California to Withhold Bigger (10% Bigger) Chunk of Paychecks

Not to be outdone by Hillary, the State of California has just started to withhold the state tax 10% more than it already does.

California to withhold a bigger chunk of paychecks
(10/31/09 LA Times)

"Reporting from Los Angeles and Sacramento - Starting Sunday, cash-strapped California will dig deeper into the pocketbooks of wage earners -- holding back 10% more than it already does in state income taxes just as the biggest shopping season of the year kicks into gear.

"Technically, it's not a tax increase, even though it may feel like one when your next paycheck arrives. As part of a bundle of budget patches adopted in the summer, the state is taking more money now in withholding, even though workers' annual tax bills won't change.

"Think of it as a forced, interest-free loan: You'll be repaid any extra withholding in April. Those who would receive a refund anyway will receive a larger one, and those who owe taxes will owe less."

It feels like an outright theft. This 10% extra withholding was one of the little-noticed provisions that were approved during California's budget crisis this summer. By raiding the paychecks of Californians, the state will be able to raise $1.7 billion.

California has also raised the sales tax. With local governments heaping their own additional sales tax, the total sales tax for my area is now 9.25%. Less than a year ago, it was 8.25%.

"Change we can believe in." I truly honestly wholeheartedly believe that change has happened. It's just not the change for the better, that's all. (Or my definition of "better" is vastly different from that of the White House honchos.)

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