[exDemMom]

California now has so much projected revenue that Sacramento legislators don't what to do with it, The New York Times' Adam Nagourney reports.

Since when do tax increases actually yield the quantity of money they are projected to bring in?

That old saying about not counting the chickens before they hatch comes to mind. I'm betting the projected revenue never materializes.

[VideoDoctor]

I'm betting the projected revenue never materializes.

I'm betting a $100 dollars to a DONUT you're correct.

[longtermmemmory]

garbage to scare the rubes from fleeing california confiscatory taxes.

Projected to still have a net exodus.

[Bogey78O]

Exactly. They jacked up taxes 6 months ago and they’re counting on it producing higher revenues. Although it may produce some positive effects this year(partially due to it being retroactive), the next year the business community will adjust their tax strategy and they’ll be back at square one.

[Bogey78O]

Not to mention the money dumping into the housing market the Feds have been doing have been shoring up states, like California, with housing bubbles.

[wjcsux]

That old saying about not counting the chickens before they hatch comes to mind. I'm betting the projected revenue never materializes.
This is what I believe as well. I think they call it "California Dreamin".

[staytrue]

You have missed the relevant quote in the article.

The surplus is almost certainly the result of wealthy Californians trying to bank capital gains before the Bush tax cuts expired, Nagourney says.

[GeronL]

I'm betting the projected revenue never materializes

That is exactly what I was thinking

[wiggen]

They know its there and the article tells you why. The thing is as of now its not repeatable unless people take profits again. They simply are not sure of the final count. Whatever they sold prior to take advantage of the tax cuts expiring was one time. They would need to do it once again for the surplus to be repeated. Let them spend it. Next year they’ll be walking around with a tin cup again.