How High? Adjusting California’s Cannabis Taxes

Dec 17, 2019 - The changes in the cultivation tax rate and the amount of cannabis harvested lead to changes in cultivation tax revenue, while the changes in the retail excise tax rate, prices, and sales volume lead to changes in retail excise tax revenue.
https://lao.ca.gov/Publications/Report/4125

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - The program is conceptually well structured and has recent empirical evidence supporting the idea that the credit is leading to a net increase in jobs in the state. Therefore, we recommend that the Legislature approve the Governor ’s proposal to extend the credit.
https://lao.ca.gov/Publications/Report/5162

The 2026-27 Budget: CDTFA’s Cannabis and Tobacco Programs

Feb 23, 2026 - Actual spending on the Tobacco Licensing Program declined from $9.1  million in 2021 ‑22 to $6.9  million in 2024 ‑25, while actual spending on the Cannabis Tax Program grew from $8.4  million in 2021 ‑22 to $16.2  million in 2024 ‑25.
https://lao.ca.gov/Publications/Report/5132

The 2026-27 Budget: State Mandate—Disclosure Requirements and Deferral of Property Taxation

Feb 19, 2026 - The Commission determined that Los Angeles County incurred reimbursable costs processing deferment requests and adding the required disclosure to property tax bills. The Commission determined that the county incurred a total amount of about $30,000 in back-year costs (incurred between 2022 and 2024), and about $8,000 in ongoing costs thereafter.
https://lao.ca.gov/Publications/Report/5130

The 2025-26 Budget: Governor’s Office of Business and Economic Development

Mar 18, 2025 - Grant Program Added as Alternative to Tax Credits. Since the tax credit is nonrefundable, businesses without a significant California tax liability cannot utilize the credit. To address this, the 2021, 2022, and 2023 Budget Acts each provided one-time funding of $120  million for a grant program to supplement the tax credit.
https://lao.ca.gov/Publications/Report/5018

The 2025-26 Budget: CDTFA’s Tobacco Programs

Feb 14, 2025 - If so, this could make noncompliance more lucrative for businesses, leading to lower compliance, which in turn could drive up the citation rate and seizure rate per inspection. AB  3218 BCP Governor Proposes $3.5  Million in 2025-26 for CDTFA to Implement New Laws.
https://lao.ca.gov/Publications/Report/4966

The 2025-26 California Spending Plan: Other Provisions

Oct 16, 2025 - The budget package provides a blanket exemption for settlements related to any wildfire occurring between tax years 2021 and 2029. Previously, state law provided income tax exemptions for wildfire settlements on a case-by-case basis.
https://lao.ca.gov/Publications/Report/5081

The 2022-23 Budget: Fuel Tax Rates

Feb 11, 2022 - In contrast, lower fuel taxes —and the lower fuel prices that would result —likely would lead to higher fuel consumption, which in turn could lead to higher greenhouse gas (GHG) emissions and other forms of pollution.
https://lao.ca.gov/Publications/Report/4528

The 2023-24 Budget: California's Film Tax Credit

Feb 28, 2023 - Extending the film tax credit likely would lead to California ’s motion picture industry being a couple percentage points larger than otherwise. However, it is not clear that extending the film credit would expand California ’s overall economy.
https://lao.ca.gov/Publications/Report/4713

Updating the California Necessities Index

Aug 14, 2025 - Small Tweaks to CNI Lead to Only Small Differences. In contrast, the other options we consider, which make only small tweaks to the current CNI formula are historically very similar to the current CNI.
https://lao.ca.gov/Publications/Report/5065