Lawmaker: Tax Hike On Super-Rich To Restore Reagan Era In California
SACRAMENTO (CBS) — A Democratic lawmaker is calling for a tax increase on the state’s wealthiest taxpayers to help get California’s financial house in order.
KNX 1070′s Chris Sedens reports Assemblywoman Nancy Skinner wants to capitalize on what she calls “very high” levels of support for targeting the highest tax brackets in the state.
Skinner (D — Berkeley) teamed up on Tuesday with local union leaders and community college students, educators, and board members to garner support for a move she said would be in the spirit of California’s most conservative leaders.
“What my bill AB 1130 is trying to do is restore the tax rate that existed under our Republican governors Ronald Reagan and Pete Wilson,” said Skinner, chairwoman of the Assembly rules committee.
According to Skinner, the proposed 1 percent tax increase would only affect those earning more than $500,000 per year and is expected to generate about $2.5 billion annually.
The California Chamber of Commerce has opposed the bill, warning that small- and medium-sized business could be hit especially hard since many are not incorporated and thus pay personal income taxes instead of corporate taxes.