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Gov. Gavin Newsom wants sales tax relief for businesses

California’s governor on Thursday called for letting small businesses keep up to $50,000 in sales tax receipts for the next year as the COVID-19 outbreak has forced people to stay home and many shops to close.

Posted: Apr 2, 2020 2:15 PM

LOS ANGELES (AP) — California’s governor on Thursday called for letting small businesses keep up to $50,000 in sales tax receipts for the next year as the COVID-19 outbreak has forced people to stay home and many shops to close.

Gov. Gavin Newsom said the reprieve would function as a loan to small businesses, with the state not charging fines or penalties. It likely would require approval from the state Legislature, which has recessed until at least April 13.

Newsom’s proposal comes as more than 1.9 million Californians have filed for unemployment benefits since March 12, an average of more than 111,000 claims per day over the last week.

“The economic consequences are profound,” Newsom said.

The property tax proposal could have a significant impact on the state’s more than $200 billion budget. California gets most of its money from a combination of sales and income taxes. The state has already given people an extra three months to file their income taxes, meaning state lawmakers will likely have to come up with a budget this year without knowing how much money they have to spend.

But California property owners still have to pay their property taxes by April 10. Newsom has not ordered any delays on that deadline, mostly because property taxes are one of the few funding sources that bypass the state and go directly to local governments.

Newsom proposed a $222.2 billion budget in January. But Thursday, he said that proposal “was no longer operable.”

“The world has radically changed since the January budget was proposed,” he said.

For those looking for work, the state has partnered with three companies — LinkedIn, Salesforce and Bitwise — to launch a website matching people with job listings in California. Newsom said the website, onwardca.org, already has more than 70,000 job listings. Most are in the health care, agriculture, logistics and grocery industries — essential businesses not affected by the statewide “stay-at-home” order.

Governors across the country are grappling with what businesses can stay open and which ones can close. In New York, Gov. Andrew Cuomo ordered non-essential construction sites to shut down. Officials in the San Francisco Bay area have done the same. But Thursday, Newsom said he was not planning on changing the state’s guidelines listing construction workers as an essential business exempt from the statewide “stay at home” order.

“The conditions in New York are very different than the conditions in the state of California,” Newsom said. “We’re not naive about magnitude of challenge ahead of us. All of this is subject to change. But currently, I’m satisfied with those state directives.”

California Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 875692

Reported Deaths: 16979
CountyConfirmedDeaths
Los Angeles2884516876
Riverside632841269
San Bernardino596961021
Orange568681409
San Diego52355853
Kern33373410
Fresno29911429
Sacramento24304468
Santa Clara23224373
Alameda22636442
San Joaquin21187484
Contra Costa18054234
Stanislaus17292391
Tulare17120275
Ventura13845160
Imperial12410335
San Francisco11877133
Monterey1102283
San Mateo10743157
Santa Barbara9588119
Merced9314152
Sonoma8810129
Kings815183
Solano700974
Marin7001124
Madera483673
San Luis Obispo398532
Placer389852
Yolo306356
Butte301250
Santa Cruz269623
Napa186614
Sutter179612
Shasta167929
San Benito140114
El Dorado12774
Yuba125310
Mendocino108921
Tehama7648
Lassen7571
Lake66315
Glenn6393
Nevada5818
Colusa5456
Humboldt5448
Calaveras33317
Amador30916
Tuolumne2494
Inyo21215
Siskiyou1840
Mono1752
Del Norte1731
Mariposa782
Plumas540
Modoc270
Trinity200
Sierra60
Alpine30
Unassigned00
Chico
Clear
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Oroville
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Paradise
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86° wxIcon
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Chester
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Red Bluff
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Willows
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Hot & dry conditions are ahead for your Monday. Stronger winds will bring high fire danger back into our forecast this week. Much cooler temperatures & the potential for showers are on the way for your weekend.
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