Attorney General No.
Secretary of State No.
TAXES. BUSINESS DEDUCTIONS, CREDITS, EXEMPTIONS. VOTER APPROVAL. INITIATIVE CONSTITUTIONAL AMENDMENT. Requires two-thirds vote of voters to approve currently existing and future laws which reduce rate, base, or burden of state or local taxes on banks, corporations, insurers, trades or businesses, below that generally applied. Annuls such existing state and local laws which are not approved by two-thirds vote of the voters by January 1, 2000. Requires additional tax revenues resulting from such annulments to be distributed, in equal amounts, to adult California residents who pay any state or local tax. Requires two-thirds vote of the voters to amend measure. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: Unknown increase in state business tax revenues -- potentially over $2 billion annually. These revenues will have no direct impact on state government because they would be distributed to adult California residents paying any state or local tax. Unknown revenue gains to local governments, potentially in the hundreds of millions of dollars annually. State school spending would decline by about half of the portion of this revenue gain associated with property taxes. There will also be unknown indirect state and local government revenue effects associated with taxpayer behavioral responses.
Daniel A. Terry, 2825 Toronja Way, Sacramento, Ca 95833
Failed to Qualify
Taxes. Business Deductions, Credits, Exemptions. Voter Approval. California Initiative 757 (1997).