The 2025-26 Budget: Partial Income Tax Exclusion for Military Retirement Income [EconTax Blog]

Feb 13, 2025 - Tax Expenditures Should Clear High Bar. Relative to spending proposals, tax expenditures tend to be reviewed less rigorously once they are adopted. Furthermore, again relative to spending proposals, assessing the effectiveness of tax expenditures is challenging given the limited information the state receives about taxpayers who benefit.
https://lao.ca.gov/LAOEconTax/article/Detail/820

The 2025-26 Budget: Partial Income Tax Exclusion for Military Retirement Income [EconTax Blog]

Feb 13, 2025 - Tax Expenditures Should Clear High Bar. Relative to spending proposals, tax expenditures tend to be reviewed less rigorously once they are adopted. Furthermore, again relative to spending proposals, assessing the effectiveness of tax expenditures is challenging given the limited information the state receives about taxpayers who benefit.
https://lao.ca.gov/LAOEconTax/Article/Detail/820

Evaluating Tax Policy Changes in the Governor's Budget [EconTax Blog]

Feb 22, 2024 - Doing so would result in a less equitable tax system and would not offer meaningful administrative efficiencies. We recommend rejecting the proposed change. Approve Elimination of Tax Expenditures for Fossil Fuel Production.
https://lao.ca.gov/LAOEconTax/article/Detail/797

Evaluating Tax Policy Changes in the Governor's Budget [EconTax Blog]

Feb 22, 2024 - Doing so would result in a less equitable tax system and would not offer meaningful administrative efficiencies. We recommend rejecting the proposed change. Approve Elimination of Tax Expenditures for Fossil Fuel Production.
https://lao.ca.gov/LAOEconTax/Article/Detail/797

The 2025-26 Budget: California’s Film Tax Credit

Feb 28, 2025 - CFC reporting shows total expenditures associated with projects receiving a tax credit have averaged about $2.5  billion per year over the three most recent fiscal years. Relative to the gross domestic product of California ’s motion picture industry in 2023 of $54.4  billion, this represents a little under 5  percent of the sector.
https://lao.ca.gov/Publications/Report/5000

The 2025-26 Budget: California’s Film Tax Credit [Publication Details]

Feb 28, 2025 - The 2025-26 Budget: California’s Film Tax Credit [Publication Details] Description: This brief discusses California's film tax credit and assesses the Governor’s Budget proposal to raise the amount of tax credits available for the California Film Commission to allocate to $750 million starting in 2025‑26.
https://lao.ca.gov/Publications/Detail/5000

The 2025-26 Budget: Overview of the Governor's Budget

Jan 13, 2025 - New Tax Expenditures of $150   Million. The Governor ’s budget includes some revenue proposals, which would expand existing tax expenditures and create new ones. This includes increasing the existing film tax credit from $330  million to $750  million per year and excluding some military retirement income from taxation.
https://lao.ca.gov/Publications/Report/4951

The 2020-21 Budget: Expanding the Minimum Franchise Tax Exemption

Mar 23, 2020 - In our 2019 post on evaluating tax expenditures, we explain that periodically reviewing tax expenditures is important because, like direct state expenditures, they have budgetary costs. Such reviews can help policymakers assess whether a tax expenditure is effective and merits continued financial support from the taxpayers.
https://lao.ca.gov/Publications/Report/4207

Tax Expenditure Evaluation [Publication Details]

Feb 22, 2023 - Tax Expenditure Evaluation [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/4690

The 2024-25 Budget: Temporary Corporation Tax Increases [EconTax Blog]

May 17, 2024 - As we discussed in an earlier publication , one place to look for alternatives is the scaling back of other tax expenditures, including those under the personal income tax. Another option is a temporary corporation tax rate increase.
https://lao.ca.gov/LAOEconTax/Article/Detail/804