| re: CA marginal tax rates, IIUC they're "temporary" but in place through 2030 at least, and have already been extended once. I am a bleeding heart liberal which doesn't come through in the below, but think this is one example of 'nothing as permanent as a temporary government measure' Before 2012 the top CA tax bracket was the 9.3% one. CA was still one of the most progressive states (tax burden for mid-income folks and retirees is not bad, though cost of living is high), which means the state revenue is sensitive to the income of high-income Californians. Some of those incomes weren't doing so well in 2009-2011 with the GFC impact on tech, finance, maybe entertainment, execs living in the state, everyone's stock portfolios, etc. Oh no, the schools are going to lose funding and the children won't be able to learn! Proposition 30 was proposed and raised sales tax for 4 years, and income tax for 7, via the creation of the 10.3-12.3 brackets; a 1M 1% surtax already existed. This was retroactive, raising taxes for the whole calendar year where it was on the November ballot. https://en.wikipedia.org/wiki/2012_California_Proposition_30 Jerry Brown campaigned for it and stressed this was a temporary measure to get through these times, and it passed. Four years later, in 2016... Did you know that if you don't act NOW then in a couple years there is going to be a big TAX CUT exclusively for rich Californians? Don't let this grave injustice happen, we need to fund schools so the children can learn! (and this time some other stuff like Medi-Cal and pay down the debt a bit). https://en.wikipedia.org/wiki/2016_California_Proposition_55 I believe this makes them effective through 2030. Next year, CA will lift the cap on the 1.1% CA employee payroll tax. I haven't followed this too close but think that means that californians making over $1M will be paying a 14.4% state marginal tax rate. Not that there's much sympathy for that group. In 2025, the individual Tax Cuts and Jobs Act brackets will expire, with the top bracket going back up to 39.6%. Though I think Californians will be able to deduct their state taxes on the federal side once again (would not be surprised for that cap to return though). I'm not necessarily opposed to these tax rates. I just wish having marginal rates over 50% would get us some form of universal healthcare. |
Not only has the homeless problem gotten worse since they introduced it, its also driven a few companies out of the city like Stripe, and in my opinion its the policies, not the funding which is the issue.
These are all examples of the government raising taxes, expanding, and not being accountable for any results that the increased spend was meant to bring