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.
Lawmakers are considering a budget request from Governor Gavin Newsom to spend $402 million in general fund money in 2023-24 for a state office complex that will include a new headquarters for the California Department of Tax and Fee Administration.
Governor Gavin Newsom this week unveiled his budget for the 2023-24 fiscal year, proposing total spending of $297 billion from all funds, down from $307.9 billion in the budget enacted last summer.
Governor Gavin Newsom signed a $308 billion state budget and several budget trailer bills this week, and the Legislature began its month-long summer recess.
