Super Genius…California Coyotes
there is only one way this could be at all surprising to you
State Controller John Chiang today released his monthly report covering California’s cash balance, receipts and disbursements in November 2012, showing total revenues were $806.8 million below (-10.8 percent) projections contained in the 2012-13 State budget.
“November’s disappointing revenues stand in stark contrast to recent news that California is leading the nation in job growth, has significantly improved its cash liquidity to pay bills, and even long-distressed home values are starting to inch upward,” said Chiang
Gee. What in the world happened?
Proposition 30… income tax will apply retroactively to all income earned or received since the first of the year (1 January, 2012).
RedBeacon: Exhibit A of this phenomenon is Facebook, which might have been the impetus for Prop 30 in the first place. Thousands of workers toiled long hours and worked for low pay (at least in the beginning) to build one of Silicon Valley’s generational companies. When their deferred reward hit eight years later in the form of a $90 billion IPO, it proved an attractive tax target for California’s politicians. The only problem was that the IPO occurred before the tax hike, hence the need for the retroactivity in Prop 30.
If you’re surprised California’s tax revenues “unexpectedly” dropped, well, you must be a member of the Super Genius caste