Review of the California Competes Tax Credit

Oct 31, 2017 - While GO ‑Biz sets aside 25  percent of the available tax credits for small businesses, as required, too few qualified businesses have applied to California Competes to utilize all of those credits. Figure  6 shows the amount of tax credits available to small businesses and the amount actually awarded each year.
https://lao.ca.gov/Publications/Report/3709

The 2018-19 Budget: California Hiring Tax Credits

Mar 15, 2018 - Additionally, to claim the existing credit, the employer must pay a new employee a starting wage of at least 150  p ercent of the state minimum wage —in 2018, for most businesses with more than 25 e mployees, that amount is $16. 50 p er hour.
https://lao.ca.gov/Publications/Report/3784

The 2020-21 Budget: Expanding the Minimum Franchise Tax Exemption

Mar 23, 2020 - About 25  p ercent of new companies do not file a timely corporate tax return in their first year of business. We are concerned that the exemption itself may be confusing new companies that might infer that they are not required to file a tax return because they are exempt from the minimum franchise tax in their first year.
https://lao.ca.gov/Publications/Report/4207

The 2023-24 Budget: California's Film Tax Credit [Publication Details]

Feb 28, 2023 - The 2023-24 Budget: California's Film Tax Credit [Publication Details] Description: This brief surveys research on the economic effects of state film tax credits and analyzes the Governor's proposal to extend California's film tax credit for five years.
https://lao.ca.gov/Publications/Detail/4713

The 2018-19 Budget: California Competes Proposal

Feb 21, 2018 - In addition, the proposal would: Reduce the amount of credits from $200  million per year to $180  million per year. Eliminate the requirement that 25  percent of the total amount of available credits be awarded to small businesses.
https://lao.ca.gov/Publications/Report/3759

Volatility of the Personal Income Tax Base

Feb 8, 2017 - This fund supports schools, universities, major health and social services programs, prisons, and other state ‑funded programs. In this brief, we compare the PIT tax base to personal income, a broad measure of the state ’s economy produced by the U.S.
https://lao.ca.gov/Publications/Report/3548

The 2019-20 Budget: Tax Conformity

Mar 6, 2019 - The 2017 c hanges to federal tax laws extend this accounting flexibility to most businesses with gross receipts of less than $ 25  m illion. Previously there were various lower gross revenue thresholds ranging from $ 5  m illion to $ 10  m illion.
https://lao.ca.gov/Publications/Report/3959

Long-term Capacity for Debt Payments Under Proposition 2

Dec 21, 2017 - The state owes “settle up ” to schools and community colleges when the formula-driven minimum funding level for K-14 education ends up larger than the amount initially included in the budget. Settle-up obligations incurred before July 1, 2014 are eligible for repayment under Proposition  2.
https://lao.ca.gov/Publications/Report/3727

Evaluating State Economic Stimulus Proposals

Feb 1, 2021 - The state uses bonds primarily to pay for the planning, construction, and renovation of infrastructure projects such as bridges, dams, prisons, parks, schools, and office buildings. The state is prohibited from borrowing money to finance state operations.
https://lao.ca.gov/Publications/Report/4331

Taxation of Sugary Drinks

Nov 26, 2018 - Tax Likely Would Increase Funding Requirement for Schools. Proposition  98, approved by voters in 1988 and modified in 1990, establishes a minimum funding level for schools and community colleges. This minimum guarantee depends, in part, on General Fund tax revenues.
https://lao.ca.gov/Publications/Report/3903