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Downey, California (AP)-Former San Diego mayor and Republican candidate for governor Kevin Faulconer (Kevin Faulconer) wants to exempt California’s personal income tax, which applies to individuals with an annual income of no more than $50,000 and Families with more than $100,000.
Tax cuts are part of a proposal designed to make the country more affordable for families and the middle class, which he announced during his election this week.
“When we hear about tax cuts, for investors and Wall Street people, the tax cut is usually 1%.” Falcona said in the campaign that announced the plan. “This is for young people who are just starting out, this is for parents who are paying diapers or going to college, and this is for people who work long hours to put food on the table.
Forner is participating in the election for the removal of Democratic Gov. Gavin Newsom. He is on a national tour of the Daily News, saying that his $100 billion pandemic recovery plan passed a record close to 76 billion. The dollar surplus was realized.
Faulconer, who was the two-term mayor of San Diego, also tried to recapture the Republican Party from his two main Republican opponents, John Cox and Caitlyn Jenner They have received more attention recently.
The governor’s unilateral tax cuts are limited, so Faulkner needs the approval of the state legislature to formulate his plan. If he wins the removal, he will take office with the Democratic majority in Parliament and Senate. Falcona, who worked in San Diego’s Democratic-majority city council, said he would seek to win legislative support by first gaining public support.
“In California, life is too expensive,” he told the Associated Press before announcing the news. “I am firmly opposed to openly winning the debate, and then we will win the vote.”
According to Faulkner’s plan, the initial marginal tax rate for the first $50,000 of personal income and $100,000 for household income is 0%. This means that people whose income is equal to or less than that amount will not have to pay state income taxes, while those whose income does not exceed $1 million will see a lower effective tax rate.
He announced the plan in Downey, California. Downey is a small city in southeastern Los Angeles. The median annual income is just over $75,000, which is roughly the same as the statewide median income. He estimated that the plan would save nearly US$2,000 for individuals and nearly US$4,000 for families each year, and said his plan would benefit 99% of taxpayers.
Faulkner estimated that his proposed tax cuts would reduce the state’s fiscal revenue by about $15 billion each year, and pointed out that the state’s budget surplus this year is expected to reach $76 billion, which is evidence that the state can afford it. When asked what would happen if the economy plummeted, and whether he would cut plans to support sustained, substantial tax cuts, Faulkner said that such a big move is unnecessary.
“As a mayor, you have to balance a lot of budgets, which are related to priorities. It’s about spending money on important things, spending money on services that Californians actually need, expect, and deserve,” he said.
He further stated that Sacramento has a “spending issue”, but declined to disclose the specific details of what the excesses or cuts are.
California’s budget relies heavily on the personal income tax of the wealthiest Californians (people with an annual income of more than $1 million), and according to Falcona’s plan, their taxes will not change.
Republicans often complain that California’s high taxes make the state unaffordable and cause the rich to flee. They pointed to famous examples of companies such as Oracle and Hewlett-Packard moving their headquarters out of California.
At the same time, Newsom (Newsom) proposed on Monday to provide more than 11 million low- and middle-income taxpayers with up to $1100 in tax refunds. Taxpayers with annual income between US$30,000 and US$75,000 will receive a one-time rebate of US$600. Those with an annual income of less than US$75,000 and with children will receive an additional US$500.
The governor’s campaign did not immediately comment on Faulkner’s proposal.
The latest research from the California Public Policy Institute found that the state is losing low- and middle-income earners and those without college degrees, while gaining high-income earners with academic qualifications. State officials announced last week that California’s population had fallen by 182,000 in 2020. With the release of last month’s census data, California lost a seat in the U.S. House of Representatives for the first time in its history.
Faulkner also promised that if he wins, he will not increase taxes. But the governor also lacks this power. He can veto legislation that raises taxes, but the legislature can overwhelm him by two-thirds of the votes in the two Senates.
He will also exempt veterans from military retirement income.
Faulconer is the most politically experienced person among all Republicans in the game. Compared with his competitors, he is seeking to establish himself as a reliable replacement for Newsom. Cox lost to Newsom by a landslide in 2018. Last week he campaigned with a bear. He called himself a “beast” and Newsom called himself a “beautiful boy”, but he didn’t do it. Make a difficult decision.
Anthony Ramirez, a spokesman who criticized Faulkner’s tax records, said Cox will soon release his tax cut plan. As the mayor of San Diego, he proposed to raise the hotel tax to raise funds for the expansion of the convention center, infrastructure construction and homelessness.
Ramirez said: “We welcome Kevin’s new religion on tax cuts.”
At the same time, Jenner was not familiar with California’s policy issues in his first television interview last week. Her campaign did not immediately comment on Faulkner’s proposal.
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Ronayne is from Sacramento, California.
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