Prop. 39 – No: Measure hurts local, state manufacturing

◼ Proponents want you to think that Proposition 39 is a tax increase that will do no harm because it only applies to out-of-state corporations. They don’t tell you that many manufacturers with facilities and employees in California will get hit with up to 50 percent increases in corporate income tax under Proposition 39. - Jack M. Stewart/North County Times

...In a twisted argument, proponents argue that Proposition 39 “repeals a shady backroom legislative deal enacted in 2009” that created a tax “loophole” for “out-of-state” companies. That is false and misleading. As noted above, Proposition 39 would repeal a long-standing method for income tax apportionment and replace it with a new formula only made available since 2009....

Proponents say Prop. 39 will help grow jobs in the state. The absolute opposite is true. Having appropriate and competitive tax liability choices will help sustain and grow all manufacturers in the state. I’ve led the California Manufacturers & Technology Association for over 20 years and I have never heard a manufacturer say, “If only California had a mandatory single sales tax formula, we would site or keep a facility there.”

In a county that is dependent upon almost 100,0000 manufacturing jobs for its middle class and economy, its voters should vote “no” on Proposition 39.
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