’s tax … Continued
  Taxes & Revenue
• Glossary

  Tax and Revenue Policy Glossary

  Overview What’s the difference between income and wealth? Taxes for individuals and corporations in California? Tax credits and deductions? Understanding these key terms is critical to navigating the state budget and its intersection with California’s tax and revenue system to generate ongoing resources and provide quality education, affordable health care, child care, housing, and other … Continued
  Taxes & Revenue
• Report

  California’s Tax & Revenue System Isn’t Fair for All

  Introduction Californians need quality public health and schools, access to affordable housing and clean water, and safe roads and neighborhoods along with many more services to live and thrive – no matter one’s zip code. Accordingly, the state’s tax and revenue system must raise adequate revenue to cover the services provided by state and local … Continued
  Taxes & Revenue
• Fact Sheet

  Investment in Communities Requires a Close Look at California’s Tax and Revenue System

  Californians deserve to have quality education and affordable health care, child care, and housing. To support such services, California’s tax and revenue system needs to generate adequate ongoing resources. Policymakers must regularly examine the state’s revenue system and revise it as needed to fairly raise enough revenue to support services and investments that help Californians … Continued
  Taxes & Revenue
• Report

  Promoting Racial Equity Through California’s Tax and Revenue Policies

  Legacies of historical racist policies and ongoing discrimination in areas such as education, employment, and housing have barred many Californians of color from economic opportunities. As a result, Californians of color — particularly Black, Latinx, and American Indian Californians — are less likely to have high incomes and to have built enough wealth to be able to weather periods of income loss, retire comfortably, and pass on wealth to their children. These barriers have also made Californians of color more likely to have experienced health and economic consequences of the COVID-19 crisis. One area policymakers should consider in efforts to address these inequities is the state’s tax and revenue policies. Although these policies may appear race-neutral, they can play a significant role in either worsening existing racial and ethnic income and wealth disparities or promoting greater equity for Californians.
  Taxes & Revenue
• Report

  Why Aren’t Large Corporations Paying Their Fair Share of Taxes?

  California’s corporate taxes raise revenue that helps pay for the public services and infrastructure that enable businesses to exist and to profit in local communities and statewide. Corporations depend on high-quality schools to produce a dedicated and educated workforce and to help attract qualified employees. Corporations, like individuals, also benefit from a range of public services such as those provided by fire departments and the state judicial system that protect corporations’ legal rights. Yet, profitable corporations are contributing less in taxes that support these public services, as a share of their California income, than a generation ago.
  Taxes & Revenue
• Data Hit

  Undocumented Californians Were Excluded From Federal Recovery Rebates

  Undocumented Californians and mixed status families have been excluded from thousands of dollars in federal aid and most other supports during the worst recession in generations.
  COVID-19

  Taxes & Revenue
• Report

  Understanding Inequitable Taxes on Commercial Properties and Prop. 15

  Local tax revenue reflects a community’s shared effort to support vital public services that all Californians need to live in our cities and counties, such as education for students in K-12 schools and community colleges, housing, health care, public parks, and libraries. When tax breaks provide advantages to some taxpayers over others, it not only creates inequities but can also lead to revenue losses that compromise the ability of schools and local communities to provide essential services for Californians. This is the case with commercial and industrial property taxes across California, and why voters will be asked in fall 2020 to vote on Proposition 15, an amendment to the state Constitution that would change how commercial and industrial properties are taxed to provide more revenue for schools and communities.
  Ballot Propositions

  Taxes & Revenue
• Fact Sheet

  Corporations Pay Less of Their State Income in Taxes Than a Generation Ago

  The share of California corporate income paid in state taxes declined by more than half during the past three decades. In the early 1980s, corporations that reported profits in California paid more than 9.5% of this income in state corporation taxes. In contrast, corporations paid just 4.2% of their California profits in corporation taxes in 2017, the most recent year for which data are available. California’s state budget would have received $11.2 billion more revenue in 2017 had corporations paid the same share of their income in taxes that year as they did in 1981 – more than the state spends on the University of California, the California State University, and student aid combined. Corporations pay less of their income in taxes today – even amid the COVID-19 economic crisis – than they did in the 1980s in part due to the reduction of tax rates by state policymakers.
  COVID-19

  Taxes & Revenue
• Report

  Tax Breaks: California’s $60 Billion Loss

  California loses a large amount of state revenues through tax breaks, also called “tax expenditures,” with much of the benefits going to high-income households and corporations. Personal income and corporate income tax expenditures combined are projected to amount to more than $63 billion in forgone state revenues in 2019-20 (the fiscal year that started on July 1, 2019), or an amount equivalent to more than 40% of the 2019-20 General Fund budget. This is revenue that otherwise could go to Californians who need additional support to be able to live and work in the state while strengthening the state’s economy.
  Taxes & Revenue
• Blog

  Expanding the CalEITC Is an Effective Way to Invest in California’s Children, But Hundreds of Thousands of Children of Immigrants Won’t Benefit Unless Policymakers Act

  In the next few weeks, state policymakers will decide whether to expand California’s Earned Income Tax Credit (CalEITC) — a refundable state tax credit that boosts the incomes of families and individuals who earn little from their jobs. Governor Newsom’s revised budget proposes to expand the credit beyond what he proposed in January, as we … Continued
  California Budget

  Economic Security

  Taxes & Revenue