"California Tax Reform Association
With the state facing a current deficit and on-going yearly deficits of $20 billion, the survival of basic services and a healthy public sector is at stake. The following summarizes 10 measures which will have the least impact on economic growth and recovery - the “low-hanging fruit” in the tax system. (For a more complete listing of tax options go to http://caltaxreform.org/?p=101.
Governor Schwarzenegger stated that all the “low-hanging fruit” in the budget - that is, the easy cuts -- had been removed. But loopholes, untaxed windfalls, tax breaks with no benefits, taxes on the very rich and sin taxes, the taxes with little or no impact on economic recovery, have not been cut at all. For broader-based taxes, the state can maintain some part of the previous increases."