At least one business group is happy with Gov. Jerry Brown’s new economic plan. California’s manufacturers are delighted with the governor’s new reforms, especially the new statewide sales tax waiver for buying new industrial equipment.
As you might have heard — or read if following the Business Journal’s latest coverage — the governor and his legislative allies have sliced up the state’s enterprise zones into three new stimulus programs, including the sales tax credit. Previously, manufacturers could only waive the taxes if they were located in an enterprise zone, but the new program applies to firms anywhere in the state.
The California Manufacturers and Technology Association has been pushing for a statewide sales tax waiver for ten years since the Manufacturers Investment Credit expired in 2003. The new tax credit will last eight years and exempt manufacturers from paying 4.19 cents in state sales tax on new factory equipment.
04/28/2024