“We can’t afford not to have this right now,” says Kirk Everett, director of governmental relations and tax policy for the Silicon Valley Manufacturing Group. “Investing in our competitiveness and creating jobs is where we are going with this.”
This bill would completely exempt manufacturers and software companies from sales tax.
Now here we are in 2006, once again the SVLG is pleading poverty and going to Sacramento asking for welfare from the state. They are pushing SB1291-Alquist, which would merely exempt themselves from most sales tax. The manufacturers would only have to pay 2.75% sales tax. You can read my analysis here.
But what else is the SVLG doing? They are pushing a sales tax measure here in Santa Clara County that is double what is needed.
The county needs only a quarter-cent sales tax to cover all their needs. This is according to the county staff at the February 28, 2006 meeting. The only reason the ballot is as high as it is because of the desire by the movers and shakers to build gold-plated projects that no other agency wants to fund or build (small point it’s because no one would use them). More about those projects can be read about here.