State of California Archives: on Tax Reform

Arnold Schwarzenegger: Our economy is 21st century & our tax system is 20th century

Our economy is diverse, whereas our tax system is not; 144,000 taxpayers pay almost 50% of all personal income taxes. Now, think about that--38 million Californians have to rely on 144,000 people for their schools, their public safety and so many other services. That makes absolutely no sense.

Now, here is what we need to accept. Our economy is 21st century and our tax system is 20th century. It is stuck in the wrong century.

The Tax Reform Commission proposed major, radical reforms. Now, some people right away said they are too bold and thu they would be too hard to enact. Now, what do they mean too bold? Bold is what we do in California. And what do they mean too hard? If I had hesitated in my career every time I made a move because it was too hard, I would still be yodeling in Austria.

Brian Dahle: Repeal the gas tax and roll back excessive regulations

• The TRUTH: The State of California has a $42 billion surplus because you pay the highest gas taxes and some of the highest personal income taxes, yet our schools rank near the bottom, we have the highest poverty rate, some of the worst roads, and worst business climate. We don't have a funding issue; we have a leadership crisis.
• The PLAN: We need to repeal the gas tax and roll back excessive regulations that have increased the cost of every sector of living, from energy to housing.

Gavin Newsom: Supports tax hikes for public good

Gloria La Riva: Increase tax rate for high incomes; no tax below $50,000

No.

Q: Do you support requiring the federal budget to be balanced each year?

No.

Q: Do you support using government funds in an effort to stimulate and improve the economy?

Yes.

La Riva adds, "I believe the tax rate for high income people, both Capital Gains and Income Taxes, should be greatly increased. Households making under $50,000 should have their taxes eliminated."

Jerry Brown: Only choice is raise taxes to deal with extreme difficulty

From the time I first proposed what I believe to be a balanced approach to our budget deficit--both cuts and a temporary extension of current taxes--dozens of groups affected by one or another of the proposed cuts have said w should cut somewhere else instead. Still others say we should not extend the current taxes but let them go away. So far, however, these same people have failed to offer even one alternative solution.

Wherever I look, I see difficult choices. But I also see a bright future up ahead and a California economy that is on the mend.

Jerry Brown: California needs a larger Rainy Day Fund

John Cox: California is over-taxed and over-regulated

John Cox: Roll back tide of tax increases & job killing regulations

When our California congressional Republicans asked me to serve as Chairman of the real campaign to repeal the gas tax, I gladly accepted-- because it's time to fight back, and end the war on the middle class.

Kamala Harris: Expand EITC, Child Tax Credit, and R&D Tax Credit

• Expand Pro-Work Tax Credits: Together the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) help keep millions of families from falling into poverty and enable many parents to afford childcare, which allows them to work and provide for their families. Kamala supports expanding these credits and the American Opportunity Tax Credit, which helps pay for college.
• Research & Development Tax Credit: In 2014, Congress let the Research and Development Tax Credits expire, a key tool that helps spur innovation in the private sector. But despite bipartisan support, for months Washington failed to extend it. Kamala supports expanding the research and development tax credit and rewarding businesses that invest in science and technology research.

Kevin Faulconer: Incumbent backed higher taxes and destroyed jobs

Mimi Walters: Fight to reduce taxes & reckless spending

Ro Khanna: Rewrite antiquated tax code that stacks the deck

Just look at our antiquated tax code--it was written for a 1960s economy and is failing us today. It incentivizes companies to locate overseas while giving oil companies tax breaks and subsidies. At the same time, an impossibly complex bureaucracy has piled on burdensome and duplicative regulations that have stacked the deck against small businesses and entrepreneurs.

Our country needs bold leadership to ensure America maintains its position as the most productive and innovative nation on earth. My comprehensive economic agenda will increase our manufacturing and exporting capacity, and reward entrepreneurs who take risks and keep our economy dynamic--all while strengthening our middle class.

Ro Khanna: Our tax policy benefits the top 1% of Americans

As a member of Congress, I will push for comprehensive tax reform to curtail ballooning inequality and make tax credit compliance easier for working families and small businesses. The growth of special deductions, exclusions, and tax breaks for the wealthy increase the time and resources individuals must spend on calculations and documentation requirements to pay their taxes.

Congress also needs to reform the Alternative Minimum Tax (AMT) to protect middle class taxpayers. What we have right now is an antiquated tax regime that is unfair, hurts our competitiveness, and has been manipulated repeatedly by narrow special interests.

Tom Del Beccaro: Personal & corporate flat tax: 15.5% federal and 6% state

• Replace the current corporate tax system with a 15.5% net business income tax with immediate expensing for business purchases and deductibility of wages.
• Replace the current personal income tax with a flat 15.5% rate on wages, capital gains, dividends, interest and inheritance.
• The payroll tax should be retained but its cap should be eliminated.
• The elimination of the estate tax, Affordable Care Act tax and all tariffs.

• A 6% flat tax imposed on all federal income subject to tax.
• The elimination of the thousands of pages of state tax code. Californians would be able to fill out a simple post card for their tax returns.

Tom Steyer: Oppose legislative supermajority for raising fees & levies

Report on Steyer's stance and spending on ballot initiatives:
• California Proposition 26, Supermajority Vote to Pass New Taxes and Fees (2010)
• Steyer Opposed; Steyer spent $1 million; outcome: Approved
• California Proposition 26, or the Supermajority Vote to Pass New Taxes and Fees Act, was on the November 2, 2010 ballot in California as an initiated constitutional amendment, where it was approved.
• Proposition 26 requires a two-thirds supermajority vote in the California State Legislature to pass any fees, levies, charges and tax revenue allocations that under the state's previous rules could be enacted by a simple majority vote.
• Supporters of Proposition 26 called it the Stop Hidden Taxes initiative, saying that fees, levies, and so on imposed by the California government amount to taxes, and should therefore require the same supermajority vote required to enact income or sales tax increases.

Tom Steyer: Tax surcharge on personal incomes over $250,000

Report on Steyer's stance and spending on ballot initiatives:
• California Proposition 55, Extension of the Proposition 30 Income Tax Increase (2016)
• Steyer Supported; Steyer spent $1.75 million; outcome: Approved
• Proposition 55 was on the November 8, 2016, ballot in California as an initiated constitutional amendment. It was approved.
• A "yes" vote supported extending the personal income tax increases on incomes over $250,000 approved in 2012 for 12 years in order to fund education and healthcare.
• A "no" vote opposed extending the personal income tax increases on incomes over $250,000 approved in 2012 for 12 years, allowing the tax increase to expire in 2019.
• The measure was designed to allocate about 89 percent of revenue from the tax increase to K-12 schools and 11 percent to state community colleges. It was also designed to allocate an additional $2 billion in certain years to Medi-Cal and other health programs.

Travis Allen: California must cut taxes