Ripping-off the Creators in favor of the Consumers …
Just when companies thought that they were benefiting from the first real national tax reform in decades, comes the progressive socialist democrats in the California legislature – notably State Assemblymen Kevin McCarthy (D-Sacramento) and Phil Ting (D-San Francisco) with their greedy grasping hands in your pocket. The two progressive miscreants are proposing a tax surcharge on any company in California making more than 1 million dollars – to force productive companies to surrender a portion of any tax benefits to the communist legislators so fund state programs for low- and middle-income class families.
Allegedly the program is being sold to the public as a way to protect funding for education, healthcare, and most likely, programs to support illegal aliens who are decimating the formerly Golden State’s resources.
“Trump’s tax reform plan was nothing more than a middle-class tax increase,” Ting said in a statement. “It is unconscionable to force working families to pay the price for tax breaks and loopholes benefiting corporations and wealthy individuals. This bill will help blunt the impact of the federal tax plan on everyday Californians by protecting funding for education, affordable health care, and other core priorities.” <Source>
Known as ACA22, or by its grossly deceptive title, the Middle Class Fiscal Relief Act, the legislation is being proposed as an amendment to the state Constitution, which means the progressive socialist democrats who hold a majority in all branches of government only need a yes vote from two-thirds of their fellow progressives and RINO (Republican In Name Only) cohorts who are eager to roll-over on their party and constituents to make nice with the California commies who are all about class, race, and gender warfare.
This measure, for taxable years beginning on or after January 1, 2018, would impose a surcharge of 10% on the net income of all corporations that is over $1,000,000. The measure would authorize the Legislature to increase or decrease the surcharge by a two-thirds vote of each house, as provided. The measure would require the deposit of those revenues, less refunds, into the Middle Class Fiscal Relief Fund, which would be created by the measure. Revenues in the fund would be allocated, upon appropriation by the Legislature, for specified purposes, including providing fiscal benefits to lower and middle-income Californians. <Source>
In essence, the State of California is demanding nearly one-half of your 21% corporate tax rate.
How much are you willing to be that a significant portion of any revenues collected will be used to bail-out under- or un-funded union pension programs and that the money will disappear into the black hole that is California’s treasury.
Crooks in our legislature …
Rather than reduce their spending or lower taxes, California State Senate President Pro Tem Kevin de León has a scheme to keep Californian’s from attacking the legislature over the sky-high state taxes which are not deductible under the new tax reform legislation. This is a scam and should result in the arrest of Kevin Leon (the de and accent are self-styled affectations) for aiding and abetting criminal federal tax evasion. His proposal would allow Californian’s to escape higher federal taxes with a donation to a charitable fund created by the state so that any amount owed over the $10,000 deduction would be deductible as a charitable contribution on their federal tax returns. <Source>
It is doubly ironic that the progressive socialist democrats rail against the top earners in the state and then offer them a way to evade taxes. In reality, forcing the rest of America to subsidize California’s out-of-control spending and the maintenance of a sanctuary state for illegal aliens.
Some are giving up and moving …
Famed rifle and shotgun manufacturer Weatherby has announced that their 75-year stay in California is coming to an end and they are decamping for a more tax- and people-friendly Sheridan, Wyoming in 2019. Imagine being welcomed by a state and its governor, Matt Mead, rather than being taxed, regulated, and blamed for heinous crimes. This is a family-owned company known for their superb craftsmanship and impeccable customer service. The relocation is expected to create 70 to 90 jobs and more than $5 million annually in payroll in the next five years. The company will lease its building from the local business development authority which will completely recover their costs and make a significant profit over the life of the lease.
Bottom line …
California has proven that its governance model is capable of turning a productive state into Venezuela under the watchful eyes of a majority of its progressive citizens, many of whom are illegal and/or indigent. We are so screwed.
“Nullius in verba.”-- take nobody's word for it!
“Beware of false knowledge; it is more dangerous than ignorance.”-- George Bernard Shaw
“Progressive, liberal, Socialist, Marxist, Democratic Socialist -- they are all COMMUNISTS.”
“The key to fighting the craziness of the progressives is to hold them responsible for their actions, not their intentions.” – OCS "The object in life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane." -- Marcus Aurelius “A people that elect corrupt politicians, imposters, thieves, and traitors are not victims... but accomplices” -- George Orwell
“The key to fighting the craziness of the progressives is to hold them responsible for their actions, not their intentions.” – OCS
"The object in life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane." -- Marcus Aurelius
“A people that elect corrupt politicians, imposters, thieves, and traitors are not victims... but accomplices” -- George Orwell