News Release

For Immediate Release:
January 10, 2008
Contact: Tom White
(916) 319-2058
Assemblyman Charles Calderon reacts to the
Governor's State Budget Proposal

(SACRAMENTO, CA) – Assemblyman Charles M. Calderon, Chairman of the Assembly Revenue and Taxation Committee issued the following statement after Governor Arnold Schwarzenegger presented his Budget Proposal, which includes 10 percent cuts in state government.

“Though California is faced with significant fiscal challenges, there are no unsolvable problems, just immovable people.    People are at their best when things are at their worst.  We will find solutions and balance our budget.  The Governor’s plan to increase collection of existing sales and use tax from in-state retailers is a good first step; however I believe it will take more than a surge in workforce to collect all of the tax obligations owed to the state.  The Revenue and Taxation Committee will take a comprehensive look at California’s tax laws, our revenue sources and how we collect tax obligations owed to the state.  In particular, the Committee will focus on the collection of internet sales transactions, including sales by retailers outside California.   The State Board of Equalization estimates there are billions of dollars in tax obligations owed to the state.  There are hundreds of millions of dollars in uncollected use taxes.  We must take a hard look at all tax incentives that are part of the current system to determine whether they are still appropriate or effective.  The solution to California’s fiscal imbalance will take more than simply spreading the pain among state government.  All of California must be involved so that we can find an effective and responsible resolution.”

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Assembly Member Charles Calderon, Chair of the Revenue and Taxation Committee represents the cities of Downey, Industry, Montebello, Pico Rivera, Whittier and the communities of East Los Angeles, Hacienda Heights, South San Jose Hills and Valinda.


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