Volatility of California’s Personal Income Tax Structure - Volatility of California’s Personal Income Tax Structure [Video]

The personal income tax is California's most important revenue source. In this companion video to our report Volatility of California’s Personal Income Tax Structure, LAO Economist Justin Garosi briefly explains the volatility of California's personal income tax structure.
https://lao.ca.gov/Videos/Player?playlistId=110&videoId=172

Volatility of California’s Personal Income Tax Structure

Sep 28, 2017 - AD of PIT Tax Structure Comparing Personal Income Volatility to PIT Volatility. In our previous report , we calculated the AD of personal income to be 2.3. To determine the causes of PIT volatility, we first estimate the AD of the overall PIT and compare it to the AD of personal income.
https://lao.ca.gov/Publications/Report/3703

Volatility of California’s Personal Income Tax Structure [Publication Details]

Sep 28, 2017 - This report analyzes the causes of PIT volatility. We find that about 40 percent of PIT volatility is due to choices about which types of income to tax, another 40 percent is due to the progressive rate structure, and the last 20 percent is due to deductions and credits.
https://lao.ca.gov/Publications/Detail/3703

The 2019-20 Budget: Analysis of Proposed Earned Income Tax Credit Expansion [Publication Details]

Mar 6, 2019 - The state adopted an EITC in 2015 and expanded it in 2017 and 2018. The Governor proposes another expansion starting in 2019 that would (1) extend the income eligibility range to $30,000, (2) increase the credit amount for workers with dependents under age six, and (3) increase the credit amount for workers with earnings at the higher end of the current eligibility range.
https://lao.ca.gov/Publications/Detail/3960

The 2019-20 Budget: Analysis of Proposed Earned Income Tax Credit Expansion

Mar 6, 2019 - The state adopted an EITC in 2015 and expanded it in 2017 and 2018. The Governor proposes another expansion starting in 2019 that would (1) extend the income eligibility range to $30,000, (2) increase the credit amount for workers with dependents under age six, and (3) increase the credit amount for workers with earnings at the higher end of the current eligibility range.
https://lao.ca.gov/Publications/Report/3960

Volatility of the Personal Income Tax Base

Feb 8, 2017 - Some brief perspectives on the implications of PIT tax base volatility. Part of the Picture  .  .  . Not the Whole Picture. This brief examines the volatility of the PIT tax base. This is one important element of the PIT ’s overall volatility, but does not provide the whole picture.
https://lao.ca.gov/Publications/Report/3548

Volatility of the Personal Income Tax Base [Publication Details]

Feb 8, 2017 - This brief examines the volatility of the PIT tax base, one important element of the PIT's overall volatility in California. (This brief does not focus on other reasons for PIT volatility, such as California's PIT rate structure, in which high-income Californians pay a bigger fraction of their income than lower- and middle-income Californians.)
https://lao.ca.gov/Publications/Detail/3548

Overview of Diversity Efforts in the Film Tax Credit Program [Publication Details]

May 1, 2025 - Overview of Diversity Efforts in the Film Tax Credit Program [Publication Details] Translate Our Website This Google ™ translation feature provided on the Legislative Analyst's Office (LAO) website is for informational purposes only.
https://lao.ca.gov/Publications/Detail/5036

The 2019-20 Budget: Tax Conformity

Mar 6, 2019 - As we show in Figure 2 , PIT laws in 19 states conform automatically and 23 m ust act to conform their PIT laws. (Nine states do not have a PIT.) If a state with rolling conformity does not want to conform to any particular provision, their Legislatures must pass laws to specify the difference.
https://lao.ca.gov/Publications/Report/3959

The 2018-19 May Revision: LAO Revenue Outlook

May 12, 2018 - Personal Income Tax (PIT) Healthy Growth in Wages and Salaries Drive PIT Growth. Our PIT outlook reflects anticipated tightening in labor markets, which puts upward pressure on wages. Accordingly, we estimate that taxable wages and salaries will increase by 7.5 percent in 2018 and 6.6 percent in 2019 before fading to 3.5 percent growth in 2021.
https://lao.ca.gov/Publications/Report/3830