Press Release
Sherman Oaks, CA
May 28, 2019
How many business owners would complain if taxes were reduced? The United Chambers of Commerce is not complaining about California Senate Bill SB349 that was discussed at the May Government Affairs Committee meeting. The bill by Anthony Portantino of Senate District 25 reduces the Minimum Franchise Tax (MFT) for corporations with less than $15 million in gross receipts. Under the proposed bill, the MFT will be a graduated tax with corporations that gross less than $2.5 million seeing their tax at $200. For Corporations grossing between $2.5 million and $7.5 million, they will pay $400 while those that gross between $7.5 and $15 million will be paying a $600 MFT. The bill could have gone further in reducing or widening the reach of the minimum tax burden, but a reduction in taxes is something that United Chambers of Commerce supports.
The bill has passed three committees and is currently on the Senate floor for the 3rd reading. We hope that it makes it to Governor Newsom’s desk to be signed into law.
Also at the meeting, Jeffery Prang, LA County Assessor, provided a detailed explanation and insight to what the Proposition 13 split roll impact will be if it passes next year. The facts and figures presented were very dramatic.
The United Chambers of Commerce Government Affairs Committee meets monthly at the organization’s Sherman Oaks offices on the 3rd Monday of the month.