California already has some of the highest taxes in the United States and is losing residents as a result. Yet Golden State liberals aren’t deterred. They’re now pursuing a state constitutional amendment that could double California’s taxes.
The proposed amendment, ACA 11, would hike several key taxes to fund a state-level government healthcare scheme. According to the right-leaning Tax Foundation , it would increase the average household’s taxes by an astonishing $12,250.
It’s estimated that the amendment would increase state revenue by $163 billion a year, which is more revenue than California had ever seen in an entire year before 2020. (That means it’s effectively doubling the state’s taxes.)
As the Tax Foundation’s Jared Walczak explains , the tax hikes take three forms. There’s an income surcharge (on top of the already-high state income taxes) that applies starting at $149,509 in earnings. There’s also a payroll tax add-on, with the top rate applying to employees earning $49,990 or more. Then, there’s a 2.3% business tax hike on gross receipts above the first $2 million a business takes in.