Attorney General No.

SA2003RF0010

Secretary of State No.

979

Description

ALTERNATIVE INCOME TAX RATE. INITIATIVE STATUTE. Amends California's income tax law to provide an alternative standard deduction and tax rate for taxpayers with adjusted gross income for the taxable year of $50,000.00 or less for individuals, and $100,000.00 or less for married couples filing jointly. Qualifying taxpayers may choose to take a deduction equal to California's minimum wage effective for the taxable year, multiplied by 1,040 for individuals, or multiplied by 2,080 for married couples filing jointly, and pay 2.5% tax on the adjusted amount. Directs the Franchise Tax Board to prepare a form for use by taxpayers. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: The measure would have the following major fiscal effects: Reduction in state income tax revenues of approximately $900 million in 2004-05 and $700 million annually thereafter.

Proponents

Roland Boucher, United Californians for Tax Reform, 14252 Culver Drive #728, Irvine, CA 92604, (949) 552-9174

Date

5-14-2003

Document Type

Initiative

Qualified

Failed to Qualify

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