Posted by Richard Rider at 2:11 pm on Feb 27, 2012 1 Comment
No surprise for my readers, but the Jerry Brown La-La Land
budget revenue projections come true only in Disney’s Fantasyland —
if there! The Legislative Analyst’s Office says Governor
Brown is billions and billions of dollars off — guess which
way.
Below is the “hot off the press” article, but consider this
comment I added first:
The eagerly awaited Facebook California capital gains tax
windfall is largely illusionary. We are talking about folks who
find themselves with a ONE-TIME capital gain windfall of many
millions. If they get ANY tax advice at all, they will consider
relocating out the state to make the sale. Indeed, they only have
to live outside CA for over HALF a calendar year to qualify (well,
there are other hoops like registration, etc. — but the big one is
moving).
If a Facebook computer programmer takes a one-time $10
million capital gain in California, he/she will pay about
$1,000,000 extra in state income tax. If Brown’s retroactive tax
increase passes, he would pay about $1.2 million. If the union tax
increase passes, he would pay over $1.5 million in tax.… Read More