The 2018-19 Budget: The May Revision—State Earned Income Tax Credit Expansion

May 14, 2018 - The administration proposes to expand the state EITC to working individuals without children who are between the ages of 18 and 25, as well as to those over age 65. In addition, the administration proposes to increase the income level at which the credit phases out completely to $24,960 (the earnings of one person working fulltime at the 2019 minimum wage of $12 per hour) for filers with one or more dependents and to $16,800 for filers with no dependents.
https://lao.ca.gov/Publications/Report/3835

The 2018-19 Budget: California Earned Income Tax Credit Education and Outreach

May 8, 2018 - Whether fewer individuals would have filed a tax return without the additional outreach activities is unknown based on the data available. In addition, we do not know how many eligible individuals did not file tax returns ( “non-filers ”).
https://lao.ca.gov/Publications/Report/3826

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

Mar 6, 2019 - Both our November Outlook and the administration ’s January estimates (without the Governor ’s proposed conformity changes) suggest that an additional roughly $ 3  b illion in ongoing General Fund resources might be available for additional budget commitments in 2019 ‑20.
https://lao.ca.gov/Publications/Report/3960

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

Mar 18, 2025 - Overall, most programs increase employment and earnings among participants while receiving a subsidy. However, the ultimate goal is to improve long-term employment prospects of these workers. Research suggests that it is less common that programs lead to h igher employment or earnings after the subsidy ends.
https://lao.ca.gov/Publications/Report/5018

The 2019-20 Budget: Tax Conformity

Mar 6, 2019 - Consequently, creating a state tax benefit for Opportunity Zone investments —on top of the significant federal incentive —likely would not significantly influence decisions about where to invest. Any state tax benefit provided would be a “windfall ” to investors because they likely would have made the investment even without the state benefit.
https://lao.ca.gov/Publications/Report/3959

The 2026-27 Budget: California Competes Extension

Mar 18, 2026 - Because the tax credit is nonrefundable, businesses without a significant California tax liability cannot benefit from the incentive it provides. Two types of businesses fall under this category. First, some firms lack tax liability in California due to ongoing and substantial use of other tax deductions and credits, most commonly the Research & Development Tax Credit and the Net Operating Loss deduction.
https://lao.ca.gov/Publications/Report/5162

The 2019-20 May Revision: Opportunity Zones

May 11, 2019 - In addition, investors that maintain their investment for at least ten years will not be taxed on any capital gains earned on their Opportunity Zone investment. Various Government Programs Help Californians Afford Housing.
https://lao.ca.gov/Publications/Report/4038

The 2021-22 Budget: Business Tax Incentives

Jan 28, 2021 - Of this amount, after accounting for the five ‑year structure of the tax credit agreements and the credit recaptures, we estimate that business have earned roughly $ 500  m illion in California Competes tax credits.
https://lao.ca.gov/Publications/Report/4327

The 2020-21 Spending Plan: Tax Changes

Oct 5, 2020 - Earned Income Tax Credit Expands Eligibility for California Earned Income Tax Credit (EITC). The California EITC is a personal income tax credit that is intended to reduce poverty by increasing the after-tax income of California ’s poorest working households.
https://lao.ca.gov/Publications/Report/4270

California’s Low-Wage Workers and Minimum Wage

Mar 11, 2024 - An adult couple without children live in a studio/efficiency. An adult couple with one or two children live in a two-bedroom apartment. Selected References Arellano, Manuel and Stephane Bonhomme (2017).
https://lao.ca.gov/Publications/Report/4878/4