Just in case you were wondering, the one-cent sales tax increase just approved by the Legislature in the budget deal will kick in on April 1.
And what about the car tax? You'll be paying more to register your car beginning May 19. The car tax goes from the current 0.65% of the car's value to 1.15% of the value.
Will I have to pay higher taxes on anything else? Well, yes. The state income tax is going up, too. You'll be paying a 0.25% surcharge on your personal income tax. The increase could be reduced by half if the state receives more stimulus funding from the feds than expected. The surcharge goes through the 2010 tax year, although it could go through 2012 if voters approve that extension.
You'll also be paying more state income tax if you claim dependents. The current $309 per dependent decreases to the $99 for tax years 2009 and 2010. The lower amount could go to 2012 if voters approve the extension.
No new car for us. We have to keep eating and the old car will take us there.
What is truly sad is that the increase in sales tax hurts the poor more than the rich.
MOI does not own a motor so could care less how much it cost.
Income tax increase is not good but one will always have to pay tax, where ever lived. Such is life.
Sad day for California, in so many ways.
I feel the sorriest for families with dependent children. 3 kids equal $600 more in taxes. It'll be a rude awakening for many.
Fran B; I am with you all the way. Are we entering a California of Charles Dickens? We could crerate work by building debtors prisons. How much farther back shall the Bullet Train take us...and how fast? As soon as it reaches the under-educated, hungry kids. Am I being fancyful? Hell no! The world is full of them, and I can't do nothing about it. "Christe eleison"
looks like i'll be filing my federal taxes hella early so i can have the refund to pay my state taxes due on 4/15.
look at the bright side, higher dmv and state tax write offs for federal purposes.
And they called this the road to recovery......Villines, we will not forget.
Taxes aren't fun, but consider the alternatives:
1. No money for fireman or cops, so crooks can burn down your house.
2. No money for schools, so no teachers to teach, making more crooks (see #1).
3. No money for highways, traffic lights, so more accidents caused by the extra crooks running around with no jobs (thanks to #2).
How to fix this situation so everyone is happy?
HA HA HA HA--Now, that is funny...
However, I strongly suggest we look at where the biggest money is wasted: the prison system and law enforcement in general. If we had acted like responsible fiscal custodians, we would have passed Prop 5-which would have been a good starting place to reduce the number of non-violent drug possessions ending up in prison.
This country spends over $80 billion per year for the arrest, trial and incarceration of drug users. CA could save 45% + of it's prison spending by putting an end to drug arrests.
But, PUNISHMENT is our way in CA, so I guess we should get used to higher taxes (at least something gets to get high in this state).
What does this increase do to Clovis' attempt at raising their sales tax by 1 cent? The city looked greedy to begin with by having no scheduled end to the tax, but instead after 10 years (10 Years!) a reduction of $.25 down to $.75. And then no end date to that sales tax increase. Hmmmm, should be interesting.