George Runner

More than two centuries ago, our Founding Fathers charted a revolutionary course, which created a nation where we have the freedom to worship, assemble, and freely speak our minds. As we prepare to enjoy our nation’s birth with friends and family next week, may we remember and celebrate the liberty bravely won for us.

Best wishes for a happy and safe Fourth of July!

– GEORGE RUNNER

George Runner represents District 2 (which includes the Santa Clarita Valley) on the California Board of Equalization.

Tax Help for California Seniors

Senior citizens deserve to enjoy the rewards of their life’s work, but rising taxes and inflation leave many feeling squeezed.

California seniors know about discounts at restaurants and the movies, but they may not be familiar with the tax benefits and services available to them. For example, many seniors qualify for property tax exemptions, income tax credits and free income tax preparation.

That’s why I created the new Tax Help for California Seniors webpage. This online resource provides helpful information and links designed to help seniors be aware of important tax tips relating to property tax, sales and use tax and income tax.

Please take a look at this new online resource and consider sharing it with your family and friends who are seniors.

California’s Tax-Cutting Legislature?

Drop by the California State Capitol at just the right moment and you might be surprised to hear liberal legislators sounding like tax-cutting conservatives.

In support of a multi-million dollar tax cut for business, one liberal lawmaker argues, “We need to send a message to New York… and other states competing for our jobs and say, ‘It stops here.’”

Adds another: “We can’t afford to let any more jobs abandon our state.”

One more chimes in: “Right now we’re getting our lunch handed to us by these other states.”

You’d be right to scratch your head. For years lawmakers have voted for tax hikes and burdensome regulations that drive jobs away from our state. As a consequence, Californians pay some of the highest tax rates in the nation.

Given this grim reality, any sign that tax-and-spend lawmakers might see the error of their ways is cause for hope, if not outright celebration.

A few recent developments are encouraging:

• In May, Governor Brown signed legislation to help boost California’s economy and create more opportunity for job growth in our aerospace industry. AB 777 updates the tax code to return spaceflight vehicles to their original classification of business inventory, keeping California competitive in a budding multi-billion dollar industry.
• In July, a new sales tax exemption for qualifying manufacturing, research and development equipment takes effect. The Governor and Legislature approved the changes last year as part of an overhaul of economic development policies. After years of losing good-paying manufacturing jobs to other states, California can finally compete with states that have offered this commonsense tax break for years.
• The Assembly unanimously approved bipartisan legislation to expand funding for California’s film tax credit. AB 1839 would increase funding for tax credits aimed at keeping production of films and TV series in California. Although the California Film Commission received 497 applications for the tax credit this year, due to limited funding only 23 projects were selected.
• The Governor and legislators are scrambling to find incentives that might encourage Tesla Motors to locate a new factory for its electric car batteries and 6500 jobs in California. The legislative effort, embodied in SB 1309 came after Tesla founder Elon Musk called California’s chances “improbable” given our state’s “complex and lengthy” permitting process.

Read more…

Broad-Based Tax Relief Missing from New State Budget

Legislators can congratulate themselves on approving an on-time budget by the June 15 constitutional deadline. Although the new budget contains large spending increases, thankfully it does not raise taxes.

What’s missing is the broad-based tax relief we need to spur jobs and stimulate growth across our entire economy.

In addition, the Legislature missed yet another opportunity to defund the bullet train and eliminate the fire tax.

Unfortunately, the Governor failed to aggressively wield his veto pen to trim wasteful spending. We can and should do more to pay down debt and bolster our rainy day fund.

Learn more about California’s budget at ebudget.ca.gov.

Legislative Update

I am pleased to provide updates on several of my sponsored legislative proposals:

• Fire Fee Clean-up — Senate Bill 1413 (Wyland) would increase the payment due date of the Fire Prevention Fee from 30 days from the date of assessment to 60 days. It passed out of the Senate and Assembly Natural Resources Committee with unanimous, bipartisan support and now awaits hearing in the Assembly Appropriations Committee.
• Tax Help for Disabled Veterans — Senate Bill 1113 (Knight) would help ensure that disabled veterans who encounter bureaucratic delays can still claim a key property tax exemption. It passed out of the Senate with unanimous, bipartisan support and now awaits hearing in the Assembly.
• Lumber Tax Relief — Under Assembly Bill 2031 (Dahle) retailers who sell less than $25,000 in wood products annually will be exempt from collecting and reporting the Lumber Products Assessment. The bill passed out of the Assembly with bi-partisan support and will now be heard in the Senate.
• Private Railroad Car Tax Reform — The Board of Equalization is also sponsoring Assembly Bill 2262 (Frazier) which changes the method of measuring presence in California from car days to mileage for purposes of imposing the Private Railroad Car Tax. AB 2262 is awaiting hearing in the Senate Appropriations Committee.
• Moving BOE Headquarters Could Save Millions — Assembly Bill 1656 (Dickinson) would authorize a new consolidated Board of Equalization headquarters. The current Board of Equalization headquarters building is building is a money pit and safety risk for both state workers and the public. AB 1656 is currently awaiting hearing in the Senate Appropriations Committee.

Upcoming Telephone Townhall for Manufacturers

On Tuesday, July 1 at 10:00 a.m. I will be hosting a telephone townhall for California’s manufacturers. The free event, co-hosted by the California Manufacturers and Technology Association, will provide information on tax issues specific to the manufacturing industry, including the new manufacturing sales tax exemption that takes effect July 1, 2014.

The manufacturing sector employs more than one million Californians and adds more than $200 billion to our economy every year. My goal is to help manufacturers understand California’s complicated tax laws and ensure they are aware of the valuable new tax incentive available to them.

Those wishing to participate may register online at www.boe.ca.gov/townhall or by calling 916-445-3032.

Individuals who pre-register will receive a telephone call at the start of the event inviting them to connect to the townhall. During the event, callers will have an opportunity to ask questions.

Internship Opportunity

Attention all college students! Are you interested in learning about state government and policy? If so, you should apply for an internship in my Board of Equalization office.

I am proud to provide students with a first-hand look into the duties and obligations of the State Board of Equalization. This internship will greatly assist those interested in making a career in public service and enrich your professional network.

Positions are available in my Sacramento and Lancaster offices. Interns will perform regular office duties, along with other staff members, and work on specific projects related to taxpayer or legislative needs.

Interested students can learn more online at boe.ca.gov/runner or contact my office at (916) 445-2181 with any questions.

Tax Tip

Q – Are seniors eligible for parcel tax exemptions on their property tax bills?

A – Seniors who pay a parcel tax or special assessment may be eligible for an exemption. Parcel taxes are locally imposed special taxes approved by voters, which must be paid by a real estate owner.

To find out if you qualify for an exemption, call the local district or agency that imposed the parcel tax or special assessment listed on your annual property tax bill.