California tax rates for 2011 announced

[Roland Slugg]

The California Franchise Tax Board (FTB) recently published that state's tax rate brackets for the year 2011. The rates may be viewed here:

http://www.ftb.ca.gov/forms/2011_California_Tax_Rates_and_Exemptions.shtml

The table also lists the 2011 personal exemptions and standard deduction amounts for 2011 as well as other information.

According to the FTB, the California inflation rate during the index period was 2.7%, so everything was increased by that amount.

[Nashville]

California Budget

perhaps a little off-topic here, but quite relevant nonetheless to those of you who live there and practice there.

I don't know how good my information is. Somehow one of the voter resolution issues (which generally get knocked down by California courts) created a requirement that the California legislature pass a balanced budget this summer or else NOT GET PAID.

So guess what? They passed a budget that they declared to be balanced and that was supposed to be the end of it. Then the State Comptroller (working for Jerry Brown which may be the biggest surprise of all) examined the budget and called in the press and said it was a joke, and nowhere even close to being balanced. Furthermore he issued orders to stop their pay in accordance with the voter resolution. In other words, the California politicians pulled the same crap as federal politicians when they say they have solved something.

A hastily-called (imagine that!) legislative session passed another budget in a matter of hours. Instead of the State Comptroller passing judgement on the new budget, Jerry Brown himself took the lead and told the public this one really WAS balanced. (Wonder what really happened...)

I don't live there, but got my information from a relative. How much of this story is true, or is any of it true? And Sluggo, does the 2.7% inflation mean that the rate brackets and standard deductions get bumped up in that state??

[OtisMozzetti]

enormous dependent exemption

According to the FTB, the California inflation rate during the index period was 2.7%, so everything was increased by that amount.

The enormous dependent exemption credit amount (over $300, nonrefundable) also came back.

The sales tax rate dropped by 1% on July 1, 2011.