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Katy Grimes

New small biz survey supposedly supports tax increases

A new survey of 500 small businesses claims that a majority of small business owners want high income earners to be taxed more. This is difficult to believe, and amazing timing with the election less than two weeks away.

I participated in an early morning conference call on Thursday with Small Business Majority. They just published the survey titled, “Scientific Opinion Poll Finds Majority of Small Businesses Support Letting Tax Cuts for High Income Earners Expire.”

But during the conference call, when I heard the CEO claim that the majority of entrepreneurs “see a productive role for government in helping small businesses achieve success,” I nearly flipped.

John Arensmeyer, the founder and CEO of Small Business Majority, also claimed nearly six in 10 small business owners “agree that government can play an effective role in helping small businesses thrive.”

The Small Business Majority is a liberal Democratic group based in San Francisco. They… Read More

BOE Member George Runner

Sales Tax Revenue on Track

It’s too early to know for sure, but so far sales tax revenue this year appears to be largely on track to meet the state’s budget needs.

The latest general fund sales and use tax revenue numbers show that from July through September the State Board of Equalization received $4.64 billion in revenue. That’s just two and a half percent shy of the Department of Finance’s budget projection of $4.76 billion.

Of course, I can’t help but think that if more Californians had jobs, these revenue numbers would be even stronger.

The latest numbers do not reflect the recent spike in gas prices. And those high fuel prices have the potential to create a tax windfall for state and local government.

Earlier this year I proposed legislation capping rising fuel taxes. Unfortunately, it failed to gain traction in the Legislature.

We don’t know yet how much revenue will come in this month. But we do know one thing for sure: Californians will pay plenty in tax.… Read More

BOE Member George Runner

I Applaud the Howard Jarvis Fire Tax Lawsuit

Today, the Howard Jarvis Taxpayers Association filed a class action lawsuit against Jerry Brown and the Legislature to overturn the unconstitutional Fire Tax.

As one of California’s elected tax officials, it’s my responsibility to use my elected office to ensure that taxpayers are treated fairly.

Accordingly, I commend the Howard Jarvis Taxpayers Association for bringing together Californians from every walk of life and region of our state to right the wrong that is the fire tax.

The Governor and Legislature’s willingness to impose such an unfair and regressive tax in direct violation of the Constitution should serve as a wake-up call for all freedom-loving Californians.

I am pleased to lend my full support to this lawsuit, and I look forward to seeing it prevail.… Read More

BOE Member George Runner

Serving My Constituents: A Duty and an Honor

According to a recent AP news article (“Calif. tax collector criticized for opposing fee”), several Democratic leaders, including a few of my colleagues, want me to stop my “high profile campaign” against the new “Fire Prevention Fee.” They argue that my role is to simply to collect taxes—not to speak out against them.

They’re right about one thing. I do have a responsibility to administer taxes. I’m doing everything in my power to ensure that this tax, and others, are administered effectively, efficiently and fairly. I’m also encouraging taxpayers to pay their taxes, so they don’t get caught up with penalties and interest.

There’s a reason California has elected tax officials, rather than bureaucrats, in charge of tax administration and appeals. We are elected to represent the taxpayers in our districts. Doing so involves speaking on their behalf.

Accordingly, I respect the right of my Democratic colleagues to speak on behalf of their constituents—even when they disagree with me.

The new “fire fee” is an… Read More

Katy Grimes

Calif. business leakage is a bummer

The word ‘leakage’ is the new politically correct term used by legislators, the Governor, bureaucrats and the California Air Resources Board to describe what happens when California businesses leave the state because of tax increases and stupendous regulations… as if any of them know what it means for a business to make the difficult decision to close a location, terminate hundreds of employees, and move a business.

As The… Read More

Katy Grimes

Beware Prop. 31: a wolf in sheep’s clothing

With all of the focus on the November ballot initiatives to raise taxes, Proposition 31 seems to have quietly avoided heavy scrutiny in the main stream media thus far. But this initiative is a wolf in sheep’s clothing, pretending to be much-needed reform.

There is growing confusion about ballot title and summaries on California’s ballot initiatives. It’s almost impossible to know how to vote on something. A “no” vote may mean “yes,” and visa versa, given the way the California Attorney General’s office plays fast and loose with writing the titles and summaries of ballot measures.

This is the case with Proposition 31 –what’s up is down, and what appears to be reform, is not. Equally disturbing is how so many of the state’s newspapers are jumping on board this phony “reform” measure. Even the California Republican Party officially endorsed Prop. 31.

However, most voters have grown suspicious of anything… Read More

Congressman John Campbell

Tax Code Reform Survey Results

Survey Results: You haven’t heard from me in a while. No need to check the obits, I’m still here. What with 2 national conventions, a busy month home in the district, and some vacation on my part, I thought I’d give us both a little break. Not that either of us could avoid the non-stop national campaigning.

When I last wrote you, I included a survey with various proposals on what to include and not include in a potential income tax reform bill next year. The results are detailed below. But, here is my “executive summary and analysis”:

• A majority of you agreed with all of my proposals.

• The most popular proposal with you all (76.9%) was to eliminate all deductions and credits except charitable contributions, home mortgage interest and non-elective medical expenses.

• The least popular proposal, albeit still over 50% at 56.3%, was to go to only 2 tax rates, one for incomes below $100,000 and one for incomes above that amount. 27.2% of you believe that we will need more rates than that, and 15.2% of you want only one rate.

• You may recall that I had a joke answer… Read More

Katy Grimes

Steyer defends Prop. 39 to raise taxes on business

cross posted at CalWatchdog

Most of us would think that wealthy people would be more interested in sponsoring ballot initiatives to cut taxes, not to increase them. But of the three tax-increase ballot initiatives on the November ballot to significantly raise taxes, two were sponsored by very wealthy individuals, Proposition 38 by attorney Molly Munger and Proposition 39 by hedge-fund manager Tom Steyer.

The third is the Gov. Jerry Brown’s Proposition 30 tax increase.

Prop. 39 is getting noticed. But it’s is just another retread of the 2010 Proposition 24, which voters killed.

Prop. 39 would require businesses headquartered out of the state to use the “single sales factor method,” in which their tax liability is based solely on their amount of sales in the state.

They would no longer be allowed to use the other option, known as the “three-factor method,” which bases tax liability on a combination of the sales, property and number of employees a business has in the state. That option was a tax-cut part of the budget deal in 2009… Read More

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