Assemblyman Mike Gatto (D-Silver Lake) recently joined forces with Speaker of the Assembly John Perez (D-Los Angeles) to close a tax loophole that benefits large out-of-state companies and to use the billions of dollars collected to reduce fees for middle-class students who attend state universities.
Current law lets companies calculate their California corporate taxes based on a combination of their sales, property and employees. Therefore, corporations can keep jobs outside the state and pay a lower tax.
