How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - The Nasdaq composite, which includes the California headquartered companies Nvidia, Google, Facebook, Apple, AMD, and Broadcom, has doubled since 2023. The meteoric rise in the value of these companies has led to sizable gains for their investors and their employees via stock options, which has led income tax collections to grow at double-digit rates.  
https://lao.ca.gov/LAOEconTax/Article/Detail/852

How Have Past Stock Market Downturns Affected Income Tax Revenue? [EconTax Blog]

Mar 9, 2026 - The Nasdaq composite, which includes the California headquartered companies Nvidia, Google, Facebook, Apple, AMD, and Broadcom, has doubled since 2023. The meteoric rise in the value of these companies has led to sizable gains for their investors and their employees via stock options, which has led income tax collections to grow at double-digit rates.  
https://lao.ca.gov/LAOEconTax/article/Detail/852

Frequently asked questions concerning Facebook and California's General Fund

Aug 1, 2012 - Frequently asked questions concerning Facebook and California's General Fund Frequently asked questions concerning Facebook and California's General Fund Program: Revenues Finding or Recommendation: This item lists answers to frequently asked questions concerning Facebook's stock and California's General Fund budget for 2012-13.
https://lao.ca.gov/Recommendations/Details/618

LAO commentary on Facebook IPO and state revenue forecasts

May 15, 2012 - State tax revenue estimates regarding Facebook, therefore, require numerous assumptions. Because of these factors, there is a large margin of error surrounding both our Facebook revenue estimates and those of the administration.
https://lao.ca.gov/Recommendations/Details/596

Summary of LAO Findings and Recommendations on the 2012-13 Budget

Essentially, to avoid “double counting ” the Facebook income, this means that both of our revenue estimates consider the economy without Facebook and then add PIT revenues on top of those estimates to account for the IPO.
https://lao.ca.gov/laoapp/budgetlist/PublicSearch.aspx?PolicyAreaNum=70&KeyCol=596&Yr=2012

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - Allowed GO-Biz to consider job training opportunities as a factor when awarding credits. All three of these changes could have contributed to the trend shown in Figure  2 if (1)  The 25  percent rule was favoring smaller businesses above better-qualified applicants from larger firms, (2)  larger businesses provide better evidence on how the credit affects their decision-making,
https://lao.ca.gov/Publications/Report/5162

The 2026-27 Budget: Child Welfare

Mar 3, 2026 - Governor ’s budget includes $2.3 million in 2026 ‑27 for CANS fidelity and training. Roll out of new rates anticipated to begin July 1, 2027, subject to appropriation. BH ‑CONNECT: a CFT Meetings for FM Cases Implementation began January 1, 2025.
https://lao.ca.gov/publications/report/5147

The 2025-26 California Spending Plan: Human Services

Nov 21, 2025 - As part of a special legislative session held in January 2025, the Legislature added Control Section 5.26 to the 2024-25 Budget Act, providing an additional one-time allocation of $10  million to support immigration related services, including removal defense.
https://lao.ca.gov/Publications/Report/5086/8

Implementing California’s Child Welfare Prevention Services Program

Jan 28, 2026 - Namely, for any new services added to the plan that are rated as supported or promising, DSS would need to ensure that at least 50  percent of Title IV ‑E dollars are claimed for well ‑supported services.
https://lao.ca.gov/Publications/Report/5106

Background information on LAO's May 2012 economic and revenue forecasts

May 18, 2012 - Figure 6 compares the LAO May 2012 revenue estimate related to the Facebook IPO with those in other recent forecasts. The IPO was announced in February and thus was not included in the Governor ’s January 2012 forecast. ( Additional information on our May 2012 Facebook IPO revenue forecast was published on this website on May 15.)
https://lao.ca.gov/Recommendations/Details/599