Struggling businesses face billions in increased taxes

[Source: CalChamber] 2020’s recipe has proven to be equal parts unpredictable and incalculable with a heaping helping of calamity and lest we forget the generous scoop of crisis. Despite this year’s twists and turns one constant remains–California’s turbulent business climate. Unemployment figures wax and wane near Depression Era levels while certain market sectors close, partially Read More…

Beware the temporary tax fix

[Source: Fox&Hounds] During these difficult times, with politicians scrambling for answers to the economic woes brought on by the pandemic, expect to hear about temporary solutions to address problems often in the form of a tax increase. If history teaches anything, temporary government solutions often become permanent. We already have one temporary tax proposed, AB Read More…

Governor lays out plan for solving record state budget deficit

[Source: CalChamber] Governor Gavin Newsom has proposed solving a record budget deficit by tapping reserves, borrowing money from special funds, deferring spending and raising some targeted revenues. But the major budget solution to an estimated $54.5 billion deficit depends on spending federal funds already allocated to California and receiving federal funds not yet approved by Read More…

A new skirmish in ‘tort wars’

[Source: CalMatters] No session of the California Legislature would be complete without at least one skirmish in the decades-long conflict known to Capitol insiders as “tort wars” — and this year is no different even though the COVID-19 pandemic dominates political consciousness. A tort is, as one dictionary defines it, “a wrongful act or an Read More…

California avoids addressing causes of its high energy costs

[Source: Fox & Hounds] Californians will continue to pay some of the highest costs for electricity and fuel use as the State unexpectedly collides catastrophically with the global pandemic that will impact businesses and employment for an unpredictable economic future. The State’s much-touted $21 billion operating-budget surplus is likely to disappear entirely due to declining Read More…

Reminder: properly document FFCRA leave to claim tax credits

[Source: CalChamber] Employers are becoming familiar with the new Families First Coronavirus Response Act (FFCRA), which provides new COVID-19-related federal emergency paid sick leave and emergency family and medical leave. As employees start using the new leave, it’s important for employers to collect and maintain proper documentation, not only for their own records, but also Read More…