Skip to comments.Controller John Chiang: January revenues 'disappointing'
Posted on 02/10/2012 2:31:32 PM PST by SmithL
California revenues last month lagged 5.5 percent behind what Gov. Jerry Brown expected in his just-proposed January budget, a development that Controller John Chiang termed "disappointing."
Though the big spring revenue months and Facebook's public stock offering are still to come, the latest report may provide a cautionary signal for Democratic lawmakers who think Brown's forecast is too pessimistic.
According to Chiang's office, the state fell $528.4 million behind the governor's latest projection for January, including a $525 million (6.3 percent) shortage in income tax collections. After the first seven months of the fiscal year, the state is $694 million in general fund revenues, or 1.1 percent, behind Brown's latest plan to solve a $9.2 billion deficit through June 2013.
"January revenues were disappointing on almost every front," Chiang said in a statement.
The drop in January income taxes is due largely to lower estimated tax payments and more income tax refunds than expected in January, Chiang's report said. Withholdings were roughly on par with what Brown projected, coming in $19 million above.
Sales taxes were 5.6 percent higher than Brown expected for the month, which the report said "signals that consumers continue to spend money as the economic recovery picks up steam." Corporate tax revenues were $127.9 million shy of projections, or 48.8 percent.
When compared to the budget that Brown and lawmakers approved last year, built on outdated projections from last spring, the January revenue picture is uglier. Compared to that more optimistic budget, the state was $1.2 billion, or 11.9 percent, behind in January revenues.
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lol Is that Facebook IPO SERIOUSLY going to put much of a dent in their budget shortfalls? CA is just like any of the countries in the Eurozone, only it would be one of the bigger ones.
In the state where they tax anything that moves.. I have to wonder. Did they raise them? Do they have a sales tax on things people need (food, shelter, clothing?)
Why are there still sane people in that state?
The Michigan Republican Governor can handle it
What’s wrong with Cali?
Maybe because so many of us who used to PAY taxes in the Golden State quit the state.
You would think they could see the writing on the wall. But they are liberals and that is pretty much impossible.
Laffer Curve in action.
The Ca. Golden Goose has flown her migration to less abusive climes.
“You would think they could see the writing on the wall. But they are liberals and that is pretty much impossible.”
You know I read stuff like this and I have to wonder just what you folks are smoking out there. California is not all Liberal by any stretch of the imagination. Unfortunately, our big cities are (like most other places you can name) cesspools of liberal trash. A lot of us do “see the handwriting on the wall,” and are hoping that Brown and his band of idiots will drive the final nails in the financial coffin here so we can start the rebuilding process. Take a good look at California and start wondering how long it’s going to take the liberal/Marxist tide to reach where you are. You are living on borrowed time and yet you have the temerity to go on clucking about how bad things are here in California. At least we have beautiful scenery and weather, which is probably why we were first on the East Coast Liberals list who came here and succeeded in crapping things up for the rest of us. You had better hope we find a solution, because unless we do, you’re next.
Jerry Brown should build a wall around California and start shooting taxpayers and businessmen as they try to flee. It works for Cuba. /s
CA problem summarize in six words - too many socialist, too many Mexicans.
I was born in Hollywood. But I can’t stop the tide and neither can you.
California hit the tipping point a long time ago — more people in the cart than pulling it.
It hurt to leave but after a half a century of watching my beautiful state turn to a cesspool, I couldn’t stomach it any more.
It is a cautionary tale for others who wish to take it.
I have three comments.
1. This would be a great opportunity for slashing government services and government employee payroll/benefits. Start with 20% across the board.
2. The democRATS hate businesses and business people, but they just love the tax dollars that come in from the people they hate.
3. Isn’t Brown just too old and too senile to be of any value in this situation?
Guy named Zuckerberg should bump the numbers up a bit.
There’s not enough conservative horsepower to make necessary changes to the craphole called California. The place is completely infested with commies, criminals, socialists, thieves, eco-nazis and illegal moochers.
The only thing that can save your state is a conservative federal administration that has the balls to dust off the 1860’s Reconstruction Acts, declare California a state in insurrection and appoint a military governor along with an army of prosecutors and investigators, backed by the United States military.
To begin, the entire federal congressional delegation from California must be denied seats in Congress.
“Take a good look at California and start wondering how long its going to take the liberal/Marxist tide to reach where you are. - You had better hope we find a solution, because unless we do, youre next.”
It’s happening everywhere.
Insanity reigns in the nation's largest state.
“Theres not enough conservative horsepower to make necessary changes to the craphole called California. The place is completely infested with commies, criminals, socialists, thieves, eco-nazis and illegal moochers.”
That’s such an over the top disgraceful statement that it doesn’t deserve a reply. Enjoy your double wide and your outdoor plumbing.
Maybe that’s why my invoice to the State is 57 days old and I’m about to go bust.
you’re correct...it’s the 2 letter abbreviated cities that have the most liberal views. it’s hard to take that their votes overwhelm so many conservative counties.