Initiative. Reduces sales and use tax rate from 3 to 2 percent. Changes income tax rates (now ranging from 1 percent on incomes under $5,000 to 6 percent on incomes over $25,000) to new range of ½ percent on incomes under $5,000 to 46 percent on incomes over $50,000. Legislature may lower but not increase sales and use tax rates. Income tax rates may be changed only by vote of electors. Sales and use tax rate changes effective January 1, 1959. Income tax rate changes effective after December 31, 1957.
Popular Vote Results
Y: 888523; A: 18.1; N: 4033101; B: 81.9
Mrs. Anne Dippel; Mrs. Hazel Davis, Co-Chairmen, Citizens Committee for Tax Equality; C. J. Haggerty, Secretary-Treasurer, California State Federation of Labor
Richard W. Owens, Secretary Treasurer, California Farm Bureau Federation; James Mussatti, General Manager, California State Chamber of Commerce; Arthur F. Corey, State Executive Secretary, California Teachers Association
STATE SALES, USE, AND INCOME TAX RATES California Proposition 17 (1958).