Mayor Garcetti in Support of Reducing L.A. City Business Taxes for 10 years

Mayor Garcetti has supported reducing L.A. City business taxes for 10 years and so has Valley VOTE.

(See Valley VOTE Press Release dated May 5,2004 below).

The Mayor stated the following in a recent Email.” L.A.’s business climate is directly disadvantaged by our business tax, which is by far the highest in the area. To increase business and job growth, we look forward to working with our partners on the City Council on a plan to responsibly eliminate the tax over time.”

The Valley Industry and Commerce Association (VICA) President Stuart Waldman feels eliminating the tax would be a milestone for the city. He pointed out a 2011 USC study concluded the move would annually generate “$423 million at worst and $688 million at best”

Best,
Joe Vitti
President- Valley VOTE

There are 2 additional Valley VOTE Press releases you can read dealing with the Business Tax issue on the web site.
. www.valleyvote.org
March 8,2004 ” BTAC Business Tax Advisory Committee”
August 16,2005 “Support L.A. Business Tax Plan”

Press Release
May 5,2004

Greuel-Garcetti BusinessTax Reform Proposal – April 12, 2004

The Board of Directors of Valley VOTE has voted
to support the more aggressive April 12, 2004
Greuel-Garcetti Business Tax Reform Proposal

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For years the Valley VOTE organization has recommended major changes to the Los Angeles Business Tax Structure. A front page story with a major headline in the Daily News of Nov.30,2003, is recent evidence of this ongoing argument from Valley VOTE to the Mayor and the City Council of L.A. to radically reform L.A.’s tax on businesses. By convincing the business community that elected officials are committed to real change, the business climate will take a favorable turn, and consequently, the financial conditions within the city will ultimately improve.

On April 12,2004, Wendy Greuel and Eric Garcetti had a press conference and issued a press release with their proposal for Business Tax Reform. They were joined at the press briefing by councilmembers Tom LaBonge,Jack Weiss, Dennis Zine and representatives of business organizations throughout Los Angeles including leaders of BTAC and Valley VOTE.

Most of the elements of this new Greuel-Garcetti proposal are based upon the BTAC recommendations that have already been approved by the Valley VOTE Board. A Press release indicating strong support for the BTAC proposal was issued by Valley VOTE on March 8,2004.

The major difference between the two Business Tax Reform plans is the annual tax rate reduction. The BTAC recommendation proposes a 3% annual decrease resulting in a 15% cut in 5 years. The Greuel-Garcetti proposal is more aggressive at a 5% annual rate reduction leading to a 25% lower tax in 5 years with a review at that time to consider providing an additional 25% decrease
over the following 5 years.

For questions, comments, or further information contact Joe Vitti by Email at javittisr@cs.com or write to Joe Vitti- President of Valley VOTE at 14622 Ventura Blvd. #424, Sherman Oaks, CA 91403