Governor, Millionaires Tax Backers Reach Compromise
Wednesday, March 14, 2012
California Governor Jerry Brown has agreed to a compromise November tax measure with a coalition of unions and liberal groups backing the rival “Millionaires Tax.”
California Governor Jerry Brown has agreed to a compromise November tax measure with a coalition of unions and liberal groups backing the rival "Millionaires Tax."
If it qualifies, it would be a big win for Brown and Democrats. But supporters like Senate Leader Darrell Steinberg will face an extremely tight timeline to gather 800-thousand signatures for the new initiative.
"We're confident that we can get it done. We're confident. It's a big lift. But the stakes are so high that it's worth whatever lift is necessary," said Steinberg.
The compromise resembles the governor's original proposal, but would shift a greater tax burden to the wealthiest Californians. For example, the increases on people making more than 300-thousand dollars a year would be larger. And the income tax increases would last seven years instead of five. Meantime, the new initiative would reduce a proposed four-year sales tax hike from half a cent to a quarter-cent.
To view PDF documents, Download Acrobat Reader.