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To Compete or Not to Compete: Sales Tax Exemption for Manufacturers Needed in California
May 9 – For several years, CMTA has been advocating for fair and stable tax treatment for manufacturers doing business in California, pressing the state to allow qualified taxpayers an exemption from the state portion (5 cents per dollar) of the sales tax on purchases of qualified manufacturing equipment.

Today, California is one of only three states that taxes manufacturing equipment purchases with no credit or exemption, meaning that California manufacturers currently pay taxes twice – once in the form of taxes on business inputs (manufacturing and related research) and again on business outputs (the products from the utilization of these assets).  Imposing a sales and use tax on productive inputs rather than only on final products is not only poor tax policy, it also has th ... » More


Latest Capitol Updates »Archive
» Regional planning to reduce greenhouse gas emissions  May 9
» John Duncan confirmation to DIR held by Perata  May 9
» Corporate climate change disclosure   May 2
» Paid sick leave placed on suspense file  May 2
» All is not gloomy on the environmental front  May 2
» New talk about service taxes  May 2
» Senate committee changes  May 2


Latest Feature »Archive
» Unions, business join hands over vocational education by Jack Stewart and Bob Balgenorth Dec. 15

Latest Release »Archive
» California Manufacturers & Technology Association moves to the heart of Capitol March 31

Latest NAM update »Archive
» US EPA Announces New Ozone Standard March 14

Recent Multimedia »Archive
» State Senators David Cogdill and Bob Dutton introduce Economic Recovery Package April 29
WATCH VIDEO
(2:44, requires Windows Media Player)

» CMTA Chief lobbyist Dorothy Rothrock explains why a temporary delay in AB 32 implementation is good for the economy April 29
WATCH VIDEO
(1:50, requires Windows Media Player)

 
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Blogging California's manufacturing and competitiveness

» 2008 Career Tech Summit Findings, Gino DiCaro, May 7

» Reminder to Legislature: Think Dynamically, Gino DiCaro, May 7




State news - May 9
Governor meets with automakers on gas emissions – In their first face-to-face meeting, Gov. Arnold Schwarzenegger and automakers agreed yesterday to explore new cooperative approaches to reducing ...  Michael Gardner in the San Diego U-T

Senate Democrat Jack Scott named to lead California community colleges – A former college president-turned-lawmaker has been named the next chancellor of California's community college system, making him think twice about ...  Jack Scott in the Sacramento Bee

California tax proposals target beer-loving, pornography-watching yacht owners – As state leaders hunt for politically palatable solutions to the swelling budget shortfall, some Democrats are proposing unorthodox ways to generate ...   Evan Halper in the L.A. Times

Schwarzenegger challenges automakers to meet California rules – Gov. Arnold Schwarzenegger on Thursday said pressure from the auto industry will not deter California from attempting to impose strict emission rules ...  Samantha Young in the North County Times


Commentary - May 9
How a lower tax rate could narrow state's budget deficit – Facing a shortfall that Gov. Arnold Schwarzenegger has estimated at $20 billion, California Democratic lawmakers are looking for a way to raise tax ...  Daniel Weintraub in the San Jose Merc. News


National news - May 9
Oil Lobby Reaches Out to Citizens Peeved at the Pump – Faced with a national outcry over the high price of gasoline and soaring profits for energy companies, the oil and gas industry is waging an ...  Jeffrey H. Birnbaum in the San Francisco Chron.

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