When the market busts, so does the state budget because capital gains earnings drop. The market tumbled in 2022. So California's stock players had less income to report in 2023 and significantly less in taxes to pay.
Based on the 2021 tax year, the top 1% of California earners paid virtually half - 49.9% - of the state personal income tax. But when stocks fell in 2022, the top 1% kicked in just 38.7% of the income tax that was collected in 2023.
[
add
]
[
|
|
...
]