Category Archives: California

Gilbert Hyatt (Mostly) Wins at Board of Equalization; What This Teaches Us About Moving from California

Posted on August 31, 2017 by Russ

Remember Gilbert Hyatt? He’s the microprocessor inventor who made a fortune and then moved to no-tax Nevada from high-tax California, but California’s Franchise Tax Board (FTB) said didn’t move. The case has gotten to the US Supreme Court twice, and … Continue reading →

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The Law Isn’t Fair, But You Have to Pay the Tax

Posted on August 29, 2017 by Russ

A California couple received an Advance Premium Tax Credit (part of the “Affordable Care Act,” aka ObamaCare). Through bureaucratic errors at Covered California, they’re unable to change their plan once they’re both employed to stop the credit, nor do they … Continue reading →

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California Single-Payer Health Plan Shelved

Posted on June 25, 2017 by Russ

As Samuel Johnson said, “Whatever you have, spend less.” Apparently some Democrats in the California legislature have realized the virtue of this quote. Assembly Speaker Anthony Rendon shelved the single-payer measure, calling it “woefully incomplete.” The California Senate Appropriations Committee … Continue reading →

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Illinois and California Race for the Bottom

Posted on May 27, 2017 by Russ

It appears that Illinois and California are in a race to see which can impose the worst tax policies. The Illinois legislature is debating a “Privilege Tax;” California is debating single-payer health care. Neighboring states to each are likely envisioning … Continue reading →

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While I Was Out: The BOE Is In Deep Trouble

Posted on April 26, 2017 by Russ

California has not one but three tax agencies. The Franchise Tax Board (FTB) administers income tax. The Employment Development Department (EDD) administers payroll taxes. And the Board of Equalization (BOE) administers sales tax (and a few other miscellaneous taxes and … Continue reading →

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Bozo Tax Tip #7: Nevada Corporations

Posted on April 5, 2017 by Russ

As we continue with our Bozo Tax Tips–things you absolutely, positively shouldn’t do but somewhere someone will try anyway–it’s time for an old favorite. Given the business and regulatory climate in California, lots of businesses are trying to escape taxes … Continue reading →

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FTB Not Appealing Swart Decision

Posted on February 22, 2017 by Russ

Last month a California appellate court ruled that California’s Franchise Tax Board was wrong in trying to assess an Iowa corporation with a 0.2% ownership in an LLC that invested in California the California minimum Franchise Tax. It was announced … Continue reading →

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San Francisco Supervisors Want a Local Income Tax

Posted on February 19, 2017 by Russ

California is not a low-tax state. Thankfully for Californians, there are no local income taxes. However, that soon may change. Seven of the eleven members of the San Francisco Board of Supervisors [1] are sponsoring a measure that will ask … Continue reading →

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Train to Nowhere is Significantly Overbudget

Posted on January 14, 2017 by Russ

The Los Angeles Times has a report today that California’s bullet train may cost 50% more than initially thought…and that’s in the “easy” section to build (in California’s flat Central Valley). It’s now estimated to cost somewhere between $9.5 to … Continue reading →

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Swart Wins Appeal; Not Liable for California Minimum Tax

Posted on January 12, 2017 by Russ

Good news for non-California businesses that are passive investors in an investment that invests in a California entity. The Franchise Tax Board (California’s income tax agency) has been ruling that business entities that have no active business in California but … Continue reading →

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