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

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections) [Publication Details]

Sep 7, 2023 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 6 (Corrections). This review is pursuant to Section 19829.5 of the Government Code.
https://lao.ca.gov/Publications/Detail/4800

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Sep 7, 2023 - The state pays for retiree health benefits differently from how it pays for pension benefits. In the case of retiree health benefits, the state pays a percentage of pay towards normal cost (specified in labor agreements and matched by employees) to prefund the benefit and it pays the unfunded liability on a
https://lao.ca.gov/Publications/Report/4800

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

MOU Fiscal Analysis: Bargaining Unit 5 (Highway Patrol) [Publication Details]

Aug 26, 2019 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 5 (Highway Patrol). Bargaining Unit 5 is represented by the California Association of Highway Patrolmen (CAHP). This review is pursuant to Section 19829.5 of the Government Code.
https://lao.ca.gov/Publications/Detail/4089

MOU Fiscal Analysis: Bargaining Unit 5 (Highway Patrol)

Aug 26, 2019 - The agreement increases employee contributions over the course of the agreement by 1 percent of pay each year starting in 2020‑21. Consequently, employee contributions would be 12.5 percent of pay in 2020‑21, 13.5 percent of pay in 2021‑22, and 14.5 percent of pay in 2022‑23.
https://lao.ca.gov/Publications/Report/4089