The Assembly and Senate approved a $311.7 billion budget bill June 15 with no broad-based tax increases, but legislative leaders indicated that changes will be made to the plan after negotiations with Governor Gavin Newsom conclude and when more accurate revenue projections are available after October tax payments are received.
The state collected $7.49 billion in personal income tax revenue during the month of April – approximately $3.8 billion less than anticipated in Governor Gavin Newsom’s January budget proposal – according to the PIT revenue tracker maintained by the State Controller’s Office.
Senate Democrats this week proposed increasing California’s corporate tax rate to 10.99 percent for income over $1.5 million, but the April 26 proposal was immediately dismissed by Governor Gavin Newsom’s office.
