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Falling corporate profits gouge a wider hole in California budget
LA TIMES ^ | 4.15.08 | Evan Halper, Los Angeles Times Staff Writer

Posted on 04/15/2008 9:00:01 PM PDT by BurbankKarl

SACRAMENTO -- California's budget problems deepened today as the state reported that tax receipts plummeted nearly $1 billion last month due to plunging corporate profits.

The news comes as the state moves closer to the July 1 deadline for lawmakers to close California's budget gap, which had earlier been estimated at $16.5 billion. There is little agreement in the Capitol about how to go about doing that.

Democrats have been calling for multibillion-dollar tax increases. Republicans have signed pledges vowing never to vote for new revenue, demanding instead that the budget be balanced with steep spending cuts.

Corporate taxes alone came into the state at $869 million below what was forecast in Gov. Arnold Schwarzenegger's budget, released in January. Overall, revenue was down $912 million for the month.

(Excerpt) Read more at latimes.com ...


TOPICS: Business/Economy; News/Current Events; US: California
KEYWORDS: california

1 posted on 04/15/2008 9:00:01 PM PDT by BurbankKarl
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To: BurbankKarl

How long before the call to repeal prop. 13 starts?


2 posted on 04/15/2008 9:07:34 PM PDT by Fishing-guy
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To: BurbankKarl

Somebody remind me again why I want to live here?


3 posted on 04/15/2008 9:09:28 PM PDT by InABunkerUnderSF ("Gun Control" is not about the guns. "Illegal Immigration" is not about the immigration)
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To: BurbankKarl
Democrats have been calling for multibillion-dollar tax increases.

Which would, of course, drive businesses and taxpayers out of state.

(As a member of the latter group, I'm looking for an excuse to leave the once-Golden State. Dems of the Calif Legislature, raise my taxes, PLEASE!)

4 posted on 04/15/2008 9:09:37 PM PDT by Seaplaner (Never give in. Never give in. Never...except to convictions of honour and good sense. W. Churchill)
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To: Fishing-guy
"tax receipts plummeted nearly $1 billion last month due to plunging corporate profits

Democrats have been calling for multibillion-dollar tax increases."

See the above facts. It should be obvious to any moron (Democrats excepted) that when corporate profits fall, and personal income falls, then tax increases will not help matters but will worsen them.

While I will excuse the Democrats for not having brains or common sense (it's something in the water they drink), I cannot excuse the journalist.

This is not rocket science.

Of course, let's not forget that this is the LA Times.

5 posted on 04/15/2008 9:11:18 PM PDT by tom h
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To: BurbankKarl

bump


6 posted on 04/15/2008 9:11:30 PM PDT by lowbridge ("I can't wait to see what he stands for." - Susan Sarandon on her support of Barack Obama)
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To: BurbankKarl

California’s budget IS a “hole”, and it doesn’t have a bottom.


7 posted on 04/15/2008 9:12:09 PM PDT by KoRn (CTHULHU '08 - I won't settle for a lesser evil any longer!)
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To: tom h

50-50 odds the next governor, will end Prop 13.

And even that won’t help.


8 posted on 04/15/2008 9:13:29 PM PDT by Cringing Negativism Network
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To: All

Cool! My above post was my 11,000th. I knew I was getting close, and that was it!


9 posted on 04/15/2008 9:13:30 PM PDT by KoRn (CTHULHU '08 - I won't settle for a lesser evil any longer!)
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To: Fishing-guy

with all the liberal federal judges in california (clinton appointees), any ballot initiative that attempts to deal with payouts and government programs for illegals is doomed to fail.


10 posted on 04/15/2008 9:16:06 PM PDT by kingattax (99 % of liberals give the rest a bad name)
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To: BurbankKarl

“If duties are too high, they lessen the consumption; the
collection is eluded; and the product to the treasury is not
so great as when they are confined within proper and moderate
bounds. This forms a complete barrier against any material
oppression of the citizens by taxes of this class, and is itself
a natural limitation of the power of imposing them.”

— Alexander Hamilton (Federalist No. 21, 1787)

Reference: The Federalist


11 posted on 04/15/2008 9:16:52 PM PDT by Parmy
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To: InABunkerUnderSF

I remember when folks dreamed of living in California. Trouble is too many are trying to live that dream. I wish I could have seen it when it was still in it’s heyday.


12 posted on 04/15/2008 9:17:30 PM PDT by OeOeO
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To: BurbankKarl
"Democrats have been calling for multibillion-dollar tax increases."

Yup. Raise taxes. People and corporations leave. Raise taxes, more leave. Raise taxes again, more leave... Liberals are incredibly stooopid.

13 posted on 04/15/2008 9:22:26 PM PDT by Cobra64 (www.BulletBras.net)
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To: KoRn
congrats KoRn


14 posted on 04/15/2008 9:22:45 PM PDT by kingattax (99 % of liberals give the rest a bad name)
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To: KoRn

“My above post was my 11,000th. I knew I was getting close, and that was it!”

Congatulations!

That means you’re:

1) An oldtimer.

2) A bigmouth.

3) Obsessive/Compulsive

Congratulations nonetheless!

By the way the odometer on my Corolla went over 57,000 at 3:14:42 PM on January 4, 2008!


15 posted on 04/15/2008 9:26:42 PM PDT by EEDUDE
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To: BurbankKarl
Hah! Another opportunity to make my gratuitous: 'Privatize the Public Schools' post.

I believe California budgets ~$43 Billion for K-12 schools. Just get the school system off the government dole, and turn it over to the private industry.
I'm sure the education system will improve (its hard to imagine it getting any worse).
No free ride for non-citizens.
The schools no longer become a dumping ground for kids who don't want to attend school (I'm sure private industry can tailor products, such as schools that emphasize 'trades', that might interest those who have no desire in going through the K-12 experience).
With the savings we can completely eliminate property taxes (Proposition 13 was a good start in containing property theft by the government -- but it still does not uphold the concept of private property, since one's house can be taken if they fail to pay their property tax).
AND, we can stop the public funding of a union that promotes socialism and class divisions...

It's not going to happen - but whenever I see one of these California budget posts, I'll gladly attach my gratuitous 'privatize the schools' comments.... It's my version of 'I have a Dream'...

16 posted on 04/15/2008 9:27:38 PM PDT by El Cid (Believe on the Lord Jesus Christ, and thou shalt be saved, and thy house...)
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To: kingattax; EEDUDE

Haha Thanks!


17 posted on 04/15/2008 9:29:55 PM PDT by KoRn (CTHULHU '08 - I won't settle for a lesser evil any longer!)
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To: BurbankKarl

Let’s see. In order to alleviate its financial situation, California could probably pare down its endless list of agencies by about a third, maybe more. It could also institute a hiring freeze, and instruct its remaining agencies to make do on, say, five percent less than last year’s budget.

Naw. Better to just soak the population again, as usual ...


18 posted on 04/15/2008 9:33:51 PM PDT by JennysCool (They all say they want change, but they’re really after folding money.)
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To: BurbankKarl

HA HA HA HA, California!

Remember Schwarzenegger’s promise when was elected? He was going to “bring the businesses back to Cal-ee-for-nee-ya”?

Business doesn’t like places with sucky, Marxist nanny governments, Ahnold.

Arnold + Politics = Fail


19 posted on 04/15/2008 9:55:17 PM PDT by DesScorp
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To: Cobra64

I pity the last taxpayer to leave California. His tax bill will be $145 billion.


20 posted on 04/15/2008 10:28:25 PM PDT by RLM
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To: KoRn
...doesn’t have a bottom.

Courtesy of the California Public Employees and their unions.

21 posted on 04/16/2008 12:40:27 AM PDT by 386wt (Be free and don't die!)
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To: InABunkerUnderSF

blah blah blah blah blah blah... weather... blah blah blah blah blah.

I think that’s the only reason anybody stays in California. If it was humid, 3/4 of the state would up and leave.


22 posted on 04/16/2008 1:23:00 AM PDT by Freedom_Is_Not_Free
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To: BurbankKarl

My last trip to CA convinced me that the state had gone to the dogs and fascists.

A goat-humping 50 acre piece of manzanita chocked dirt north of Napa was selling for $3 million.

The realtor informed me that the parcel could not be divided into less than 12 acre plots, as mandated by the county government.

What person in his right mind would pay $3 million for a plot of land that’s controlled by the local fascist government? Talk about no proprty rights.

Himmler and his solution for the eastern territories couldn’t have done a better job of strangling property owners and controlling land for the good of the state.

That entire state is choked with seig heil politcians and sheep who let them get away with massive theft of money, property and liberty.


23 posted on 04/16/2008 5:40:29 AM PDT by sergeantdave (Governments hate armed citizens more than armed criminals)
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To: Cringing Negativism Network

As a San Diego resident, I am not as pessimistic as you.

The consequences of ending Prop 13 will be a continued lowering of housing prices and will tick off everyone.

I know a lot of Democrats (the type who think that Gore won in 2000) who voted for Arnold because while they didn’t necessarily want to vote for a Republican, they know that state politics is nutty and that Dems like Gray Davis were out of control.

So I have to hope the Dems in California are currently at their zenith, the zenith of their power and their lunacy. So it can only get better.

It will if Arnold finally succeeds in getting an independent commission to draw legislative lines.


24 posted on 04/16/2008 5:42:19 AM PDT by tom h
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To: KoRn
Cool! My above post was my 11,000th. I knew I was getting close, and that was it!

How do you know how many posts you've posted?

25 posted on 04/16/2008 3:25:28 PM PDT by Cobra64 (www.BulletBras.net)
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To: InABunkerUnderSF
Somebody remind me again why I want to live here?

SF's a beautiful area to live in...I grew up in the East Bay.

I've been a naturalized Texan for about 25 years, and have no plans to leave the Lone Star State.

Sorry I couldn't be of more help. My sister still resides in the same 'burb, but she'll be moving to Nevada this summer.

26 posted on 04/16/2008 3:33:08 PM PDT by Night Hides Not (Forget it...I'll never be able to pull the lever for McCain!)
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