Dave’s Mad as Heck at the State of California

California has just effectively raised your income taxes because of deflation in the economy.  They’ve not only increased the tax rates by changing the tax table brackets, but they’ve also adjusted exemptions.

 

They can make these kinds of inflation-related (or deflation) adjustments to the tax rate tables without having to go before the legislature.  

 

If you have made the same salary this year as last year, first celebrate, and then get ready to pay more California income tax.

 

This is the same sort of let’s-beat-a-dead- horse- while- it’s down thinking that has lead the IRS to come after wineries for LIFO adjustments at a time when they are already struggling.

 

According to the state’s official announcement, we’ll be losing in the following areas when we go to file our 2009 California income tax return :

  • The standard deduction will decrease 
  • The personal exemption credit amount for single, separate, and head of household filers will decrease
  • The dependent exemption credit goes down to $98 this year, from $309 last year
  • Other tax credits affected by indexing include the Joint Custody Head of Household Credit, Dependent Parent Credit, and Qualified Senior Head of Household Credit

Here is the official announcement from the state of California about the change: http://www.ftb.ca.gov/aboutftb/press/2009/release_46.shtml

 

And don’t get me started about California’s new Use Tax return filing requirements. 

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EXCITING NEWS!  BDCo has moved to NAPA. 

After spending more than 30 great years as a resident of St. Helena, BDCo began a search in 2019 for a new office location in Napa that would better suit its needs. The goal was to improve the life/work balance for members of the team without inconveniencing our customers. Our newly completed Napa home meets our requirements perfectly and we can't wait to welcome you for a visit once we are all able to move about freely. 

For now, our office remains closed to visitors and much of our staff will continue to work remotely at their discretion and in accordance with current safety regulations. 

Our new address is :

Brotemarkle, Davis & Co. LLP
1000 Main Street, Suite 250
Napa, CA 94559 

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