Sales Tax

PATTERSON, Calif. - Amazon.com Inc.for years has fought government efforts to tax e-commerce. Now it's poised to pocket millions of dollars in sales taxes paid by California customers. As part of a pact reached last year with state lawmakers, some online retailers agreed to begin collecting sales taxes this fall. About half of the projected $316 million raised in the first full year is expected to come from merchandise sold by Amazon, which is also setting up two California fulfillment centers that will employ at least 1,000 workers each.

SACRAMENTO — Gov. Jerry Brown defends his soak-the-rich tax proposal as just. And besides, he says, it's popular with the non-rich. Never mind that it's the opposite of reform, that it would make California's roller-coaster tax system even more volatile. But maybe things do have to get worse before they get better. The state treasury is starved for more revenue. The governor is trying to avoid massive cuts to K-12 schools and more swats at the universities. It's probably not practical to wait for reform.

Reporting from Sacramento and Los Angeles -- Millions of California shoppers and car owners are in for some rare good news from Sacramento: tax cuts. Starting Friday, the statewide sales tax rate drops by one percentage point — a penny on the dollar — and the annual vehicle license charge that drivers pay tumbles by 43%. The expiring increases, which were placed on the books in 2009 as California teetered toward insolvency, will provide significant savings for many people.

PATTERSON, Calif. - Amazon.com Inc.for years has fought government efforts to tax e-commerce. Now it's poised to pocket millions of dollars in sales taxes paid by California customers. As part of a pact reached last year with state lawmakers, some online retailers agreed to begin collecting sales taxes this fall. About half of the projected $316 million raised in the first full year is expected to come from merchandise sold by Amazon, which is also setting up two California fulfillment centers that will employ at least 1,000 workers each.

Voters in this famously tax-averse state Tuesday night approved a temporary hike in the sales tax to stave off brutal budget cuts, handing Gov. Jan Brewer a crucial victory. The veteran Republican had shocked many in her party last year by advocating the penny sales tax increase, arguing that the state couldn't simply cut its way out of a deficit that rivals California's. Critics said it was economic suicide to raise taxes in a recession. On Tuesday night, as early returns showed two-thirds of voters agreeing with the governor, Brewer declared victory in front of supporters inside a middle school student union here.

With all the ballots counted, the half-cent sales tax increase for transportation projects in Los Angeles County passed with 67.93% of the vote. The tax hike, known as Measure R, needed two-thirds approval. Measure R is expected to raise $30 billion to $40 billion over its 30-year life span, proponents say. The most expensive project it will fund is an extension of the Westside subway. The increase will begin July 1 and bring the sales tax rate in the county to 8.75%.

Re "Gov. pushes hike in sales tax, big cuts," Nov. 7 Now, let's see if I understand this correctly: On Tuesday, Nov. 4, we approved additional sales taxes for Los Angeles County with Proposition R, a 0.5-cent tax on the dollar, plus Proposition 1A for a bullet train for California. Then on Friday, Nov. 7, The Times reported that Gov. Arnold Schwarzenegger is asking for a sales-tax increase -- 1.5 cents on the dollar -- to fund the state coffers. Also in Friday's Times, there is a report that the Department of Water and Power wants to increase our bills so they can install solar panels.

A group of environmentalists is threatening to fight a proposed sales tax for traffic improvements unless the county sponsors a bond issue designed to give them perhaps $2 million or more to buy land and protect it from development. County officials say they are seriously considering the deal, which is similar to a compromise struck last year in Contra Costa County. Some proponents of the half-cent levy, though, think the environmentalists lack the clout to force the issue. "The environmental community is saying that we've been left out of the process for so long that we need something on our side for us to support a sales tax," said Elizabeth Brown, who proposed the deal as president of Laguna Greenbelt Inc., an influential environmental group.

Over the next several months the Orange County Board of Supervisors and the 28 city councils in the county will be reviewing the 20-year transportation plan unanimously approved last Monday by the Orange County Transportation Commission. The plan should be supported. The commission's approval, and ratification by a majority of the county board and city councils representing a majority of the cities' populations, will legally clear the way to put a proposed half-cent transportation sales tax before voters and in essence, the 20-year plan along with it. It is time that the sales-tax proposal was put back on the ballot.

We're No. 1 -- only more so. The budget deal that the Legislature reached Thursday will keep California's top personal income tax rate and sales tax rate the highest in the Union. The deal will raise personal income tax rates by 0.25 of a percentage point across the board. The highest rate, on taxable income of more than $1 million, will rise to 10.55% from 10.3%. The next-highest tax rate, on taxable income of more than $94,110 for a married couple filing jointly, will rise to 9.55% from 9.3%.

Re "State deficit estimate hits $16 billion," May 13 Again we are facing budget shortfalls that need to be made up by more taxes. Is there an end to California's financial crisis? Do we have to go from crisis to crisis with no light at the end of the tunnel? The Greek financial shadow is looming larger because the governor doesn't have the guts to make the changes to get our house in order. No one says, "Enough is enough. " I am glad I am 80 years old, but the future my children and grandchildren will endure frightens me to no end. H.K. Rahlfs Irvine The answer to every government deficit situation: "This means we will have to make cuts far greater than asked for at the beginning of the year in schools, public safety and services.

Off the rails Re "Blue Line's woes a black mark for Metro," April 21 No one should be surprised that the Blue Line light-rail system from downtown L.A. to Long Beach has high maintenance costs. The goal of Propositions A and C and Measure R, which raised the sales tax, was to build a rail system, but not necessarily to maintain and operate one. As more lines are built, more money must be spent to maintain the system. The question now is whether the system has reached the size where all the construction money is required for maintenance and none is left for construction.

Mayor Antonio Villaraigosa came into office seven years ago with a remarkably ambitious agenda, proposing to solve many of L.A.'s most intractable problems: He would be the mayor who fixed the schools, cleaned up the gang problem and beefed up the Police Department. And, most important, he branded himself as the city's "transportation mayor. " Some of these promises have been fulfilled, yet progress in most areas has been incremental and not necessarily attributable to Villaraigosa.

Faced with a congressional stalemate over transportation funding, Los Angeles Mayor Antonio Villaraigosa wants county voters to approve an indefinite extension of a half-cent sales tax used for transit projects. A proposed November ballot measure will be a centerpiece of Villaraigosa's State of the City address Wednesday evening at Paramount Studios in Hollywood, according to the mayor's office. It marks the latest effort by the mayor, who is trying to cement a legacy as a transportation visionary during his final year in office, to borrow against future tax revenues and rapidly expand L.A. County's transit system.

How can Best Buy be saved? The question has been swirling around the huge retailer for a couple of years, as its same-store sales have been falling. But it picked up steam last week with the sudden resignation of Chief Executive Brian J. Dunn, who had been in his job less than three years. The unceremonious departure of Dunn, 51, looked at first as though it was connected with his professional performance, which hadn't thrilled many Best Buy watchers. But it soon transpired that the reason had something to do with questionable personal conduct, reportedly involving a female subordinate.

You may want to sit down for this one: Americans aren't happy with the U.S. tax system (though 12% of them think it's actually the best one in the world). More than six in 10 Americans say the way the country levies taxes is less than perfect, according to a survey from Rasmussen Reports . More than a quarter aren't sure how they feel. Nearly half think that the average American currently pays out at least 30% of their income in taxes, when most believe the ceiling should be more like 20%. California Gov. Jerry Brown hopes to land a measure on the November ballot that would increase the sales tax and raise the rate for higher earners, with revenue going to schools and to balance the state's budget.

Moving to deliver on their promise to create thousands of jobs with proceeds from a voter-approved tax for transportation projects, Los Angeles County officials Thursday approved a sweeping employment program. Officials say it will dramatically increase the number of workers hired from communities near upcoming transit projects expected to cost at least $10 million. Special attention will be given to applicants who live in areas of high unemployment. "We are demonstrating that we are serious about job creation and job opportunity, and jobs that are good-paying jobs with benefits that support families," said county Supervisor Mark Ridley-Thomas, who is also on the Metropolitan Transportation Authority board that approved the measure, 11 to 1. The opposing vote came from Supervisor Michael D. Antonovich, who said he preferred studying a limited system before expanding.

Whether the New England Patriots or the New York Giants win the Super Bowl this weekend, television buyers will be the ones scoring big. Retailers have been slashing prices on big-screen HDTVs ahead of the big game, and are throwing in extras such as free delivery and installation, offers to pay the sales tax and complimentary Blu-ray players and 3-D glasses to attract customers. "Consumers right now can definitely benefit," said Lisa Hatamiya, a research associate at market research firm IHS iSuppli, which tracks television sales data and trends.

SACRAMENTO - An elected state tax collector wants to save strapped California motorists money by freezing the sales tax on gasoline whenever the pump price jumps above $4 a gallon. The idea, said George Runner, a Republican member of the State Board of Equalization, is to put a few bucks back in consumers' pockets rather than provide a small windfall to local governments. Gasoline prices in California averaged $4.33 on Wednesday, according to AAA's Daily Fuel Gauge Report.