Thanks to tax reform, Walt Disney is giving $1,000 bonuses to its 125,000 employees, thousands of whom work at the firm’s corporate headquarters and studios in Burbank.
But tax reform isn’t just delivering one-time benefits. The law completely overhauled America’s archaic corporate code, cutting the corporate tax rate from 35 percent to 21 percent. Businesses can now raise wages, build new plants, acquire newer equipment and hire additional employees.
Amgen, a biotech firm based in Thousand Oaks, is using its tax reform windfall to construct a new $300 million manufacturing plant that will employ 300 full-time workers. Last year, in anticipation of tax reform, San Francisco-based finance firm Charles Schwab added 1,200 new positions across the country.
Californians will also immediately enjoy larger paychecks thanks to individual tax code reforms. In California’s 25th Congressional District, the typical family of four will pay $2,800 less in taxes in 2018.
House Minority Leader Nancy Pelosi, a multimillionaire, has derided these savings as “crumbs.” But they’ll make a huge difference to most families. Californians owe a debt of gratitude to Rep. Steve Knight, who helped make the tax reform possible.
Taxpayer Advocate for George Runner,
Chair of the California Board of Equalization