News form the GCVCC Business Legislative Advocacy Committee
Coalition Letter: On behalf of the above business organizations in the Inland Empire, we write to express our opposition to AB 71, which is a proposed $2.4 billion-a-year tax increase on California businesses and residents.
AB 71 would impose a tax increase at a time when California businesses already pay some of the highest taxes in the country. California’s existing corporate income tax rate is already the highest among the Western states and one of the highest in the nation. According to the Washington, D.C.-based Tax Foundation, California’s business tax climate ranks second worst in the United States. After comparing the costs of operating in California vs. other states, many employers left our state in 2020. The relocation of these companies and their employees to lower-cost states has a major impact on state and local tax revenue, causes unemployment for workers who cannot move to the new location, and is a sign that California must find ways to be more competitive.
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