Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News Editorials & Other Articles General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

General Discussion

dannward

(29 posts)

22. As of January 2025, yes.

Reply to MichMan (Reply #21)

Tue Nov 4, 2025, 12:26 PM

Nov 4

Yes, with the recent change to California tax law, they pay taxes based on the percentage of their sales in California. If 20% of sales are here, then CA taxable income is essentially 20% of Federal taxable income. Yes, California tax rate may be higher on that income, but they'll pay the same amount of California taxes no matter where their employees are or where their buildings are.

Of course, having buildings in California could lead to higher rents or property taxes than having the HQ elsewhere. They'd have to comply with CA employment law, might need to pay a higher wage, etc. So costs could definitely still be less for an out of state HQ. But the corporate income tax would be the same.

Cannot edit, recommend, or reply in locked discussions

Edit history

Please sign in to view edit histories.

Recommendations

0 members have recommended this reply (displayed in chronological order):

29 replies

= new reply since forum marked as read

Highlight:

This message was self-deleted by its author [View all] PeaceWave Nov 3 OP

Central government can only create jobs ... Bread and Circuses Nov 3 #1

Remind companies that they will have access to a higher level of employee in blue states EdmondDantes_ Nov 3 #2

This message was self-deleted by its author PeaceWave Nov 3 #5

Depends on how much we make the argument. We have been bad at that in general EdmondDantes_ Nov 3 #8

This message was self-deleted by its author PeaceWave Nov 3 #14

Texass is a gimme state Donman Nov 4 #20

Are you asking in good faith as an issue to attract voters? Frasier Balzov Nov 3 #3

This message was self-deleted by its author PeaceWave Nov 3 #6

Well. Trump is blowing up alternative energy ideas...ones that create a lot of jobs--- OAITW r.2.0 Nov 3 #4

Aren't we kinda beyond all that? leftstreet Nov 3 #7

This message was self-deleted by its author PeaceWave Nov 3 #10

Your suggestion makes sense. When enough corporations leave, someone might wake up. Silent Type Nov 3 #9

Are you recommending Dems run on a promise to lower corporate taxes? Jersey Devil Nov 3 #11

This message was self-deleted by its author PeaceWave Nov 3 #12

He can answer for himself. But IMO, somebody better wake up unless you are OK with large employers moving Silent Type Nov 4 #15

California is now a single sales factor state dannward Nov 4 #17

Are you saying a company HQ in California pays no more state taxes than one located in another state? MichMan Nov 4 #21

As of January 2025, yes. dannward Nov 4 #22

This message was self-deleted by its author PeaceWave Nov 4 #23

Looks like banks were not forced to single sales factor until this year dannward Nov 4 #24

This message was self-deleted by its author PeaceWave Nov 4 #25

Business taxes are passed down to the consumer MichMan Nov 4 #16

Economics, to me, is a battle to create M1 money underpants Nov 3 #13

The California unemployment rate is 5.5 % Johonny Nov 4 #18

Solve the traffic problem in some areas of California Prairie_Seagull Nov 4 #19

First step NeoTrajan Nov 4 #26

The Democratic party has to be in power to do much good! bob4460 Nov 4 #27

This message was self-deleted by its author PeaceWave Nov 4 #28

What an interesting thread. Kingofalldems Nov 4 #29