California Senators Offer $25 Billion Income Tax Prepayment Plan

Corporations and individuals could prepay their California income tax for 2024 through 2033 at a discount to help the state build a $25 billion economic recovery fund under a proposal from California Senate leaders.

Senate President Pro Tempore Toni G. Atkins (D) and other Democratic senators crafting the state’s budget want to create the program in the next few months so the state can offer about $3 billion in total vouchers for each year from 2024 to 2033 to taxpayers who voluntarily prepay. The senators said the option would help them avoid tax increases and budget cuts during the ...